Define the Term Statistical Process Control

question 51

Essay

Define the term statistical process control.Outline the steps for setting up a control chart to monitor a process.

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Definitions:

Standard Costs

Predetermined or estimated costs used to measure the performance of a company based on the efficient use of labor and materials.

Actual Costs

The realized expenses incurred in the production of goods or services, as distinguished from estimated costs or budgeted amounts.

Principle of Exceptions

A management principle focusing on the identification and handling of cases that deviate from the norm.

Labor Rates

The amount paid to workers for their services, usually expressed on an hourly basis.