From the course: Six Sigma: Green Belt
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Hypothesis testing protocol
- The purpose of statistical analysis is to answer questions of practical importance. For example, is the problem system-wide, or is it specific to certain locations? Is there a logical sequence to apply hypothesis testing in practical terms? Let's take a look at a framework for hypothesis testing. First, start with a practical theory to be tested, and translate it from practical terms into statistical terms. For example, we have five offices processing loan applications. The practical theory, is that the problem of long processing times is unique to some office locations. Second, state the statistical hypotheses. The null hypothesis, H0, and the alternate hypothesis, Ha. In our example, the null hypothesis, H0 is, population means of processing times of offices are all equal as seen here, where mule is the mean processing time. Alternate hypothesis, Ha, population means of processing times of offices are not all…
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