Question 1

Xanadu Inc.decided to increase the training received by new employees.The expense of this training is an example of which of the following costs of quality:
A)Appraisal costs
B)External failure costs
C)Internal failure costs
D)Prevention costs
E)Quality control costs

Accepted Answer

The expense of training new employees is an example of prevention costs, which are incurred to prevent or minimize defects and errors from occurring. By providing extensive training, Xanadu Inc. aims to prevent defects and errors from occurring in the first place, thereby reducing the risk of internal or external failure costs.

Question 2

The idea that variability is the source of most quality problems was a major contribution of which quality management thought leader?
A)Juran
B)Imai
C)Crosby
D)Deming

Accepted Answer

This idea was a major component of Deming's philosophy of statistical process control, in which he emphasized that reducing variation in processes is key to improving quality.

Question 3

Which of the following statements that might be made by a business executive best expresses the overall philosophy of Total Quality Management?
A)"We've achieved Six Sigma.That's good enough."
B)"There's always room for improvement."
C)"The workers need to work harder to prevent quality problems."
D)"We never sell defective products to customers."

Accepted Answer

Total Quality Management stresses the importance of continuous improvement in all aspects of the business. Option B is the only statement that aligns with this philosophy. Option A implies that the goal has been achieved and no further improvements are necessary, which goes against the idea of continuous improvement. Option C places the blame on the workers rather than examining the system as a whole, again not in line with Total Quality Management. Option D is a basic requirement for any business to maintain quality, but it does not fully capture the philosophy of Total Quality Management.

Question 4

Why is product quality sometimes poorly defined in a firm?
A)Managers are not clear on what characteristics customer care most about.
B)Holistic measures of quality are difficult to develop.
C)Managers in different functional areas tend to emphasize different dimensions of quality.
D)All these answers are correct.

Accepted Answer

All of the given options can be reasons why product quality may be poorly defined in a firm. Managers may not have a clear understanding of customer preferences or may struggle to develop holistic measures of quality. Additionally, managers in different functional areas may place emphasis on different aspects of quality, leading to inconsistencies in the overall perception of quality within the firm.

Question 5

Which of the following statements is most true regarding ISO 9000?
A)ISO 9000 was designed specifically for the electronics industry
B)ISO 9000 is a quality award given by the U.S.government
C)ISO 9000 tells management specifically how to ensure quality
D)None of these statements is true.

Accepted Answer

ISO 9000 is not specific to any industry and is not an award given by the U.S. government. ISO 9000 provides guidelines and requirements for a quality management system but does not prescribe specific methods for achieving quality.

Question 6

If a tangible good or service performs the promised function dependably, we say that it has high:
A)Conformance.
B)Durability.
C)Reliability.
D)Perceived quality.

Accepted Answer

High reliability means that the tangible good or service performs the promised function dependably. Conformance refers to how well the product meets the specified standards or requirements, durability refers to how long the product lasts, and perceived quality is the customer's overall opinion or impression of the product.

Question 7

At the heart of the Six Sigma program is a five-step process called D-M-A-I-C.These letters denote a major activity that must be completed to achieve the objectives of Six Sigma.These activities are:
A)Define, Measure, Analyze, Improve, Control.
B)Define, Measure, Analyze, Inquire, and Compare.
C)Define, Measure, Analyze, Involve, and Cost.
D)Define, Measure Analyze, Improve, and Compare.

Accepted Answer

The correct order of major activities in Six Sigma is Define, Measure, Analyze, Improve, Control, denoted by the acronym D-M-A-I-C. This process is used to identify and eliminate defects in a process or product, thereby improving quality and reducing costs.

Question 8

The TQM view of organizational structure states that
A)Employees must support management decisions.
B)Management must support employees.
C)Customers want quality products.
D)Middle management must support and enforce top management decisions.

Accepted Answer

The TQM view of organizational structure emphasizes on the importance of management supporting employees in achieving high levels of quality and customer satisfaction. This means that management must provide the necessary resources, training, and leadership for employees to succeed in their roles. Additionally, the TQM philosophy values teamwork and collaboration across all levels of the organization, which means that employees should be encouraged to participate in decision-making processes and contribute to the continuous improvement of products and processes. While the other three options may also be important considerations for a successful TQM implementation, they are not the primary focus of the organizational structure aspect.

Question 9

In its promotional material for bed linens, Scarsdale Corporation states that all sheets and pillowcases sold to customers should have and actually do have a thread count of exactly 600 threads per inch.Scarsdale is apparently emphasizing:
A)Design quality.
B)Conformance quality.
C)Product quality.
D)Reliability.
E)Total quality management.

Accepted Answer

Scarsdale Corporation is emphasizing conformance quality by stating that all its bed linens have an exact thread count of 600 threads per inch. This means that they meet a specific standard or specification and are consistent in their quality.

Question 10

When buying from suppliers, what decisions do supply managers make that potentially impact quality?
A)Design of manufacturing and service processes
B)Design of contracts and associated incentives and penalties
C)Design of packaging
D)Design of product prototyping procedures

Accepted Answer

The answer of When buying from suppliers, what decisions do...

Question 11

"Zero defects" is a concept of quality management of which thought leader?
A)Deming
B)Juran
C)Crosby
D)Imai

Accepted Answer

The concept of "Zero Defects" was introduced by Philip Crosby, an American quality control expert and author. He believed that the ultimate goal of quality management was to achieve zero defects, and that this could be accomplished by implementing a culture of quality within the organization. Crosby emphasized the importance of prevention over inspection and the need for continuous improvement processes.

Question 12

Sanford Corp.bought new technological systems to inspect the quality of products as they come off the production line.The expense of operating these systems would be an example of which of the following types of quality-related costs?
A)Internal failure cost
B)Appraisal cost
C)External failure cost
D)Prevention cost

Accepted Answer

The expense of operating the new technological systems for product inspection falls under the category of appraisal cost, which refers to the cost of evaluating, measuring, and auditing products or services to ensure that they meet the required quality standards.

Question 13

All of the following represent external failure cost EXCEPT the cost of:
A)Scrapping defective raw material.
B)Repairing items covered by warranty.
C)Replacing defective items found by customers.
D)Loss of goodwill and reputation.

Accepted Answer

Scrapping defective raw material represents a prevention cost, not an external failure cost. External failure costs are incurred after a product is sold or delivered to the customer and includes costs such as warranty repairs, replacement of defective items, and loss of goodwill and reputation.

Question 14

Stu Johnson, CEO of Johnson, Inc., attended a seminar on Total Quality Management.Which of the following is NOT something he is likely to have learned at that seminar?
A)Some aspects of quality are difficult to measure because they depend on customers' judgments.
B)Quality is primarily the responsibility of operations management.
C)Quality results from design as well as operations and delivery.
D)Cross-functional teams are important in TQM decision making.
E)He is likely to have learned all of these things.

Accepted Answer

Quality is not just the responsibility of operations management, but rather it is the responsibility of everyone in the organization at all levels. This is a key principle of Total Quality Management.

Question 15

Which of the following statements is false?
A)Quality dimensions are easy to measure for tangible goods, while they are difficult to measure for services.
B)Many dimensions of service quality are similar to the dimensions of quality for tangible goods.
C)Some firms still have a poor understanding of quality and quality management.
D)All of these are false.

Accepted Answer

Quality dimensions for services can be measured, but they are more subjective and require different methods compared to tangible goods.

Question 16

"Quality at the source" suggests quality should be:
A)Built into the product.
B)Inspected at multiple points.
C)Ensured by the quality control lab.
D)An inspector's function.

Accepted Answer

"Quality at the source" emphasizes that quality should be built into the product during the manufacturing process, rather than relying on inspection or correction after the fact. This approach is focused on preventing errors or defects from occurring in the first place, rather than simply catching and correcting them later on. Therefore, the best choice is A - built into the product.

Question 17

Which of the following is NOT a core value of TQM?
A)Prevention is better than inspection.
B)Problem solving should occur at the lowest organizational levels possible.
C)Quality assurance managers should have the most power in the organization.
D)Product quality should be viewed holistically.

Accepted Answer

TQM emphasizes that quality responsibility should be diffused throughout the organization, rather than being centralized in one department or individual. Therefore, it does not prioritize giving the most power to quality assurance managers.

Question 18

Phil Bord is a CEO for a large auto manufacturer and is interested in improving the product quality.Phil had overheard his friend mention Six Sigma.Considering that Phil has no idea what Six Sigma is, what are some key points to help Phil out?
A)Six sigma quality means that he would have exactly half as many quality defects as he would have with three sigma quality.
B)To achieve truly world-class quality and performance, we need to focus on individual employee job functions.
C)Six sigma quality is the result of a well-defined and structured process.
D)All of these.

Accepted Answer

Six sigma quality is a result of a well-defined and structured process. The other options are incorrect as Six Sigma quality actually means reducing the number of defects to 3.4 out of a million opportunities, which is significantly lower than what would be achieved with three sigma quality. Focusing on individual employee job functions is important, but not the sole factor in achieving Six Sigma quality.

Question 19

ISO 9000 defines a set of internationally accepted standards for:
A)Product quality.
B)Quality control.
C)Operations management quality.
D)Business quality management.

Accepted Answer

ISO 9000 defines standards for business quality management, which encompasses all aspects of an organization's activities, including product quality and quality control, as well as operations management quality.

Question 20

If a product includes features that customers care most about, we would say that it has high:
A)Conformance quality.
B)Design quality.
C)Reliability.
D)Aesthetics.

Accepted Answer

Design quality refers to how well a product meets the needs and wants of the customer, and if it includes features that they care about, then it has high design quality. Conformance quality refers to how well a product meets specifications and standards, reliability refers to how well a product functions over time, and aesthetics refers to the visual appearance of a product. While these factors are also important, they do not necessarily indicate that a product includes features that customers care about.

Quiz 5: Manufacturing and Service Process Structures

Xanadu Inc.decided to increase the training received by new employees.The expense of this training is an example of which of the following costs of quality:

The idea that variability is the source of most quality problems was a major contribution of which quality management thought leader?

Which of the following statements that might be made by a business executive best expresses the overall philosophy of Total Quality Management?

Why is product quality sometimes poorly defined in a firm?

Which of the following statements is most true regarding ISO 9000?

If a tangible good or service performs the promised function dependably, we say that it has high:

At the heart of the Six Sigma program is a five-step process called D-M-A-I-C.These letters denote a major activity that must be completed to achieve the objectives of Six Sigma.These activities are:

The TQM view of organizational structure states that

In its promotional material for bed linens, Scarsdale Corporation states that all sheets and pillowcases sold to customers should have and actually do have a thread count of exactly 600 threads per inch.Scarsdale is apparently emphasizing:

When buying from suppliers, what decisions do supply managers make that potentially impact quality?

"Zero defects" is a concept of quality management of which thought leader?

Sanford Corp.bought new technological systems to inspect the quality of products as they come off the production line.The expense of operating these systems would be an example of which of the following types of quality-related costs?

All of the following represent external failure cost EXCEPT the cost of:

Stu Johnson, CEO of Johnson, Inc., attended a seminar on Total Quality Management.Which of the following is NOT something he is likely to have learned at that seminar?

Which of the following statements is false?

"Quality at the source" suggests quality should be:

Which of the following is NOT a core value of TQM?

Phil Bord is a CEO for a large auto manufacturer and is interested in improving the product quality.Phil had overheard his friend mention Six Sigma.Considering that Phil has no idea what Six Sigma is, what are some key points to help Phil out?

ISO 9000 defines a set of internationally accepted standards for:

If a product includes features that customers care most about, we would say that it has high: