A statistical control chart:
A) Sets control limits based on managerial intuition and experience with the process.
B) Is useful for identifying random versus systematic variances.
C) Is useful for identifying in-control but not out-of-control operations.
D) Depicts the expected mean (or target) value of a process, but not the allowable range around that value.
E) Determines control limits (both upper and lower) informally, by trial and error.

Question

Quizplus · Accepted Answer

A statistical control chart is a tool that helps distinguish between random versus systematic variations in a process. It set control limits based on the data collected from the process and determine whether the process is in or out of control. Therefore, option B is the best answer. Option A, C, D, and E are not correct because they do not reflect the characteristics of a statistical control chart.

A Statistical Control Chart