The data that we collected in the previous steps needs to be represented in a meaningful way for an effective analysis. This depends on the following factors:
Type of data.
Variation over a period of time: The entire data for a period is collected and the variation in the data is studied. The different time intervals for this period are irrelevant from this perspective (population data).
Variation with time: This perspective involves looking at the data at different time intervals over a certain period (process data).
The following table provides a summary of the ways the different types of data can be represented.
Let's take a look at some of these tools.
A Pareto diagram is a type of vertical bar chart that ranks related measures in a descending order of their occurrence. It uses the Pareto principle, also known as the 80/20 rule: roughly 80percent of the effects are caused by 20percent of causes. It helps us to identify the really important factors...