Taguchi loss function

The Taguchi Loss Function is graphical depiction of loss developed by the Japanese business statistician Genichi Taguchi to describe a phenomenon affecting the value of products produced by a company. Praised by Dr. W. Edwards Deming (the business guru of the 1980s American quality movement), it made clear the concept that quality does not suddenly plummet when, for instance, a machinist exceeds a rigid blueprint tolerance. Instead "loss" in value progressively increases as variation increases from the intended condition. This was considered a breakthrough in describing quality, and helped fuel the continuous improvement movement that since has become known as lean manufacturing.

Overview

The Taguchi Loss Function is important for a number of reasons. Primarily, to help engineers better understand the importance of designing for variation.

NOTE: Lean Dynamics and Six Sigma have little to do with Taguchi and his work, other than being influenced by it. If being influenced is enough to merit mention in a definition , then this should be a much longer list. This looks a bit like a clever attempt to promote a certain point of view, which is not scholarship, but promotion. The only books that should be quoted are those by Taguchi and his direct followers in Robust Design, and Taguchi Design: "Introduction to Quality Engineering, Designing Quality into Products and Processes" Genichi Taguchi, Asian Productivity Organization, 1986 and the excellent introduction to Robust Design by one of his Students "Madhav S. Phadke" published by Prentice Hall "Quality Engineering using Robust Design."

See also

• Taguchi methods
• Loss function