Posts Tagged ‘inflation factors’

Variance Inflation Factors

Monday, April 6th, 2009

April 7, 2008

Variance inflation is a problem frequently encountered by Six Sigma Black Belts who are performing regression analysis. It can lead to serious problems with the analysis, such as regression coefficients with the wrong sign. Listen to this podcast to learn about variance inflation factors, a metric that quantifies variance inflation, and the causes of and cures for variance inflation. 7:04.

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What is Six Sigma?

By Thomas Pyzdek, Author of The Six Sigma Handbook

For Motorola, the originator of Six Sigma, the answer to the question "Why Six Sigma?" was simple: survival. Motorola came to Six Sigma because it was being consistently beaten in the competitive marketplace by foreign firms that were able to produce higher quality products at a lower cost. When a Japanese firm took over a Motorola factory that manufactured Quasar television sets in the United States in the 1970s, they promptly set about making drastic changes in the way the factory operated. Under Japanese management, the factory was soon producing TV sets with 1/20th the number of defects they had produced under Motorola management. They did this using the same workforce, technology, and designs, making it clear that the problem was Motorola's management. Eventually, even Motorola's own executives had to admit "our quality stinks." Read More...