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The following performance data was collected under similar conditions on two ins

ID: 3172917 • Letter: T

Question

The following performance data was collected under similar conditions on two inspectors removing defective products from the assembly line. Comment on the relative performance of the two inspectors. Which one is better at finding defects? Which would you hire if the cost of releasing of a defective product would be high? Which does an overall better job? (Hint, consider d’.)

Inspector

Case #1

Case #2

JRS

Hit rate

0.81

0.41

False alarm rate

0.21

0.15

ABD

Hit rate

0.84

0.55

False alarm rate

0.44

0.31

Inspector

Case #1

Case #2

JRS

Hit rate

0.81

0.41

False alarm rate

0.21

0.15

ABD

Hit rate

0.84

0.55

False alarm rate

0.44

0.31

Explanation / Answer

Hire JRS. Although his hit rate is lower than ABD, his false alarm rate also much lower, which means that the loss incurred in removing non defects is much better.