Description
Discussion topic
"One-factor-at-a-time (OFAAT) and Design of Experiment (DOE)"
- Per the textbook, trying to understand factors that impact the outcomes of business process is an important aspect of improving business operations. Conventional wisdom plans experiment one-factor-at-a-time (OFAAT). Compare and contrast the main advantages and disadvantages of OFAAT and DOE and select the approach (e.g., OFAAT or DOE) that you would use in order to obtain effective business process. Provide a rationale for your response.
Case Study 2: Improving E-Mail Marketing Response
Due Sunday
A company wishes to improve its e-mail marketing process, as measured by an increase in the response rate to e-mail advertisements. The company has decided to study the process by evaluating all combinations of two (2) options of the three (3) key factors: E-Mail Heading (Detailed, Generic); Email Open (No, Yes); and E-Mail Body (Text, HTML). Each of the combinations in the design was repeated on two (2) different occasions. The factors studied and the measured response rates are summarized in the following table.
Write a two to three (2-3) page paper in which you:
- Use the data shown in the table to conduct a design of experiment (DOE) in order to test cause-and-effect relationships in business processes for the company.
- Determine the graphical display tool (e.g., Interaction Effects Chart, Scatter Chart, etc.) that you would use to present the results of the DOE that you conducted in Question 1. Provide a rationale for your response.
- Recommend the main actions that the company could take in order to increase the response rate of its e-mail advertising. Provide a rationale for your response.
- Propose one (1) overall strategy for developing a process model for this company that will increase the response rate of its e-mail advertising and obtain effective business process. Provide a rationale for your response.
Your assignment must follow these formatting requirements:
- Be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides; citations and references must follow APA or school-specific format. Check with your professor for any additional instructions.
- Include a cover page containing the title of the assignment, the student’s name, the professor’s name, the course title, and the date. The cover page and the reference page are not included in the required assignment page length.
The specific course learning outcomes associated with this assignment are:
- Build regression models for improving business processes.
- Design experiments to test cause-and-effect relationships in business processes.
- Use technology and information resources to research issues in business process improvement.
- Write clearly and concisely about business process improvement using proper writing mechanics.
Homework Assignment 7
Due Sunday
The experiment data in below table was to evaluate the effects of three variables on invoice errors for a company. Invoice errors had been a major contributor to lengthening the time that customers took to pay their invoices and increasing the accounts receivables for a major chemical company. It was conjectured that the errors might be due to the size of the customer (larger customers have more complex orders), the customer location (foreign orders are more complicated), and the type of product. A subset of the data is summarized in the following Table.
Reference: Moen, Nolan, and Provost (R. D. Moen, T. W. Nolan and L. P. Provost. Improving Quality through Planned Experimentation. New York: McGraw-Hill, 1991)
Use the date in table above and answer the following questions in the space provided below:
- What is the nature of the effects of the factors studied in this experiment?
- What strategy would you use to reduce invoice errors, given the results of this experiment?
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Explanation & Answer
Hoping you are doing great...Below are the responses to both prompts: Let me know if you need anything edited.Thanks!
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Student’s Name
Professor
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Date One-factor-at-a-time (OFAAT) and Design of Experiment (DOE)
The Design of Experiment (DOE) proactively experiments the whole process to obtain
high-quality data. DOE examines the ideas about cause-and-effect relationships. It defines how
the experiments should be done, the necessary changes to be made, the data should be collected
and how to analyze data in order to build the model. The main advantage of the DOE analysis is
that it provides a solution and information about the space around the solution. This helps
improve the design of the process or change some part so as to improve the entire process. On
the other hand, DOE analysis results need to be examined to make sure that the results are
correct. If they are incorrect, the range of input variables needs to be changed, and then rerun the
experiment (McDaniel, William and Bruce Ankenman 64-138).
With OFAAT, each process variable is studied separately by varying the variable, x, and
measuring the response, y, while holding all other variables constant. The main advantage of
OFAAT analysis is that once you find the factor that causes variances, you can alter the
procedure of that factor instead of the whole process. The main disadvantage is that it takes a
long time to test each variable, it makes multiple assumptions about the relationship between x
and y and also assumes one is dependent on the other which in reality might not be true, they
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could be completely independent of each other (McDaniel, William and Bruce Ankenman 64138).
After the analysis of both OFAAT and DOE, I would prefer to use DOE in order to
obtain effective business processes. One can learn a lot from the results of the DOE even if they
are incorrect. If there is an error, you can just adjust the range and run the analysis again. In
addition, the results not only provide a solution, but also it contains information surrounding the
solution, this helps in deciding on the changes to make to a process (McDaniel, William and
Bruce Ankenman 64-138).
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Work cited
McDaniel, William R., and Bruce E. Ankenman. "Comparing experimental design strategies for
quality improvement with min...