Abstract

Wen and Mergen [Quality Engineering (1999) vol. 11, pp. 505–509] used the unbalanced step loss function for measuring the cost of the nonconforming item and adopted a trade-off model for determining the optimum process mean. They assumed that the quality characteristic is normally distributed, the process variance is constant, and the process mean is unknown. In this paper, we further present the modified Wen and Mergen’s (1999) model with log-normal distribution. The step loss function and the piecewise linear loss function of product are considered in the modified model.

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