Change detection in time-related data is a common application of statistical methods. For example, we may want to detect if the consumer preferences have changed over time, if a piece of equipment has deteriorated and requires maintenance, or if a manufacturing process has drifted, increasing risk of producing defects. In my teaching, consulting, and general… Continue reading Improving Change Detection
Category: Analytics
The Missing Information in Business Metrics
Modern businesses generate and consume increasingly large amounts of data. Information is needed to support operational and strategic decisions. Despite the advent of Big Data tools and technology, most organizations I have worked with aren’t able to take advantage of the data or tools in their daily work. While greater awareness of human visual perception… Continue reading The Missing Information in Business Metrics
The Practical Value of a Statistical Method
Shortly after I wrote my last blog “On Statistics as a Method of Problem Solving,” I received the latest issue of Quality Progress, the official publication by the American Society for Quality. A Statistics article “Making the Cut – Critical values for Pareto comparisons remove statistical subjectivity” caught my attention because Pareto analysis is one… Continue reading The Practical Value of a Statistical Method
On Statistics as a Method of Problem Solving
If you have taken a class in statistics, whether in college or as a part of professional training, how much has it helped you solve problems? Based on my observation, the answer is mostly not much. The primary reason is that most people are never taught statistics properly. Terms like null hypothesis and p-value just… Continue reading On Statistics as a Method of Problem Solving
Understanding Process Capability
Process capability is a key concept in Quality and Continuous Improvement (CI). For people not familiar with the concept, process capability is a process’s ability to consistently produce product that meets the customer requirements. Conceptually, process capability is simple. If a process makes products that meet the customer requirements all the time (i.e. 100%), it… Continue reading Understanding Process Capability
What Does the Data Tell Us?
It’s March 31, 2020. In the past 3 months, the novel coronavirus (COVID-19) has changed the world we live in. As the virus spreads around the globe, everyone is anxiously watching the latest statistics on confirmed cases and deaths attributed to the disease in various regions. With the latest technology, timely data is more accessible… Continue reading What Does the Data Tell Us?