Managing with Statistical Methods

The use of statistical management techniques is being rediscovered by American business executives. These techniques, developed in the 1920’s, were introduced to Japanese managers in 1950 by an American statistician, Dr. W. Edwards Deming, and Japanese manufacturers credit Deming for much of their productivity and quality improvement success.

The control chart is one of the most powerful statistical tools for control of processes. It provides a method of timely, direct communication with a process and allows an accurate assessment of process stability and capability to meet end product requirements. Businesses currently using control charts report direct productivity/quality improvements.