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Regression Analysis for Performance Lawn Equipment

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In reviewing the PLE data, Elizabeth Burke noticed that defects received from suppliers have decreased (worksheet Defects After Delivery). Upon investigation, she learned that in 2010, PLE experienced some quality problems due to an increasing number of defects in materials received from suppliers. The company instituted an initiative in August 2011 to work with suppliers to reduce these defects, to more closely coordinate deliveries, and to improve materials quality through reengineering supplier production policies. Elizabeth noted that the program appeared to reverse an increasing trend in defects; she would like to predict what might have happened had the supplier initiative not been implemented and how the number of defects might further be reduced in the near future. Also Use Scatterplot and trend analysis show work in Excel worksheet.

Use techniques of regression analysis to assist her in evaluating the data in this worksheet and reaching useful conclusion. Summarize your work in a formal report with all appropriate results and analyses.

Solution Summary

The Solution predicts what would have happened if a intiative was not implemented, and what could happen with further corrective initiatives using regression analysis.

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SUMMARY OUTPUT

Regression Statistics
Multiple R 0.8975
R Square 0.8055
Standard Error 59.6337
Observations 60

ANOVA
df SS MS F Significance F
Regression 1 854307.9812 854307.9812 240.2324 0.0000
Residual 58 206258.0188 3556.1727
Total 59 1060566

Coefficients Standard Error t Stat P-value Lower 95% Upper 95%
Intercept 933.1508 15.5918 59.8487 0.0000 901.9404 964.3613
Time -6.8902 0.4445 -15.4994 0.0000 -7.7800 -6.0003

Report:

We performed the analysis on number of defects with respect to the time. We ...

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