Variance Management

k = 2

• We need an outsourcing strategy

• Control charts show yield may be dropping

• Do we build one big or two small power stations

• When must we intervene

• Specific values not predictable

Previous slide

Next slide

Back to first slide

View graphic version

We do have a management language attached to other moments, such as variance, but I can tell you from deliberate observation that it is more rare. Traditionally, this moment is the one most often associated with the notion of uncertainty and hence with r