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    Scatter Diagram

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    Boston Electric Generators has been getting many
    complaints from its major customer, Home Station, about the quality
    of its shipments of home generators. Daniel Shimshak, the plant
    manager, is alarmed that a customer is providing him with the only
    information the company has on shipment quality. He decides to
    collect information on defective shipments through a form he has
    asked his drivers to complete on arrival at customers' stores. The
    forms for the first 279 shipments have been turned in. They show
    the following over the past 8 weeks:
    Reason for defective shipment
    Week No. Shipments Shipments Incorrect Incorrect Damaged Trucks
    with defects Bill of lading Truck load Product late

    1 23 5 2 2 1
    2 31 8 1 4 1 2
    3 28 6 2 3 1
    4 37 11 4 4 1 2
    5 35 10 3 4 2 1
    6 40 14 5 6 3
    7 41 12 3 5 3 1
    8 44 15 4 7 2 2

    Even though Daniel increased his capacity by adding more workers
    to his normal contingent of 30, he knew that for many weeks he
    exceeded his regular output of 30 shipments per week. A review of
    his turnover over the past 8 weeks shows the following:
    No. of No. of Total No. of
    Week New Hires Terminations Workers

    1 1 0 30
    2 2 1 31
    3 3 2 32
    4 2 0 34
    5 2 2 34
    6 2 4 32
    7 4 1 35
    8 3 2 36

    a) Develop a scatter diagram using total number of shipments and
    number of defective shipments. Does there appear to be any relationship?
    b) Develop a scatter diagram using the variable "turnover" (number
    of new hires plus number of terminations) and the number of
    defective shipments. Does the diagram depict a relationship
    between the two variables?

    In Excel please.

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    https://brainmass.com/business/business-management/scatter-diagram-459674

    Solution Summary

    The solution describes the scatter diagram method for the identification of the relationship between two variables.

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