Economic-statistical design of Bayesian control chart based on the predictive distribution for individual observations with an exponential qualitative characteristic distribution

In this article with title "Economic-statistical design of Bayesian control chart based on the predictive distribution for individual observations with an exponential qualitative characteristic distribution" the economic-statistical design of the Bayesian control chart based on the predictive distribution for individual observations of the exponential qualitative characteristic distribution is presented. In doing this, two types of the conjugate prior distribution and Jeffrey’s distribution are considered, and based on the distribution of observations in phase I, the predictive distribution is determined. Then, using the economic model of Lorenzen and Vance, an economic-statistical design was obtained for the data. Optimal design parameters (sampling distance, sample size, and control limits) were determined using a genetic algorithm and sensitivity analysis was performed for different values of model parameters. The results of this approach have been compared with the results of the classical model. The results show that this method is more effective than the classical method