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IT 303 Green Belt Test

Terms in this set (104)

What is the primary approach employed by Lean Six Sigma to reduce the number of defects?
Reduce process variability at the source through redesign or process controls.
National Fiduciary Guaranty Bank has been losing market share in home mortgage lending over the last several years. Surveys indicate very low customer satisfaction ratings for the home mortgage process. The bank recently chartered a Lean Six Sigma team to address the performance problem. The team has examined several process factors, including loan pricing, credit requirements, loan closing cycle-time and employee training as they relate to customer satisfaction and new loan volume. Which of the following are potential key process inputs in the bank's home mortgage business?
A) Customer Satisfaction, Credit Requirements, Historical Loan Closing Cycle-Time
B) Loan Pricing, Employee Training, Customer Satisfaction
C) Loan Pricing, Credit Requirements, Employee Training
D) Credit Requirements, New Loan Volume, Customer Satisfaction
E) Historical Loan Closing Cycle-time, Customer Satisfaction, Employee Training
C) Loan Pricing, Credit Requirements, Employee Training
The expression Y=f(X) is often used to describe the relationship between process inputs and the process output. Which description of Y=f(X) is most accurate?
A) The output of a process (X) is a function of the process inputs (Y).
B) More process inputs (X) improve the function of the process output (Y).
C) Reducing the function of a process input (X) will increase process output (Y).
D) More process inputs (Y) improve the function of the process output (X).
E) The process output (Y) is a function of the process inputs (X)
E) The process output (Y) is a function of the process inputs (X)
What is the definition of a defect?
A) A product/process that exhibits variability.
B) A product/process that does not perform as well as the competition.
C) A product/process that does not meet customer requirements for use.
D) A product/process that is not reliable.
E) A product/process that requires extra processing.
C) A product/process that does not meet customer requirements for use.
What is the primary purpose of Lean Six Sigma?
A) Develop clear quality standards that can be understood by everyone.
B) Provide better training to the people involved in process improvement efforts.
C) Improve profitability and/or other key performance metrics.
D) Determine the number of opportunities for a defect to be produced.
E) Provide a better structure for process improvement.
C) Improve profitability and/or other key performance metrics.
What is the strongest guiding force of Lean Six Sigma decision-making?
A) Experience of process owners.
B) Historical best practices.
C) Opinions of senior management.
D) Data and statistical analysis.
E) Benchmarking studies of the competition.
D) Data and statistical analysis.
How would you categorize the cost of internal product/process testing?
A) External failure cost
B) Prevention cost
C) Internal failure cost
D) Appraisal cost
E) Development cost
D) Appraisal cost
Which of the following is NOT a primary role or responsibility of a Black Belt?
A) Provide team leadership in statistical analysis of data.
B) Allocate funds and human resources to Lean Six Sigma projects.
C) Track implementation actions to ensure timely completion.
D) Coach team members in the proper application of problem-solving methods.
E) Foster productive relationships within the team.
B) Allocate funds and human resources to Lean Six Sigma projects.
At what step in the Lean Six Sigma improvement process are efforts made to identify the root cause of process variability?
A) Define
B) Measure
C) Analyze
D) Improve
E) Control
C) Analyze
At what step in the Lean Six Sigma improvement process is a Process Map of the process first created?
A) Define
B) Measure
C) Analyze
D) Improve
E) Control
A) Define
Which tool is most commonly used to map the complete sequence of activities, including customers and suppliers, an organization performs in order to produce and deliver its end product or service?
A) Spaghetti diagram
B) Functional block diagram
C) SIPOC process map
D) Process flow chart
E) Value stream map
E) Value stream map
Thought Process Maps are used to organize and document team activities. After answering the first question based on the first action taken, what is the most likely next step?
A) Take another action.
B) Generate another answer.
C) Ask another question.
D) Analyze another set of data.
E) Replicate the experiment.
C) Ask another question.
When Six Sigma and Lean Methods are used together, they complement each other. As a general rule, what are the primary areas of focus for both Six Sigma and Lean?
A) Six Sigma - Reduce Complexity; Lean - Improve Quality
B) Six Sigma - Improve Process Flow; Lean - Reduce Process Inputs
C) Six Sigma - Control Process Cycle Time; Lean - Reduce Process Variability
D) Six Sigma - Increase Process Output; Lean - Identify Key Inputs
E) Six Sigma - Improve Quality; Lean - Reduce Process Cycle-time.
E) Six Sigma - Improve Quality; Lean - Reduce Process Cycle-time.
During the team development process, at what step do team members reconcile their competing loyalties, agendas, and responsibilities?
A) Forming
B) Storming
C) Norming
D) Performing
E) Warming
C) Norming
What action could you take to help your team progress through the storming phase?
A) Share all information regarding the team charter and scope of team authority.
B) Use the S.M.A.R.T. process to guide objective/goal-setting.
C) Consolidate the gains by encouraging real dialogue - an open exchange of ideas.
D) Introduce team members and explain their strengths to the group.
B) Use the S.M.A.R.T. process to guide objective/goal-setting.
Which of the following is not part of the "Change" leadership process?
A) Communicate the vision/objective.
B) Understand the balancing forces (obstacles)
C) Generate and celebrate short term wins.
D) Create a sense of urgency.
E) Eliminate functional reporting structures.
E) Eliminate functional reporting structures.
Critical Path is determined by which of the following?
A) Tasks that have the greatest impact on customer satisfaction.
B) Tasks that are the riskiest.
C) In-sequence tasks that are mandatory to meet safety standards.
D) In-sequence tasks with the longest combined lead time.
D) In-sequence tasks with the longest combined lead time.
Which of the following statements is MOST correct regarding Project Charters?
A) The Charter provides a detailed plan to guide all team actions.
B) The Charter defines the project mission.
C) The Charter is developed by a Black Belt with assistance from the team.
D) The Charter may be changed by any team member at any time to reflect new developments.
B) The Charter defines the project mission.
Which is the best example of Lean Six Sigma purpose?
A) Meeting internal specifications.
B) Improving all internal capabilities
C) Meeting customer requirements.
D) Developing new products and services.
E) Obtaining senior management support for improvements.
C) Meeting customer requirements.
Which of the following is a Supporting Service Requirement (vs. Primary Output Requirement)?
A) Order-entry is efficient and customer-friendly.
B) Delivery is provided quickly and with no issues.
C) Product or service provided performs as specified.
D) Quality concerns from customers are handled in a professional manner.
A) Order-entry is efficient and customer-friendly.
Which of the following statements accurately reflects the Kano Model?
A) Over time, Basic Quality characteristics tend to become Performance Quality characteristics.
B) Basic Quality characteristics have a greater capacity to create satisfaction than Performance Quality characteristics.
C) Basic Quality characteristics have a greater capacity to create satisfaction than Excitement Quality characteristics.
D) Over time, Excitement Quality characteristics tend to become Basic Quality requirements.
D) Over time, Excitement Quality characteristics tend to become Basic Quality requirements.
A company conducted a survey to study customer preferences regarding several attributes of its service offering, including Speed and Capacity. The margin of error for the difference of the two ratings was 6.0%. Which of the following results indicates a true difference?
A) Speed = 32%, Capacity = 30%.
B) Speed = 38%, Capacity = 34%.
C) Speed = 31%, Capacity = 31%.
D) Speed = 30%, Capacity = 20%.
D) Speed = 30%, Capacity = 20%.
A book publisher is interested in learning more about reading habits, and is planning a survey drawn from a list of households who use libraries frequently to check out books. Which of the following statements best describes the sample?
A) The sample will include all people who read a lot.
B) The sample will include only one segment of frequent readers.
C) The sample will include the households which read the most.
D) The sample will represent all types of prospective readers.
B) The sample will include only one segment of frequent readers.
Which is the best description of the term "Operational Definition"?
A) Defines processes required by operations.
B) Provides a clear, unambiguous acceptance standard.
C) Defines the operations process flow.
D) Provides guidance on disposition of non-conforming parts.
E) Provides standardized work instructions.
B) Provides a clear, unambiguous acceptance standard.
An improvement team at an auto repair shop is working on an operational definition of the critical to quality characteristic 'fast service time for oil-change jobs'. From their analysis of the VOC data it was determined that this time should be not more than 20 minutes. Which of the following gives the most accurate operational definition for this characteristic?
A) The time taken to drain out the oil in the engine and replace it with the new oil should not exceed 20 minutes.
B) The total time from customer entry into the shop to customer exit from the shop should not exceed 20 minutes.
C) Total time taken from when customer requests an oil change to when they drive out of the parking lot should be 20 minutes or less.
D) The total time starting when the customer joins the wait line to the time the car keys are handed back after the oil change, should not exceed 20 minutes.
D) The total time starting when the customer joins the wait line to the time the car keys are handed back after the oil change, should not exceed 20 minutes.
A project team at a major rental car chain prepared an CTQC Tree to better understand the key drivers for meeting customer needs. Follow this link to review the CTQC Tree then answer the question. http://i.imgur.com/gyWAkjw.gifv
Which driver's CTQC's are poorly written and why?

A) Pricing: it's harder to measure "layman's terms" and "clearly stated"
B) Car Quality / Value: CTQCs don't address value
C) Check-In / Return: 1 minute is unreasonable
D) Web Site Easy to Use: cannot measure the ability to synchronize with a calendar
E) Easy to Make Changes Mid-Contract: this is not really a driver
A) Pricing: it's harder to measure "layman's terms" and "clearly stated"
A project team at a major rental car chain prepared an Affinity Diagram to better understand the customer needs regarding the rental car process. Follow this link to review the Affinity Diagram then answer the question.
The team had two remaining ideas (unrelated to each other) that did not fit well into the any of the three headers they created (Check-In / Return, Pricing, Car Quality / Value). What should the team do with these two ideas? https://www.moresteam.com/university/pics/affinity_quiz1.jpg

A) Place them under a new header called "Other"
B) Place them under the best-fitting existing category
C) Discard them as they are insignificant
D) Continue brainstorming until the heading(s) becomes clear
E) Place each under its own header
E) Place each under its own header
Which of the following statements represents an acceptable method for setting product/process specifications?
A) Specifications should be set at the point(s) where customer satisfaction starts to decrease significantly below the target.
B) Specifications should always be based on the capability of the process to deliver them.
C) Specifications should be based on pre-established design guidelines that reflect customer requirements.
D) A or B
E) A or C
E) A or C
A Lean Six Sigma team is working on a project to accelerate the collection of accounts receivable. The team wants to identify and eliminate process steps that are redundant or wasteful so that the overall cycle time can be improved. What type of process map would be the best choice.
A) SIPOC Map
B) Flow Chart
C) Value-added Flow Chart
D) Deployment Flow Chart
E) Value Stream Map
C) Value-added Flow Chart
When constructing a Value Stream Map, what does the following symbol represent? (Page with right corner bent)

A) Manual Flow of Information
B) Outside Source
C) Performance Board
D) Production Kanban
E) Process Step
D) Production Kanban
SpeedyMortgage.com is an online mortgage company, which has struggled to keep up with rapid volume growth. A Lean Six Sigma team is working on a revised process flow, and wants to understand the current Takt time. Average daily demand is 300 mortgage applications, and there are 480 net minutes a day available for underwriting (one shift). What is the Takt time?
A) 0.63 minutes
B) 1.6 minutes
C) 480 minutes
D) 290 units
E) 1.6 units
B) 1.6 minutes
Which of the flow chart symbols represents a decision point?
Rhombus
Which of the following is NOT part of an enterprise-wide value stream?
A) Process inputs from suppliers.
B) The channel of distribution.
C) Cost comparisons by consumers.
D) Processes that transform materials or information.
E) New order processing.
C) Cost comparisons by consumers.
Which of the following is NOT a reason to map the value stream?
A) To document who is responsible for specific corrective actions.
B) Identify the inputs to a process.
C) Identify sources of waste.
D) Communicate the process in graphical fashion.
E) To identify internal and external customers.
A) To document who is responsible for specific corrective actions.
Which of the following is NOT a reason to use continuous (variable) data?
A) It provides a better measure of variation.
B) It is more convenient for subjective appearance items.
C) A greater number of statistical analysis tools can be applied.
D) There is less subjectivity involved.
B) It is more convenient for subjective appearance items.
According to Taguchi's Loss Function, the loss to society from poor quality increases as a function of what?
A) Process variability.
B) Process centering.
C) Specification limits.
D) Internal scrap rates.
A) Process variability.
Which of these measurements is taken from a continuous scale?
A) The percentage of babies born during the year that are boys.
B) The number of blades of grass in your yard.
C) Ratings from a Zagat restaurant survey book.
D) The air pressure of the left front tire of your vehicle.
E) Percentage of election votes for a given candidate.
D) The air pressure of the left front tire of your vehicle.
Of these measurements, which one is best described as an Indicator/Predictor?
A) Net profit margin.
B) Customer satisfaction rating.
C) Warranty returns.
D) Scrap rate of a key input process.
D) Scrap rate of a key input process.
A population has a mean of 50 and a variance of 0 (zero). What is the logical conclusion to be drawn from this information?
A) It is an error.
B) The population consists of 50 units.
C) There are no units in the population.
D) All units in the population have the same value of 50.
E) None of the above.
D) All units in the population have the same value of 50.
Which of the following statements is FALSE?
A) When comparing test scores across different locations, the standard deviation will tell you how diverse the test scores are for each location.
B) A time-series plot is a graphical representation of the observations in a data set over time.
C) The frequency of any particular value of a discrete variable is the number of times that value occurs in the data set.
D) The sample median is highly sensitive to extreme values (outliers).
E) When the data are categorical, a frequency distribution or relative frequency distribution provides an effective tabular summary of the data.
D) The sample median is highly sensitive to extreme values (outliers).
A sample of 5 persons with hypertension underwent a special treatment program which resulted in the following reductions in systolic blood pressure for these persons: -5, 10, 20, 5, 10. The mean reduction in systolic blood pressure is
A) 10
B) 9
C) 8
D) 40
E) None of these
C) 8
A dataset of five different scores has a median of 12. If the highest score is increased by 3, the new median:
A) Will decrease
B) Will increase
C) Will stay the same
D) Cannot be determined without additional information
E) None of the above
C) Will stay the same
A 'population' is defined as:
A) A number or measurement collected as a result of observation.
B) A measurable characteristic of a population.
C) A subset of a sample.
D) The complete set of individuals, objects, or measurements about which we wish to draw a conclusion.
E) none of the above
D) The complete set of individuals, objects, or measurements about which we wish to draw a conclusion.
What is the characteristic of a distribution called that is the difference between the highest and lowest values of a sample data set?
A) Mean
B) Median
C) Location
D) Standard Deviation
E) Spread
E) Spread
A team is sorting through error data from a shipping process and wants to develop priorities for action. What tool should the team use to analyze the data?
A) Process Mapping
B) Brainstorming
C) Pareto Chart
D) Corrective Action Matrix
E) Trend Chart
C) Pareto Chart
What is the primary purpose of a Histogram?
A) Calculate the standard deviation.
B) Display relative frequency by interval.
C) Display number of intervals.
D) Display process stability.
E) Identify the root cause of variability.
B) Display relative frequency by interval.
A Lean Six Sigma team is working on a project in the order entry area to improve order accuracy and reduce the cycle time. The team wants to analyze the variability in cycle time. What tool should be used?
A) Trend Chart
B) Fishbone Diagram
C) Benchmarking
D) Metrics
E) Histogram
E) Histogram
Which of the following is not an important element of a gage calibration program?
A) Systematic follow-up on scheduled calibrations.
B) Track individual instruments with unique serial numbers.
C) Ensure use of most advanced measurement technology.
D) Provide trace-ability of standards to NIST (or similar international body).
C) Ensure use of most advanced measurement technology.
A telephone survey of 100 randomly selected people was conducted to find out whether or not they thought certain mortgage company practices were unfair. By design the sample did not include anyone who did not have a telephone. Which of the following factors is the source for this error?
A) Perception
B) Interaction Bias
C) Measurement
D) Operational
E) Sampling
E) Sampling
Which type of sample involves some form of random selection so that every member of the population has a non-zero chance of being included in the sample?
A) Judgment sample
B) Volunteer sample
C) Zero-bias sample
D) Probability sample
E) Convenience sample
D) Probability sample
Three employees at a garment factory were picked at random to participate in an MSA study. The standard to be evaluated was whether or not a particular garment was 'up-to-the-standard'. Review the 'Each appraiser vs. standard' graph shown in the link and answer the question below: Click here https://www.moresteam.com/university/pics/msagraph1_quiz.gif

What is the correct interpretation of the graph?
A) The percent agreement among the three appraisers is too low - less than 70%. Retraining is required.
B) The three appraisers agree with the standard less than 65% of the time. The operational definition needs to be revised, or training for the appraisers improved.
C) All three appraisers agree amongst themselves, showing a high level of consistency - there is no need to change anything.
D) The confidence interval for Appraiser 2 is below those of the other two - only this appraiser needs to be retrained.
B) The three appraisers agree with the standard less than 65% of the time. The operational definition needs to be revised, or training for the appraisers improved.
What is the purpose of the Overall Input Importance Ranking on a Cause and Effect matrix?
A) Rate the interaction between one Cause and another
B) Rate the Effects the team feels are most important
C) Identify how important the CTQC's are to the customer
D) Rank the Causes in terms of their potential overall impact on the CTQC's
E) Identify the Effects with the most leverage on Causes
D) Rank the Causes in terms of their potential overall impact on the CTQC's
The manager at a retail store has built a C&E matrix of the reasons for shipping delays at the company. Review the matrix by clicking on the link below and answer the question that follows: Click here https://www.moresteam.com/university/pics/cematrix_quiz.jpg

If H=5, M=3, L=1 and +++ = 5, ++ = 3, + = 1, what is the importance score for Order Processing if its correlation factor with 'Accurate items shipped' is (++), with 'Shipping address accurate' is (+) and with 'Billing amount accurate' is (+++)?
A) 50
B) 39
C) 35
D) 27
E) 22
C) 35
A measurement system analysis was conducted that revealed total measurement error equal to 45% of the process tolerance. What is the general rule of thumb for minimum acceptability of a measurement system?
A) 50% or less.
B) 30% or less.
C) 15% or less.
D) 5% or less.
B) 30% or less.
In a Gage R&R study, the Repeatability was found to be 16% of total variation. What is the correct way to interpret this result?
A) The variation among Appraisers accounts for 16% of the total variation.
B) The variation among Parts or Units accounts for 16% of the total variation.
C) The measurement result cannot be accurately repeated 16% of the time.
D) The variation due to the appraiser / measurement device accounts for 16% of the total variation.
E) Repeated measurements have 16% less measurement error than those that are not repeated.
D) The variation due to the appraiser / measurement device accounts for 16% of the total variation.
What is the purpose of establishing the baseline performance level?
A) Set the performance standard.
B) Identify the highest priority defect.
C) Provide a starting reference point to gage improvement.
D) Motivate employees to achieve zero defects.
C) Provide a starting reference point to gage improvement.
Consider a company that provides two services using the same basic process. Service A is relatively complex, and can be defective in 15 different ways. Service B is relatively simple, with only 5 possible defects. The company produces 500 units of A and 1000 units of B. A total of 10 defects are experienced in product A and 17 defects are experienced in product B. What is the DPMO (Defects Per Million Opportunities) for the overall process?
A) 18,000
B) 2,160
C) 18
D) 216
E) 457
B) 2,160
A company generates 22,700 Defects Per Million Opportunities. What is the Sigma level performance of the company?
A) 4.0
B) 3.7
C) 1.2
D) 2.8
E) 3.5
E) 3.5
A Lean Six Sigma team at an insurance company has been working on a project to reduce the number of claim defects leading to denied claims. A control chart of claim denials is out-of-control. What conclusion should the team draw from this condition?
A) The number of denials has gone up.
B) The number of denials has gone down.
C) The process is unstable over time.
D) The process is exhibiting less variability over time.
E) The process is exhibiting more variability over time.
C) The process is unstable over time.
A Lean Six Sigma team is working to reduce the frequency of medical errors, and wishes to track the number of errors per patient per day. The sample size of patients varies from day to day. Which type of attribute control chart should the team use?
A) c Chart
B) p Chart
C) np Chart
D) u Chart
E) cp Chart
D) u Chart
A diagnostic lab has chartered a Lean Six Sigma team to reduce the frequency of samples with label problems. The team has data available on the percentage of samples with a label problem and wishes to chart this measure. Volume is high and stable enough to assume a constant sample size. Which type of attribute control chart should the team use?
A) c Chart
B) p Chart
C) np Chart
D) u Chart
E) cp Chart
B) p Chart
After implementing process improvement actions, new data placed on the SPC chart of the old process shows consistent variability about the mean on the X-bar chart, but the R chart shows eight points below the R-bar line. What is happening?
A) The improvement actions were successful in shifting the process mean.
B) The R-bar chart is now in control.
C) The process is exhibiting less variability between observations (part to part).
D) The R-bar chart is out-of-control, indicating that the improvement action was not effective.
C) The process is exhibiting less variability between observations (part to part).
A Six Sigma team within the Finance Department is working on a project to reduce the number of journal entry errors, which are delaying the monthly closing process. The team has gathered data over time, and wishes to track the percentage of erroneous entries using a p chart. If p-bar is 0.036, and n = 2,000, what is the Upper Control Limit for the chart?
A) 0.036
B) 0.072
C) 0.144
D) 0.048
E) 0.108
D) 0.048
A Lean Six Sigma team working to reduce the amount of bad debts is tracking the dollar amount of receivables over 90 days past due. The team is using an Individuals and Moving Range control chart (XmR or ImR chart). The average balance outstanding (X-bar) is $736,500. The Mean Moving Range is $58,000. What is the upper control limit for the Individuals (X) chart?
A) $926,160
B) $918,620
C) $910,500
D) $890,780
E) $818,620
D) $890,780
An order processing operation has a specification of 4.0 hours + or - 1.0 hours. The process mean is 4.2 hours, with a standard deviation of 0.25 hours. The process is stable and normally distributed. What is the Cp and Cpk of the process?
A) 2.67, 1.33
B) 1.07, 1.33
C) 2.67, 1.07
D) 1.33, 1.07
D) 1.33, 1.07
A Six Sigma team wishes to calculate Cpk in order to assess the capability of an order entry process. The team has determined that the process data are not normally distributed (the distribution is skewed after all confirmed outliers have been removed). What should the team do?
A) Use Cp instead of Cpk.
B) Remove the data points that are causing the skewness as they may be outliers.
C) Adjust the Cpk calculation by 1.5 standard deviations.
D) Transform the data to more closely fit a normal distribution.
E) Eliminate the underlying source of variability before calculating Cpk.
D) Transform the data to more closely fit a normal distribution.
An SPC chart of a process under study has several recent plot points outside of the lower control limit. The team has taken actions to move the process in this direction, so the out-of-control condition is a favorable shift. The Six Sigma team wants to calculate the Cpk in order to assess process capability. What should the team do?
A) Calculate the Cpk using data prior to the out-of-control condition.
B) Calculate the Cpk using all data since the out-of-control condition may be favorable.
C) Collect 20 additional data points to confirm the process shift, confirm stability, then calculate Cpk from data collected after the shift.
D) Calculate Cp instead of Cpk
E) Calculate Ppk instead of Cpk.
C) Collect 20 additional data points to confirm the process shift, confirm stability, then calculate Cpk from data collected after the shift.
What is the purpose of a trend chart?
A) Evaluate general performance over time.
B) Show the correlation between inputs and outputs.
C) Make point to point comparisons.
D) Prioritize improvement projects.
E) Identify the root cause of a problem.
A) Evaluate general performance over time.
A Lean Six Sigma team is trying out a new forming tool to reduce variability in a process that creates hamburgers patties in a fast food restaurant. One of the significant dimensions has a process standard deviation of 0.35 mm. The team needs to know how many samples to collect in order to achieve an estimate of the mean with precision of + or - 0.15 mm, with 95% confidence. What sample size is required to meet this goal?
A) 21
B) 12
C) 42
D) 84
E) 65
A) 21
What is the purpose of a Scatter Plot Diagram, and in what phase of the DMAIC cycle is it most frequently used?
A) Visually display the relationship between several variables, Define
B) Quantify the relationship between two variables, Improve
C) Evaluate the stability of a process, Measure
D) Visually display the dispersion, or spread, of a process, Analyze
E) Visually display the relationship between two variables, Analyze
E) Visually display the relationship between two variables, Analyze
Two variables (A & B) have a correlation coefficient (r) of 0.74. Which of the following is a true statement?
A) The coefficient of determination is 0.86.
B) There is a strong causal relationship between the two variables.
C) Variation in one variable accounts for 55% of the variation in the other.
D) Variation in A causes variation in B with 74% confidence.
C) Variation in one variable accounts for 55% of the variation in the other.
Which of the following is a primary use of Fishbone Cause and Effect Charts?
A) Provide a project road map.
B) Quantify relationships between input and output.
C) Show process performance over time.
D) Categorize process inputs by department.
E) Identify potential root causes of variability.
E) Identify potential root causes of variability.
A Lean Six Sigma team wants to learn more about the CAUSES of defects in an insurance claim submission process. Which two tools would be most appropriate for this task?
A) Trend Chart & Pareto Chart
B) Fishbone Diagram & Errorproofing
C) 5-Why Analysis & Histogram
D) Fishbone Diagram & 5-Why Analysis
E) FMEA & Errorproofing
D) Fishbone Diagram & 5-Why Analysis
What is the primary purpose of Five-Why analysis?
A) Ask why five times to identify improvement actions.
B) Ask why five times to ensure full input by team members.
C) Ask why enough times to work back to the true root cause.
D) Ask why enough times to identify all of the potential effects of variability.
E) Ask why five times to identify the guilty person.
C) Ask why enough times to work back to the true root cause.
A Sales Manager is analyzing the performance of the sales force, which exhibits wide variation between individuals. It appears that the more experienced salespeople generate consistently higher sales. The Sales Manager wonders if sales performance can be predicted from experience and training. Download the data and construct a model using Multiple Regression with alpha = 5%. If both independent variables are included, what is R-squared (Unadjusted)?
A) 89.0%
B) 72.9%
C) 77.0%
D) 79.2%
E) 85.7%
D) 79.2%
Using the same data regarding sales performance, training, and experience, what is the prediction equation for a model constructed using both independent variables? Click here to download the data. )
A) Sales = (4.0657)Experience + (10.84)Training + 79.7183
B) Sales = (0.9226)Experience + (2.8337)Training + 9.9627
C) Sales = (4.4069)Experience + (3.8254)Training + 8.0016
D) Sales = (10.84)Experience + (4.0657)Training + 79.7183
E) Sales = (2.8337)Experience + (0.9226)Training + 9.9627
A) Sales = (4.0657)Experience + (10.84)Training + 79.7183
A researcher believes that Drug A is more effective (has a larger mean) than Drug B. What is an appropriate alternative hypothesis for any test he may conduct (note: µ = mean)?
A) µ A > µ B
B) µ A - µ B > 0
C) µ B < µ A
D) All of the above
E) None of the above
D) All of the above
What is the false rejection of the null hypothesis called?
A) Level of significance
B) Type I error
C) Level of confidence
D) Confidence interval
E) Type II error
B) Type I error
The probability of obtaining a test statistic value at least as extreme as the observed test statistic (computed from the sample) under the assumption that the null hypothesis is true, is called the:
A) P-value
B) Level of significance
C) Type I error
D) Level of confidence
E) Type II error
A) P-value
A Lean Six Sigma team is comparing a new treatment to the existing process and would like to be 95% confident in the conclusion. What is the risk, or significance level threshold for the decision-making process?
A) 0.025
B) 0.95
C) 0.05
D) Unknown from the data provided.
C) 0.05
A public poll on the perception of business ethics asked consumers and CEOs whether they considered 'insider trading' a management practice that is 'always wrong'. A two proportions test was performed on the data, to see if the views of consumers differed from those of CEOs on this issue. The p-value of the test was computed to be 0.06. Is this enough evidence to declare a significant difference between consumers and CEOs on this issue, at a 10% significance level?
A) Yes. The data do provide enough evidence at the 10% level to conclude that the proportion of consumers that consider insider trading to be always wrong is the same as the proportion of CEOs that do.
B) No. There isn't enough evidence to suggest that one group differs from the other on this issue.
C) Yes. The data do provide enough evidence at the 10% level to conclude that the proportion of consumers that consider insider trading always wrong is significantly different from the proportion of CEOs that do.
D) There isn't enough data supplied in this question to make any conclusions
C) Yes. The data do provide enough evidence at the 10% level to conclude that the proportion of consumers that consider insider trading always wrong is significantly different from the proportion of CEOs that do.
Which is the correct set of assumptions needed for comparing 3 or more means?
A) Independent observations and Normality
B) Equal variances, Independent observations, and Normality
C) Independent observations, Large sample sizes, and Normality
D) Dependent observations and Equal variances
E) Equal variances and Large sample sizes
B) Equal variances, Independent observations, and Normality
A consumer advocacy group wants to test the difference between the average amount of Term life insurance and the average amount of Whole life insurance purchased by families. A sample of 27 randomly selected families who have Term life insurance only and 29 randomly selected families who have Whole life insurance only yielded the following statistics:
Term life insurance: Average = 105000, Standard deviation = 32000
Whole life insurance: Average = 85000, Standard deviation = 25500
Is there evidence at the 5% level of a difference between the two groups (variances are assumed to be unequal)?
A) p-value = 0.013; Reject H0; the two groups differ significantly in terms of average amount of life insurance purchased.
B) p-value = 0.013; Do not reject H0; the two groups are the same in terms of average amount of life insurance purchased.
C) p-value = 0.05; Do not reject H0; the two groups differ significantly in terms of average amount of life insurance purchased.
D) p-value = 0.013; Reject H0; the two groups are the same in terms of average amount of life insurance purchased.
A) p-value = 0.013; Reject H0; the two groups differ significantly in terms of average amount of life insurance purchased.
A pharmacy performed an FMEA on the prescription preparation process. One element of the process had an RPN much higher than the others. Which statement is true?
A) The element with a high RPN indicates conformance with safety standards.
B) The process element with a high RPN is the most reliable process.
C) The high RPN number is a baseline for raising the RPN's of other elements.
D) The element with a high RPN has higher risk, and should be a top priority for corrective action.
E) All elements with an RPN have been proven to be reliable.
D) The element with a high RPN has higher risk, and should be a top priority for corrective action.
Which of the following is the best description of External Set-up?
A) Set-up activities which take place outside
B) Set-up activities which take place while the process is not running
C) Set-up activities which take place while the process is running
D) Set-up activities which are conducted by external personnel
E) Set-up activities which require external inputs from other processes
C) Set-up activities which take place while the process is running
A financial services firm routinely processes a large volume of account change requests. A Lean Six Sigma team wants to understand the resources required to maintain a maximum target cycle time of 16 hours. When demand fluctuates, personnel can be reassigned temporarily to increase the rate of processing. If the normal processing rate is 2 per minute, what should the maximum items in process (queue) before reassigning resources?
A) 16
B) 32
C) 120
D) 960
E) 1920
E) 1920
Which is one of the most crucial actions in the process of achieving continuous flow?
A) Creating a value stream map.
B) Eliminating non valued-added steps.
C) Reducing batch size toward one.
D) Calculating Takt time.
E) Changing the flow to a cellular design.
C) Reducing batch size toward one.
Which of the following is a component of Design for Manufacturability?
A) Emphasize unique parts for each application.
B) Design all parts in house to ensure compatibility.
C) Use the minimum number of parts possible.
D) Specify improved process capability to allow tighter tolerances.
E) Allow greater adjustment to encourage craftsmanship.
C) Use the minimum number of parts possible
In setting up a work cell, which of the following activities is NOT required to create the future state map?
A) Identify any needs for additional equipment.
B) Establish operator quality self checks for each operation.
C) Map the existing process.
D) Collect baseline performance data.
E) Review process step cycle times and setup times.
B) Establish operator quality self checks for each operation.
Which of the following is not a reason to pilot?
A) Reduce risk
B) Uncover unidentified issues
C) Allow for verification prior to implementation
D) Evaluate design alternatives
E) Reduce disruptions
D) Evaluate design alternatives
Which is the primary tool used to identify indirect effects and unintended consequences?
A) Design for Manufacturability
B) Failure Mode and Effects Analysis
C) Error-Proofing
D) System Diagrams
E) CHECK Process
D) System Diagrams
Which of the following is NOT a direct benefit of Brainstorming?
A) Encourage new and innovative solutions.
B) Track who is supposed to do what, when.
C) Encourage wider team participation.
D) Improve dialogue between team members.
E) Tap into the creativity of those who know the process.
B) Track who is supposed to do what, when.
Three of the following are categories of Error-Proofing techniques. Which one is NOT?
A) Elimination
B) Shutdown
C) Warnings
D) Auto-correction
A) Elimination
Which of the following is NOT a benefit of the Corrective Action Matrix?
A) Communicate who is responsible to implement actions.
B) Communicate when actions are due to be implemented.
C) Identify relationships between corrective actions.
D) Track status relative to target implementation date.
E) Communicate effectiveness of each action.
C) Identify relationships between corrective actions.
Which of the following is NOT an output of benchmarking the competition?
A) Quantify any gap in performance.
B) Quantify the current Sigma Level of your organization.
C) Communicate greater possibilities within your organization.
D) Identify Best Practices.
E) Generate new ideas for improvement.
B) Quantify the current Sigma Level of your organization.
Which of the following is the primary reason for a project team to consider closing out the project?
A) Product or service has been launched
B) Customer requirements have been met
C) Budget has been expended
D) Timeline calls for project close-out
E) Project team has disbanded
B) Customer requirements have been met
This question refers to the reaction plan from the SPC lesson practice exercise. What does the chart champion /data collector do after a corrective action has been implemented to remove a special cause?
A) Collect seven additional subgroup samples to confirm effectiveness of the corrective action.
B) Continue to monitor according to the sampling plan.
C) Collect twenty subgroups of data and establish control limits.
D) Revise sampling plan to collect more frequent samples.
A) Collect seven additional subgroup samples to confirm effectiveness of the corrective action.
Which of the following is NOT a function of the Control Plan?
A) Maintain a central record of significant characteristics and their chart location.
B) Document who collects and charts data on significant characteristics.
C) Control the process of identifying significant characteristics.
D) Document the measurement instrument used to collect data on each significant characteristic.
C) Control the process of identifying significant characteristics.
An FMEA was constructed as part of a project to reduce invoicing errors. One of the potential failure modes was "Incorrect Price in Computer System". Values were assigned as follows:
Severity - 8
Occurrence - 2
Detection - 9
What is the RPN for this failure mode, and which action would you recommend to improve the RPN based on this limited data?
A) RPN=144, Error-proofing to decrease the probability of Occurrence and raise the Occurrence score
B) RPN= 19, Error-proofing to increase the probability of Detection and reduce the Detection score
C) RPN=144, Error-proofing to increase the probability of Detection and reduce the Detection score
D) RPN= 19, Error-proofing to decrease the probability of Occurrence and raise the Occurrence score
E) RPN=144, Error-proofing to increase the probability of Detection and raise the Detection score
C) RPN=144, Error-proofing to increase the probability of Detection and reduce the Detection score
Which three actions are correct to improve Visual Control?
A) Re-arrange inventory by department, centralize racks, clean and organize workstations.
B) Move racks to a warehouse, display performance charts, install surveillance cameras.
C) Reduce inventory, display performance charts, install Andon boards to measure scrap.
D) Clean and organize workstations, generate daily reports on control plan status, build higher racks.
E) Reduce inventory, clean and organize workstations, display performance charts.
E) Reduce inventory, clean and organize workstations, display performance charts.
Who determines what is or is not a Best Practice?
A) Industry trade groups.
B) International Association of Benchmarking.
C) Individual organizations based on their knowledge and experience.
D) American Society for Quality.
E) American Production and Inventory Control Society
C) Individual organizations based on their knowledge and experience.
When applying 5-S principles to improve workplace organization and efficiency, what is the first step?
A) Set in Order (Straighten)
B) Standardize
C) Shine
D) Sort
E) Sustain
D) Sort
Over the course of a week, a document binding facility experienced the following: 73 out of 1000 units produced had defects, 2.5 out of 80 scheduled production hours were lost due to minor line stoppages, and 1.5 out of 80 scheduled production hours were lost due to equipment breakdowns. What was the Overall Equipment Effectiveness (OEE) of the facility?
A) 88%
B) 92%
C) 86%
D) 94%
E) 84%
A) 88%
What is the objective that drives the establishment of Standard Work?
A) The objective is to link all work of the enterprise to customer standards.
B) The objective is to reduce variability (waste) by ensuring that everyone performing the work uses the same best methods.
C) The objective is to ensure interoperability of all office equipment through conformance to international standards.
D) The objective is to speed financial transactions by standardizing the financial terms used to communicate between business units.
E) The objective is to establish a standard cost for all work so that the financial reports will accurately reflect the profitability of the enterprise.
B) The objective is to reduce variability (waste) by ensuring that everyone performing the work uses the same best methods.
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