12 Elements of Effective Reliability Management

Each system that participates in a business transaction can be thought of as having two elements–an application element and a BTP element (Figure 14.5). The application elements exchange messages to accomplish the business function.

A classic example of the materiality concept is a company expensing a $20 wastebasket in the year it is acquired instead of depreciating it over its useful life of 10 years. The matching principle directs you to record the wastebasket as an asset and then report depreciation expense of $2 a year for 10 years.

• Strong leadership focus and business-aligned plant reliability mission, vision and strategic plan.
• Effective interfunctional and interplant communications.
• Focus on design for reliability, operability, maintainability, safety and inspectability (ROMSI)
• Reliability-focused operations.
• Reliability-focused maintenance.

(i) Length of the Test: Reliability has a definite relation with the length of the test. The more the number of items the test contains, the greater will be its reliability and vice-versa. Logically, the more sample of items we take of a given area of knowledge, skill and the like, the more reliable the test will be.

Reliability refers to how dependably or consistently a test measures a characteristic. If a person takes the test again, will he or she get a similar test score, or a much different score? A test that yields similar scores for a person who repeats the test is said to measure a characteristic reliably.

There are three key areas on which the quality of an assessment can be measured: reliability, validity, and bias. A good assessment should be reliable, valid, and free of bias. Stability means that tests or assessments produce consistent results at different testing times with the same group of students.

The current standard for assessment validation requires evidence from five sources: content, response process, internal structure, relations with other variables, and consequences.

Primary sources provide raw information and first-hand evidence. Examples include interview transcripts, statistical data, and works of art. A primary source gives you direct access to the subject of your research. Primary sources are more credible as evidence, but good research uses both primary and secondary sources.

A reliable source is one that provides a thorough, well-reasoned theory, argument, discussion, etc. based on strong evidence. Scholarly, peer-reviewed articles or books -written by researchers for students and researchers. These sources may provide some of their articles online for free.

Reliability refers to the extent to which studies can be repeated, and if they can, whether the same sorts of results would be obtained. Consistency of research is the important principle here. Reliability is another issue where opinions may vary regarding each study.

Accounting reliability refers to whether financial information can be verified and used consistently by investors and creditors with the same results. Basically, reliability refers to the trustworthiness of the financial statements.

Test-Retest Reliability (sometimes called retest reliability) measures test consistency — the reliability of a test measured over time. In other words, give the same test twice to the same people at different times to see if the scores are the same. For example, test on a Monday, then again the following Monday.

The values for reliability coefficients range from 0 to 1.0. A coefficient of 0 means no reliability and 1.0 means perfect reliability. 80, it is said to have very good reliability; if it is below . 50, it would not be considered a very reliable test.