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44 Cards in this Set
- Front
- Back
Process Capability Index, CPK
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An index that measures the potential for a process to generate defective outputs relative to either upper or lower specifications.
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Process Capability ratio, CP
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The tolerance width divided by 6 standard deviations.
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Quality
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Term used by customers to describe their general satisfaction with a service or product
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Quality at the source
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Philosophy whereby defects are caught and corrected where they were created
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Quality circles
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Another name for problem-solving; small groups of supervisors and employees who meet to identify , analyze, and solve process and quality problems
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Quality engineering
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An approach originated by Genichi Taguchi that involves combining engineering and statistical methods to reduce costs and improve quality by optimizing product design and manufacturing process.
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Quality loss function
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The rationale that a service or product that barely conforms to the specifications is more like a defective service or product than a pefect one
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R-Chart
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Monitors process variability
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Sample Size
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A quantitiy of randomly selected observations of process outputs
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Sampling Plan
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Specifies a sample size, the time between successive samples, and decision rules that determine action should be taken
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acceptance sampling
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application of stat tech. to determine whether a quantity of material should be accepted or rejected based on the inspection or test of a sample
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appraisal costs
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costs incurred when the firm assess the performance level of its processes
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assignable causes of variation
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any variation causing factors that can be identified and elimanted
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attributes
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service or product characteristic that can be quickly counted for acceptable performance
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black belt
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employee who reached the highest level of training in a six sigma program and spends all of his time teaching and leading teams involved in six sigma projects
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common causes of variation
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purely random unidentifiable sources of variation that are unaviodable with the current process
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continous improvement
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philosphy of continually seeking ways to improve processes based on a japanese concept called kaizen
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control chart
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time ordered diagram that is used to determine whether observed variations are abnormal
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defect
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instance when a process fails to satisfy its customer
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employee empowerment
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approach to teamwork that moves responsibility for decisions further down the organizational chart to the level of the employee actually doing thejob
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external failure costs
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costs that arise when a defect is discovered after the customer receives the srvice or products
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green belt
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employee who achieved the first level of training in a six sigma program and spends part of his or her time teaching and helping teams with their projects
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internal failure costs
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costs resulting from defects that are discovered during the production of a service or product
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iso 9000:2000 200
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set of standards giverning documentation of a quality program
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iso 14000:2004 200
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documentation standards that require participating comapnies to keep track of their raw materials use and their generation treatment and disposal of hazardous wastes
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malcolm baldrige national quailty award
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award anmed for the late secretary of commerce who was a string proponent of enhancing quality as a means of reducing the trade deficit; the award promotes recognizes and publicizes quality startegies and achievements
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master black belt
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full time teahcer and mentor to several black belts
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nominal value
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target for design specifications
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p chart
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chart used for controlling the proportion of defective services or products generated by the process
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Self-managed team
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Small group of employees who work together to produce a major portion, or sometimes all, of a service pr product
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Six Sigma
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Comprehensive and flexible system for achieving, sustaining, and maximizing business success by minimizing defects and variability in processes
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Special-purpose teams
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Groups that address issues of paramount concern to management, labor, or both
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Statistical process control, SPC
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The application of statistical techniques to determine whether a process is delivering what the customer wants
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Teams
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small groups of people who have a common purpose, set their own performance goals and spproaches, and hold themselves accountable for success
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Tolerance
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An allowance above or below the nominal value
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Total Quality Management, TQM
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Philosophy that stresses 3 principles for achieving high levels of process performance and quality;customer satisfaction, employee involvement, and continous improvement in performance
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Type 1 error
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Occurs when the employees concludes that the process is out of control based on a sample result that falls outside the control limits, when in fact it was due to pure randomness
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Type 2 error
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Occurs when the employee concludes that the process is in control and only randomness is present, when actually the process is out of statistical control
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Variables
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Service or product charcteristics, such as weight, length, volume or time, that can be measured
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plan do study act cycle
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cycle also called the demng wheel used by firms actively engaged in continous improvement to train their work teams in problem solving
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preventions costs
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costs associated with preventing defects before they happen
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process capability
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ability of the process to meet the design specfications for a service or product.
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Warranty
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Written guarantee that the producer will replace or repair defective parts or perform the service to the customer's satisfaction
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X- Chart
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Sees whether the process is generating output, an average, consistent with a target value set by management for the process or whether its current performance, with respect to the average of the performance measure, is consistent with a past performance
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