COB 300 Operations Test 2 (Pal) Exam Study Guide | 2026 Business Operations Prep
Phases of Quality Assurance - (answer)1. Acceptance sampling: inspection before/after production (least
progressive)
2. Process control: inspection and corrective action during production
3. Continuous improvement: quality built into the process (most progressive)
Inspection - (answer)An appraisal activity that compares goods or services to a standard
Inspection Issues - (answer)1. How much to inspect and how often
2. At what points in the process to inspect
3. Whether to inspect in a centralized or on-site location
4. Whether to inspect attributes or variables
Where to inspect in the process - (answer)1. Raw materials and purchased parts
2. Finished products
3. Before a costly operation
4. Before an irreversible process
5. Before a covering process
Centralized vs On-Site Inspection - (answer)Effects on cost and level of disruption are major
considerations
Centralized - (answer)-Specialized tests that may best be completed in a lab
-More specialized testing equipment
-More favorable testing environment
On-Site Inspection - (answer)-Quicker decisions are rendered
-Avoided introduction of extraneous factors
-Quality at the source
,COB 300 Operations Test 2 (Pal) Exam Study Guide | 2026 Business Operations Prep
two basic questions concerning variability - (answer)-Issue of Process Control
-Issue of Process Capability
Issue of process control - (answer)Are the variations random? If nonrandom variation is present, the
process is said to be unstable.
Issue of Process Capability - (answer)Given a stable process, is the inherent variability of the process
within a range that conforms to performance criteria?
Steps required for effective control - (answer)-Define: What is to be controlled?
-Measure: How will measurement be accomplished?
-Compare: There must be a standard of comparison
-Evaluate: Establish a definition of out of control
-Correct: Uncover the cause of nonrandom variability and fix it
-Monitor: Verify that the problem has been eliminated
Statistics to manage quality - (answer)-Requires less labor (reduces costs)
-Useful when testing destroys products
Categories of statistical tools - (answer)-Statistical process control
-Acceptance sampling
Statistical process control - (answer)Assesses whether or not an ongoing process is preforming within
established limits
Acceptance Sampling - (answer)Assesses the quality of parts or products after they have been produced
, COB 300 Operations Test 2 (Pal) Exam Study Guide | 2026 Business Operations Prep
Statistical Process Control (SPC) - (answer)A quantitative method for determining whether a particular
process is in or out of control
Process Variations - (answer)-Random (common cause) variations
-Assignable (special cause) variations
Random (common cause) variation - (answer)Natural variation in the output of a process, created by
countless minor factors
Assignable (special cause) variation - (answer)-Variations whose source can be identified
-Easy to control/correct
Why are samples taken? - (answer)To determine whether assignable variations are present in the
output of a process
Central Limit Theorem - (answer)Sample means will be normally distributed no matter whatever
distributions the samples follow
Types of Data - (answer)-Variable: data that measures a particular product characteristic (continuous)
(length or width)
-Attribute: data that counts items (discrete) - number of defective items in a sample
Variable Charts - (answer)- R chart
- X-bar chart
Attribute Charts - (answer)-p-chart
-c-chart
Fundamental concept in Control Charts - (answer)-95.44% of all sample means fall within +- 2 standard
deviations
Phases of Quality Assurance - (answer)1. Acceptance sampling: inspection before/after production (least
progressive)
2. Process control: inspection and corrective action during production
3. Continuous improvement: quality built into the process (most progressive)
Inspection - (answer)An appraisal activity that compares goods or services to a standard
Inspection Issues - (answer)1. How much to inspect and how often
2. At what points in the process to inspect
3. Whether to inspect in a centralized or on-site location
4. Whether to inspect attributes or variables
Where to inspect in the process - (answer)1. Raw materials and purchased parts
2. Finished products
3. Before a costly operation
4. Before an irreversible process
5. Before a covering process
Centralized vs On-Site Inspection - (answer)Effects on cost and level of disruption are major
considerations
Centralized - (answer)-Specialized tests that may best be completed in a lab
-More specialized testing equipment
-More favorable testing environment
On-Site Inspection - (answer)-Quicker decisions are rendered
-Avoided introduction of extraneous factors
-Quality at the source
,COB 300 Operations Test 2 (Pal) Exam Study Guide | 2026 Business Operations Prep
two basic questions concerning variability - (answer)-Issue of Process Control
-Issue of Process Capability
Issue of process control - (answer)Are the variations random? If nonrandom variation is present, the
process is said to be unstable.
Issue of Process Capability - (answer)Given a stable process, is the inherent variability of the process
within a range that conforms to performance criteria?
Steps required for effective control - (answer)-Define: What is to be controlled?
-Measure: How will measurement be accomplished?
-Compare: There must be a standard of comparison
-Evaluate: Establish a definition of out of control
-Correct: Uncover the cause of nonrandom variability and fix it
-Monitor: Verify that the problem has been eliminated
Statistics to manage quality - (answer)-Requires less labor (reduces costs)
-Useful when testing destroys products
Categories of statistical tools - (answer)-Statistical process control
-Acceptance sampling
Statistical process control - (answer)Assesses whether or not an ongoing process is preforming within
established limits
Acceptance Sampling - (answer)Assesses the quality of parts or products after they have been produced
, COB 300 Operations Test 2 (Pal) Exam Study Guide | 2026 Business Operations Prep
Statistical Process Control (SPC) - (answer)A quantitative method for determining whether a particular
process is in or out of control
Process Variations - (answer)-Random (common cause) variations
-Assignable (special cause) variations
Random (common cause) variation - (answer)Natural variation in the output of a process, created by
countless minor factors
Assignable (special cause) variation - (answer)-Variations whose source can be identified
-Easy to control/correct
Why are samples taken? - (answer)To determine whether assignable variations are present in the
output of a process
Central Limit Theorem - (answer)Sample means will be normally distributed no matter whatever
distributions the samples follow
Types of Data - (answer)-Variable: data that measures a particular product characteristic (continuous)
(length or width)
-Attribute: data that counts items (discrete) - number of defective items in a sample
Variable Charts - (answer)- R chart
- X-bar chart
Attribute Charts - (answer)-p-chart
-c-chart
Fundamental concept in Control Charts - (answer)-95.44% of all sample means fall within +- 2 standard
deviations