FMP flashcards
FMP · Build recall with a focused review session.
31 cards. Read the term and the definition here. The deck at the top of this page is optional.
- Availability formula
- Availability equals MTBF divided by the sum of MTBF and MTTR. It is the fraction of time an asset is capable of performing its function when demanded.
- OEE components
- Overall equipment effectiveness multiplies availability, performance, and quality. Availability compares run time to planned production time; performance compares actual output rate to ideal cycle rate.
- Predictive maintenance trigger
- Predictive maintenance is triggered by measured condition such as vibration signature, oil particle count, thermography, or ultrasound, rather than by calendar time or run hours.
- RCM default decision
- Reliability-centered maintenance defaults to run-to-failure when a failure mode has no safety, environmental, or economic consequence and no cost-effective task exists to prevent it.
- Bathtub curve phases
- Failure rate over asset life shows three phases: infant mortality with decreasing rate, useful life with roughly constant rate, and wear-out with increasing rate. Maintenance tactics differ by phase.
- Criticality ranking use
- Assets ranked by consequence and likelihood of failure receive matched tactics: high-criticality assets get condition monitoring and redundancy, low-criticality assets may run to failure.
- Backlog in craft-weeks
- Ready work-order backlog measured in craft-weeks divided by weekly craft capacity gives weeks of backlog. Roughly two to four weeks is a common planning target band.
- TPM autonomous maintenance
- Total productive maintenance assigns operators basic cleaning, lubrication, inspection, and minor adjustment of their own equipment, freeing maintenance craft for higher-skill planned and predictive work.
- Critical path definition
- The critical path is the longest path through the project network. It determines project duration and consists of activities with zero total float.
- Total float formula
- Total float equals late start minus early start, or late finish minus early finish. Free float equals the successor's early start minus the current activity's early finish.
- Crashing versus fast-tracking
- Crashing adds resources to critical-path activities to shorten duration and raises cost. Fast-tracking overlaps sequential activities and raises rework and coordination risk instead.
- Cost performance index
- CPI equals earned value divided by actual cost. A value below 1.0 means the project is spending more than the work earned, and EAC equals BAC divided by CPI if efficiency persists.
- Schedule performance index
- SPI equals earned value divided by planned value. A value below 1.0 means less work was completed than planned for the period, though SPI always returns to 1.0 at completion.
- Estimate at completion variants
- EAC equals BAC divided by CPI when current efficiency continues, or actual cost plus remaining budget when remaining work proceeds at the planned rate.
- TCPI interpretation
- To-complete performance index equals remaining budget divided by remaining funds. A value above 1.0 means the remaining work must be performed more efficiently than the plan assumed.
- Contingency versus management reserve
- Contingency reserve covers identified risks and is part of the cost baseline. Management reserve covers unidentified scope and sits above the baseline, requiring sponsor approval to release.
- RACI accountability rule
- In a RACI chart each deliverable has exactly one accountable person. Responsibility may be shared among doers, but shared accountability produces unclear ownership and stalled decisions.
- Net present value rule
- NPV discounts all project cash flows at the hurdle rate and subtracts the initial outlay. Accept independent projects with positive NPV and rank mutually exclusive projects by highest NPV.
- IRR decision rule
- Internal rate of return is the discount rate making NPV zero. Accept when IRR exceeds the hurdle rate, but prefer NPV for mutually exclusive projects or non-conventional cash flows.
- WACC formula
- Weighted average cost of capital equals equity weight times cost of equity plus debt weight times cost of debt times one minus the tax rate.
- Break-even quantity
- Break-even quantity equals fixed costs divided by price minus variable cost per unit. The denominator is the contribution margin each unit adds toward covering fixed costs.
- Contribution margin ratio
- Contribution margin ratio equals price minus variable cost per unit, divided by price. It shows the share of each sales dollar available to cover fixed costs and profit.
- Straight-line depreciation
- Straight-line depreciation equals cost minus salvage value, divided by useful life. It spreads the depreciable base evenly and produces lower early cash flow than accelerated methods.
- Quick ratio meaning
- Quick ratio equals current assets minus inventory, divided by current liabilities. Excluding inventory makes it a stricter liquidity test than the current ratio.
- Sunk cost exclusion
- Sunk costs are already incurred and cannot be recovered, so they are excluded from decisions. Only incremental cash flows and opportunity costs belong in the comparison.
- Situational leadership styles
- Style follows follower readiness: directing for low competence and commitment, coaching for low competence with some commitment, supporting for capable but variable commitment, delegating for high competence and commitment.
- Tuckman team stages
- Teams pass through forming, storming, norming, performing, and adjourning. Conflict peaks during storming, and leader intervention shifts from direction toward facilitation as the team matures.
- Herzberg two factors
- Hygiene factors such as pay, policy, and working conditions prevent dissatisfaction but do not motivate. Motivators such as achievement, recognition, and growth create satisfaction and engagement.
- Porter generic strategies
- Michael Porter's generic strategies are cost leadership, differentiation, and focus. Firms without a clear advantage risk being stuck in the middle with eroding margins.
- Lewin change model
- Kurt Lewin's model has three stages: unfreeze existing behavior, introduce the change, then refreeze so the new behavior becomes the norm.
- Thomas-Kilmann conflict modes
- Five conflict modes are competing, collaborating, compromising, avoiding, and accommodating. Collaborating suits high-stakes issues with time and trust; avoiding suits trivial issues or cooling-off periods.