A Process Capability Index (C_p) Value of 1 Means That

question 37

Multiple Choice

A process capability index (C_p) value of 1 means that what percent of products produced will fall within the specification limits?

• A) 0.26%
• B) 90.00%
• C) 95.44%
• D) 99.74%
• E) 100.00%

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Definitions:

Benchmarking

The process of comparing one's business processes and performance metrics to industry bests or best practices from other companies.

Better Performing Companies

Firms that consistently outperform their peers in metrics such as profitability, market share, or innovation.

Standard Costs

Predetermined costs that are used as benchmarks against which actual costs are compared.

Kilograms

A unit of mass in the metric system, equivalent to 1,000 grams, used globally for measuring weight.