Data and Business Intelligence Glossary Terms
Lower Control Limit
The Lower Control Limit (LCL) is a line on a statistical control chart that represents the lowest acceptable boundary for process variation. Imagine you have a target for how many candies should be in a jar—too many or too few and it’s not right. The LCL is like the minimum number of candies you’d accept before saying something’s wrong. In business intelligence and data analytics, control charts help monitor how a business process performs over time, and the LCL helps in spotting when a process might be underperforming or producing defects.
By setting a Lower Control Limit, companies can quickly recognize when a process is veering off course and investigate the cause. For example, if the number of customer service calls resolved per hour dips below the LCL, it indicates that the performance is lower than what’s considered normal based on historical data. This could signal an issue that needs to be addressed, like insufficient staffing or a new problem with a product that’s confusing customers.
Staying above the Lower Control Limit is crucial for quality control and operational efficiency. Keeping an eye on the LCL, along with its counterpart the Upper Control Limit, ensures that processes remain stable and predictable. This kind of monitoring is a part of maintaining quality and consistency in products or services, which is essential for customer satisfaction and the long-term success of a business.
Testing call to action version
Did this article help you?