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Juran describes quality management as a trilogy that consists of quality planning, quality control, and quality improvement.

A) True
B) False

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Cost of inspectors, testing, test equipment, and labs are examples of prevention costs.

A) True
B) False

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In addition to correcting substandard work, employees have an ethical obligation to __________ whatever led to the quality problem as well.


A) prevent
B) offset
C) report
D) standardize
E) redesign

F) B) and C)
G) A) and E)

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Because courtesy is subjective, it cannot be considered a factor in service quality.

A) True
B) False

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Customer expectations tend to change over time, affecting their perception of service quality.

A) True
B) False

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Deciding how much to invest in the prevention of defects can be analyzed using:


A) EVPI.
B) net present value.
C) weighted factor analysis.
D) return on quality.
E) break-even analysis.

F) A) and B)
G) A) and C)

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Three key philosophies in TQM are continuous improvement, involvement of everyone in the organization, and customer satisfaction.

A) True
B) False

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The Malcolm Baldrige National Quality Award aims to: (I) publicize successful quality programs. (II) recognize quality achievements of U.S. companies. (III) stimulate efforts to improve quality. (IV) distribute the grant money available for improved quality.


A) I and IV only
B) I and II only
C) II and III only
D) I, II, III, and IV
E) I, II, and III only

F) C) and D)
G) A) and D)

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Quality certification refers to a process of 100 percent inspection to catch all defective products before they leave the company; this allows every item to be certified defect free.

A) True
B) False

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Focusing a supply chain on ________________ is a modern way of ensuring high-quality inputs and a ready supply of process-improvement ideas.


A) lowest cost per unit sourced
B) close, collaborative ties with suppliers
C) suppliers that emphasize continuous-flow production
D) ISO 14000 customers
E) partners pursuing similar strategies

F) B) and E)
G) A) and B)

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The primary difference between internal failures and external failures is time and place of discovery of the failure.

A) True
B) False

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The process of identifying other organizations that are best at some facet of your operations, and then modeling your organization after them is known as:


A) continuous improvement.
B) employee empowerment.
C) benchmarking.
D) copycatting.
E) industrial espionage.

F) B) and E)
G) C) and D)

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Fixing a problem will often cost money; to minimize these costs it is best to find and fix the problem:


A) just before shipping our product to the customer.
B) immediately after we complete the last operation.
C) during the design phase.
D) just before we begin the first production operation.
E) Regardless of when you fix the problem, costs are about the same.

F) B) and C)
G) C) and D)

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If the majority of service customers are satisfied, it is likely that all service customers will be satisfied.

A) True
B) False

Correct Answer

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To minimize quality risks, which of the following would be least likely to be outsourced to less-developed countries?


A) rubber processing
B) repetitive assembly
C) packaging
D) pharmaceuticals
E) steel manufacturing

F) A) and C)
G) A) and D)

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An organization achieves quality by consistently meeting its competitors' standards.

A) True
B) False

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Deming stresses that workers are primarily responsible for poor quality because very often they fail to follow instructions.

A) True
B) False

Correct Answer

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Lost production time, scrap, and rework are examples of:


A) internal failure costs.
B) external failure costs.
C) appraisal costs.
D) prevention costs.
E) replacement costs.

F) All of the above
G) None of the above

Correct Answer

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The Baldrige award can only be won by manufacturing organizations.

A) True
B) False

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The expression "quality at the source" refers primarily to the practice of requiring each of our vendors to provide quality parts and materials.

A) True
B) False

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