A company manufacturing computer chips finds that 8% of all chips manufactured are defective. Management is concerned that high employee turnover is partially responsible for the high defect rate. In an effort to decrease the percentage of defective chips, management decides to provide additional training to those employees hired within the last year.
After training was implemented, a sample of 450 chips revealed only 27 defects. Was the additional training effective in lowering the defect rate?
Answer (2)
The additional training provided to employees hired within the last year was effective in lowering the defect rate. ;
The additional training provided to employees was effective in lowering the defect rate, as the observed number of defects (27) was significantly lower than the expected (36) based on the original defect rate. This indicates a successful improvement in quality control after the training. Therefore, management's initiative likely contributed positively to reducing the defect rate.
;
