Posted on by Judy

Suppose that the specifications for a part (in inches) are 6.00 ± 0.02, and that the Taguchi loss function is estimated to be L(x)=6,800(x-T)2 . Determine the economic loss if x=6.05 inches.

Lx = 6800 (x-T)2
Lx= Loss function
k= Constant
x-T = Tolerance
= 6800 (6.05-6)2
= 6800*.0025 = 17 $ per part
 
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