LMC Performance Measurement and Lean Metrics 3

Question 1

When applying the DMAIC framework, during which phase are baseline metrics first formally established?

Accepted Answer

Measure

Answer

The Measure phase collects current-state data to establish a baseline against which improvements are compared.

Question 2

A plant tracks 'escaped defects' versus 'internal defects.' Why is this distinction important in Lean metrics?

Accepted Answer

Escaped defects directly impact customer satisfaction and carry higher cost than internally caught defects

Answer

Defects that escape to customers damage relationships and cost far more to resolve than those caught in-process.

Question 3

What is the primary purpose of a control chart in Lean performance measurement?

Accepted Answer

To distinguish between common-cause and special-cause variation

Answer

Control charts use statistical limits to identify whether variation is inherent to the process or caused by an assignable event.

Question 4

A company introduces a new metric: 'Lean Savings Rate' measured in dollars saved per improvement project. What weakness does this metric have?

Accepted Answer

It focuses on financial output and may discourage small continuous improvements with low dollar impact

Answer

Emphasizing financial savings can lead teams to ignore low-cost kaizen events that build culture and eliminate small wastes.

Question 5

Which calculation correctly determines inventory turns?

Accepted Answer

Cost of goods sold divided by average inventory value

Answer

Inventory turns = COGS / average inventory, showing how many times inventory is sold and replaced in a period.

(LMC) Lean Management Certification Practice Test