Statistical quality control. Keltrex Cereals produces a wide variety of breakfast products. The company's three best selling

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Statistical quality control. Keltrex Cereals produces a wide variety of breakfast products. The company's three best selling breakfast cereals are Double Bran Bits, Honey Wheat Squares, and Sugar King Pops. Each box of a particular type of cereal is required to meet pre-determined weight specifications, so that no single box contains more or less cereal than another. The company measures the mean weight per production run to determine if there are variances over or under the company's specified upper and lower level control limits. A production run that falls outside of the specified control limit does not meet quality standards and is investigated further by management to determine the cause of the variance. The three Keltrex breakfast cereals had the following weight standards and production run data for the month of March:

Required

1. Using the ?2?? rule, what variance investigation decisions would be made?

2. Present control charts for each of the three breakfast cereals for March. What inferences can you draw from the charts?

3. What are the costs of quality in this example? How could Keltrex employ Six Sigma programs to improvequality?

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Cost Accounting A Managerial Emphasis

ISBN: 978-0132109178

14th Edition

Authors: Charles T. Horngren, Srikant M.Dater, George Foster, Madhav

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