Deck 9: Ensuring High Quality and Productivity

Question 1

In the context of dimensions of quality, ________ primarily refers to the probability that a product will function properly and not break down during a specified period.

A) reliability
B) conformance
C) durability
D) aesthetics

Answer 1

A

Question 2

Statistical process control (SPC) is a quality-control technique that primarily involves using statistics ________.

A) to monitor production quality during the production process
B) to improve the production quality of products
C) to look for defects in the random sampling process
D) to find out ways to limit defects to 30,400 per million operations

Answer 2

A

Question 3

In the context of dimensions of quality, ________ refers to the way a product looks, feels, tastes, and smells.

A) reliability
B) features
C) aesthetics
D) conformance

Answer 3

C

Question 4

Productivity is best defined as the

A) success rate of the efforts to prevent defects in a firm's goods or services.
B) amount of results an organization gets for a given amount of inputs.
C) statistical representation of the effectiveness of a quality-control method.
D) organization-wide focus on satisfying lifelong customers.

Question 5

In the context of dimensions of quality, ________ primarily refers to the length of a product's life.

A) aesthetics
B) conformance
C) durability
D) reliability

Question 6

Supervisors must care about quality because poor quality

A) limits the organization's access to resources.
B) leads to reduced organizational costs.
C) prevents inspection and rework.
D) saves much-needed raw materials.

Question 7

Barbara thinks that her car looks amazing. She likes the smell of the car and the color of its interiors. In the context of dimensions of quality, Barbara likes the ________ of the car.

A) reliability
B) features
C) aesthetics
D) conformance

Question 8

In the context of dimensions of quality, the ________ dimension primarily refers to supplements to a product's basic operating characteristics.

A) performance
B) conformance
C) aesthetics
D) features

Question 9

The most accurate way to apply statistical quality control is to use a

A) specific sample.
B) random sample.
C) quota sample.
D) stratified sample.

Question 10

Dexter, a supervisor at Rensil Inc., emphasizes how to do things in a way that results in better quality. In the context of types of quality control, Dexter is inclined toward ________.

A) product conformance
B) process control
C) turnover
D) benchmarking

Question 11

A ________ can be best defined as the quality-control technique based on the view that everyone in an organization should work toward the goal of delivering such high quality that all aspects of the organization's goods and services are free of problems.

A) lean process improvement
B) statistical process control
C) zero-defects approach
D) just-in-time approach

Question 12

Statistical quality control primarily involves

A) maintaining a customer feedback log and making the necessary improvements in products whenever required.
B) checking every product for possible defects so as to reduce high costs related to poor quality.
C) looking for defects in parts, finished goods, or other outcomes selected through a sampling technique.
D) monitoring production quality on an ongoing basis and making corrections whenever the results show that the process is out of control.

Question 13

In the context of quality improvement methods, employee involvement teams primarily involve

A) using a formal process in which teams study processes and correct problems to limit defects to 3.4 per million operations.
B) setting up teams of employees to identify quality-related problems and come up with possible solutions.
C) focusing the whole organization on continuously improving every business process so it satisfies customers.
D) using statistics to monitor production quality during the production process.

Question 14

In the context of dimensions of quality, ________ refers to the degree to which a product's design and operating characteristics meet established standards.

A) reliability
B) performance
C) durability
D) conformance

Question 15

When a city's park district considers ways to upgrade its playground equipment or improve the programs it offers senior citizens, it is most likely focusing on

A) concurrent control.
B) process control.
C) method control.
D) product quality control.

Question 16

In the context of dimensions of quality, ________ refers to the speed and ease of repairing a product.

A) serviceability
B) performance
C) reliability
D) conformance

Question 17

Which of the following is true of total quality management (TQM) strategies?

A) They require supervisors to transfer between departments every two months.
B) They require employees to take mandatory breaks every two hours.
C) They require employees to work six days a week.
D) They require the involvement of employees at all levels.

Question 18

In the context of dimensions of quality, ________ refers to a product's primary operating characteristic, such as the picture clarity of a television set.

A) aesthetics
B) conformance
C) performance
D) reliability

Question 19

Process control is the type of quality control that focuses on ways to

A) do things in a way that leads to better quality.
B) increase the turnover rates in a company.
C) decrease the serviceability of an end product.
D) use sampling techniques to find defects in products.

Question 20

Quality control is best defined as an organization's efforts to

A) prevent or correct defects in its goods or services or to improve them in some way.
B) produce goods that are of the same quality as its competitors' goods.
C) control all whistleblowing activities so as to maintain the positive image of the organization.
D) let employees know that they will be penalized for any complaints related to the quality of their goods or services.

Question 21

Joseph M. Juran, one of the experts who played an important role in spreading the idea of total quality management (TQM), taught quality concepts to the Japanese. He emphasized the view that management should seek to maintain and improve quality through efforts on two levels: the organization as a whole and the ________.

A) department primarily formed to improve product quality
B) human resource department of the organization
C) most productive departments in the organization
D) individual departments in the organization

Question 22

Employee involvement teams are most successful when

A) a strict hierarchical structure is maintained.
B) supervisors outsource the entire process.
C) all group members are eager to participate.
D) the supervisor follows the essay appraisal method.

Question 23

Employee involvement teams are most successful when membership is ________.

A) given to all workers whose productivity levels are high
B) made voluntary
C) given to workers who qualify for the program
D) made mandatory

Question 24

Which of the following is a series of standards adopted by the International Organization for Standardization to spell out acceptable criteria for quality systems?

A) ISO 9000
B) Total quality management guidelines
C) Malcolm Baldrige guidelines
D) Benchmarking

Question 25

Six Sigma is best defined as a process-oriented quality-control method

A) designed to improve the operations output to 99.9997 percent perfection.
B) aimed at producing goods with zero percent defect.
C) designed to reduce errors to 99.9997 percent perfection.
D) designed to correct problems to limit defects to 2.4 per million operations.

Question 26

An objective of total quality management (TQM) is to

A) meet or exceed customer expectations.
B) maximize profits for a company and its employees.
C) form a sustainable organization.
D) protect employees from any form of discrimination.

Question 27

Which of the following skills is important for an employee involvement team to be successful?

A) Conceptual skills
B) Human relations skills
C) Technical skills
D) Problem-solving skills

Question 28

________ is the practice of identifying the top performer of a process, and then learning and carrying out the top performer's practices.

A) Offshoring
B) Free riding
C) Outsourcing
D) Benchmarking

Question 29

Eric completes his work twice as fast as his peers do. Eric's manager requests his peers to do their work exactly the same way as he does. This is an example of ________.

A) detour behavior
B) benchmarking
C) free riding
D) outsourcing

Question 30

Which of the following is an annual award administered by the U.S. Commerce Department's National Institute of Standards and Technology (NIST)?

A) Firestone Inner Circle of Quality Award
B) Baldrige Performance Excellence Program
C) ISO 9000 certification
D) Presidential Award for Management Excellence

Question 31

________ can be best described as the quality improvement method that involves focusing the whole organization on continuously improving every business process so it satisfies customers.

A) Lean process improvement
B) The zero-defects approach
C) Total quality management
D) Statistical process control

Question 32

In the context of quality improvement methods, ________ can be best described as using a formal process in which teams study processes and correct problems to limit defects to 3.4 per million operations.

A) lean process improvement
B) Six Sigma
C) zero-defects approach
D) total quality management

Question 33

Ronald, a production manager at FindSolutions Inc., finds that his organization's process efficiency has reduced over the past three years. He asks one the supervisors to set up two groups of 10 workers each. He assigns these groups the responsibility to assess the company's processes, make decisions, and evaluate factors that reduce efficiency. In the context of quality improvement methods, Ronald is engaging ________.

A) employee involvement teams
B) statistical process control
C) the zero-defects approach
D) lean process improvement

Question 34

The zero-defects approach is best defined as the quality control technique

A) designed to improve the product or service output to be 99.97 percent perfect.
B) in which an organization works toward making its goods and services free of problems.
C) in which the employees look for defects in parts, finished goods, or other outcomes selected through a sampling technique.
D) in which the top performer of a process is identified and imitated.

Question 35

In the context of quality improvement methods, ________ can be best described as a practice that considers any costs other than a cost that adds value for the customer to be wasteful and, hence, something to be eliminated.

A) lean process improvement
B) Six Sigma
C) total quality management
D) the zero-defects approach

Question 36

Betty, the CEO of Raxen Inc., thinks her organization must work as a unit toward enhancing the company's processes. She believes this will help her organization to improve customer satisfaction. In the context of quality improvement methods, Betty is most inclined toward ________.

A) employee involvement teams
B) statistical process control
C) total quality management
D) lean process improvement

Question 37

Eliza, a supervisor, tells her team to cut all costs other than the costs that add value for her company's customers. In the context of quality improvement methods, Eliza is most inclined toward ________.

A) the zero-defects approach
B) statistical process control
C) total quality management
D) lean process improvement

Question 38

An operator who periodically measures some aspect of ongoing production and plots the results on a control chart is most likely using

A) statistical quality control.
B) statistical process control.
C) the zero-defects approach.
D) the just-in-time approach.

Question 39

Quality improvement directed toward value ideally begins when a(n)

A) supervisor makes decisions aimed at balancing present needs and the needs of future generations.
B) organization starts to recruit more people with sustainable skills.
C) organization's employees communicate with customers to determine their needs and wants.
D) organization sets up departments according to the goods or services produced.

Question 40

Which of the following is most likely to be the first step that the members of an employee involvement team should take?

A) They should select the problems to focus on the first step.
B) They should identify quality problems related to the employees' areas of responsibility.
C) They should analyze the problem to identify the causes of poor quality.
D) They should identify possible solutions and select one to recommend to management.

Question 41

A new coffee roasting machine bought by a cafe costs $10 ,000. If it saves the cafe $1,000 a year, its average rate of return is ________.

A) 10 percent
B) 100 percent
C) 50 percent
D) 0 percent

Question 42

People have a natural tendency to resist change because it is

A) confusing.
B) frightening.
C) predictable.
D) comfortable.

Question 43

Which of the following equipment purchased by a company provides the greatest savings per year?

A) A car that costs $40,000 with a payback period of 4 years
B) A van that costs $180,000 with a payback period of 2 years
C) An industrial filter that costs $30,000 with a payback period of 5 years
D) A packaging unit that costs $250,000 with a payback period of 2 years

Question 44

In the context of constraints on productivity, when government regulations seem illogical, an organization

A) should disobey the regulations.
B) should ignore the regulations.
C) must follow the government regulations even if they are illogical.
D) must alter the government regulations to suit the company's needs.

Question 45

Food Stop, a fast food restaurant, offers home delivery service. The manager of Food Stop decides to upgrade its existing fleet of delivery vehicles to improve the speed of delivery. The estimated cost of the upgrade is set at $100 ,000. If the finance department of Food Stop agrees to a payback period of five years, the upgraded delivery vehicles need to save the restaurant ________ a year for five years.

A) $200,000
B) $100,000
C) $20,000
D) $40,000

Question 46

Mary processes 96 permit applications in an eight-hour day at her office while earning $10/hour. However, John processes 150 permit applications in an eight-hour day while earning $20/hour. Which of the following statements is most likely to be true in this situation?

A) John is less productive than Mary is.
B) John is more productive than Mary is.
C) John's work will have more errors than Mary's work.
D) Mary's work will have more errors than John's work.

Question 47

In the context of the productivity equation, to increase productivity, a supervisor needs to

A) increase outputs and reduce inputs.
B) decrease outputs and increase inputs.
C) increase inputs significantly to lower the pace of outputs.
D) decrease outputs significantly to increase the pace of inputs.

Question 48

A percentage that represents the average annual earnings for each dollar of a given investment is referred to as the

A) average downtime.
B) average rate of return.
C) average idle time.
D) total payback period.

Question 49

Which of the following equipment purchased by a company has the greatest payback period?

A) A boiler that costs $20,000 with the potential to save $200 a year
B) A truck that costs $40,000 with the potential to save $2,000 a year
C) A stove that costs $1,000 with the potential to save $200 a year
D) A computer system that costs $55,000 with the potential to save $5,000 a year

Question 50

The basic way to measure productivity is to ________.

A) divide outputs by inputs
B) add outputs and inputs
C) multiply inputs and outputs
D) subtract inputs from outputs

Question 51

In the context of measuring productivity, when the bottom (denominator) of a fraction gets bigger, the number ________.

A) remains the same
B) becomes zero
C) becomes greater
D) becomes smaller

Question 52

When the productivity of organizations in a country improves, people

A) are forced to buy goods and services at higher prices.
B) get goods and services at lower prices.
C) end up paying for services that are taxed at higher rates.
D) get lower wages from their employers.

Question 53

The most effective way supervisors can overcome the productivity constraint of management limitations is by

A) collaborating with the labor union to build a sustainable organization.
B) demonstrating by their actions and words that they are interested in the department's productivity.
C) facilitating the formation of informal groups among the members of the production team.
D) encouraging employees to overcome their resistance to change and adapt to new technologies.

Question 54

Marc, an employee at Tezel Inc., was assigned work by his manager. The manager asked him to start work as soon as he receives instructions from his supervisor. Marc waits for three hours before his supervisor gives him instructions to start work. In the context of productivity, the time spent on waiting for instructions is called ________.

A) the interim time
B) payback time
C) downtime
D) overtime

Question 55

Operative employees will contribute to improve productivity only if they believe

A) they will get technical help from their supervisors.
B) they can ignore government regulations in order to accommodate union rules.
C) they can change their allotted tasks according to their skills.
D) the management is truly committed to this objective.

Question 56

Jack is a new executive at Costel Inc. He frequently uses social networking sites at his office to keep his job-related stress low. However, this results in low productivity. In the context of constraints on productivity, this is an example of ________ affecting productivity.

A) management limitations
B) employee skills
C) union rules
D) employee attitude

Question 57

Jim and Sam work as pizza delivery persons for a restaurant. Jim delivers twice as many pizzas as Sam does. In order for both of them to have the same productivity measure, if Jim earns $16/hour, Sam should earn ________.

A) $2/hour
B) $6/hour
C) $16/hour
D) $8/hour

Question 58

In the context of setting quality standards, a supervisor should ensure that the standards are

A) primarily communicated through the grapevine.
B) immeasurable and nonspecific.
C) reflective of what is important to himself or herself.
D) challenging but achievable.

Question 59

In the context of quality improvement, ________ is a large goal toward which an organization's quality improvement methods should be directed.

A) profit
B) value
C) return on investment
D) cost reduction

Question 60

Improving productivity requires

A) increasing employees' daily targets.
B) avoiding employee recommendations regarding changes.
C) changing employee attitudes.
D) enhancing employee negotiation skills.

Question 61

Magix Productions orders new equipment for the company. The new equipment costs $50,000 and will help the company save $10,000 annually. What is the average rate of return of the equipment?

A) 15 percent
B) 20 percent
C) 35 percent
D) 40 percent

Question 62

Before a supervisor can make decisions about how to trim costs, he or she has to know where the money is going. The most important source of such information is the

A) employee handbook.
B) code of ethics.
C) budget report.
D) vision statement.

Question 63

A supervisor who wants to boost productivity by increasing output must first

A) ensure that the new output goals are reasonable.
B) emphasize the positive aspects of the change.
C) exclude employees from the decision-making process.
D) dictate the decisions to his team.

Question 64

Downtime is best defined as the time during which

A) employees or machines are not producing goods or services.
B) employees or machines are maximizing their production of goods and services.
C) the output of a department increases along with an increase in cost.
D) the output of a department decreases along with a decrease in cost.

Question 65

Expenses not related directly to producing goods and services are termed

A) staff salaries.
B) overhead.
C) core costs.
D) relative costs.

Question 66

Which of the following is true about improving productivity?

A) An organization never pays for someone who is not actually working.
B) Absenteeism is independent of the problem of lack of motivation.
C) Training alone leads to superior performance.
D) Employees should think of ways to achieve their objectives efficiently.

Question 67

Supervisors can increase their own and their team's productivity primarily by

A) understanding the goals of quality programs and their own role in achieving those goals.
B) implementing strict rules and dictating departmental goals that need to be achieved.
C) focusing on the average rate of return and the payback period of investments made on new equipment.
D) utilizing conceptual and planning skills to develop new control strategies.

Question 68

Which of the following would be the best way for a supervisor to ensure superior quality of goods and boost productivity?

A) Seeking help exclusively from the top management
B) Utilizing conceptual skills to devise new plans
C) Training employees in human relations skills
D) Including employees in the decision-making process

Question 69

Which of the following is an example of an overhead in a company?

A) Cost of maintaining a vending machine in the break room
B) Cost of instruments needed for production
C) Basic salary paid to every employee
D) Bonus amounts paid to the higher-level management

Question 70

Employees often have excellent ideas for doing the work better because they

A) are good at conceptual skills.
B) are often inclined toward change.
C) can change tasks according to their skills.
D) see the problems of their jobs.

Question 71

All kinds of tactics used for postponing or avoiding work that results in wasted time are referred to as ________.

A) detour behavior
B) overhead
C) kaizen
D) free riding

Question 72

In the context of purchasing new equipment to improve productivity, the ________ department usually has an opinion on what payback period is acceptable for the organization.

A) marketing
B) production
C) hiring
D) finance

Question 73

Which of the following is true about installing modern equipment in a company?

A) Installing modern equipment can increase a company's overheads significantly.
B) A supervisor can install modern equipment only if the payback period of the equipment is relatively long.
C) A supervisor can install modern equipment only if the average rate of return of the equipment is low.
D) Installing modern equipment can be expensive if its benefits are less than its cost.

Question 74

If the average rate of return of an equipment that costs $5,000 is 25 percent, its savings per year is ________.

A) $250
B) $1,250
C) $500
D) $5,000

Question 75

Donna, an employee at Falken Inc., takes frequent breaks from her work. She has a habit of spending time gossiping with her colleagues because she feels that her job is too challenging. In the context of wastage of time, Donna's habit is an example of ________.

A) idle time
B) detour behavior
C) tardiness
D) absenteeism

Question 76

When work levels are low, the result is ________.

A) idle time
B) detour behavior
C) increased productivity
D) low turnover

Question 77

Productivity is most likely to improve when

A) the process quality is improved upon so that employees work more efficiently.
B) an organization's managers decide to put its defective products up for sale.
C) the output of a department or an organization increases along with the increase in cost.
D) an organization adheres strictly to the EEOC guidelines.

Question 78

The expenses that an organization incurs on rent, utilities, and staff support are termed

A) return on investment.
B) relative costs.
C) core costs.
D) overhead.

Question 79

Supervisors play an important role in improving employee productivity because they

A) are primarily required to utilize conceptual skills.
B) are in direct contact with employees.
C) determine organizational policies.
D) devise strategies that are appealing to employees.

Question 80

The rate at which employees leave an organization is termed ________.

A) conformance
B) payback period
C) average rate of return
D) turnover