Effects of misspecification of the loss function on the economic-statistical design of the synthetic X̄ chart

Wai Chung Yeong, Michael Boon Chong Khoo, Sok Li Lim, Wei Lin Teoh

Research output: Chapter in Book/Report/Conference proceedingChapter

Abstract

The optimal choice of design parameters has a huge impact on a control chart's performance. The economic-statistical design balances the economic and statistical performance of a chart, by selecting design parameters which minimize the cost subjected to statistical constraints. To compute the quality loss as a result of deviations from the target value, quality loss functions are often used. However, practitioners may incorrectly choose the wrong type of loss function to describe the quality loss. This paper studies the effects when the type of loss function is misspecified. This study is done on the synthetic X chart. We focus our attention on the linear, quadratic and exponential loss functions. © 2015 IEEE.
Original languageEnglish
Title of host publication2015 International Conference on Computer, Communications, and Control Technology
PublisherIEEE
Pages77-81
Number of pages5
ISBN (Electronic)978-1-4799-7952-3
DOIs
Publication statusPublished - 27 Aug 2015
Event2015 International Conference on Computer, Communications, and Control Technology - Kuching, Malaysia
Duration: 21 Apr 201523 Apr 2015

Conference

Conference2015 International Conference on Computer, Communications, and Control Technology
Abbreviated titleI4CT
CountryMalaysia
CityKuching
Period21/04/1523/04/15

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Economics
Costs

Keywords

  • economic-statistical design
  • misspecification
  • quality loss function
  • synthetic chart

Cite this

Yeong, W. C., Khoo, M. B. C., Lim, S. L., & Teoh, W. L. (2015). Effects of misspecification of the loss function on the economic-statistical design of the synthetic X̄ chart. In 2015 International Conference on Computer, Communications, and Control Technology (pp. 77-81). IEEE. https://doi.org/10.1109/I4CT.2015.7219541
Yeong, Wai Chung ; Khoo, Michael Boon Chong ; Lim, Sok Li ; Teoh, Wei Lin. / Effects of misspecification of the loss function on the economic-statistical design of the synthetic X̄ chart. 2015 International Conference on Computer, Communications, and Control Technology. IEEE, 2015. pp. 77-81
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Yeong, WC, Khoo, MBC, Lim, SL & Teoh, WL 2015, Effects of misspecification of the loss function on the economic-statistical design of the synthetic X̄ chart. in 2015 International Conference on Computer, Communications, and Control Technology. IEEE, pp. 77-81, 2015 International Conference on Computer, Communications, and Control Technology, Kuching, Malaysia, 21/04/15. https://doi.org/10.1109/I4CT.2015.7219541

Effects of misspecification of the loss function on the economic-statistical design of the synthetic X̄ chart. / Yeong, Wai Chung; Khoo, Michael Boon Chong; Lim, Sok Li; Teoh, Wei Lin.

2015 International Conference on Computer, Communications, and Control Technology. IEEE, 2015. p. 77-81.

Research output: Chapter in Book/Report/Conference proceedingChapter

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Yeong WC, Khoo MBC, Lim SL, Teoh WL. Effects of misspecification of the loss function on the economic-statistical design of the synthetic X̄ chart. In 2015 International Conference on Computer, Communications, and Control Technology. IEEE. 2015. p. 77-81 https://doi.org/10.1109/I4CT.2015.7219541