Question: If a process is operating at the 3 sigma level (99.73 percent ) and each defect costs $10 and annual production is 500,000, what is

If a process is operating at the 3 sigma level (99.73 percent ) and each "defect" costs $10 and annual production is 500,000, what is the annual cost of poor quality?

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!