The Grey Chronicles

2008.September.28

Appendix L: Multiple Regression Anaysis: Internal Factors


Using Minitab 14, the relationship between NSC Production versus the four internal factors was tested, for the model (eq. 6), page 39:

The regression equation is

NSC Production = – 53813 + 865 PR – 196 PY – 1044 MY + 1263 %CAR

S = 10385.8 R-Sq = 49.9% R-Sq(adj) = 46.0%


Analysis of Variance (Internal Factors)

Table 27: Analysis of Variance (Internal Factors)

Analysis: Only the first p-value (Regression) is shown. The p-value (regression) is smaller than a pre-selected a-level of 0.05, thus at least one coefficient is not zero. The F-value is less than the confidence level of 95%, thus the current model fits the data well


Internal Factors

Table 28: Multiple Regression Analysis: Internal Factors

Analysis: The T-values of both Production Rate and % Customer Acceptance Rates are greater than a=0.05, thus with 95% confidence, the prediction is significant for these factors. Comparing the coefficient p-values to a=0.05, only Production Rate (PR) is statistically significant.

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