When Using the Statistical Control Chart to Investigate Variances

question 8

Multiple Choice

When using the statistical control chart to investigate variances:

• A) Managers should only investigate variances that are beyond the critical value
• B) Managers should only investigate variances that are fall below the critical value over a number of consecutive periods
• C) Any variances that go beyond the critical values are likely to be the result of random events such as employee illness
• D) Managers should estimate the critical values by averaging the variances over a number of periods

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Definitions:

Processing Time

The amount of time required to complete a particular process, often used in the context of manufacturing or computing.

Queue Capacity

The maximum number of items or entities that can wait in line for a service or resource at any one time, influencing the efficiency and effectiveness of service delivery systems.

Work Cycles

The repeated sequence of operations or activities performed in the course of completing a job or task.

Work Station 1

A designated area in a workplace where specific tasks are performed, tailored to the requirements of that task.