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    Scatter Diagrams of Boston Electric Generators

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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 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 last 8 weeks (reference attached excel sheet..table a).

    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 the last 8 weeks shows the following (reference attached excel sheet..table b).

    a) Develop a scatter diagram using the 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?

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    Solution Summary

    Scatter diagrams of Boston Electric Generators are examined.