A Belt working in a supply chain environment has to make a decision to change suppliers of critical raw
materials for a new product upgrade. The purchasing manager is depending on the Belt’s effort requiring that
the average cost of an internal critical raw material component be less than or equal to $4,200 in order to stay
within budget. Using a sample of 35 first article components, a Mean of the new product upgrade price of
$4,060, and a Standard Deviation of $98 was estimated. In order to increase the Long Term Z value to 4, what
is the maximum long term variation in pricing the Belt can accept for his upgraded critical raw material
component?
One of the primary deliverables from performing a SIPOC is to begin to understand which outputs have the
greatest affect on the customer most valued inputs
If the production is for higher volume and monitoring and the Mean and variability is to be monitored for four
machines producing product and the characteristic to be monitored is Variable Data, which SPC Chart is best
to be selected?