CHAPTER 6: MANAGING QUALITY TRUE/FALSE 1.
Prod Produc ucti tivi vity ty usua usually lly incr increa ease sess at the the expe expens nsee of qual qualit ity y. False (Quality and strategy, moderate)
2.
Impr Improv ovin ing g qual qualit ity y gene genera rall lly y redu reduce cess cost costs. s. True (Quality and strategy, moderate)
3.
An impr improv ovem emen entt in qual qualit ity y inc incre reas ases es cos costs ts.. False (Quality and strategy, moderate)
4.
Qual Qualit ity y can can e used used to diff differ eren enti tiat atee pro produ duct cts. s. True (Quality and strategy, moderate)
!.
"or most most## if not all org organi ani$at $ation ions# s# quali quality ty is a tact tactica icall rather rather than than a stra strateg tegic ic issue issue.. False (Quality and strategy, moderate)
%.
Produc Productio tion n manag managers ers gene general rally ly use use a user& user&ase ased d defin definiti ition on of of quali quality ty.. False (Defining quality, moderate)
'.
(he defi definit nition ion of of qualit quality y adopt adopted ed y (he (he Amer America ican n )ociet )ociety y for Qual Quality ity *ont *ontrol rol is is a custom customer& er& oriented definition. True (Defining quality, moderate)
+.
*onform *onforming ing to to standa standards rds is is the focu focuss of the the produc product& t&ase ased d defini definitio tion n of quali quality ty.. False (Defining quality, moderate)
,.
Intern Internal al failu failure re cos costs ts are associ associate ated d -ith -ith evalua evaluatin ting g prod product ucts. s. False (Defining quality, moderate)
1.
Prevention Prevention costs are associa associated ted -ith -ith reducing reducing the potenti potential al for defective defective parts parts or or services. services. True (Defining quality, moderate)
11. 11.
A comp company any/s /s reputa reputatio tion n can e e impact impacted ed y its its qual quality ity.. True (Defining quality, moderate)
12.
0xtern 0xternal al costs costs are relati relativel vely y easy easy to measur measure. e. False (Defining quality, moderate)
13.
(he I) I) , , series series standa standards rds say say nothin nothing g aout aout the the actual actual quali quality ty of the produc product. t. True True (International quality standards, moderate)
14.
(he ecem ecemer er 2 2 revision revision of of I) ,1 ,1 places places more more emphasis emphasis on custome customerr requiremen requirements ts and satisfaction. True True (International quality standards, moderate)
103
1!.
I) 14/s primary focus is -ith environmental management standards. True (International quality standards, moderate)
1%.
Quality is mostly the usiness of the quality control staff# not ordinary employees. False (Total quality management, moderate)
1'.
(Q is important ecause quality influences all of the ten decisions made y operations managers. True (Total quality management, moderate)
1+.
perations is concerned -ith (Q# ut accounting need not e. False (Total quality management, moderate)
1,.
)ix sigma refers to a (Q program -ith extremely high process capaility. True (Total quality management, moderate)
2.
*ontinuous improvement is ased on the philosophy that any aspect of an organi$ation can e improved. True (Total quality management, moderate)
21.
ai$en is the 5apanese -ord for the ongoing process of incremental improvements. True (Total quality management, moderate)
22.
ai$en is similar to (Q in that oth are focused on continuous improvement. True (Total quality management, moderate)
23.
6enerally# the employees producing the product or providing the service are to lame for quality prolems. False (Total quality management, moderate)
24.
(he usiness literature suggest that approximately +!7 of quality prolems have to do -ith material and processes. True (Total quality management, moderate)
2!.
(he 5apanese use the term 8po9a&yo9e8 to refer to continuous improvement. False (Total quality management, moderate)
2%.
Quality circles have not een sho-n to e cost effective. False (Total quality management, moderate)
2'.
Quality circles empo-er employees to improve productivity y finding solutions to -or9&related prolems in their -or9 area. True (Total quality management, moderate)
2+.
:enchmar9s are relevant only -hen the companies you compare yourself -ith are in the same industry as your organi$ation. False (Total quality management, moderate)
2,.
5ust&in&time ;5I(< is unrelated to quality. False (Total quality management, easy)
104
3.
=ine employees need the 9no-ledge of (Q tools. True (Total quality management, easy)
31.
(arget&oriented quality is a philosophy of continuous improvement to ring the product exactly on target. True (Total quality management, easy)
32.
(he quality loss function indicates that costs related to poor quality are lo- as long as the product is -ithin acceptale specification limits. False (Total quality management, moderate)
33.
(he essence of Pareto/s rule is that +7 of the causes are responsile for 27 of the prolems. False (Tools of TQM, moderate)
34.
Pareto charts are a graphical -ay of identifying the fe- critical items from the many less important ones. True (Tools of TQM, moderate)
3!.
A fish&one chart is also 9no-n as an Ishi9a-a diagram. True (Tools of TQM, easy)
3%.
A cause&and&effect diagram helps identify the source of a prolem. True (Tools of TQM, moderate)
3'.
As long as sample measurements fall -ithin the control limits# the process is in control. False (Tools of TQM, moderate)
3+.
>se of 8po9a&yo9e8 should lead to use of fe-er inspection points. True (The role of inspection, moderate)
3,.
?hen and -here to inspect depends upon the type of product involved. True (The role of inspection, moderate)
4.
Quality characteristics can only e measured as attriutes. False (The role of inspection, moderate)
41.
)ource inspection is inferior to inspection efore costly operations. False (The role of inspection, moderate)
42.
*ustomer expectation is the standard against -hich the service is @udged. True (TQM in services, moderate)
105
MULTIPLE CHOICE 43.
8Quality is defined y the customer8 is a. an unrealistic definition of quality . a user&ased definition of quality c. a manufacturing&ased definition of quality d. a product&ased definition of quality e. the definition proposed y the American )ociety for Quality *ontrol b (Defining quality, moderate)
44.
?hich of the follo-ing is not one of the ma@or categories of costs associated -ith quality a. prevention costs . appraisal costs c. internal failures d. external failures e. none of the aove# they are all ma@or categories of costs associated -ith quality e (Defining quality, moderate)
4!.
According to the manufacturing&ased definition of quality# a. quality is the degree of excellence at an acceptale price and the control of variaility at an acceptale cost . quality depends on ho- -ell the product fits patterns of consumer preferences c. even though quality cannot e defined# you 9no- -hat it is d. quality is the degree to -hich a specific product conforms to standards e. quality lies in the eyes of the eholder d (Defining quality, moderate)
4%.
All of the follo-ing costs are li9ely to decrease as a result of etter quality ecept a. customer dissatisfaction costs . inspection costs c. scrap costs d. -arranty and service costs e. maintenance costs e (Defining quality, moderate)
4'.
Inspection# scrap# and repair are examples of a. internal costs . external costs c. costs of dissatisfaction d. prevention costs e. societal costs a (Defining quality, moderate)
106
4+.
I) , see9s standardi$ation in terms of a. products . production procedures c. suppliers/ specifications d. procedures to manage quality e. all of the aove d (International quality standards, moderate)
4,.
?hich of the follo-ing is true aout I) 14 certification a. It is not a prerequisite for I) , certification. . It deals -ith environmental management. c. It offers a good systematic approach to pollution prevention. d. ne of its core elements is life&cycle assessment. e. All of the aove are true. e (International quality standards, moderate)
!.
?hich of the follo-ing is true aout I) 14 certification a. It is a prerequisite for I) , certification. . It indicates a higher level of adherence to standards than I) ,. c. It is only sought y companies exporting their goods. d. It deals -ith environmental management. e. It is of little interest to 0uropean companies. d (International quality standards, moderate)
!1.
(o ecome I) , certified# organi$ations must a. document quality procedures . have an onsite assessment c. have an ongoing series of audits of their products or service d. all of the aove e. none of the aove d (International quality standards, moderate)
!2.
(otal quality management emphasi$es a. the responsiility of the quality control staff to identify and solve all quality&related prolems . a commitment to quality that goes eyond internal company issues to suppliers and customers c. a system -here strong managers are the only decision ma9ers d. a process -here mostly statisticians get involved e. I) 14 certification b (Total quality management, moderate)
!3.
A successful (Q program incorporates all of the follo-ing ecept a. continuous improvement . employment involvement c. enchmar9ing d. centrali$ed decision&ma9ing authority e. none of the aove# a successful (Q program incorporates all of the aove d (Total quality management, moderate)
107
!4.
8ai$en8 is a 5apanese term meaning a. a foolproof mechanism . @ust&in&time ;5I(< c. a fishone diagram d. setting standards e. continuous improvement e (Total quality management, moderate)
!!.
:ased on his 14 Points# eming is a strong proponent of a. inspection at the end of the production process . an increase in numerical quotas to oost productivity c. loo9ing for the cheapest supplier d. training and 9no-ledge e. all of the aove d (Total quality management, moderate)
!%.
(he philosophy of $ero defects is a. the result of eming/s research . unrealistic c. prohiitively costly d. an ultimate goalB in practice# 1 to 27 defects is acceptale e. consistent -ith the commitment to continuous improvement e (Total quality management, moderate)
!'.
Quality circles memers are a. paid according to their contriution to quality . external consultants designed to provide training in the use of quality tools c. al-ays machine operators d. all trained to e facilitators e. none of the aove# all of the statements are false e (Total quality management, moderate)
!+.
(he process of identifying other organi$ations that are est at some facet of your operations and then modeling your organi$ation after them is 9no-n as a. continuous improvement . employee empo-erment c. enchmar9ing d. copycatting e. patent infringement c (Total quality management, moderate)
!,.
*osts of dissatisfaction# repair costs# and -arranty costs are elements of cost in the a. (aguchi =oss "unction . Pareto chart c. I) , Quality *ost *alculator d. process chart e. none of the aove a (Total quality management, moderate)
108
%.
A quality loss function utili$es all of the follo-ing costs ecept a. the cost of scrap and repair . the cost of customer dissatisfaction c. inspection# -arranty# and service costs d. sales costs e. costs to society d (Tools of TQM, moderate)
%1.
Pareto charts are used to a. identify inspection points in a process . outline production schedules c. organi$e errors# prolems# or defects d. sho- material floe. all of the aove c (Tools of TQM, moderate)
%2.
(he 8four s8 of cause&and&effect diagrams are a. material# machineryCequipment# manpo-er# and methods . material# methods# men# and mental attitude c. named after four quality experts d. material# management# manpo-er# and motivation e. none of the aove a (Tools of TQM, moderate)
%3.
Among the tools of (Q# the tool ordinarily used to aid in understanding the sequence of events through -hich a product travels is a a. Pareto chart . process chart c. chec9 sheet d. (aguchi map e. po9a&yo9e b (Tools of TQM, moderate)
%4.
(he process improvement technique that sorts the 8vital fe-8 from the 8trivial many8 is a. (aguchi analysis . Pareto analysis c. enchmar9ing d. eming analysis e. Damaguchi analysis b (Tools of TQM, moderate)
%!.
A fishone diagram is also 9no-n as a a. cause&and&effect diagram . po9a&yo9e diagram c. ai$en diagram d. anan diagram e. (aguchi diagram a (Tools of TQM, easy)
109
%%.
If a sample of parts is measured and the mean of the measurements is outside the control limits# the process is a. in control# ut not capale of producing -ithin the estalished control limits . out of control and the process should e investigated for assignale variation c. -ithin the estalished control limits -ith only natural causes of variation d. monitored closely to see if the next sample mean -ill also fall outside the control limits e. none of the aove b (Tools of TQM, moderate)
%'.
A quality circle holds a rainstorming session and attempts to identify the factors responsile for fla-s in a product. ?hich tool do you suggest they use to organi$e their findings a. Ishi9a-a diagram . Pareto chart c. process chart d. control charts e. activity chart a (Tools of TQM, moderate)
%+.
?hen a sample measurement falls inside the control limits# it means that a. each unit manufactured is good enough to sell . the process limits cannot e determined statistically c. the process output exceeds the requirements d. if there is no other pattern in the samples# the process is in control e. no investigation is necessary until another sample value falls outside the control limits d (Tools of TQM, moderate,)
%,.
?hich of the follo-ing is true regarding control charts a. Ealues aove the upper and lo-er control limits indicate points out of ad@ustment. . *ontrol charts are uilt so that ne- data can e quic9ly compared to past performance data. c. *ontrol charts graphically present data. d. *ontrol charts plot data over time. e. All of the aove are true. e (Tools of TQM, moderate)
'.
(he goal of inspection is to a. detect a ad process immediately . add value to a product or service c. correct deficiencies in products d. correct system deficiencies e. all of the aove a (The role of inspection, moderate)
'1.
?hich of the follo-ing is not a typical inspection point a. upon receipt of goods from your supplier . during the production process c. efore the product is shipped to the customer d. at the supplier/s plant -hile the supplier is producing e. after a costly process e (The role of inspection, moderate)
110
'2.
A good description of 8source inspection8 is inspecting a. materials upon delivery y the supplier . the goods at the production facility efore they reach the customer c. the goods as soon as a prolem occurs d. goods at the supplier/s plant e. one/s o-n -or9# as -ell as the -or9 done at the previous -or9 station e (The role of inspection, moderate)
'3.
8Po9a&yo9e8 is the 5apanese term for a. card . foolproof c. continuous improvement d. fishone diagram e. @ust&in&time production b (The role of inspections, moderate)
'4.
A -or9er operates a shear press. )he notices that the metal sheets she is cutting have curled edges. ?ho should get the first 8shot8 at solving the prolem a. the foreman . a memer of the quality control department c. the operator herself d. an engineer e. the employee/s supervisor c (The role of inspection, moderate)
'!.
A recent consumer survey conducted for a car dealership indicates that# -hen uying a car# customers are primarily concerned -ith the salesperson/s aility to explain the car/s features# the salesperson/s friendliness# and the dealer/s honesty. (he dealership should e especially concerned -ith -hich dimensions of service quality a. communication# courtesy# and crediility . competence# courtesy# and security c. competence# responsiveness# and reliaility d. communication# responsiveness# and reliaility e. understandingC9no-ing customer# responsiveness# and reliaility a (TQM in services, moderate)
111
FILL-IN-THE-BLANK '%.
FFFFFFFFFFF costs result from production of defective parts or services efore delivery to the customer. Internal failure (Defining quality, moderate)
''.
FFFFFFF is a set of quality standards developed y the International )tandards rgani$ation. I!" #$$$ (Defining quality, moderate)
'+.
FFFFFFF is a set of environmental standards developed y the International )tandards rgani$ation. I!" %&$$$ (Defining quality, moderate)
',.
FFFFFFFFF is the 5apanese -ord for the ongoing process of incremental improvement. 'aien (Total quality management, moderate)
+.
0nlarging employee @os so that the added responsiility and authority is moved to the lo-est level possile in the organi$ation is called FFFFFFFFFFFFFF. employee empoerment (Total quality management, moderate)
+1.
FFFFFFFFF selects a demonstrated standard of performance that represents the very est performance for a process or activity. *enchmar+ing (Total quality management, moderate)
+2.
FFFFFFFF is a philosophy of continuous improvement to ring the product exactly on target. Targetoriented quality (Total quality management, moderate)
+3.
FFFFFFFF diagrams sho- the relationship et-een t-o measurements. !catter (Tools of TQM, moderate)
+4.
FFFFFFFFFFF diagrams use a schematic technique to discover possile locations of quality prolems. -auseandeffect (Tools of TQM, moderate)
+!.
FFFFFFFFFF are a graphical method to identify the critical fe- from the trivial many. .areto charts (Tools of TQM, moderate)
+%.
FFFFFFFFFF use symols to analy$e the movement of people or materials. .rocess charts (Tools of TQM, moderate)
+'.
FFFFFFFFFFF sho- the range of values of a measurement and the frequency -ith -hich each value occurs. /istograms (Tools of TQM, moderate)
++.
FFFFFFFF are graphical presentations of data over time that sho- upper and lo-er control limits for processes -e -ant to control. -ontrol charts (Tools of TQM, moderate)
112
+,.
FFFFFFFF is a means of ensuring that an operation is producing at the quality level expected. Inspection (The role of inspection, moderate)
,.
A;n< FFFFFFFFF is a foolproof device or technique that ensures production of good units every time. po+ayo+e (The role of inspection, moderate)
SHORT ANSWER ,1.
f the four costs of quality# -hich one is hardest to estimate 0xplain. The hardest to estimate are eternal costs, or cost that occur after delivery of defective part or services0 These costs are very hard to quantify0 (Defining quality, moderate)
,2.
=ist four -ays in -hich quality affects a company. Quality affects strategy through costs and mar+et share1 company2s reputation, product liability, and international implications0 (Defining quality, moderate)
,3.
)tate the A)*Q definition of quality. f the three 8flavors8 or categories of quality definitions# -hich type is it 0xplain. Quality is the totality of features and characteristics of a product or service that bear on its ability to satisfy stated or implied needs0 This is userbased, as evidenced by the reference to needs, not to specifications or ingredients0 (Defining quality, moderate)
,4.
Quality has at least three categories or types of definitionsB list them. Provide a rief explanation of each. The three categories of quality are userbased (in the eyes of the beholder), manufacturing based (conforming to standards), and productbased (measurable content of product)0 (Defining quality, moderate)
,!.
Identify four costs associated -ith quality. The four costs associated with quality are: prevention, appraisal, internal failure, and external failure. (Defining quality, moderate)
,%.
?hy is target&oriented performance etter than conformance&oriented performance Target-oriented performance is to be preferred over conformance-oriented performance because it tends to produce fewer products farther from the target. (Defining quality, moderate)
,'.
=ist the five core elements of I) 14. The five core elements of I!" %&$$$ are environmental management, auditing, performance evaluation, labeling, and life cycle assessment0 (International quality standards, moderate)
,+.
?hat is the focus of the I) , standards The focus of the standards is to establish quality management procedures through detailed documentation, or+ instructions, and record +eeping0 These procedures say nothing about the actual quality of the product0 (International quality standards, moderate)
113
,,.
?hat are four advantages of the I) 14 standard Four advantages of I!" %&$$$ are positive public image and reduced eposure to liability, good systematic approach to pollution prevention through the minimiation of ecological impact of products and activities, compliance ith regulatory requirements and opportunities for competitive advantage, and reduction in the need for multiple audits0 (International quality standards, moderate)
1. ?hat -ere the asic revisions made to the I) , standards in ecemer 2 They made the I!" #$$$ standards more of a quality management system0 They also emphasied top management leadership, and customer requirements and satisfaction, hile documented procedures received less emphasis0 (International quality standards, moderate) 11. ?hat steps can e ta9en to develop enchmar9s The steps ta+en to develop benchmar+s are determine hat to benchmar+, form a benchmar+ing team, identify benchmar+ing partners, collect and analye benchmar+ing information, and ta+e action to match or eceed the benchmar+0 (Total quality management, moderate) 12. ?hy is employee empo-erment important to (Q programs 3mployees that deal ith a system on a daily basis have a better understanding of the system than anyone else0 -onsequently, they are very effective at improving the system0 (Total quality management, moderate) 13. ?hat is a quality circle 4 quality circle is a group of employees that meet on a regular basis ith a facilitator to solve or+related problems in their or+ area0 (Total quality management, easy) 14. 0xplain ho- @ust&in&time processes relate to the quality of an organi$ation/s outputs. 5IT relates to quality by cutting costs of quality, by loering aste and scrap1 by improving quality by shortening the time beteen error detection and error correction1 and better quality means less inventory and better 5IT system0 (Total quality management, moderate) 1!. ?hat is a quality roust design 4 quality robust design is a product that is consistently built to meet customer needs in spite of adverse conditions in the production process0 (Total quality management, moderate) 1%. ?hat is target&oriented quality Targetoriented quality is a philosophy of continuous improvement to bring the product eactly to its target0 (Total quality management, moderate) 1'. ?hat are the ma@or concepts of (Q The ma6or concepts of total quality management are continuous improvement, employee empoerment, benchmar+ing, 6ustintime (5IT), +noledge of TQM tools0 (Total quality management, moderate) 1+. Go- can a firm uild a climate of continuous improvement How to build a climate of continuous improvement: By having leaders who believe that every project, product, and process can be improved and are effective in communicating that belief to others in the organization. (Total quality management, moderate)
114
1,. ?hat are the three asic concepts of the (aguchi technique The three basic concepts in the Taguchi method are quality robustness, quality loss factor, and target specification0 (Total quality management, moderate) 11. ?hat is the quality loss function ;Q="< The quality loss function identifies all costs connected with poor quality and shows how these costs increase as the product moves away from being exactly what the customer wants. (Total quality management, moderate) 111. 0xplain ho- a Pareto chart can identify the most important causes of errors in a process. There ill generally be some causes ith much higher frequencies than others0 The frequency plot ill clearly sho hich cause has the highest frequency0 (Tools of TQM, moderate) 112. =ist four enefits associated -ith the use of process charts. .rocess charts help identify the best data collection points, isolate and trac+ the origin of problems, identify the best place for process chec+s, and identify opportunities for travel distance reduction0 (Tools of TQM, moderate) 113. ?hat are the four s of a cause&and&effect diagram The four Ms of a causeandeffect diagram are methods, manpoer, machines, and material0 (Tools of TQM, moderate) 114. )tate the t-o asic decisions associated -ith inspection. The to basic decisions associated ith inspection are hen to inspect, and here to inspect0 (The role of inspection, moderate) 11!. ?hat are the t-o types of sampling Hame themB provide a rief description or example of each. The to types of sampling are attribute sampling (present or absent)1 variables sampling (measured amount)0 (The role of inspection, moderate) 11%. ?hat is a po9a&yo9e 6ive an example. 4 po+ayo+e is a foolproof device or technique that ensures production of good units every time0 3amples ill vary, but include McDonald2s French fry scoop and standard sied bags used to ensure the correct quantity, and prepac+aged surgical coverings that contain eactly the items needed for a medical procedure0 (The role of inspection, moderate)
115
PROBLEMS 11'. Perform a Pareto analysis on the follo-ing information Jeason for unsatisfying stay at hotel >nfriendly staff Joom not clean Joom not ready at chec9&in Ho to-els at pool Ho lan9et for pull&out sofa Pool -ater too cold :rea9fast of poor quality 0levator too slo- or not -or9ing (oo9 too long to register :ill incorrect (otal
"requency 6 2 3 33 4 3 16 23 7 3
1
Solution 120
100
100
80
60 50 40 33 20
23 16
0
7
6
0
116
P e r c e n t
11+. Perform a Pareto analysis on the follo-ing information Jeason for unsatisfying chec9&out at store >nfriendly cashier Incorrect change *ashier too sloPrice chec9 Poorly agged merchandise !lo receiving chec+ approval
"requency 27 4 9 34 2 3
!olution P e r c e n t
100
80
100
60
40
50 34 27
20
9 0
0 Price chec k
!a"hier too "low
#n$riendly ca"hier
Slow receiving check
ncorrect change
Poorly bagged mercha
11,. *onstruct a cause&and&effect diagram sho-ing -hy a student might e dissatisfied -ith the cafeteria. !olution7 (8ote that ansers may vary considerably)
117
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