Department of Management Sciences, City University of Hong Kong, Department of Statistics, School of Mathematical Sciences, Nankai University,

As we know, the measurement error often
exists in practice, and affects the performance of quality control
in some cases. The autoregressive process with the measurement error
is investigated in this paper. For detecting the step shift of the
autoregressive process mean with measurement error, a CUSUM control
chart based on the maximum log-likelihood ratio test is obtained.
Simulated in-control and out-of-control ARL's are made for various
measurement error and autocorrelation coefficients. The simulation
results show that this new CUSUM scheme works well when the process
is negatively autocorrelated.