Optimal Processes Management for Over-Adjusted Process with Dependent Steps on Bank Industry |
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Authors: | Chung-Ming Yang |
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Institution: | (1) Department of Insurance, Ling-Tung University, Taichung, 409, Taiwan |
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Abstract: | Process management is important for a company. An over-adjusted process may increase process quality variability, ultimately
affecting the quality and cost of service or products. A two special-cause economic over-adjustment model is developed for
controlling the service quality variation of the two-step process on a bank industry. The objective is to determine the optimal
management policy for the two-step process, which minimizes the service quality variation and total quality control cost.
A Markov chain approach is extended to derive the economi c adjustment model of the process, and the optimal management policy
is obtained from optimization techniques. Application of the two special-cause over-adjusted model and the optimal management
policy on the process management of a bank industry is demonstrated through an example. |
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Keywords: | two-step process management policy special causes over-adjustment |
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