Provide final document for the below information. To include the rubic for data required.

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QSO 510 Final Project Case Addendum Vice-president Arun Mittra speculates:

A-Cat’s president asks Mittra, his vice-president of operations, to provide the sales department with an

estimate of the mean number of transformers that are required to produce voltage regulators. Mittra,

We have always estimated how many transformers will be needed to meet demand. The usual method is to look at the sales figures of the last two to three months and also the sales figures of the last two years in the same month. Next make a guess as to how many transformers will be needed. Either we have too many transformers in stock, or there are times when there are not enough to meet our normal production levels. It is a classic case of both understocking and overstocking.

Ratnaparkhi, operations head, has been given two charges by Mittra. First, to develop an analysis of the data and present a report with recommendations. Second, “to come up with a report that even a lower grade clerk in stores should be able to fathom and follow.”

In an effort to develop a report that is understood by all, Ratnaparkhi decides to provide incremental amounts of information to his operations manager, who is assigned the task of developing the complete analyses.

A-Cat Corporation is committed to the pursuit of a robust statistical process control (quality control) program to monitor the quality of its transformers. Ratnaparkhi, aware that the construction of quality control charts depends on means and ranges, provides the following descriptive statistics for 2006 (from Exhibit 1).

2006


Mean

801.1667

Standard Error

24.18766

Median

793

Mode

708

Standard

Deviation

83.78851

Sample Variance

7020.515

Kurtosis

-1.62662

Skewness

0.122258

Range

221

Minimum

695

Maximum

916

Sum

9614

Count

12

The operations manager is assigned the task of developing descriptive statistics for the remaining years, 2007–2010, that are to be submitted to the quality control department.

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recalling the product data from 2006, which was the last year he supervised the production line, speculates that the mean number of transformers that are needed is less than 745 transformers. His analysis reveals the following:

t = 2.32

p = .9798

This suggests that the mean number of transformers needed is not less than 745 but at least 745 transformers. Given that Mittra uses older (2006) data, his operations manager knows that he substantially underestimates current transformers requirements. She believes that the mean number of transformers required exceeds 1000 transformers and decides to test this using the most recent (2010) data.

Initially, the operations manager possessed only data for years 2006 to 2008. However, she strongly believes that the mean number of transformers needed to produce voltage regulators has increased over the three-year period. She performs a one-way analysis of variance (ANOVA) analysis that follows:

2006

2007

2008

779

845

857

802

739

881

818

871

937

888

927

1159

898

1133

1072

902

1124

1246

916

1056

1198

708

889

922

695

857

798

708

772

879

716

751

945

784

820

990

Anova: Single Factor SUMMARY

Groups Count Sum Average Variance

2006 12 9614 801.1667 7020.515

2007 12 10784 898.6667 18750.06

2008 12 11884 990.3333 21117.88

ANOVA

Source of Variation SS df MS F P-value F crit

Between Groups 214772.2 2 107386.1 6.870739 0.003202 3.284918

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Within Groups 515773 33 15629.48

Total 730545.2 35

The results (F = 6.871 and p = 0.003202) suggest that indeed the mean number of transformers has changed over the period 20062008. Mittra has now provided her with the remaining two years of data (2009 and 2010) and would like to know if the mean number of transformers required has changed over the period 20062010.

Finally, the operations manager is tasked with developing a model for forecasting transformer requirements based on sales of refrigerators. The table below summarizes sales of refrigerators and transformer requirements by quarter for the period 20062010, which are extracted from Exhibits 2 and 1 respectively.

Sales of Refrigerators

Transformer Requirements

3832

2399

5032

2688

3947

2319

3291

2208

4007

2455

5903

3184

4274

2802

3692

2343

4826

2675

6492

3477

4765

2918

4972

2814

5411

2874

7678

3774

5774

3247

6007

3107

6290

2776

8332

3571

6107

3354

6729

3513