Cindy Smith
QNT/561
November 10, 2014
Professor Derek Blythe
Sampling and Data Collection Plan: Amsterdam LLC
Amsterdam LLC is a transportation company that transports clients to and from their destination throughout the states of Ohio, New York, and Illinois. The company operates over 1,500 vehicles and consumes at least 3 million gallons of fuel per year. The company has realized that the operation and maintenance of the outdated vehicles are becoming environmentally unfriendly.
In order for Amsterdam LLC to reduce greenhouse gases and reduce transportation costs, lower management has proposed purchasing new midsize vehicles with automatic transmissions that achieve at least 30 MPG. At the present time, executive management does not see the benefit of purchasing fuel efficient vehicles. Over the last three years, Amsterdam LLC has seen their rivals replace their outdated fleet with fuel efficient vehicles and noticed that their clientele base has increased by 20% and the company’s ability to reduce transportation costs, which lead to lower prices and greater competition. Lower management believes replacing the older fleet will create a new market of customers that are environmentally conscientious.
Variables
Is there a difference in mileage based on the type of midsize car?
1. Independent Variable - Mid-size vehicle
Population
2. Dependent Variable - Mileage
Amsterdam LLC will replace all 1500 vehicles in order to stay competitive with the current market.
Target Population
According to the Fuel Economy (2014), every midsize vehicle equipped with automatic transmission has an EPA combined city and highway mileage estimate of 30 MPG or less and could save a business or person at least $765 per year assuming that 15,000 miles are driven. The top five vehicles that management will consider are the Buick LaCrosse, the Acura ILX Hybrid, Chevrolet Malibu, Chevrolet Volt and the Chrysler 300.
Sample Size Because