| 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 loss of function concept
underpins the Taguchi
Experimental Design approach.
|