Exam Questions and Answers 2027
Activities (RBM stage) - Correct Answer-second step involves the process that converts
inputs to outputs (actions necessary to produces results - training, evaluating,
developing)
Alternative hypothesis - Correct Answer-The argument that either a sample is not equal
to, greater than, or less than the hypothesized null sample
Analysis of Variance (ANOVA) - Correct Answer-a technique used to determine if there
is a sufficient evidence from sample data of three or more populations to conclude that
the means of the population are not all equal. A statistical method that helps identify the
sources of variability by comparing
their means or averages; it compares the variation within a sample to the variation
between samples to see if any differences are the result of some contributing factor or if
the differences occur by chance alone.
Analytics - Correct Answer-The discovery, analysis, and communication of meaningful
patterns in data.
Autocorrelation - Correct Answer-A relationship between two variables that is inherently
non-linear
Balanced Scorecard - Correct Answer-An approach using multiple measures to
evaluate performance, including financial measures, and the non-financial measures of
customers, internal business processes, and learning and growth.
Bar chart - Correct Answer-A graph that measures the distribution of data over discrete
groups or categories.
Benchmarks - Correct Answer-Standards or points of reference for an industry or sector
that can be used for comparison and evaluation.
Big Data - Correct Answer-very large amounts of data; an all-encompassing term for
any collection of data sets so large and complex that it becomes difficult to process
them using traditional data processing applications
Blind Study - Correct Answer-A study performed where the participants are not told if
they are in the treatment group or control group
body mass index (BMI) - Correct Answer-A measure, based on a person's weight and
height, that is used to classify people as underweight or overweight.
,Business process - Correct Answer-A sequence of logically related and time based
work activities to provide a specific output for a customer.
Central Limit Theorem - Correct Answer-A theorem that states that, the greater the
sample, the closer the mean of the sample is to the entire population and the more the
results will look like a normal distribution
Cluster Analysis - Correct Answer-The process of arranging terms or values based on
different variables into "natural" groups
Cointegration - Correct Answer-Occurs when two time series are moving with a
common pattern due to a connection between the two time series
Combination - Correct Answer-The number of different unordered possibilities for a
certain situation.
Complement - Correct Answer-The occurrence of an event not happening, the opposite
Confidence interval - Correct Answer-An interval estimate used to indicate reliability
Continuous Data - Correct Answer-Data that can lay along any point in a range of data
Control chart - Correct Answer-A graphic display of process data over time and against
established control limits, and that has a centerline that assists in detecting a trend of
plotted values toward either control limit. A modified run chart that also provides upper
and/or lower limits that a process should not exceed.
Control limits - Correct Answer-The area composed of three standard deviations on
either side of the centerline, or mean, of a normal distribution of data plotted on a
control chart that reflects the expected variation in the data. See also specification
limits.
Criterion-reference test - Correct Answer-compare an individual to certain defined
standards
Cumulative Average-Time Learning Model - Correct Answer-A learning curve model in
which the cumulative average time per unit declines by a constant percentage each
time the cumulative quantity of units produced is doubled
Cumulative distributions - Correct Answer-The probability that a random variable will be
found at a value less than or equal to a given number
Customer satisfaction - Correct Answer-A measure of the extent to which customers are
satisfied with the products and related services they received from a supplier.
, Cycle time - Correct Answer-The total elapsed time to move a unit of work from the
beginning to the end of a physical process, as defined by the producer and the
customer.
Data Management - Correct Answer-The management, including cleaning and storage,
of collected data.
Data Mining - Correct Answer-the process of discovering patterns in large data sets;
performed on big data to decipher patterns from these large databases
Data Set - Correct Answer-A collection of related data records on a storage device.
Davenport Kim Three Stage Model - Correct Answer-A decision making model
developed by Thomas Davenport and Jinho Kim that consists of three stages: framing
the problem, solving the problem, and communicating results
Dependent Variable - Correct Answer-The variable whose value depends on one or
more variables in the equation; typically the cost or activity to be predicted
Detractor - Correct Answer-A category of customer used in the calculation of the Net
Promoter Score that indicates an unhappy customer.
Discrete Data - Correct Answer-Data that can only take on whole values and has clear
boundaries
Double Blind Study - Correct Answer-A study performed where neither the treatment
allocator nor the participant knows which group the participant is in
Epidemiology - Correct Answer-study of the incidence, distribution and possible control
of diseases and other factors relating to health
Event - Correct Answer-An outcome that occurs
Experience Curve - Correct Answer-A curve that shows the decline in cost per unit in
various business functions of the value chain as the amount of these activities increases
Heteroscedasticity - Correct Answer-A regression in which the variances in y for the
values of x are not equal
Histogram - Correct Answer-A graph that displays continuous data. This type of graph
has vertical bars that show the counts or numbers in each range of data. A vertical bar
chart that shows the distribution of data across groups or categories.
Homoscedasticity - Correct Answer-A regression in which the variances in y for the
values of x are equal or close to equal