Statistical Techniques in Business and Economics, 17e (Lind) Chapter 19 Statistical Process Control and Quality Management 1) A fishbone diagram is used to determine if a process is out of control. 2) One purpose of quality control is to reduce the costs associated with producing and delivering poor quality goods and services. 3) There are two general types of causes of variations in manufacturing and service processes: chance and assignable causes. 4) Assignable causes are usually large in number and random in nature, and they cannot be entirely eliminated. 5) The purpose of a statistical quality control chart is to identify when assignable causes of variation have entered the production system so that the cause may be identified and corrected. 6) Pareto charts are based on the 80-20 rule, which says 80% of the factors cause 20% of the problem. 7) Quality control charts indicate whether a production process is in control or out of control. 8) Control charts can be developed for both variables and attributes. 9) Mean charts are designed to determine whether a process is in or out of control based on sample means. 10) Percent defective charts, which are also known as p-charts, show the percent of the production that is or is not acceptable. 1 1) A c-bar chart shows the percent of the production that is defective. 12) These are examples of attributes: the width of a cracked weld; the length of time that a relay works; the amount of water in a radiator; the diameter of a tire. 13) In acceptance sampling, usually 100% of the incoming lot is checked. 14) In acceptance sampling, if the number of defects in a sample is less than or equal to the acceptance number, then the incoming lot is accepted. 15) In acceptance sampling, there is one unique operating characteristic curve for a specified sampling plan