Question 1

As a member of the ________ function within his company, Arturo visits new businesses to educate them on the features and advantages offered by his company's products.

Accepted Answer

Arturo's role involves visiting new businesses to educate them about the company's products, which is a key responsibility of the sales function.

Question 2

Managers pursue functional-level strategies that allow the organization's value chain to provide

Accepted Answer

Functional-level strategies aim to improve efficiency and effectiveness in the value chain, often by reducing costs, which can allow the organization to offer the same product attributes at a lower price.

Question 3

A company that continually improves management of its value chain in order to supply products with the quality, cost, and features desired in the market is demonstrating

Accepted Answer

The answer of A company that continually improves management of...

Question 4

A successful total quality management (TQM)program requires

Accepted Answer

Breaking down barriers between functions is essential for TQM as it promotes collaboration and communication across departments, leading to continuous improvement and quality enhancement.

Question 5

When a company boosts product quality, it can also expect

Accepted Answer

The answer of When a company boosts product quality, it...

Question 6

A retailer leverages an integrated IT system to connect information across multiple functions including details surrounding product sales, service calls, and the effectiveness of marketing campaigns. The retailer is using ________ to maximize the value it delivers over time.

Accepted Answer

The retailer is using customer relationship management (CRM) to integrate information across various functions to enhance customer satisfaction and maximize value over time.

Question 7

Organizations should refrain from offering too high a level of responsiveness to customers because

Accepted Answer

Offering too high a level of responsiveness can lead to increased company costs due to the need for additional resources and infrastructure to maintain such a level of service.

Question 8

According to TQM philosophy, who is responsible for defining what constitutes quality for a product or service?

Accepted Answer

According to Total Quality Management (TQM) philosophy, customers are the ones who define what constitutes quality for a product or service, as their needs and expectations determine the standards of quality.

Question 9

The stock of raw materials, inputs, and component parts that an organization has on hand at a particular time is referred to as

Accepted Answer

Inventory refers to the stock of raw materials, inputs, and component parts that an organization has on hand at a particular time.

Question 10

In order to effectively manage the company's value chain,

Accepted Answer

The marketing function should focus on customer needs to ensure that the products and services offered align with what customers want, which is crucial for managing the company's value chain effectively.

Question 11

To realize improvements in ease of production, a company should

Accepted Answer

Designing products with fewer component parts can simplify the production process, reduce costs, and improve efficiency.

Question 12

A company that produces business telephones does an audit of customer complaints. The results reveal that the customer support department has the biggest share of complaints. This represents a ________ defect.

Accepted Answer

The complaints are related to the customer support department, which is a service-related issue, not a problem with the product, manufacturing, distribution, or supply.

Question 13

Over many years, Speedy Delivery has built a strong reputation and a loyal client base by ensuring all delivery issues are quickly resolved to the satisfaction of both senders and receivers. This is an example of an effective ________ function.

Accepted Answer

The scenario describes resolving delivery issues to the satisfaction of clients, which is a key aspect of customer service.

Question 14

Rhea's company sets specific goals for product features and reliability, offers incentives for achieving goals, and regularly solicits employee feedback on the causes of customer issues. These activities are part of a ________ system.

Accepted Answer

These activities are part of a total quality management (TQM) system, which focuses on continuous improvement, customer satisfaction, and employee involvement.

Question 15

Sue discovers that by rearranging the design of components in a product, she is able to reduce the product housing by 20%, which saves the company money on materials, packaging, and shipping. Her redesign strategy is an example of

Accepted Answer

Sue's redesign strategy is an example of value chain management, which focuses on optimizing the various stages of production to add value and reduce costs. By reducing the product housing, she is effectively managing the value chain to save on materials, packaging, and shipping.

Question 16

To decrease product defects, materials managers must work closely with ________ to improve the quality of raw materials and obtained parts.

Accepted Answer

Materials managers should work closely with suppliers to ensure the quality of raw materials and parts, as they are responsible for providing these inputs.

Question 17

________ is a technique that focuses all functions within an organization on improving the design, features, reliability, and after-sales support of products.

Accepted Answer

Total quality management (TQM) is a management approach that seeks to improve quality and performance which will meet or exceed customer expectations. It focuses on all functions within an organization to enhance the design, features, reliability, and after-sales support of products.

Question 18

Increased quality allows an organization to make greater profits by ________ the product's price due to improved reliability and ________ operating costs due to improved productivity.

Accepted Answer

Increased quality can justify a higher product price due to improved reliability, and it can also reduce operating costs through enhanced productivity.

Question 19

Tristan conducts service and installation visits for a cable company. He uses an online system to access a client's history and updates the system with results from all interactions. This is an example of using ________ to be responsive and build loyalty.

Accepted Answer

This is an example of customer relationship management (CRM), which involves using technology and systems to manage and analyze customer interactions and data throughout the customer lifecycle, with the goal of improving customer service, building loyalty, and increasing responsiveness.

Question 20

To effectively implement total quality management, managers should

Accepted Answer

In total quality management, involving employees in suggesting improvements is crucial as it encourages engagement and utilizes their firsthand experience to enhance processes.

Quiz 9: Value Chain Management Functional Strategies for Competitive Advantage