After discussing with the company’s president over concerns involving the trailer production rates of two manufacturing plants within the company, value was a requested component needed to dispel a potential liability. That being said, action using statical procedures was necessary in choosing which plant(s) needed the focus of the company’s assets. (Problem Statement) Despite both manufacturing plants having similar products, people, processes, and substantial production totals, the Hico plant requires more improvement efforts because in comparison to the Granbury plant, its production is inconsistent.
After observing both plants’ sample data spanning the first three months of the new year, I plugged in the information through…show more content… Aside from this, however, most other factors differ. For starters, as seen in the plants individual statistics charts, Hico’s production rate has a much larger maximum out of the two plants (276), yet also produces the smallest minimum (77). That goes without saying that Hico’s range is more profound than Granbury’s, being almost 200 while Granbury’s is merely 39. In fact, Hico’s standard deviation is quite large, standing at 59.56. This means that without even comparing its numbers to Granbury, we can already see the extent of how far Hico’s variables deviate from the plant’s average production. In contrast, Granbury’s plant maintains a standard deviation of 11.49 which means, in comparison to its production average, or mean, the plant is fairly consistent in its trailer production. Furthermore, the variances and coefficients of variations also support this consistency in trailer production, which is demonstrated in the plants’ variation charts. Unfortunately, the remaining factors that are a part of central tendency such as median and mode, which would normally be helpful with a smaller sample of data, are not nearly as applicable for these datasets. In a vast span of numbers, information such as a few reoccurring numbers