The chart provided represents a control chart, which is a statistical process control tool used to monitor process performance over time. In this case, the chart tracks the yield (a measure of output quality) over time.
The control chart has three key lines:
* The central line represents the average yield.
* The upper control limit (UCL) and lower control limit (LCL) define the acceptable range of variation around the average yield.
Interpreting the chart:
* Trend: The yield appears to be decreasing over time, as indicated by the data points moving below the central line.
* Out-of-Control Signals:
* Point sixteen is above the UCL, signaling an out-of-control condition.
* Point four is farther than 2# from the centerline, indicating another out-of-control signal.
* Point eleven is farther than 1# from the centerline, sending a third out-of-control signal.
* Action: Given the declining trend and out-of-control signals, the quality manager should identify the root cause of the yield decline. This involves investigating factors that may be contributing to the decrease in yield and addressing them to improve process performance.
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ASQ Certified Manager Of Quality/Organizational Excellence (CMQ/OE) Body of Knowledge Map 2019

When preparing to negotiate with a current supplier, it is essential to identify critical performance issues. By understanding the supplier's performance metrics, quality, and reliability, the customer can assess the supplier' s ability to meet their requirements. This information allows the customer to negotiate from an informed position, addressing any deficiencies or areas for improvement. Statistical process control (SPC) and reviewing warranty claims are valuable tools, but they do not directly address negotiation preparation. Writing a sample contract may be part of the negotiation process, but it is not the primary way to prepare for negotiations12.
:
ASQ Certified Manager of Quality/Organizational Excellence (CMQ/OE) Body of Knowledge.
ASQ Certified Manager of Quality/Organizational Excellence Certification Handbook12.

Six Sigma is a statistical term used to measure the number of defects that processes create. A process performing at a Six Sigma level allows only 3.4 defects per one million opportunities. The higher the Sigma level, the better the quality of the product or service and the fewer the defects2. Here's the relationship between Sigma levels and DPMO (Defects Per Million Opportunities):
* 1# (One Sigma): DPMO = 691,462 (69.1% yield; 30.9% defect rate)
* 2# (Two Sigma): DPMO = 308,538 (93.1% yield; 6.9% defect rate)
* 3# (Three Sigma): DPMO = 66,807 (99.3% yield; 0.7% defect rate)
* 4# (Four Sigma): DPMO = 6,210 (99.98% yield; 0.02% defect rate)
* 5# (Five Sigma): DPMO = 233 (99.977% yield; 0.023% defect rate)
* 6# (Six Sigma): DPMO = 3.4 (99.99966% yield; 0.00034% defect rate)1
Therefore, achieving Six Sigma performance means maintaining a defect rate of 3.4 defects per million opportunities1.
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Understanding Defects per Million Opportunities (DPMO) - Six Sigma Online How to Calculate Baseline Sigma - Six Sigma Daily Six Sigma Calculator - Good Calculators Defects per million opportunities (DPMO) | Quality Gurus