Page 81 - Six Sigma Demystified

62 Six SigMa DemystifieD

7. In terms of project focus, Jack Welch felt that the best projects
a. attacked internal process inefficiencies.
b. solved problems experienced by customers or the end users of the customer’s
products or services.
C. corrected supplier issues that permeated throughout ge.
D. were micromanaged by the project sponsor to ensure that the desired solution
was implemented.

8. The Pareto priority index (PPI, expressed in unit per day) for a project saving
$125,000 at a deployment cost of $6,200 over a 100-day project deployment
with an expected 75 percent probability of success is
a. 5.0.
b. 0.21.
C. 6.6.
D. 0.15.

9. The reduced cost of labor is an acceptable project benefit
a. in any competitive market.
b. only when labor is in tight demand.
C. whenever labor cost exceeds the cost to train new employees.
D. only if the labor is reassigned or eliminated or if the resulting capacity increase
results in higher sales.

10. The preferred method for evaluating projects when there are several criteria,
each of which has a different relative weight, is a
a. Pareto priority index.
b. matrix diagram.
C. prioritization matrix.
D. DMaiC project.