# Hitachi: Correlation And Causal Analysis Research Mgt 480: Business Research Applications: (Note: Start Of Paper Is Similar To Others, But Body Is Different)

1095 words - 4 pages

Hitachi: Correlation and Causal Analysis ResearchHitachi Automotive Products, Los Angeles (HAPLA), based in Torrance, California, is a major manufacturer of remanufactured (remanned) electromechanical automotive parts such as alternators, starters, distributors, electronic control units, mass airflow sensors and linear flow valves. At HAP-LA, the production process and philosophy is greatly influenced by Japanese techniques such as Kaizen, 5S and Kanban. Sometimes, when changes occur in the production process after a Kaizen blitz, or restructuring, events occur that must be analyzed using correlation and causal analysis methodologiesCorrelation and Causal Analysis ResearchBefore an analysis can be conducted, an understanding of both correlational research and causal analysis research must be met. A correlational analysis is one that determines that "variables occur together in some specified manner without implying that one causes the other" (Cooper, 2002, p. 44). An example of a correlational relationship is the determination that injuries occur in a factory after weekends or holidays. In order to test the correlational relationship or hypothesis, the variables are tested and determined if they have either a positive or negative relationship. A positive relationship is one is which the variables increase and decrease at the same time (Wu, 2002a). The alternative is a negative correlational relationship, in which one variable increases while the other variable decreases. A correlation coefficient is a measure of strength and direction of the correlation between +1.00 and -1.00 (Wu, 2002a). A study of the variables should provide three different results; no relationship, a positive relationship or a negative relationship (Wu, 2002b).Unlike correlation studies, which do not take into account the causal relationship between which variable is the cause and which is the result (Wu, 2002a), a causal research analysis determines if there is a measurable cause and effect relationship between the variables. In order to determine causality, experimental and simulation studies must be conducted by holding one variable that is assumed to be the cause of the change in the other variable as a constant while measuring any change in the other variable (Joppe, n.d.). Only by observing and measuring the absence of deviant results from variable change can a full cause and effect relationship be determined and established.Hitachi Correlation and Causal Research SituationAs mentioned in the opening statement, changes in the production process using the Kaizen principle can produce measurable results that must be analyzed to determine if a correlational or causal relationship exists. These changes can occur in productivity output levels, injury and illness occurrence rates or employee morale increase or decrease. One such situation occurred when the disassembly line layout was revised to allow for greater efficiency to meet an expected 80% increase in core disassembly...

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