1) A process is capable if only common variation is present in the process.
2) Due to the widespread acceptance of benchmarking, it is not difficult to obtain cooperation from other firms in your own industry.
3) Control charts are used to determine whether a process will produce a product or service with consistent measurable properties..
4) Three items in parallel each having a reliability of 0.90 have an overall system reliability of 0.729.
5) The lower control limit for a pchart can be lower than 0.
6) Process stability means that the variation observed in the process is random.
7) Processes that achieve capability indexes of equal or greater than 2.0 have Six Sigma performance.
8) The first component of a complaint resolution process is contrition.
9) The three spheres of quality are planning, design, and improvement.
10) Quality invariably leads to better business results.
B. Please answer the following multiple choice questions (each worth 3 points)):
1. 
A system is to be composed of 5 identical components in series. What is the lowest reliability component that can be used in order to have an overall system reliability of 0.90?
A. 0.98 B. 0.97 C. 0.96 D. 0.95 E. 0.94



2. 
In the __________ stage of team development, the team becomes a cohesive unit and interdependence, trust, and cooperation develop.
A. norming B. forming C. storming D. mourning E. performing



3. 
A project consists of four activities, each of which has a variance of 1. The project standard deviation is:
A. 1 B. 2 C. 3 D. 4 E. 16



4. 
__________ variation is centered on the mean and occurs with a consistent amount of dispersion.
A. Nonrandom B. Consistent C. Systematic D. Deliberate E. Random



5. 
The quadrant in the Risk and Return matrix corresponding to low risk and low return is called:
A. stars B. dogs C. question marks D. low hanging fruit E. wins .



6. 
The final step in the selfassessment process described in the text is to:
A. document findings B. collect data C. evaluate strengths and areas for improvement D. develop improvement strategy E. make a plan



7. 
A(n) __________ is the result of a binomial process that results in an eitherorsituation.
A. variable B. quality C. trait D. attribute E. element



8. 
What is the Taguchi constant for a device that costs $400 to repair and a tolerance of plus or minus 0.5 mm with a mean squared deviation from the target of 0.3?
A. 144 B. 480 C. 4444 D. 1600 E. 1111


9. 
The Xbar chart is a process chart used to monitor the __________ of the characteristic being measured.
A. range B. average C. mode D. dispersion E. parameters



10. 
When we are interested in monitoring a measurement for a particular product in a process, there are two primary variables of interest:
A. the mode of the process and the distribution of the process B. the range of the process and the diffusion of the process C. the mean of the process and the dispersion of the process D. the average of the process and the stability of the process E. the range of the process and the distribution of the process 
C. Please respond to the following questions. Each question is worth 10 points:
1) If a process is Normally distributed what is the relationship between a run chart and a control chart of this process performance? Please discuss.
2) A project manager needs to choose a machine that molds 1inch plastic water pipe. The 1inch pipe has a specification of 1inch plus or minus 0.1 inch. Determine which machine he should choose, by computing and interpreting the process capability index for each machine.