Deck 5: Competitive Advantage and Strategic Management for Performance Excellence

Question 1

The Taylor philosophy contributed to the development of a cooperative relationship between labor and management.

Answer 1

False

Question 2

Design review is a technique in quality engineering in which formal statistical experiments are applied to determine the best combinations of product and process parameters for high quality and low cost.

Answer 2

False

Question 3

Agility refers to the ability to produce a wide range of products and options.

Answer 3

True

Question 4

Minimizing the number of parts, eliminating fasteners, making parts symmetric whenever possible, avoiding rigid and stiff parts, and using one-sided assembly designs are some of the approaches companies use to achieve cost leadership for high-volume products.

Question 5

A firm with a cost-leadership strategy can command premium prices and achieve higher profits.

Question 6

High productivity and high capacity utilization leads to higher prices.

Question 7

The horsepower of an engine or the sound quality of a stereo amplifier are examples of the feature dimension of product quality.

Question 8

Custom products are the basis for cost-leadership.

Question 9

A strategy of continuous improvement is essential to achieve a low-cost competitive advantage.

Question 10

Core competence is the process by which the members of an organization envision its future and develop the necessary procedures and operations to carry out that vision.

Question 11

Attractive facilities, appropriately dressed employees, and well-designed forms that are easy to read and interpret are examples of the "tangibles" dimension of service quality.

Question 12

The total time required by a company to deliver a finished product is referred to as the cycle time.

Question 13

Two key components of service system quality are employees and information technology.

Question 14

Improved conformance in production leads to lower manufacturing and service costs.

Question 15

The most significant feature of the Taylor system was its focus on using the knowledge and creativity of the workforce.

Question 16

According to the principles of TQ, a customer-focused organization and a process orientation are necessary prerequisites for agility.

Question 17

Traditional management strategists advocated focusing on a single quality-related dimension.

Question 18

The competitive advantage resulting from an organization's people can drive low cost and differentiation.

Question 19

Having a manufacturing system designed for flexible sequence of operations is a strategy used for cost-leadership for high-volume products.

Question 20

Durability refers to the probability of a product's surviving over a specified period of time under stated conditions of use.

Question 21

An interrelationship digraph allows for "linear thinking" rather than "lateral thinking."

Question 22

Strategy literature sometimes refers to strategic plans as strategic content.

Question 23

In the general hoshin planning process, policy deployment starts with the senior managers of the company.

Question 24

In the hoshin planning process, policy deployment starts with the production employees of the company.

Question 25

Value can be defined as:

A) fitness for use.
B) quality relative to price.
C) least cost benefit.
D) conformance to specifications.

Question 26

A company's _____ is/are the only source of competitive advantage that competitors cannot copy.

A) human resources
B) cost-leadership
C) product differentiation
D) quality methods

Question 27

An interrelationship digraph identifies and explores causal relationships among related concepts or ideas.

Question 28

Plans and actions should be developed based on analysis of the symptoms of a problem, rather than only on the root causes.

Question 29

The number of miles one would expect from an automobile with normal maintenance is an example of the _____ dimension of the product design.

A) benchmarking
B) durability
C) variance
D) aesthetics

Question 30

Strategic objectives are what an organization must change or improve to remain or become competitive.

Question 31

Antilock brakes or a navigation system in an automobile or surround-sound options in an amplifier are examples of the _____ dimension of product design.

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

Question 32

With which of the following would Frederick W. Taylor most likely have agreed?

A) A factory depends on workers, and hence cannot be managed on a scientific basis.
B) Planning should be separated from execution as workers lack the education necessary to plan.
C) Workers are all of equal ability and cannot be trained to improve their work habits.
D) Piecework initiatives are ineffective methods of organizing work in large factories.

Question 33

Quality levels, productivity, cycle time, and cost are examples of the internal perspective in a balanced scorecard.

Question 34

Measurement activities are best viewed in terms of outputs from the production system.

Question 35

_____ refers to the process by which the members of an organization envision its future and develop the necessary procedures and operations to carry out that vision.

A) Strategic planning
B) Process reengineering
C) Value analysis
D) Concurrent engineering

Question 36

With respect to the dimensions of product design, _____ is the amount of use one gets from a product before it physically deteriorates or until replacement is preferable.

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

Question 37

With respect to the dimensions of product design, _____ is the probability of a product's surviving over a specified period of time under stated conditions of use.

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

Question 38

_____ refers to a firm's ability to achieve market superiority over its competitors.

A) Fitness for use
B) Value analysis
C) Competitive advantage
D) Deployment

Question 39

Significant reductions in cycle time can be achieved by focusing on individual subprocesses.

Question 40

The ability of a car to start consistently in all types of weather and the lack of failure of electronic components is an example of the _____ dimension of product design.

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

Question 41

_____ refers to policy or policy deployment.

A) Shitsuke
B) Hoshin
C) Kanban
D) Seiri

Question 42

Which of the following dimensions of product design deals with how a product looks, feels, sounds, tastes, or smells?

A) Aesthetics
B) Durability
C) Reliability
D) Performance

Question 43

The Japanese deploy strategy through a process known as:

A) hoshin planning.
B) kaizen.
C) kanban implementation.
D) seiketsu deployment.

Question 44

With respect to the key dimensions of service quality, _____ refer(s) to the willingness to help customers and provide prompt service.

A) reliability
B) empathy
C) tangibles
D) responsiveness

Question 45

A(n) _____ identifies and explores causal relationships among related concepts or ideas.

A) tree diagram
B) interrelationship digraph
C) affinity diagram
D) process decision program chart

Question 46

With respect to the key dimensions of service quality, the willingness to schedule deliveries at the customer's convenience is an example of _____.

A) empathy
B) reliability
C) tangibles
D) assurance

Question 47

With respect to the key dimensions of service quality, _____ refer(s) to the physical facilities and equipment, and the appearance of personnel.

A) responsiveness
B) empathy
C) tangibles
D) reliability

Question 48

_____ refers to the degree of caring and individual attention provided to customers.

A) Agility
B) Reliance
C) Assurance
D) Empathy

Question 49

Policy deployment is also known as _____.

A) Deming's quality circle
B) hoshin planning
C) kanban process
D) backflush accounting

Question 50

_____ is concerned with the plans, procedures, and methods for the design and evaluation of quality in goods and services.

A) Quality engineering
B) Customization
C) Deployment
D) Reengineering

Question 51

With respect to the key dimensions of service quality, promptly crediting returned merchandise and rapidly replacing defective products is an example of _____.

A) tangibles
B) empathy
C) responsiveness
D) aesthetics

Question 52

The total time required by a company to deliver a finished product that satisfies customers' needs is referred to as the:

A) product lead time.
B) time signature.
C) standard time.
D) cycle time.

Question 53

A customer buying a personal computer defines the types of disk drives, modem, memory configurations, and types of hardware when buying the product. Thus, the personal computer is an example of a _____ product.

A) knock-down
B) option-oriented
C) custom
D) standardized

Question 54

_____ products are unique configurations of subassemblies that are designed to fit together. The customer participates in choosing the specifications of the components to be assembled.

A) Custom
B) Knock-down
C) Standard
D) Option-oriented

Question 55

A _____ maps out the paths and tasks necessary to complete a specific project or reach a specified goal.

A) matrix diagram
B) interrelationship digraph
C) tree diagram
D) process decision program chart

Question 56

The _____ is a tool for organizing a large number of ideas, opinions, and facts relating to a broad problem or subject area.

A) process design program chart
B) affinity diagram
C) interrelationship digraph
D) tree diagram

Question 57

The time it takes to accomplish one portion of a process is known as the _____.

A) lead time
B) turnaround time
C) time signature
D) cycle time

Question 58

With respect to the key dimensions of service quality, _____ refer(s) to the knowledge and courtesy of employees, and their ability to convey trust and confidence.

A) tangibles
B) responsiveness
C) assurance
D) empathy

Question 59

The sleekness of an automobile's exterior and the black "high-tech" look of modern stereo components are examples of the _____ dimension of product design.

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

Question 60

With respect to the key dimensions of service quality, _____ is the ability to provide what was promised, dependably and accurately.

A) aesthetics
B) reliability
C) responsiveness
D) empathy

Question 61

The opposite of outsourcing is _____ , by which certain business functions are acquired and consolidated within a firm.

A) vertical integration
B) process variance
C) suboptimization
D) offshoring

Question 62

What is the significance of cycle time to quality?

Question 63

Describe outsourcing and vertical integration.

Question 64

Briefly describe the various elements that form the foundation for an organization's strategic plan.

Question 65

A firm purchasing a key supplier to strengthen its value chain is an example of _____.

A) process variance
B) vertical integration
C) offshoring
D) suboptimization

Question 66

In a balanced scorecard, leading measures refer to:

A) the outcomes of a process.
B) the processes used to achieve a goal.
C) predictions about the future.
D) the goals of a particular process.

Question 67

In a balanced scorecard, lagging measures refer to:

A) the outcomes of a process.
B) the processes used to achieve a goal.
C) predictions about the future.
D) the goals of a particular process.

Question 68

List the performance measures under the Malcolm Baldrige Criteria.

Question 69

Describe core competencies.

Question 70

List a few quality-related dimensions a business may concentrate on, in order to differentiate itself from its competition.

Question 71

What is the significance of the balanced scorecard?

Question 72

_____ are "spreadsheets" that graphically display relationships between ideas, activities, or other dimensions in such a way as to provide logical connecting points between each item.

A) Matrix diagrams
B) Scatter diagrams
C) Pareto diagrams
D) Process decision program charts

Question 73

_____ takes data and arranges them to display quantitative relationships among variables to make them more easily understood and analyzed.

A) Scatter diagram
B) Matrix data analysis
C) Pareto data chart
D) Process decision program data analyzer

Question 74

What is the role of quality in strategic planning?

Question 75

_____ refers to an organization's areas of greatest expertise that provide a sustainable competitive advantage in the marketplace or service environment.

A) Power strategies
B) Core competencies
C) Process variance
D) Matrix data

Question 76

Describe the use of an interrelationship digraph.

Question 77

Why do organizations need performance measures?

Question 78

A _____ is a method for mapping out every conceivable event and contingency that can occur when moving from a problem statement to possible solutions.

A) matrix data analysis
B) critical path diagram
C) process decision program chart
D) Pareto diagram