57
79) A bank randomly looks at loan applications and checks them for errors. Ten applications and the
number of errors identified on the applications are found in the following table. When the process is
working correctly, the average number of errors found is 2. Construct a c-chart to determine if the process
is in control.
Application
number
Number of
errors
1
3
2
0
3
1
4
0
5
3
6
2
7
4
8
4
9
1
10
1
3.5 Process Capability
1) Process capability determines whether a process is capable of producing the product or services that
customers demand.
2) Process capability can be addressed when:
A) assignable causes are present.
B) a process is in statistical control.
C) a process is in statistical control but assignable causes are present.
D) the nominal value equals the tolerance regardless of assignable causes.
3) A metal-cutting operation has a target value of 20 and consistently averages 19.8 with a standard
deviation of 0.5. The design engineers have established an upper specification limit of 22 and a lower
specification limit of 18. Which statement concerning this process is true?
A) The process capability ratio is 1.46.
B) The process capability index is 1.33.
C) The process is in control.
D) None of these is true.
4) A metal-cutting operation has a target value of 20 and consistently averages 19.8 with a standard
deviation of 0.5. The design engineers have established an upper specification limit of 22 and a lower
specification limit of 18. What is the process capability index?
A) 1.20
B) 1.33
C) 1.46
D) 1.66
5) The upper and lower control limits for a component are 0.150 cm. and 0.120 cm., with a process target
of .135 cm. The process standard deviation is 0.004 cm. and the process average is 0.138 cm. What is the
process capability index?
A) 1.00
B) 1.25
C) 1.50
D) 1.75
6) The upper and lower specifications for a service are 10 min. and 8 min., respectively. The process
average is 9 min. and the process capability ratio is 1.33. What is the process standard deviation?
A) 0.1
B) 0.15
C) 0.20
D) 0.25
7) MKS Inc., produces meter sticks that have a target length of 100 centimeters with upper and lower
specification limits of 100.05 and 99.95 centimeters respectively. Their existing process produces meter
sticks with an average length of 99.97 centimeters and a standard deviation of 0.015 centimeters. What is
their process capability index?
A) 0.44
B) 0.83
C) 1.26
D) 1.78
8) MKS Inc., produces meter sticks that have a target length of 100 centimeters with upper and lower
specification limits of 100.05 and 99.95 centimeters respectively. They are considering the purchase of a
new machine that can hold a process output average exactly to target with a standard deviation of 0.02.
Which would their process capability index be if they splurged and purchased the new machine?
A) 0.44
B) 0.83
C) 1.26
D) 1.78
9) MKS Inc., produces meter sticks that have a target length of 100 centimeters with upper and lower
specification limits of 100.05 and 99.95 centimeters respectively. Their existing process produces meter
sticks with an average length of 100.00 centimeters and a standard deviation of 0.015 centimeters. What is
their current process capability index?
A) 0.44
B) 0.83
C) 1.11
D) 1.26
10) A laser eye surgery process has tolerances of plus or minus .001 inches. What does the process
standard deviation need to be in order for this process to have a capability ratio of 1.33?
A) 0.025 inches
B) 0.0015 inches
C) 0.015 inches
D) 0.00025 inches
11) A laser surgery process has tolerances of plus or minus .01 inches. What does the process standard
deviation need to be in order for this process to have a capability ratio of 1.00?
A) 0.02 inches
B) 0.0033 inches
C) 0.002 inches
D) 0.033 inches
12) A manufacturer embarking on a Six Sigma program sets the goal of having true Six Sigma capability
for all processes by the end of the month. If their current process capability index on a key metric is less
than 2.0 and the process capability ratio is 1.0, what must happen with the process standard deviation?
A) The process standard deviation must be doubled.
B) The process standard deviation must be reduced by a factor of six.
C) The process standard deviation must be cut in half.
D) The process tolerances should be doubled.
13) A manufacturer embarking on a Six Sigma program sets the goal of having true Six Sigma capability
for all processes by the end of the month. If their current process capability index on a key metric is less
than 2.0 and the process capability ratio is 1.5, what must happen with the process standard deviation?
A) The process standard deviation must be reduced by 25%.
B) The process standard deviation must be reduced by 33%.
C) The process standard deviation must be reduced by 50%.
D) The process standard deviation must be reduced by 67%.
14) A manufacturer embarking on a Six Sigma program sets the goal of having true Six Sigma capability
for all processes by the end of the month. If their current process capability index on a key metric is less
than 2.0 and the process capability ratio is 1.70, what must happen with the process standard deviation?
A) The process standard deviation must be reduced by 50%.
B) The process standard deviation must be reduced by 33%.
C) The process standard deviation must be reduced by 25%.
D) The process standard deviation must be reduced by 15%.
15) A manufacturer embarking on a Six Sigma program sets the goal of having true Six Sigma capability
for all processes by the end of the month. If their current process capability index on a key metric is less
than 2.0 and the process capability ratio is 1.25, what must happen with the process standard deviation?
A) The process standard deviation must be reduced by about 25%.
B) The process standard deviation must be reduced by about 37%.
C) The process standard deviation must be reduced by about 50%.
D) The process standard deviation must be reduced by about 67%.
16) A firm targeting Six Sigma quality will use a process capability ratio of ________ as their goal.
17) What is the difference between the Cp and Cpk measures? Provide an example of a situation in which
a process might perform well on one measure but poorly on the other.
18) The upper and lower specification limits for a component are 3.98 and 4.02 inches, respectively. The
process standard deviation is .004, and the process average is 4.005 inches. Is this process capable of
achieving four-sigma performance (the four-sigma performance target value is 1.33)?
19) MKS Inc., produces meter sticks that have a target length of 100 centimeters with upper and lower
specification limits of 100.05 and 99.95 centimeters respectively. Their existing process produces meter
sticks with an average length of 99.97 centimeters and a standard deviation of 0.015 centimeters. They are
considering the purchase of a new machine that can hold a process output average exactly to target with
a standard deviation of 0.02. Which machine will provide a better process capability index?
65
20) A manufacturer enjoys both a Cpk and a CP = 2.0. How high does the process mean have to drift (in
number of standard deviations) away from target in order to result in a 1% chance of making a product
out of specification? Illustrate this situation (both before shift and after shift) with a diagram.
1. μ2 = μ1 + δ
2. Z = = 2.33
Equation 2 illustrates a z-score that will produce 99% of output within the upper specification limit and
1% of output outside the upper specification limit. The value 2.326 is found in the standard normal table
in the appendix.
3.6 International Quality Documentation Standards and Awards
1) ISO 9001:2008 standards provide strict guidelines for how products are to be produced.
2) The Baldrige Performance Excellence Program considers a company‘s business results but ISO
9001:2008 registration does not.
3) Financial and market results are one consideration of the Baldrige Performance Excellence Program.
4) Strategic planning is given the most weight among the Baldrige Performance Excellence Program.
5) The ISO 9001:2008 standard:
A) emphasizes corporate leadership as a means of determining who receives the award.
B) has the greatest number of points awarded for business results.
C) is awarded by the U.S. government each year.
D) addresses quality system documentation.
6) Which of these ISO standards has the greatest number of organizations certified as of 2009?
A) ISO 9001:2008.
B) ISO 14000:2004.
C) ISO 19000:2008.
D) ISO 26000:2010.
7) The Baldrige Performance Excellence Program:
A) involves a rigorous review process that often helps the companies define what quality means to them,
regardless of the outcome.
B) focuses on large manufacturing companies because of the impact they have on the economy.
C) is a set of standards governing the requirements for documentation of a quality program.
D) was devised by the International Organization for Standardization for companies doing business in
Europe.
8) The Baldrige Performance Excellence Program:
A) focuses on large manufacturing companies because of the impact they have on the economy.
B) involves seven major criteria that are built on the base of customer satisfaction.
C) is a set of standards governing the requirements for documentation of a quality program.
D) was devised by the International Organization for Standardization for companies doing business in
Europe.
9) Among the seven criteria in the Baldrige Performance Excellence Program, which has the greatest
weight in scoring?
A) Leadership
B) Customer Focus
C) Operations Focus
D) Results
10) The Baldrige Performance Excellence Program is administered by:
A) NASA.
B) NIST.
C) NORAD.
D) NOOB.
11) ________ is the international standard governing documentation of a quality program.
12) The ________ section of the Baldrige Performance Excellence Program has the greatest emphasis.
13) Explain the difference between the Baldrige Performance Excellence Program and ISO 9001:2008.
14) What are the benefits of ISO certification?
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3.7 Systems Approach to Total Quality Management
1) Continuous improvement is one of the four pillars of TQM.
2) The focus of total quality management is always on the needs of the customer.
3) It is not necessary for lower-level employees to be engaged or involved in TQM.
4) Most companies fall short in achieving their quality objectives due to a failure of managing processes.
5) Training employees on how to utilize a statistical quality tool would be an example of the intersection
between employee involvement and analytical process thinking.
6) A quality-focused CEO who promotes a culture of quality is an example of which of the four TQM
pillars?
A) Management Commitment and Leadership
B) Continuous Improvement
C) Employee Involvement
D) Analytical Process Thinking
7) Rejecting product materials due to poor quality of the samples would be an example of which TQM
pillar?
A) Management Commitment and Leadership
B) Continuous Improvement
C) Employee Involvement
D) Analytical Process Thinking
8) Management by fact is required for which of the following intersections within the TQM systems
approach?
A) Management Commitment and Leadership and Continuous Improvement
B) Continuous Improvement and Employee Involvement
C) Employee involvement and Analytical Process Thinking
D) Analytical Process Thinking and Management Commitment and Leadership
9) With respect to the systems approach of TQM, failure to manage the ________ is where most
companies fall short in achieving quality objectives.
10) ________ of employees to do their jobs with decision-making autonomy is required for the
intersection between employee involvement and continuous improvement.
11) The TQM pillar of ________ involves the use of tools such as process control and process capability.
12) Describe the systems approach for total quality management by outlining the four pillars of TQM and
discussing challenges organizations face in implementing this approach.