LSSA Exam

Operational Cost Target

This value represents the maximum expenditure for material, labor, outsourcing, overhead, and all other costs associated with that project. This figure can then be divided between the various operations comprising the manufacturing process to control costs at each step.

Operational Cost

Sometimes referred to as Revenue or Running Costs, these are the costs resulting from day-to-day running of an operation, e.g. staff costs, hardware maintenance, and electricity. 

Operations Process

Known for leveraging economies of scale and narrowly defined tasks, it is one of a family of four work processes characterized as an on-going endeavor undertaken to create a repetitive product or result which is performed by people, planned, executed and controlled. (Artisan Process, Project Process, Operations Process, Automated Process)

Gantt Chart

A Gantt chart is a type of bar chart, devised by Henry Gantt in the 1910s, that explains a project schedule. Gantt charts illustrate the start and finish dates of the terminal elements and summary elements of a project

Globalization

Social, economical, environmental and technological perspectives to the many cultures that exist in the world.

Green Belt

An employee of an organization who has been trained on the improvement methodology of Six Sigma and will lead a process improvement or quality improvement team as *part* of their full-time job. Their degree of knowledge and skills associated with Six Sigma is less than that of a Black Belt or Master Black Belt. Extensive product knowledge in their company is a must in their task of process improvement.

Hawthorn Effect

Improved process data that results from process operators who know their process performance is being measured and exercise more care in the execution of the process than would normally be done.