Within each production cycle of 20,000 chairs, there are two types of defects that can occur at the following rates: wrong dimensions (240 defects) and loose bolts (100 defects). If the defects can occur only once in each item, what is the Defects per Million Opportunities (DPMO) measurement of this process?
Explanation
Answer: A - The Defects per Million Opportunities (DPMO) are 8,500.
Key Takeaway: The Defects per Million Opportunities is a process performance metric that calculates the potential defects that can occur per million opportunities. Opportunities are considered ways that a defect can occur. Since the defects can occur once in each production cycle, DPMO is calculated as such:
Total number of opportunities for defects = 20,000 + 20,000
= 40,000
DPMO = (#defects X 1,000,000) ÷ (total number of opportunities for defects)
= (340 X 1,000,000) ÷ (40,000)
= 8,500
