Question

One-hundred percent inspection is justified when the ocst inspection is low?  

One-hundred percent inspection is justified when the ocst inspection is low?  

Homework Answers

Answer #1

NO, when the cost of inspection is low, even then it is not justified to inspect the 100% population of the production.

1. It reduces efficiency as the time consumed remains the same.

2. The results obtained from sampling inspection and 100% inspection are nearly the same.

3. The incremental cost is more than the incremental benefit of such an exercise.

4. The time saved by sampling inspection than 100% inspection can be utilized in other value creating or value supporting activities.

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