The Mood's Median Test is a nonparametric test of the equality of medians for two or more populations. Its parametric counterpart is the One-Way Analysis of Variance. This procedure assumes that the samples are randomly and independently drawn from populations that have the same shape. It is more robust than the Kruskal-Wallis for data with outliers and is appropriate for preliminary stages of analysis.
| Null Hypothesis, H0 | Alternate Hypothesis, H1 |
| m1 = m2 = ... = mi | m1 <> m2 <> ... <> mi |
where mi are the medians of population i
At the Excel Menu (For Excel 2007, go to Add-ins first)
Choose ProcessMA > Statistics > Nonparametric > Mood's Median Test
In Variable, select the column containing the response data (Numeric)
In Factor, select the column containing factor levels (>=2 levels)
Click OK
You are the manager of the mortgage department in a bank. You have three officers processing mortgage applications. You collected data on cycle time to process applications for the last 2 months and you want to assess if the three officers have the same processing speed.
Open data worksheet by choosing ProcessMA > Tools > Data
Choose ProcessMA > Statistics > Nonparametric > Mood's Median Test
In Variable, select BQ - Cycle Time
In Factor, select BR - Officer
Click OK
For a desired a = 0.05, since p = 0 < a, we will reject H0. Therefore, we conclude that there is no significant evidence that the median cycle times for the three officers are different.
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