Economic design of one-sided screening procedures based on a correlated variable with all parameters unknown |
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| Authors: | S B Kim D S Bai |
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| Institution: | (1) Department of Industrial Engineering, Korea Advanced Institute of Science and Technology, P.O.Box 150, Chongyangni, Seoul, Korea |
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| Abstract: | Summary Economic design of one-sided screening procedures for improving outgoing product quality based on a screening variable is
considered for the case with all parameters unknown. It is assumed that the performance and screening variables are jointly
normally distributed and that costs are incurred by screening inspection, acceptance of an imperfect item, and disposition
of a rejected one. A method for finding optimal cutoff value based on the predictive distribution is presented. |
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| Keywords: | Screening inspection predictive distribution selection procedures using correlated variables |
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