An EWMA-Based Bounded Adjustment Scheme With Adaptive Noise Variance Estimation

Article

O'Shaughnessy, Patrick T.; Haugh, Larry D.   (2002, ASQ)   The University of Iowa, Iowa City, IA; The University of Vermont, Burlington, VT

Journal of Quality Technology    Vol. 34    No. 3
QICID: 18234    July 2002    pp. 327-338
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Article Abstract

[This abstract is based on the authors' abstract.] Bounded-adjustment schemes have been developed to adjust processes subject to stochastic disturbances. Actual implementation of these schemes can depend on a number of decisions, including the cost associated with the control actions. The schemes are formulated with the assumption that the standard deviation of the inherent white noise component of the disturbance is known. A method is presented here for applying a bounded-adjustment scheme to continuous or short-run processes in which the standard deviation of the white noise is unknown or is subject to change. Monte Carlo simulation demonstrates that this method may be applied to both nonstationary and stationary processes.

Keywords

Cost management,Exponentially weighted moving average control charts (EWMA),Statistical Process Engineering (SPE),Statistical process control (SPC),Feedback


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