A Belt working in a supply chain environment has to make a decision to change suppliers of critical raw materials for a new product upgrade. The purchasing manager is depending on the Belt's effort requiring that the average cost of an internal critical raw material component be less than or equal to $2,800 in order to stay within budget. Using a sample of 55 first article components, a Mean of the new product upgrade price of $2,240 and a Standard Deviation of $120 was estimated. Based on the data provided, the Z value for the data assuming a Normal Distribution is?
A. 2.33
B. 4.67
C. 6.48
D. 8.28
The two types of data that can be used in Statistical Analysis are Attribute and Variable.
A. True
B. False
For a Normal Distribution as samples size increases the Range in Mean and Standard Deviation decrease relative to the Mean and Standard Deviation of the population.
A. True
B. False
Fractional Factorial Designs are used to analyze factors to model the output as a function of inputs if Hypothesis Testing in the Analyze Phase was inadequate to sufficiently narrow the factors that significantly impact the output(s).
A. True
B. False
The validity of the decision made with Hypothesis Testing is dependent upon all of these except ___________________.
A. Beta risk
B. Alpha risk
C. Range of data
D. Sample size
What dollar amount of savings would a project show if it reduced your outstanding Accounts Receivable by $1.4 million dollars to $5.3 million total and your organization's marginal cost of capital was 6.2%?
A. $43,400
B. $86,800
C. $117,500
D. $328,600
When variation is removed from the output of a process then the process customer can have more confidence in the experience that results from the process.
A. True
B. False
Following the completion of a LSS project the Belt not only creates a Control Plan he also develops a _____________ so those involved in the process know what to do when the critical metrics move out of spec.
A. Response Plan
B. Call List
C. Chain-of-Command
D. Defect Analysis Plan
If an experiment has 5 factors and no replicates for a 2-level Experimental Design with 16 experimental runs which statement is incorrect?
A. The Experimental Design is half-fractional
B. The Main Effects are confounded with only 4-way interactions
C. The Main Effects for the 5 factors are not aliased or confounded but the 2-way interactions are confounded with the 3-way interactions
D. The experiment has 8 experimental runs with the first factor at the high level
What conclusion is most correct about the Experimental Design shown here with the response in the far right column?
A. No factor has enough statistical confidence greater than 95% to have an impact on the response rate
B. Constant, Adv and Bev are the only factors statistically affecting the response rate with 95% confidence or more
C. If the Adv is increased from the low level to the high level, the response rate increases
D. The response level is statistically concluded to only need the Adv and Bev factors set at the low level to get the largest response rate
E. This design does not have enough experimental runs to conclude anything as evidenced by the lack of P-values in the MINITABTM output
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