Critique of Deming's Discussion of Acceptance Sampling Procedures

摘要

An inspection sampling problem discussed by Deming (1982) is analyzed assuming the percent defective, p, is partially unknown with prior pi(.). In this case, the all or none inspection rule discussed by Deming may not be correct. Simple conditions based on the lot size, the ratio of costs, and the posterior mean determine when 100% inspection is best. Efficient algorithms based on the posterior mean are given for determining the optimal inspection plan in general. Keywords: Reprints; Theorems. (KR)