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The degree to which a product or service satisfies its intended purpose is determined by service after delivery, ease of use, design, and conformance to design.

A) True
B) False

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The tool that is useful in documenting the current process is a:


A) control chart.
B) Pareto chart.
C) check sheet.
D) flowchart.
E) cause-and-effect diagram.

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

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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) A) and E)

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


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

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

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TQM expands the traditional view of quality beyond looking only at the quality of the final product or service to looking at the quality of every aspect of the process.

A) True
B) False

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Business organizations that achieve good quality benefit in a variety of ways, including a positive reputation for quality, increased customer loyalty, and lower production costs.

A) True
B) False

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Which of the following raises quality risks?


A) currency fluctuations
B) outsourcing to less-developed countries
C) empowering employees
D) benchmarking
E) streamlining the supplier base

F) A) and E)
G) A) and D)

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Total quality management attempts to involve everyone in an organization in the effort to achieve quality.

A) True
B) False

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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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In market research, a group of consumers organized by marketing to express their opinions about a product or service is called a steering committee.

A) True
B) False

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User instructions and follow-up services after delivery are important elements of overall product or service quality.

A) True
B) False

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Focusing a supply chain on ________________ is a modern way of ensuring high-quality inputs and extending an organization's continuous improvement efforts.


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

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If customer satisfaction does not always lead to customer loyalty, firms may need to focus additional effort on __________ strategies.


A) remediation
B) retention
C) rework
D) repatriation
E) reprocessing

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

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Which of the following is not a typical goal of process improvement?


A) increasing customer satisfaction
B) reducing waste
C) achieving higher quality
D) increasing market share
E) All are the goals

F) A) and C)
G) None of the above

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A tool that is not used for quality management is a:


A) flowchart.
B) histogram.
C) Pareto analysis.
D) redesign.
E) check sheet.

F) B) and C)
G) None of the above

Correct Answer

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The tool that is useful in the collection and organization of data is a:


A) control chart.
B) Pareto chart.
C) check sheet.
D) flowchart.
E) runs chart.

F) A) and D)
G) None of the above

Correct Answer

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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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Firms that wish to do business with the European Community can benefit from having a quality management system that meets ISO 9000 standards.

A) True
B) False

Correct Answer

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When an organization comes to the realization that there are quality problems in products that are already in service, ethical approaches include: (I) divulging the information to the public at large. (II) recalling, if possible, affected products. (III) handling complaints on an individual rather than a systemic basis.


A) I and III
B) I and II
C) II and III
D) I, II, and III
E) Neither I, II, nor III

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

Correct Answer

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Convenience, reliability, and assurance are dimensions of service quality.

A) True
B) False

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