P370 Final Review

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Which of the four X-bar control charts illustrated below should prompt an investigation of the process being monitored? REFERENCE SELF CHECK 10

A, B, C only call for an investigation.

Converting quarterly and annual business plans into broad output and labor requirements for the intermediate term is known as

Aggregate planning.

It is quite common in Statistical Process Control to track both the sample average and the sample range. Which of the following statements are accurate with respect to why both measures are considered? Since the sample mean and range are independent measures, each must be tracked separately. The sample average must always be used when using the sample range since either used separately only convey part of the situation. For a given sample, the sample mean can be in control while the range can be out of control. It is necessary to control both the sample average and the sample variation in order to assure the process is in control.

All of the above are correct.

Which of the following are the characteristics of a Baldridge Award winner or a company that emphasizes on customer satisfaction and business results? The company formulates a vision of what quality is and how to achieve it Senior management is actively involved. The company carefully plans and organizes its quality effort. The company vigorously controls the overall process.

All of the above.

2. You want to determine the upper control line for a "p" chart for quality control purposes. You take several samples of a size of 100 items in your production process. From the samples you determine the fraction defective is 0.05 and the standard deviation is 0.01. If the desired confidence level is 99.7 percent, which of the following is the resulting UCL value for the line? A)0.39 B) 0.08 C) 0.06 D)0.05 E) None of the above

B

4. You want to develop a three-sigma "R" chart. You know the average range is 5 based on several samples of size 10. Which of the following is the resulting UCL? A)20.9 B) 8.9 C) 7.02 D)5 E) None of the above

B

Comparing an organization's performance on critical business processes against the best performance on the same or similar processes in other organizations is known as:

Benchmarking.

3. You want to determine the control lines for a "p" chart for quality control purposes. If the total number of defects from all samples is 560, the number of samples is 70, and the sample size is 80, which of the following would be the standard deviation used in developing the control lines? A)roughly 0.90 B) roughly 0.45 C) roughly 0.03 D)roughly 0.012 E) roughly 0.0012

C

If there are 12 total number of defects from 10 samples, each of 10 individual items in a production process, which of the following is the Fraction Defective that can be used in a "p" chart for quality control purposes? A)1.20 B) 0.10 C) 0.12 D)0.08 E) None of the above

C

The degree to which the product or service design specifications are met during the transformation process is known as:

Conformance quality

Which of the following is NOT a method used in aggregate planning to cope with fluctuations in demand?

Construction of a new plant and/or finished goods warehouse

Which of the following costs are NOT considered in developing an aggregate production plan?

Depreciation costs.

A process in statistical control will not produce any defects.

False

Suppose a company is using pure chase strategy for its aggregate production planning. Which of the following policies would a manager use to deal with (or hedge against) the fluctuation in demand?

Hire additional workers when demand increases and outplace them when demand decreases

Which of the following are characteristic of the companies who have won the Malcolm Baldrige National Quality Award? I. A strategic vision for the organization was developed. II. Senior management was actively involved in improvement efforts. III. They produced highly profitable, high technology products. IV. Quality control and improvement efforts were carefully planned and implemented.

I, II, and IV

Which of the following statements best describe one a basic difference between the Malcolm Baldrige Award and ISO 9000 certification?

ISO 9000 is more important in international commerce

The Shingo system relies on which of the following approaches?

Introduction of quality controls within the process so feedback can occur immediately.

A X-bar control chart has an upper control limit of 0.65 inch and a lower control limit of 0.35 inch. The results of the next six samples are 0.60, 0.37, 0.45, 0.48, 0.53, and 0.62 inches. What should you do?

Investigate because there is a trend.

Which of the following statements is not true about the continuous improvement process?

It requires creative thinkers to come up with break-through innovations.

Which aggregate planning strategy typically results in greater inventory carrying costs?

Level strategy.

A pure level strategy for aggregate production planning:

Maintains a stable workforce working at a constant output rate.

Which of the following is not a cost associated with cost of quality? - Scrap cost - Test equipment cost - Inspection cost - Warranty cost

None of the above, all are a cost of quality.

What is one of the fundamental differences between the Malcom Baldridge Award and ISO9000 certification?

One applies to U.S. firms, while the other applies to companies anywhere in the world.

Which one of the following lists best describes the four steps of the Deming Wheel?

Plan, Do, Check, Act.

In a saw tooth diagram, the peak of each inventory cycle represents? Correct! Q

Q

Which of the following circumstances would provide an incentive for employing a level (vs. chase) plan?

The production process requires highly trained labor.

Which of the following measures is most appropriately monitored by a p chart?

The proportion of students absent from class each day.

Which of the following control charts is(are) most appropriate for detecting process failure with attribute measurements?

p chart

Which of the following is not a type of inventory?

reorder point stock


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