Supply Chain Management Quality Control 5 — Questions and Answers
Question 1: In supply chain quality, what is 'cost of poor quality' (COPQ)?
- The price premium paid for certified suppliers
- The total cost incurred from producing and correcting defects (Correct answer)
- The expense of quality audits and certifications
- The labor cost of quality control inspectors
Correct answer: The total cost incurred from producing and correcting defects
COPQ encompasses all costs from defects: internal failures, external failures, appraisal, and prevention costs.
Question 2: What is the role of a Material Review Board (MRB) in supply chain quality?
- To approve new supplier qualifications
- To make disposition decisions on nonconforming materials (Correct answer)
- To conduct supplier performance reviews
- To set incoming inspection sampling levels
Correct answer: To make disposition decisions on nonconforming materials
An MRB is a cross-functional team that reviews nonconforming materials and decides whether to accept, rework, repair, or scrap them.
Question 3: Which chart type is most appropriate for monitoring the proportion of defective units in a variable-size sample?
- X-bar and R chart
- p-chart (Correct answer)
- c-chart
- CUSUM chart
Correct answer: p-chart
A p-chart monitors the proportion of nonconforming items and accommodates variable sample sizes.
Question 4: What is 'Design for Quality' (DfQ) in supply chain management?
- Designing quality inspection procedures for existing products
- Incorporating quality requirements into product and process design from the start (Correct answer)
- Designing supplier scorecards and audit protocols
- Creating quality metrics for distribution centers
Correct answer: Incorporating quality requirements into product and process design from the start
DfQ integrates quality considerations during the design phase to prevent defects rather than detect them later.
Question 5: A supplier scorecard shows a vendor scoring 62 out of 100 on quality metrics. Under most supply chain frameworks, this would result in:
- Automatic supplier termination
- Preferred supplier status
- Probationary status with a required improvement plan (Correct answer)
- No action — 62% is acceptable
Correct answer: Probationary status with a required improvement plan
Scores below 70-75 typically place suppliers on probation, requiring a corrective action plan and close monitoring.
Question 6: What is the purpose of a Process Failure Mode and Effects Analysis (PFMEA)?
- To audit suppliers for ISO compliance
- To proactively identify how a process might fail and assess risk before production (Correct answer)
- To document defects found during final inspection
- To calculate the cost of quality initiatives
Correct answer: To proactively identify how a process might fail and assess risk before production
PFMEA is a proactive risk assessment tool that identifies potential process failure modes, their effects, and prioritizes prevention actions.
Question 7: In the context of supply chain quality, what does 'dock-to-stock' mean?
- Shipping products directly from the dock to end customers
- Moving certified supplier materials directly to inventory without inspection (Correct answer)
- A process for tracking goods from port to warehouse
- A method of consignment inventory management
Correct answer: Moving certified supplier materials directly to inventory without inspection
Dock-to-stock allows trusted suppliers' materials to bypass incoming inspection and go straight to inventory, based on proven quality history.
Supply Chain Management Quality Control 5
In supply chain quality, what is 'cost of poor quality' (COPQ)?