Economic Design of Control Chart Using Simulated Annealing

Control charts are widely used in industry for monitoring and controlling manufacturing processes. Their design involve the selection of three parameters namely, the sample size (n), the sampling interval (h) and the width of control limits (k). In case of economic design, these three control chart parameters are selected in such a manner that the total cost of controlling the process is the least. The loss cost is expressed as a function of these three variables n, h and k based on Duncan's economic model. The effectiveness of this design depends on the accuracy of determination of these three parameters. In this paper a MATLAB computer program has been developed using Simulated Annealing optimization algorithm to minimize the loss cost. A numerical example has been solved and the results are found to be better than the published results.

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