The _____ is a normalization factor for the supplier performance index (SPI) that eliminates high-dollar lot bias.
A) Cp
B) MRO
C) Q adjustment factor
D) Cpk
E) Rfx

Question

Quizplus · Accepted Answer

The Q adjustment factor is a normalization factor that eliminates high-dollar lot bias in the supplier performance index (SPI). This ensures that the SPI reflects the supplier's true performance, rather than being skewed by the impact of high-dollar lots. Cp and Cpk are process capability indices used to evaluate the stability of a manufacturing process. MRO refers to maintenance, repair, and operations supplies, and Rfx is a term that can refer to a variety of procurement processes, such as request for proposals or request for quotes.

The _____ Is a Normalization Factor for the Supplier Performance