15. At Elproparts Manufacturers’ integrated circuit business, managers gathered

Question

15. At Elproparts Manufacturers’ integrated circuit business, managers gathered data from a customer focus group and found that any output voltage that exceeds 60 ± 3.5 volts was unacceptable to the customer. Exceeding these limits results in an estimated loss of $90. However, the manufacturer can still adjust the voltage in the plant using a quick diagnostic test that costs $3.75.

            a. Determine the Taguchi loss function.

b. Suppose the nominal specification remains at 60 volts. At what tolerance should the integrated circuit be manufactured?

Explanation / Answer

Loss function L(x) = K*(x-t)^2 90 = K*3.5^2 K = 7.346939 L(x) = 7.35*(x-T)^2 3.75 = 7.35*(x-60)^2 x = 60.71

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