Title :
Measuring cost avoidance in the face of messy data
Author :
Romeu, Jorge ; Ciccimaro, Joseph ; Trinkle, John
Author_Institution :
Reliability Anal. Center, Rome, NY, USA
Abstract :
This paper presents alternative methods to forecast or predict failure trends when the data violates the assumptions associated with least squares linear regression. Simulations based on actual case studies validated that least squares linear regression may provide a biased model in the presence of messy data. Non-parametric regression methods provide robust forecasting models less sensitive to non-constant variability, outliers, and small data sets.
Keywords :
failure analysis; forecasting theory; regression analysis; stability; confidence limits; cost avoidance measurement; heteroskedasticity; least squares linear regression; messy data; nonconstant variability; nonparametric regression methods; outliers; robust forecasting models; Aircraft propulsion; Costs; Inventory control; Inventory management; Least squares methods; Linear regression; Maintenance; Predictive models; Reliability engineering; Robustness;
Conference_Titel :
Reliability and Maintainability, 2004 Annual Symposium - RAMS
Print_ISBN :
0-7803-8215-3
DOI :
10.1109/RAMS.2004.1285440