Data Science Approach to Process Control

42 Pages Posted: 14 Jun 2024

See all articles by Yuda Ho

Yuda Ho

National University of Singapore (NUS)

Jussi Keppo

National University of Singapore (NUS) - NUS Business School

Ek Hong Lim

National University of Singapore (NUS)

Herman Tan

National University of Singapore (NUS)

Hong Ming Tan

National University of Singapore (NUS) - NUS Business School

Date Written: May 30, 2024

Abstract

Advancements in manufacturing have led to increased complexity in production processes, rendering many existing Statistical Process Control (SPC) techniques ineffective due to nonstationary and autocorrelated behavior. Researchers have turned to machine learning to address these challenges, but manufacturing data poses obstacles such as concept drift, weak correlations, substantial noise, and endogeneity, which have not been adequately addressed in process control literature. In this paper, we worked with a manufacturing company and developed a simple aggregation technique to mitigate the effects of noise and provide a solution to address endogeneity in their data. Through a bias-variance decomposition, we demonstrate that our aggregation technique trades off latency and granularity in predictions for a reduction in noise. We also empirically validated the presence of endogeneity in the manufacturer's data, supporting our solution for endogeneity. By employing a blend of established Data Science tools and our novel solutions, the manufacturer obtained over 34.5% in cost reductions. To bridge the gaps between the Data Science approach and traditional Process Control literature, we summarize the key points of our process control solution into what we call the ``Predict, Explain, and Act'' (PEA) framework. Our framework helps engineers to adopt, develop and communicate the key ideas in data science for process control solutions that will enable the manufacturer to anticipate, diagnose, and implement targeted pre-emptive remedies to resolve process issues even before the products are assembled.

Keywords: manufacturing, statistical process control, bias-variance, endogeneity, data science, machine learning

Suggested Citation

Ho, Yuda and Keppo, Jussi and Lim, Ek Hong and Tan, Herman and Tan, Hong Ming, Data Science Approach to Process Control (May 30, 2024). Available at SSRN: https://ssrn.com/abstract=4857275 or http://dx.doi.org/10.2139/ssrn.4857275

Yuda Ho

National University of Singapore (NUS) ( email )

Jussi Keppo

National University of Singapore (NUS) - NUS Business School ( email )

Mochtar Riady Building
15 Kent Ridge Drive
Singapore, 119245
Singapore

HOME PAGE: http://https://www.jussikeppo.com

Ek Hong Lim (Contact Author)

National University of Singapore (NUS) ( email )

Herman Tan

National University of Singapore (NUS) ( email )

Hong Ming Tan

National University of Singapore (NUS) - NUS Business School ( email )

1 Business Link
Singapore, 117592
Singapore

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