CPP Quality Assurance in Purchasing 2 — Questions and Answers
Question 1: A supplier consistently delivers products with a defect rate of 0.5%. According to Six Sigma principles, what sigma level does this approximate?
- Three sigma
- Four sigma (Correct answer)
- Five sigma
- Six sigma
Correct answer: Four sigma
A defect rate of approximately 0.5% (5,000 DPMO) corresponds to roughly four sigma performance.
Question 2: Which quality tool is BEST suited for identifying the root cause of a recurring supplier defect?
- Control chart
- Fishbone (Ishikawa) diagram (Correct answer)
- Pareto chart
- Scatter diagram
Correct answer: Fishbone (Ishikawa) diagram
The Ishikawa (fishbone) diagram systematically categorizes potential causes (machines, methods, materials, manpower) to identify root causes.
Question 3: An incoming inspection reveals that 3 out of 150 sampled units are defective. What is the approximate defect rate?
- 0.5%
- 1%
- 2% (Correct answer)
- 3%
Correct answer: 2%
3 defective units out of 150 sampled equals 3/150 = 0.02, or 2%.
Question 4: A purchasing manager wants to verify a supplier's quality management system without conducting a full audit. Which approach is MOST appropriate?
- Reviewing the supplier's ISO 9001 certification (Correct answer)
- Requesting a corrective action report
- Performing a product inspection
- Issuing a supplier scorecard
Correct answer: Reviewing the supplier's ISO 9001 certification
ISO 9001 certification from an accredited registrar independently confirms that a supplier's QMS meets international standards.
Question 5: Which contract clause gives a buyer the right to inspect goods at the supplier's facility before shipment?
- Right of first refusal
- Source inspection clause (Correct answer)
- Liquidated damages clause
- Force majeure clause
Correct answer: Source inspection clause
A source inspection clause contractually grants the buyer access to inspect and approve goods at the supplier's location prior to delivery.
Question 6: What does 'zero defects' as a quality philosophy primarily emphasize?
- Accepting an AQL of 0%
- Statistical process control at every stage
- Prevention of defects rather than detection and correction (Correct answer)
- 100% inspection of all incoming goods
Correct answer: Prevention of defects rather than detection and correction
Philip Crosby's zero defects philosophy stresses that doing things right the first time through prevention is more cost-effective than finding and fixing errors.
Question 7: A buyer receives a shipment that does not meet purchase order specifications. What is the FIRST step in formal quality nonconformance management?
- Issue a corrective action request (CAR) to the supplier
- Return the entire shipment immediately
- Document and quarantine the nonconforming material (Correct answer)
- Terminate the supplier contract
Correct answer: Document and quarantine the nonconforming material
Nonconforming material must first be identified, documented, and segregated to prevent its inadvertent use before corrective action is initiated.
A supplier consistently delivers products with a defect rate of 0.5%.
According to Six Sigma principles, what sigma level does this approximate?