Given the below scenario, what standard deviation should Paper Pickup target (from pick-up to delivery time) in order for the process to be compliant with Six-Sigma?
Every day Paper Pickup, Inc goes around to government agencies to pick up discarded paper and deliver it to local elementary schools to be used by the students as scrap paper. The elementary schools are responsible for paying Paper Pickup.
Tiny Tot elementary is the largest elementary that Paper Pick up delivers to. Per the agreement between Paper Pickup and Tiny Tot, Tiny Tot must receive its paper between 1:45 and 2:45 p.m. The truck assigned to deliver to Tiny Tot, begins its daily routine of picking up and dropping off, at 12:15 p.m.
Because of mid-day traffic, the time it takes the truck to pick up paper and deliver it to Tiny Tot is normally distributed with a mean of 2 hours and a standard deviation of .5 hours (1/2 hr).
According to a Six-Sigma process, six standard deviations should fall between the customer's upper specification limit and lower specification limit. A mean of 2 hours brings the expected delivery time to ...
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