I've come across this paper
where it is described a k-Nearest Neighbors Data Description (kNNDD)-Based Control Chart. (pag 45)
First, the author describes the Local Outlier Factor (LOF) method and then the $K^2$ chart, where the control value is defined as the average euclidean distance of a point from its k nearest neighbors.
I can't really find a connection between the LOF algorthm and this control value. Am I wrong?