• Title/Summary/Keyword: producer's risk

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Acceptance Sampling Plans in the Rayleigh Model

  • Baklizi Ayman;El-Masri Abedel-Qader;AL-Nasser Amjad
    • Communications for Statistical Applications and Methods
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    • v.12 no.1
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    • pp.11-18
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    • 2005
  • Assume that the life times of the units under test follow the Rayleigh distribution and the test is terminated at a pre assigned time. Acceptance sampling plans are developed for this situation. The minimum sample size necessary to ensure the specified average life are obtained and the operating characteristic values of the sampling plans and producer's risk are given. An example is given to illustrate the methodology.

Sampling Plans Based on Truncated Life Test for a Generalized Inverted Exponential Distribution

  • Singh, Sukhdev;Tripathi, Yogesh Mani;Jun, Chi-Hyuck
    • Industrial Engineering and Management Systems
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    • v.14 no.2
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    • pp.183-195
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    • 2015
  • In this paper, we propose a two-stage group acceptance sampling plan for generalized inverted exponential distribution under truncated life test. Median life is considered as a quality parameter. Design parameters are obtained to ensure that true median life is longer than a given specified life at certain level of consumer's risk and producer's risk. We also explore situations under which design parameters based on median lifetime can be used for other percentile points. Tables and specific examples are reported to explain the proposed plans. Finally a real data set is analyzed to implement the plans in practical situations and some suggestions are given.

Tightened-Normal-Tightened Group Acceptance Sampling Plan for Assuring Percentile Life

  • Aslam, Muhammad;Azam, Muhammad;Jun, Chi-Hyuck
    • Industrial Engineering and Management Systems
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    • v.11 no.4
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    • pp.390-396
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    • 2012
  • The present paper extends the idea of tightened-normal-tightened sampling scheme to group acceptance sampling plans under the time truncated life tests. We consider three famous distributions that are widely used in the area of reliability such as the generalized exponential distribution, the Weibull distribution, and the Birnbaum-Saunders distribution in the proposed sampling plan. The plan parameters are determined such that the producer's risk and the consumer's risk are satisfied at the specified median life. Extensive tables showing plan parameters are provided at various values of the experiment time and the consumer's risk for each of three distributions for the practical use. Some examples are given to illustrate the procedure of the proposed plan.

Consumer Misperceptions, Product Liability Law and Product Safety

  • Lee Jong-In
    • International Journal of Human Ecology
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    • v.6 no.2
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    • pp.63-72
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    • 2005
  • This paper considered the impact of changing the product liability rule from consumer to producer liability on product safety under asymmetric information. In particular, it has been attempted to remove several constraints on antecedent studies. The main results of the study are as follows: under the misperception of the risk on a product, consumers may underestimate the probability of product failure. In this case, the accident rate can be lowered under the producer's liability rule. However, even under the asymmetric information, a consumer's estimation on the probability may be converged with the expected risk level, which could be called the 'rational expectation.' In this situation the probability of product failure can be lowered under the strict liability with contributory negligence. Additionally, it is possible to reduce the probability of product failure when a legal rule that imposes liability on cheapest cost avoider is admitted.

A Time Truncated Two-Stage Group Sampling Plan for Weibull Distribution

  • Aslam, Muhammad;Jun, Chi-Hyuck;Rasool, Mujahid;Ahmad, Munir
    • Communications for Statistical Applications and Methods
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    • v.17 no.1
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    • pp.89-98
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    • 2010
  • In this paper, a two-stage group sampling plan based on the time truncated life test is proposed for the Weibull distribution. The design parameters such as the number of groups and the acceptance number in each stage are determined by satisfying the producer's and consumer's risks simultaneously when the group size and the test duration are specified. The acceptable reliability level is expressed by the ratio of the true mean life to the specified life. It was demonstrated from the comparison with single-stage group sampling plans that the proposed plan can reduce the average sample number or improve the operating characteristics.

Bilevel-programming based failure-censored ramp-stress ALTSP for the log-logistic distribution with warranty cost

  • Srivastava, P.W.;Sharma, D.
    • International Journal of Reliability and Applications
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    • v.17 no.1
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    • pp.85-105
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    • 2016
  • In this paper accelerated life testing is incorporated in quality control technique of acceptance sampling plan to induce early failures in high reliability products.Stress under accelerated condition can be applied in constant-stress, step-stress and progressive-stress or combination of such loadings. A ramp-stress results when stress is increased linearly (from zero) with time. In this paper optimum failure-censored ramp-stress accelerated life test sampling plan for log-logistic distribution has been formulated with cost considerations. The log-logistic distribution has been found appropriate for insulating materials. The optimal plans consist in finding optimum sample size, sample proportion allocated to each stress, and stress rate factor such that producer's and consumer's interests are safeguarded. Variance optimality criterion is used when expected cost per lot is not taken into consideration, and bilevel programming approach is used in cost optimization problems. The methods developed have been illustrated using some numerical examples, and sensitivity analyses carried out in the context of ramp-stress ALTSP based on variable SSP for proportion nonconforming.

A Two-Plan Sampling System for Life Testing Under Weibull Distribution

  • Aslam, Muhammad;Balamurali, Saminathan;Jun, Chi-Hyuck;Ahmad, Munir
    • Industrial Engineering and Management Systems
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    • v.9 no.1
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    • pp.54-59
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    • 2010
  • A two-plan sampling system is proposed for a failure-censored life testing when the lifetime follows a Weibull distribution with known shape parameter. The proposed sampling system is based on a switching rule, for switching between the tightened and the normal inspection levels when lots are submitted for inspection in the order of production or in some other systematic way. The design parameters of the proposed sampling system are determined by the two-point approach considering the producer's risks and the consumer's at the specified acceptable reliability level and the lot tolerance reliability level, respectively. It has been observed that the proposed system requires only a single failure for the observation.

An Improved Group Sampling Plan Based on Time-Truncated Life Tests

  • Aslam, Muhammad;Pervaiz, Muhammad Khalid;Jun, Chi-Hyuck
    • Communications for Statistical Applications and Methods
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    • v.17 no.3
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    • pp.319-326
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    • 2010
  • In this paper, a new group sampling plan for the lot acceptance is proposed for the time truncated life test, which can be utilized when multi-item testers are implemented. The design parameters are found using the two-point approach such that the producer's and consumer's risks are satisfied simultaneously at the acceptable reliability level and the lot tolerance reliability level, respectively. The case of Weibull distribution is described to illustrate the procedure that can be used when the quality level is expressed by a multiple of the specified life. The advantage of the proposed plan is demonstrated by comparing with the existing plan in terms of the sample size required. The tables are constructed and some examples are given to illustrate the procedure developed here.

Optimal designing of skip lot sampling plan of type SkSP-2 with double sampling plan as the reference plan under generalized exponential distribution

  • Suresh, K.K.;Kavithamani, M.
    • International Journal of Reliability and Applications
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    • v.15 no.2
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    • pp.77-84
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    • 2014
  • In this paper, a optimal designing methodology is proposed to determine the parameters for skip-lot sampling plan of type SkSP-2 plan with double sampling plan as reference plan, when the lifetime of the product follows generalized exponential distribution. The two points on the operating characteristic curve approach are used to find the optimal parameters for the proposed plan. The plan parameters are determined so as to minimize the average sample number subject to satisfying simultaneously both producer and consumer risks at the acceptable and limiting quality levels respectively.

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Credit Enhancement and its Risk Factors for IPP Projects in Asia: An Analysis by Network

  • Chowdhury, Abu Naser;Chen, Po-Han
    • International conference on construction engineering and project management
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    • 2015.10a
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    • pp.122-126
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    • 2015
  • Credit enhancement is absolutely essential for financing Independent Power Producer (IPP) projects in Asia particularly for countries whose sovereign credit rating is on non-investment grade and foreign investment is difficult to achieve. Due to nexus of agreements among varies parties in IPP project, it is hard to clearly visualize the roles of these agreements. Examples are: What credit enhancement factors are most influential to minimize the associated risks of IPP projects? Why are they powerful? What are their roles? Who are less powerful and what are the obstacles that causes them less powerful? A research is conducted to identify the credit enhancement factors for IPP projects in Asia. IPP professionals validated 27 out of 28 identified credit enhancement factors, and five factor groupings were made through factor analysis. Afterwards, network theory is applied to find the unanswered questions, which by graphical and mathematical representations show that the host government's credit enhancement, MDBs, ECAs and other parties' credit enhancement are prominent and of great importance to handle the associated risks of IPP projects in Asia

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