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Use the Charts for New Conversations

The statistics needed for improvement are far easier than ever imagined

Davis Balestracci
Tue, 03/20/2012 - 10:33
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In my March 7, 2012, column, “An Elegantly Simple but Counterintuitive Approach to Analysis,” I suggested the necessity to formally assess the stability of the process producing any data—a step not usually taught in most academic statistics courses. This is done by plotting the data in their naturally occurring time order with the median put in as a reference line—known as a run chart.

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This simple technique is more likely to stimulate appropriate initial dialogue than more complicated statistical analysis. It also shows the power of plotting samples calculated more frequently—monthly, as opposed to, say, quarterly or every six months. If volumes were high enough, weekly could even be used.

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Comments

Submitted by hamburg1 on Thu, 03/22/2012 - 11:40

Run Charts

great article, fortunately, I was taught to execute a Run Chart right out of the gate, first thing, helps to get the lay of the land...simple but very powerful

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Submitted by Steve Moore on Thu, 03/22/2012 - 11:59

Time-Ordered Data

Thanks, Davis for this enlightening series of articles. The "flaw of averages" often bites us in the butt, especially when we ignore the wealth of process insight offered to us by learning to "plot the %^$%$ points" in time-order! Steve
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