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Assessment of acceptance sampling plans using posterior distribution for a dependent process
Authors:A. Erhan Mergen  Z. Seyda Deligonul
Affiliation:1. Saunders College of Business , Rochester Institute of Technology , 107 Lomb Memorial Drive, Rochester , NY , 14623-5608 , USA;2. Bittner School of Business , St. John Fisher College , Rochester , NY , 14618 , USA
Abstract:In this study, performance of single acceptance sampling plans by attribute is investigated by using the distribution of fraction nonconformance (i.e. lot quality distribution) for a dependent production process. It is the aim of this study to demonstrate that, in order to emphasize consumer risk (i.e. the risk of accepting a bad lot), it is better to evaluate a sampling plan based upon its performance as assessed by the posterior distribution of fractions nonconforming in accepted lots. Similarly, it is the desired posterior distribution that sets the basis for designing a sampling plan. The prior distribution used in this study is derived from a Markovian model of dependence.
Keywords:acceptance sampling  dependent production processes  lot quality distribution  posterior distribution  mean squared nonconformance
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