Question

Metro Food Products is a food produce distributor that serves a number of restaurants, grocery stores and schools from a central distribution center and warehouse. Poor forecasting, late deliveries from its suppliers, food mishandling, and order cancellations can result in food spoilage in its warehouse. It has collected the following daily dollar value of spoiled food in its warehouse for four randomly selected days each month for a year.


Construct a control chart for Metro using 3σ limits to monitor the dollar value food produce waste and indicate if the process is in control, and if the control chart would be reliable to monitor the process in thefuture.


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  • CreatedApril 10, 2014
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