ch9
Student: ___________________________________________________________________________
1. Broadly defined, quality refers to the ability of a product or service to occasionally meet or exceed customer
expectations.
True False
2. An organization achieves quality by consistently meeting their competitor's standards.
True False
3. Because 'courtesy' is subjective, it can't be considered a factor in service quality.
True False
4. Recent changes to ISO guidelines stress continuous improvement regardless of how good you currently are.
True False
5. The seven dimensions of quality are important for products but are not applicable in service organizations.
True False
6. Regardless of superior quality, consumers won't pay premium prices.
True False
7. High Quality and low prices are both considered to be dimensions of quality.
True False
8. The Baldrige award can only be won by manufacturing organizations.
True False
9. Quality of conformance refers to the degree to which goods and services conform to the intent of the
designers as documented in the specifications.
True False
10. Quality of design refers to the degree to which goods and services achieve the intent of the designers.
True False
11. In market research, a group of consumers who express their opinions about a product or service is called a
steering committee.
True False
12. Business organizations achieving good quality benefit in a variety of ways, including a positive reputation
for quality, increased customer loyalty, and lower production costs.
True False
13. User instructions and followup services after delivery are important elements of overall product or service
quality.
True False
14. Reducing the variations in our product or service is an important key to perceived quality.
True False
15. Product design choices are usually the result of inputs from accounting and human resources.
True False
16. The dimensions of product and service quality are too abstract to be applied operationally.
True False
17. The degree to which a product or service satisfies its intended purpose is determined by design,
conformance to design, cost, and reputation of the producer.
True False
18. 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.
True False
19. Medical malpractice claims are an example of how poor quality can affect an organization through liability.
True False
20. Convenience, Reliability and Assurance are dimensions of service quality.
True False
21. Poor quality has a positive effect on productivity because it usually takes longer to produce a good part.
True False
22. If the majority of service customers are satisfied, it is likely that all service customers will be satisfied.
True False
23. The primary difference between internal failures and external failures is time and place of discovery of the
failure.
True False
24. Customer expectations tend to change over time affecting their perception of service quality.
True False
25. Cost of inspectors, testing, test equipment, and labs are examples of prevention costs.
True False
26. Cost of inspectors, testing, test equipment, and labs are examples of appraisal costs.
True False
27. Modern quality management emphasizes finding and correcting mistakes before they reach the customer
catching the errors before they are shipped.
True False
28. Deming stresses that workers are primarily responsible for poor quality because very often they fail to
follow instructions.
True False
29. According to Deming, it is the systems that management puts into place that are primarily responsible for
poor quality, not employees.
True False
30. Juran describes quality management as a trilogy that consists of quality planning, quality control, and
quality improvement.
True False
31. Juran describes quality management as a trilogy that consists of quality planning, control of quality costs,
and quality improvement.
True False
32. Quality at the source means returning all defects to the source our vendors.
True False
33. Six sigma programs have both management and technical components.
True False
34. Crosby's concept of "quality is free" means that it is less expensive to do it right initially than to do it over.
True False
35. The causes of variation in any process can be identified through the general categories of people,
procedures, education and age.
True False
36. 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.
True False
37. The customer is the focal point and customer satisfaction is the driving force in quality management.
True False
38. When considering service quality, convenience often is a major factor.
True False
39. Serviceability, Conformance and Reliability are dimensions of product quality.
True False
40. Firms that wish to do business with the European Community can benefit from having a quality
management system that meets ISO 9000 standards.
True False
41. Continuous improvement attempts to achieve major breakthroughs in product or service quality.
True False
42. So long as quality input resources are used to make a product, we can expect quality output from the
process.
True False
43. Three key philosophies in TQM are continuous improvement, involvement of everyone in the organization,
and customer satisfaction.
True False
44. Suppliers are not included in quality assurance and quality improvement efforts in TQM; they should worry
about their own problems.
True False
45. Zero defects requires 100% inspection of the final product.
True False
46. The PDSA cycle forms the conceptual basis for continuous improvement.
True False
47. A control chart is a visual representation of the various states in a process.
True False
48. The purpose of benchmarking is to establish a standard against which the organization's performance can be
judged, and to identify a model for possible improvement.
True False
49. 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.
True False
50. The benchmark organization must be chosen from the same industry in order for its methods to be
applicable.
True False
51. A quality circle is a crossfunctional team focused on quality.
True False
52. Total quality management attempts to involve everyone in an organization in the effort to achieve quality.
True False
53. There is a positive link between quality and productivity.
True False
54. The term "quality at the source" refers primarily to the practice of requiring each of our vendors to provide
quality parts and materials.
True False
55. ISO standards aid in transferring technology to developing countries.
True False
56. TQM is not just a collection of techniques. It is rather a whole new attitude toward quality.
True False
57. The PDSA cycles is also referred to as the Baldrige Wheel.
True False
58. When problems arise in a total quality managed organization, it is important to assign blame and punish the
worker responsible for causing the problem.
True False
59. ISO standards apply only to manufacturing organizations.
True False
60. A major obstacle to implementing TQM can be an emphasis on longterm financial results.
True False
61. One criticism of total quality management is that it may produce blind pursuit of quality to the neglect of
other priority considerations.
True False
62. Process mapping is part of process improvement.
True False
63. Total quality management is a collection of techniques, such as quality control charts, ISO 9000, and quality
function deployment.
True False
64. A tool that is not used for quality management is ________.
A. Flowchart
B. Histogram
C. Perato Analysis
D. Redesign
E. Check sheets
65. The four dimensions of quality that are sometimes used to determine fitness for use of a product are
______.
A. performance, special features, durability, and service after sale
B. performance, special features, conformance, and reliability
C. special features, conformance, reliability, and durability
D. performance, conformance, reliability, and durability
E. special features, conformance, durability, and service after sale
66. A tool that depicts process variation graphically is a(n) _________.
A. Affinity diagram
B. Check list
C. Control Chart
D. Flow Chart
E. Relationship diagram
67. Which isn't a cost of quality?
A. Prevention cost
B. External failure
C. Extended Service Contracts
D. Internal failure
E. Appraisal costs
68. The Deming Prize was established by the _________.
A. American Statistical Association
B. Japanese
C. North American Free Trade Association
D. American Quality Society
E. World Trade Organization
69. 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
70. Warranty service, processing of complaints, and costs of litigation are examples of ________.
A. internal failure costs
B. external failure costs
C. appraisal costs
D. prevention costs
E. replacement costs
71. Costs of inspectors, testing, test equipment, and labs are examples of ________.
A. internal failure costs
B. external failure costs
C. appraisal costs
D. prevention costs
E. replacement costs
72. Loss of business, liability, productivity and costs are consequences of _______.
A. Labor Unions
B. Globalization
C. Poor Quality
D. Robotics
E. Microfactories
73. Quality planning and administration, quality training, and quality control procedures are examples of
_______.
A. internal failure costs
B. external failure costs
C. appraisal costs
D. prevention costs
E. replacement costs
74. The purpose of the Malcolm Baldrige National Quality Award is to _______.
A. stimulate efforts to improve quality
B. recognize quality achievements of U.S. companies
C. publicize successful quality programs
D. all of the above
E. distribute the grant money available for improved quality
75. 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
76. 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. Breakeven Analysis
77. The Baldrige award is based on seven categories. Which is not one of those?
A. Relative profitability
B. Strategic planning
C. Human resource focus
D. Information and Analysis
E. Leadership
78. ISO 9000 standards do not have a requirement for ________.
A. resource
B. remedial
C. systems
D. training
E. management
79. A quality circle is ________.
A. responsible for quality
B. total quality control
C. an inspection stamp found on meat
D. a voluntary group of employees
E. none of the above
80. ISO 9000 currently requires _____ of a certified organization.
A. Quarterly reporting
B. Product diversity
C. Annual audits
D. A minimum of four supervisory levels
E. Continuous improvement
81. The quality control improvement tool which distinguishes between the "important few" and the "trivial
many" is __________.
A. brainstorming
B. check sheets
C. Pareto analysis
D. causeandeffect diagrams
E. failsafe methods
82. The quality control improvement tool that resembles a "fishbone" is ________.
A. brainstorming
B. check sheets
C. Pareto analysis
D. causeandeffect diagrams
E. failsafe methods
83. TQM stands for:
A. Taguchie Quality Methods
B. Tactical Quality Measurements
C. The Quality Matrix
D. Total Quality Management
E. Total Quantity Measurement
84. Which of the following is an element of TQM?
A. continuous improvement
B. competitive benchmarking
C. employee empowerment
D. team approach
E. all of the above
85. Management behaviors supporting an organizational culture that encourages continuous improvement
include which of the following?
(I) develop a vision statement for the organization
(II) develop a reward system that promotes the philosophy
(III) institute continuous training programs
(IV) make decisions that adhere to the philosophy
A. I, II, and IV
B. I, II, III, and IV
C. I and III
D. II, III, and IV
E. II and IV
86. The tool that is useful in documenting the current process is:
A. a control chart
B. a Pareto chart
C. a check sheet
D. a flow chart
E. a simo chart
87. The tool that is useful in the collection and organization of data is:
A. a control chart
B. a Pareto chart
C. a check sheet
D. a flow chart
E. none of the above
88. A quality improvement technique that involves the sharing of thoughts and ideas in a way that encourages
unrestrained collective thinking is:
A. Pareto analysis
B. benchmarking
C. brainstorming
D. a control chart
E. a check sheet
89. In order for TQM to be successful, it is essential that most of the organization be _________.
A. members of quality circles
B. under contract
C. ISO certified
D. trained in error detection techniques
E. in agreement with the philosophy and its goals
90. Which of the following raises quality risks?
A. currency fluctuations
B. outsourcing to lessdeveloped countries
C. empowering employees
D. benchmarking
E. streamlining the supplier base
91. Focusing attention on the most important problem areas is referred to as:
A. quality circles
B. quality assurance
C. brainstorming
D. Pareto analysis
E. causeandeffect analysis
92. A chart showing the number of occurrences by category would be used in:
A. Pareto analysis
B. interviewing
C. causeandeffect diagrams
D. benchmarking
E. none of the above
93. Causeandeffect diagrams are sometimes called:
A. Pareto diagrams
B. fishbone (Ishikawa) diagrams
C. run charts
D. control charts
E. none of the above
94. 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
95. Giving workers responsibility for quality improvements and authority to make changes is known as:
A. continuous improvement
B. passing the buck
C. benchmarking
D. employee empowerment
E. employee involvement
96. The typical difference between "quality circles" and "continuous improvement teams" is ________.
A. Quality circles work on product design only
B. Continuous improvement teams work on product and process design
C. Continuous improvement teams use only engineers while quality circles use just the workers doing the work
D. the amount of employee empowerment
E. There is no differencethey are just the same
97. Which of the following is not a goal of process improvement?
A. increasing customer satisfaction
B. reducing waste
C. achieving higher quality
D. identifying the cause of a problem
E. All are the goals.
98. Managers have obligations to a wide variety of stakeholders such as shareholders, employees and
customers. When considering outsourcing production to offshore suppliers, managers have to weigh __.
I) Cost benefits that might make shareholders wealthier
II) Quality issues that might make firms less productive and/or products riskier
III) The investments already tied up in relationships with existing suppliers
A. I
B. II
C. III
D. I and II only
E. I, II and III
99. Focusing a supply chain on ________________ is a modern way of ensuring high quality inputs and a ready
supply of processimprovement ideas.
A. lowest costper unit sourced
B. close, collaborative ties with suppliers
C. suppliers that emphasized continuousflow production
D. ISO 14000 customers
E. partners pursuing similar strategies
100. As regards quality risks, which of the following would be least likely to involve outsourcing to less
developed countries?
A. rubber processing
B. repetitive assembly
C. packaging
D. pharmaceuticals
E. steel manufacturing
101. If customer satisfaction doesn't always lead to customer loyalty, firms may need to focus additional effort
on __________ strategies.
A. remediation
B. retention
C. rework
D. repatriation
E. reprocessing
102. Before a dimension of quality can be made operationally useful, it must be restated in some ___________
form.
A. qualitative
B. manipulative
C. certifiable
D. measurable
E. marketable
ch9 Key
1. Broadly defined, quality refers to the ability of a product or service to occasionally meet or exceed customer
expectations.
FALSE
Quality refers to consistently meeting or exceeding customer expectations.
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Easy
Learning Objective: 0901 Define the term quality as it relates to products and as it relates to services.
Stevenson Chapter 09 #1
Topic Area: Introduction
2. An organization achieves quality by consistently meeting their competitor's standards.
FALSE
An organization achieves quality by meeting or exceeding customer expectations.
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Medium
Learning Objective: 0901 Define the term quality as it relates to products and as it relates to services.
Stevenson Chapter 09 #2
Topic Area: Introduction
3. Because 'courtesy' is subjective, it can't be considered a factor in service quality.
FALSE
Many dimensions of quality are subjective.
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Easy
Learning Objective: 0901 Define the term quality as it relates to products and as it relates to services.
Stevenson Chapter 09 #3
Topic Area: Introduction
4. Recent changes to ISO guidelines stress continuous improvement regardless of how good you currently are.
TRUE
ISO guidelines stress continuous improvement.
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Medium
Learning Objective: 0909 Give an overview of process improvement.
Stevenson Chapter 09 #4
Topic Area: Quality Certification
5. The seven dimensions of quality are important for products but are not applicable in service organizations.
FALSE
Dimensions of quality are often similar across products and services.
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Easy
Learning Objective: 0903 Identify the determinants of quality.
Stevenson Chapter 09 #5
Topic Area: Insights on Quality Management
6. Regardless of superior quality, consumers won't pay premium prices.
FALSE
Customer will often pay premium process for superior quality.
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Medium
Learning Objective: 0902 Explain why quality is important and the consequences of poor quality.
Stevenson Chapter 09 #6
Topic Area: Insights on Quality Management
7. High Quality and low prices are both considered to be dimensions of quality.
FALSE
Price is not considered a dimension of quality.
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Easy
Learning Objective: 0902 Explain why quality is important and the consequences of poor quality.
Stevenson Chapter 09 #7
Topic Area: Insights on Quality Management
8. The Baldrige award can only be won by manufacturing organizations.
FALSE
It can and has been won by service organizations.
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Easy
Learning Objective: 0905 Compare the quality awards.
Stevenson Chapter 09 #8
Topic Area: Quality Awards
9. Quality of conformance refers to the degree to which goods and services conform to the intent of the
designers as documented in the specifications.
TRUE
High conformance to designer intent leads to high quality of conformance.
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Easy
Learning Objective: 0901 Define the term quality as it relates to products and as it relates to services.
Stevenson Chapter 09 #9
Topic Area: Introduction
10. Quality of design refers to the degree to which goods and services achieve the intent of the designers.
FALSE
Quality of design refers directly to the intent of the designers.
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Medium
Learning Objective: 0901 Define the term quality as it relates to products and as it relates to services.
Stevenson Chapter 09 #10
Topic Area: Introduction
11. In market research, a group of consumers who express their opinions about a product or service is called a
steering committee.
FALSE
This would be called a focus group.
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Easy
Learning Objective: 0910 Describe and use various quality tools.
Stevenson Chapter 09 #11
Topic Area: Quality Tools
12. Business organizations achieving good quality benefit in a variety of ways, including a positive reputation
for quality, increased customer loyalty, and lower production costs.
TRUE
Good quality conveys a wide variety of benefits.
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Easy
Learning Objective: 0902 Explain why quality is important and the consequences of poor quality.
Stevenson Chapter 09 #12
Topic Area: Insights on Quality Management
13. User instructions and followup services after delivery are important elements of overall product or service
quality.
TRUE
Overall product or service quality includes user instructions and followup services.
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Easy
Learning Objective: 0901 Define the term quality as it relates to products and as it relates to services.
Stevenson Chapter 09 #13
Topic Area: Insights on Quality Management
Topic Area: Introduction
14. Reducing the variations in our product or service is an important key to perceived quality.
TRUE
Variability reduction is a key means by which quality can be improved.
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Medium
Learning Objective: 0903 Identify the determinants of quality.
Stevenson Chapter 09 #14
Topic Area: Insights on Quality Management
15. Product design choices are usually the result of inputs from accounting and human resources.
FALSE
Design choices usually result from marketing and engineering inputs.
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Easy
Learning Objective: 0901 Define the term quality as it relates to products and as it relates to services.
Stevenson Chapter 09 #15
Topic Area: Insights on Quality Management
Topic Area: Introduction
16. The dimensions of product and service quality are too abstract to be applied operationally.
TRUE
Determinants of quality are more readily applied operationally.
AACSB: Reflective Thinking
Blooms: Understand
Difficulty: Hard
Learning Objective: 0901 Define the term quality as it relates to products and as it relates to services.
Stevenson Chapter 09 #16
Topic Area: Insights on Quality Management
Topic Area: Introduction
17. The degree to which a product or service satisfies its intended purpose is determined by design,
conformance to design, cost, and reputation of the producer.
FALSE
Neither cost nor reputation influences this.
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Medium
Learning Objective: 0903 Identify the determinants of quality.
Stevenson Chapter 09 #17
Topic Area: Insights on Quality Management
18. 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.
TRUE
These are determinants of quality.
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Medium
Learning Objective: 0903 Identify the determinants of quality.
Stevenson Chapter 09 #18
Topic Area: Insights on Quality Management
19. Medical malpractice claims are an example of how poor quality can affect an organization through liability.
TRUE
Poor quality can have serious financial effects.
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Medium
Learning Objective: 0904 Distinguish the costs associated with quality.
Stevenson Chapter 09 #19
Topic Area: Insights on Quality Management
20. Convenience, Reliability and Assurance are dimensions of service quality.
TRUE
These are dimensions of service quality.
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Easy
Learning Objective: 0901 Define the term quality as it relates to products and as it relates to services.
Stevenson Chapter 09 #20
Topic Area: Insights on Quality Management
Topic Area: Introduction
21. Poor quality has a positive effect on productivity because it usually takes longer to produce a good part.
FALSE
Poor quality has a negative effect on productivity.
AACSB: Reflective Thinking
Blooms: Understand
Difficulty: Medium
Learning Objective: 0902 Explain why quality is important and the consequences of poor quality.
Stevenson Chapter 09 #21
Topic Area: Insights on Quality Management
22. If the majority of service customers are satisfied, it is likely that all service customers will be satisfied.
FALSE
Different customers tend to have different expectations.
AACSB: Reflective Thinking
Blooms: Understand
Difficulty: Easy
Learning Objective: 0901 Define the term quality as it relates to products and as it relates to services.
Stevenson Chapter 09 #22
Topic Area: Insights on Quality Management
Topic Area: Introduction
23. The primary difference between internal failures and external failures is time and place of discovery of the
failure.
TRUE
When the failure is discovered typically determines whether it is an internal or an external failure.
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Medium
Learning Objective: 0904 Distinguish the costs associated with quality.
Stevenson Chapter 09 #23
Topic Area: Insights on Quality Management
24. Customer expectations tend to change over time affecting their perception of service quality.
TRUE
Customer expectations do change over time.
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Easy
Learning Objective: 0901 Define the term quality as it relates to products and as it relates to services.
Stevenson Chapter 09 #24
Topic Area: Insights on Quality Management
Topic Area: Introduction
25. Cost of inspectors, testing, test equipment, and labs are examples of prevention costs.
FALSE
These are appraisal costs.
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Medium
Learning Objective: 0904 Distinguish the costs associated with quality.
Stevenson Chapter 09 #25
Topic Area: Insights on Quality Management
26. Cost of inspectors, testing, test equipment, and labs are examples of appraisal costs.
TRUE
These are appraisal costs.
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Medium
Learning Objective: 0904 Distinguish the costs associated with quality.
Stevenson Chapter 09 #26
Topic Area: Insights on Quality Management
27. Modern quality management emphasizes finding and correcting mistakes before they reach the customer
catching the errors before they are shipped.
FALSE
Modern quality management emphasizes avoiding mistakes before they ever happen.
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Medium
Learning Objective: 0907 Describe TQM.
Stevenson Chapter 09 #27
Topic Area: The Evolution of Quality Management
28. Deming stresses that workers are primarily responsible for poor quality because very often they fail to
follow instructions.
FALSE
Deming stressed that systems rather than workers were primarily responsible for poor quality.
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Easy
Learning Objective: 0906 Discuss the philosophies of quality gurus.
Stevenson Chapter 09 #28
Topic Area: The Foundations of Modern Quality Management: The Gurus