iSixSigma

Stratification and disaggregation

Six Sigma – iSixSigma Forums Old Forums General Stratification and disaggregation

Viewing 3 posts - 1 through 3 (of 3 total)
  • Author
    Posts
  • #46875

    Joe Nolan
    Participant

    Hello,
    Can someone explain the difference between Disaggregation and Stratification? Articles I have read name them as different methods for investigating common cause variation, however from definitions they appear to be the same.
    Thanks for your help
    Joe 

    0
    #155592

    Steven Bonacorsi
    Member

    Hi Joe,
    Here is an example using financial reporting “Analysts need to know and understand how the various components of a multifaceted enterprise behave economically. One weak member of the group is analogous to a section of blight on a piece of fruit; it has the potential to spread rot over the entirety. Even in the absence of weakness, different segments will generate dissimilar streams of cash flows to which are attached disparate risks and which bring about unique values. Thus, without disaggregation, there is no sensible way to predict the overall amounts, timing, or risks of a complete enterprise’s future cash flows. There is little dispute over the analytic usefulness of disaggregated financial data.”
    Disaggregation is a mathematical approach (given stated constraints) that allows grouping to occur so that “Independent” analysis can occur, else there is risk that should segmentation occur when such a need exists, that the dependent relationships in the data could point you, incorrectly, towards one segment vs. another, or even worse, see nothing when plenty still exists.
    Once the data is Independent, the segmentation approach best for your project can occur!
    Hope that helps,
    Steven Bonacorsi

    0
    #155593

    Joe Nolan
    Participant

    Thanks Steve – something “clicked” when I read your post and it makes sense now!
    Joe

    0
Viewing 3 posts - 1 through 3 (of 3 total)

The forum ‘General’ is closed to new topics and replies.