| Taguchi
challenged the view that anything within
specification was good product, and needed
no action. He asserted that any deviation
from the target was a 'loss to society'
in reduced life expectation, utility etc.
He proposed that the loss
function could be represented by a quadratic
where:
For the process output this
gives:
The Taguchi Loss Function
underpins the Taguchi
approach to experimental
design.
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