TITLE:
Multivariate Quality Loss Model and its Coefficient Determination
AUTHORS:
Shuhai Fan, Xia Cao
KEYWORDS:
Quality Loss, Multiple Variables, Model Building
JOURNAL NAME:
Journal of Service Science and Management,
Vol.3 No.1,
March
29,
2010
ABSTRACT: In the early 1970s, based on single index deducted from absolute quality deviants, Genichi Taguchi proposed the quality loss module. This module builds the foundation of his three-stage design theory, e.g. system design, parameter design and tolerance design. In actual production process, nevertheless, it is multiple quality indices that influence the total quality. Consequently, the interaction of the quality indices should be imported into the module as a key factor. Accordingly, based on several indices of relative quality deviation, introduce a 2-order multivariate quality module at first. Next, extend the module to 3 or even higher orders. Then, improve the previous quality module by simplifying the 2-order module as a multivariate quality loss module. Finally, bring forward a significant solution to determinate all the coefficients in the multivariate quality loss module and describe its work flow as well.