Question 1

All of the following are opportunity considerations for businesses to create customer value except________.

Accepted Answer

Location is not typically considered an opportunity for creating customer value in the same way as quality, cost, and flexibility. Quality, cost, and flexibility directly impact the product or service value proposition, while location is more related to accessibility or distribution.

Question 2

Quality is most often defined by the customer as meeting customer specifications.

Accepted Answer

False

Question 3

The following are the 5 basic areas of customer value: quality, flexibility, innovation, delivery and cost.

Accepted Answer

These five areas are commonly recognized in business and marketing as key components of customer value, focusing on how products or services can meet or exceed customer expectations in terms of their quality, adaptability (flexibility), novelty (innovation), timeliness (delivery), and affordability (cost).

Question 4

Customer empowerment means that businesses up and down the supply chain must decrease their ability to deliver value.

Accepted Answer

Customer empowerment actually means that businesses need to increase their ability to deliver value, as empowered customers demand better products, services, and experiences.

Question 5

The real measure of quality is whether or not a product or service lives up to ________expectations.

Accepted Answer

The real measure of quality is whether a product or service meets or exceeds the expectations of the customer, as they are the end users whose satisfaction determines the success of the product or service.

Question 6

One of Garvin's 8 factors that comprise quality as viewed by the customer is reliability. Reliability is defined as ________.

Accepted Answer

Reliability refers to the ability of a product or service to perform its intended function under specified conditions for a certain period of time without failure, thus it can be counted upon not to fail.

Question 7

One of the major characteristics of today's customers is that they are empowered with a broad range of product and pricing information.

Accepted Answer

Today's customers have access to vast amounts of information online, including detailed product specifications, reviews, and price comparisons, which empowers them to make informed purchasing decisions.

Question 8

Identifying specific customer needs and then matching the company's ________to those needs is the key to implementing a successful customer fulfillment strategy.

Accepted Answer

Promises and capabilities are the key to implementing a successful customer fulfillment strategy because they ensure that the company can meet the specific needs of its customers.

Question 9

Considering a competency-success factor alignment matrix, when customer success factors are high and competencies are high, this condition will most likely result in ________.

Accepted Answer

When both customer success factors and competencies are high, it indicates an effective alignment between what customers value and what the company is good at, leading to profitable outcomes and customer satisfaction.

Question 10

_____________ (ESI) is a key element of innovation strategies at industry leaders like Canon, Honda, and 3M.

Accepted Answer

Early Supplier Involvement (ESI) is a strategy where companies involve their suppliers early in the product development process to leverage their knowledge, expertise, and innovation capabilities, which is a practice observed in industry leaders like Canon, Honda, and 3M.

Question 11

All of the following are the primary reasons why a business's customer service may not fulfill customer needs except ________.
A) the level of service provided is based on the customer's level of value to the business
B) improvements are directed at efforts that add no customer value
C)claims of improved service do not match the business’s actual performance
D)  the business treats each customer contact as an opportunity to make an unprofitable customer profitable or make a profitable customer more profitable Moderate.

Accepted Answer

The answer of All of the following are the primary...

Question 12

When managers emphasize efficient operations over appropriate customer satisfaction requirements, discrepancies in service quality can lead to__________.

Accepted Answer

Service gaps occur when there is a difference between customer expectations for service quality and the actual service delivered. When managers focus too much on efficiency and not enough on meeting customer satisfaction requirements, it can lead to these discrepancies in service quality.

Question 13

One of Garvin's 8 factors that comprise quality as viewed by the customer is serviceability. Serviceability refers to the________.

Accepted Answer

Serviceability refers to how quickly and easily a product can be repaired when issues arise, emphasizing the importance of efficient and effective customer support in maintaining product quality.

Question 14

There are four supply chain cost-reduction strategies employed by competent procurement functions as cited in the text. They include (1) productivity enhancement, (2)________, (3) locating facilities in countries with low-cost inputs, and (4) sourcing from the world's most efficient suppliers.

Accepted Answer

Adoption of advanced process technology is a strategy that can enhance efficiency and reduce costs in the supply chain.

Question 15

A major goal of the supply chain manager is to assure that operations creates processes that meet customer needs.

Accepted Answer

The answer of A major goal of the supply chain...

Question 16

Motorola established its 6-sigma quality improvement program more than a decade ago. The numerical value of 6-sigma is _______.

Accepted Answer

6-sigma quality improvement program aims for a process to be defect-free 99.99966% of the time, which translates to 3.4 defects per million opportunities (PPM).

Question 17

The term ________ was coined to signify that 15 to 40 percent of a firm's capacity is used to find and fix poor-quality work.

Accepted Answer

The term "hidden plant" was coined to signify that 15 to 40 percent of a firm's capacity is used to find and fix poor-quality work. This term reflects the idea that a significant portion of a company's resources is effectively invisible or "hidden" because it is consumed by non-value-adding activities related to correcting errors and defects.

Question 18

A ________ is something that your company does so well that it provides the business a competitive advantage.

Accepted Answer

A core competency is a defining capability or advantage that distinguishes an enterprise from its competitors. It's something a company does exceptionally well, which is central to its business and strategy, providing a competitive advantage.

Question 19

One of Garvin's 8 factors that comprise quality as viewed by the customer is performance. Performance refers to the ________.

Accepted Answer

Performance, in the context of Garvin's 8 factors of quality, specifically refers to the primary operating characteristics of the product or service. This includes how well the product or service does what it is supposed to do.

Question 20

Best-in-class companies manage quality and achieve a very low defective parts per million.

Accepted Answer

Best-in-class companies implement rigorous quality management systems and continuous improvement processes, enabling them to achieve very low defective parts per million (DPPM) rates, significantly enhancing product quality and customer satisfaction.

Quiz 2: Customer Fulfillment Strategies