Topics

Definition of QT. Types of QT. History of QT. Todays Buzz Word. Historical development. Tools and techniques. Application in Industry. Q&A Session

Himandu Upadhyay BE(Mechanical),MBA(Marketing & IT) & Lean Six Sigma Black Belt +91-9958006369

Quantitative Techniques
Definition: Quantitative Techniques are those statistical and operation research techniques which help in the decision making process especially concerning business and industry. Two major divisions in which we can divide these techniques are- 1) Statistical Techniques (or Statistical methods and measures) 2) Programming Techniques (or Operations Research)

Statistics: Statistics is the study of the collection, organization, analysis, interpretation and presentation of data. Operations Research/Operation Management: provides optimal or near-optimal solutions to complex problems. OR uses mathematical modeling, statistical analysis, and mathematical optimization.

Statistics Inferential Hypothesis Testing Descriptive Operation Research Models: 1. Linear Programming 2. Network Flow Programming 3. Integer Programming 4. Nonlinear Programming etc

Estimation

Mean, std. deviation, range etc..

Interval

Point

History
The use of statistical methods dates back to least to the 5th century. The historian describes how the Athenians calculated the height of the wall of Platea by counting the number of bricks. In the Indian epic - the Mahabharata (Book 3: The Story of Nala) - King Rtuparna estimated the number of fruit and leaves (2095 fruit and 50,000,000 - five crores - leaves) on two great branches of a Vibhitaka tree by counting them on a single twig. This number was then multiplied by the number of twigs on the branches. This estimate was later checked and found to be very close to the actual number. With knowledge of this method Nala was subsequently able to regain his kingdom.

The idea of the median originated in Edward Wright's book on navigation in 1599 in a section concerning the determination of location with a compass. Wright felt that this value was the most likely to be the correct value in a series of observations. Galileo struggled with the problem of errors in observations and had vaguely formulated the principle that the most likely values of the unknowns would be those that made the errors in all the equations reasonably small. The formal study of theory of errors may be traced back to Roger Cotes' Opera Miscellanea (posthumous, 1722). Tobias Mayer, in his study of the libration of the moon (Kosmographische Nachrichten, Nuremberg, 1750), invented the first formal method for estimating the unknown quantities by generalized the averaging of observations under identical circumstances to the averaging of groups of similar equations.

Design of experiments: In 1747, while serving as surgeon on HM Bark Salisbury, James Lind carried out a controlled experiment to develop a cure for scurvy. In this study his subjects' cases "were as similar as I could have them", that is he provided strict entry requirements to reduce extraneous variation. The men were paired, which provided blocking. From a modern perspective, the main thing that is missing is randomized allocation of subjects to treatments. James Lind is today often described as a one-factor-at-a-time experimenter. Onefactor-at-a-time (OFAT) experimentation reached its zenith with Thomas Edison's "trial

Todays Buzz words

What next??
Lean Six Sigma with Balanced Scorecard: Integrated Enterprise Excellence by Forest W. Breyfogle. Link

Historical Development of Process Improvement The Foundation: 1920s-1940s The Embellishment: 1950s-1970s The Breakthrough: 1980s The Perfect Storm: 1990s Gathering Strength in the New Century

Tools used in Quantitative Techniques

Forecasting techniques. Hypothesis testing. Use of control chart & SPC. DOE. Regression and co-relation equation. Optimization models (operation research). Measurement System Analysis. Process Capability Analysis.

Use of Quantitative Techniques in Industry

Manufacturing:
1. Forecasting Techniques used in sales forecasting and error handing techniques for the same. 2. DOE used in Product Development and Process establishment. 3. MSA used in Validation of Measurement System.

Medical Device & Pharma Industry:

1. 2. BD India Ltd. Abbott Laboratory.

Application of six sigma: Process Improvement

and optimization through DOE and advance six sigma tools.

Banking Industry:
i. ICICI Bank:
i. Use of Six Sigma in early 2000. ii. Organization structure. iii. Use of Social media and big data analytics in 2012.

ii. HDFC Bank:

i. ii. Use of Six Sigma. Organization structure.

Application of six sigma: Fraud Analytics,

Customer Service improvement, TAT improvement, Actuarial Science.

Telecom Industry:
i.
i.

Viom Networks (Tata Infrastructure):

NIIT Ltd.

Service Industry:

Thanks