Statements about costs associated with process variability

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Reference no: EM132198188

1. All of the following descriptions about six sigma tools are correct, EXCEPT:

Process control charts are used to assure that processes are in statistical control.

DMAIC methodology helps companies find and improve areas of process variability.

Lean consumption maps, as the name implies, only documents the activities the customer MUST engage in for consumption to actually occur.

Process flowcharts use swimlanes to separate activities based on organizational function/department.

2. Which one of the following statements about costs associated with process variability is true?

Traditional and Taguchi's views on variability costs are in reference to process deviation, as well as target, lower and upper process control limits.

Taguchi's view is that any deviation of a product toward its upper and lower specification limits represents an additional cost to the firm and the customer.

The traditional view of variability costs gives firms an incentive to strive for process perfection.

All of the above are true

None of the above are true

3. The _________ operational through 3 networks, namely the supply network, the focal firm network and the market distribution network.

Logistics model

Fixed-Order Quantity Model

Supply chain

Bullwhip Effect Model

Multi-Period Model

4. The following statements all represent operational characteristics of a lean management system, EXCEPT:

Lean is based on the logic that nothing will be produced until it is needed.

Customer value is an important metric for companies implementing a lean system.

Increases in design and conformance quality are the driving factors behind inventory elimination in a lean system.

Lean management has a predominant focus on the elimination of waste during production efforts.

Non-value added activities are a form of waste, and should be removed from the process.

5. Which of the following statements is false about the concept of kaizen?

Kaizen is one of the various lean management tools that helps an organization implement a continuous improvement system.

Poka-Yoke means that fool-proofing is built into the production process

To reach targeted improvements using kaizen methodology, firms engage in practices such as root-cause analysis.

Elimination of product movement and queue time between operations, reduction of inventory and employees are of central focus in kaizen.

Line stopping empowerment of workers and quality inspection are two kaizen techniques.

Reference no: EM132198188

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