VM

Vending Machine Case Study

AI Cheetahs Performance Audit

Six Sigma Analysis

Statistical Process Control & Anomaly Detection using DMAIC Framework

Cpk: 1.42Process Capable
Data Points

75

Last 30 days

Out of Control

3

>3σ violations

Warnings

5

2σ-3σ range

In Control

67

89.3% stable

Individual-Moving Range (I-MR) Control Charts

Revenue per Machine per Day (RPM)

Daily revenue monitoring with statistical control limits

1 Out of Control2 Warning
Normal
Warning (2σ-3σ)
Out of Control (>3σ)
Mean (X̄)
UCL/LCL (±3σ)

Cash Collection Variance

Weekly variance from expected collections

1 Out of Control1 Warning
Normal
Warning (2σ-3σ)
Out of Control (>3σ)
Mean (X̄)
UCL/LCL (±3σ)

Machine Uptime Percentage

Periodic uptime monitoring

1 Out of Control
Normal
Warning (2σ-3σ)
Out of Control (>3σ)
Mean (X̄)
UCL/LCL (±3σ)

Process Capability (Cpk)

Target: Cpk > 1.33

Variation Sources (Multi-Vari)

% contribution to total variation

FMEA Risk Priority (RPN)

Higher = Higher priority

DMAIC Framework Application

Define

  • Revenue variance >±2σ
  • CTQ: Cash accuracy, uptime
  • Scope: >2σ triggers investigation

Measure

  • Baseline Cpk established
  • DEX data + GPS timestamps
  • MSA validated sensors

Analyze

  • I-MR charts by machine
  • UCL/LCL at ±3σ
  • Multi-vari studies complete

Improve

  • Pattern stratification
  • Root cause via Fishbone
  • FMEA prioritization

Control

  • Automated SPC alerts
  • SOPs for each anomaly
  • Dashboard monitoring

Priority 1 - Immediate (24h)

  • Revenue variance >3σ from expected
  • Cash shortage >$50 or >5%
  • Machine offline >48h (high-traffic)
  • Customer complaints >3/day per machine

Priority 2 - Weekly Review

  • Revenue variance 2-3σ from expected
  • Inventory variance >15% theoretical
  • Service call >2x normal frequency
  • Product spoilage >5% of load

Priority 3 - Monthly Review

  • Trending toward 2σ over 3+ periods
  • Cpk degradation 1.33 → 1.0-1.33
  • Customer satisfaction declining >10%
  • Route efficiency below threshold

Out-of-Control Signal Patterns

Pattern 1critical

Single point beyond 3σ

Action: Immediate investigation

Likely cause: Theft, failure, or data error

Pattern 2warning

2 of 3 consecutive beyond 2σ

Action: Early warning triggered

Likely cause: Process starting to drift

Pattern 3warning

7 consecutive trending

Action: Process shift detected

Likely cause: New competition, demographics

Pattern 4critical

14 alternating up/down

Action: Data quality review

Likely cause: Systematic manipulation

Root Cause Analysis Framework (Fishbone)

Machine

  • Bill validator failure
  • Card reader malfunction
  • Refrigeration issues

Method

  • Incorrect pricing
  • Planogram non-compliance
  • Restocking errors

Materials

  • Product quality
  • Stockouts
  • Expired inventory

Measurement

  • DEX transmission errors
  • Sensor calibration
  • Count accuracy

Environment

  • New competition
  • Construction nearby
  • Weather events

People

  • Route driver issues
  • Service quality
  • Training gaps