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You are considering accepting a contract to provide services to a new customer g

ID: 383022 • Letter: Y

Question

You are considering accepting a contract to provide services to a new customer group. The contract includes a performance lause on wait time. It specifies that you must have a Cp of 1.75. You know you meet the requested average wait of 7.5 minutes. The customer specifications are for +/-0.98. You will use data collected from your current customer base to determine if you are able to meet this requirement. Using the standard deviation as a measure of the natural variation, what does the standard deviation have to be to meet the requirement? Format your answer with 4 decimal places.

Explanation / Answer

Cp=(USL-LSL)/(6*std dev)

Cp

1.75

mean

7.5

min

USL

8.48

min

LSL

6.52

min

1.75=(8.48-6.52)/6s

solving for s:

1.75 = 1.96/6s

6s=1.96/1.75

6s=1.12

s=

0.1867

min

Standatd deviation of 0.1867 will meet this requirement

Cp=(USL-LSL)/(6*std dev)

Cp

1.75

mean

7.5

min

USL

8.48

min

LSL

6.52

min

1.75=(8.48-6.52)/6s

solving for s:

1.75 = 1.96/6s

6s=1.96/1.75

6s=1.12

s=

0.1867

min

Standatd deviation of 0.1867 will meet this requirement

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