Operation Management

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Chapter 6: Multiple Choice Questions
1.

"Quality is defined by the customer" is
a.
an unrealistic definition of quality
b.
a user-based definition of quality
c.
a manufacturing-based definition of quality
d.
a product-based definition of quality
e.
the definition proposed by the American Society for Quality Control

2.

Which of the following is not one of the major categories of costs associated with quality? a.
prevention costs
b.
appraisal costs
c.
internal failures
d.
external failures
e.
none of the above, they are all major categories of costs associated with quality

3.

According to the manufacturing-based definition of quality,
a.
quality is the degree of excellence at an acceptable price and the control of variability at an acceptable cost
b.
quality depends on how well the product fits patterns of consumer preferences c.
even though quality cannot be defined, you know what it is
d.
quality is the degree to which a specific product conforms to standards 4.

All of the following costs are likely to decrease as a result of better quality except a.
customer dissatisfaction costs
b.
inspection costs
c.
scrap costs
d.
warranty and service costs
e.
maintenance costs

5.

Inspection, scrap, and repair are examples of
a.
internal costs
b.
external costs
c.
costs of dissatisfaction
d.
societal costs

6.

ISO 9000 seeks standardization in terms of
a.
products
b.
production procedures
c.
suppliers' specifications
d.
procedures to manage quality

7.

Which of the following is true about ISO 14000 certification? a.
it is a prerequisite for ISO 9000 certification
b.
it indicates a higher level of adherence to standards than ISO 9000 c.
it is only sought by companies exporting their goods
d.
it deals with environmental management

8.

Total Quality Management emphasizes
a.
the responsibility of the Quality Control staff to identify and solve all quality-related problems b.
a commitment to quality that goes beyond internal company issues to suppliers and customers c.
a system where strong managers are the only decision makers
d.
a process where mostly statisticians get involved
1

9.

A successful TQM program incorporates all of the following except a.
continuous improvement
b.
employment involvement
c.
benchmarking
d.
centralized decision making authority

10.

"Kaizen" is a Japanese term meaning
a.
a foolproof mechanism
b.
Just-in-time (JIT)
c.
a fishbone diagram
d.
setting standards
e.
continuous improvement

11.

Based on his 14 Points, Deming is a strong proponent of
a.
inspection at the end of the production process
b.
an increase in numerical quotas to boost productivity
c.
looking for the cheapest supplier
d.
training and knowledge

12.

The philosophy of zero defects is
a.
unrealistic
b.
prohibitively costly
c.
an ultimate goal; in practice, 1 to 2% defects is acceptable d.
consistent with the commitment to continuous improvement

13.

Quality Circles members are
a.
paid according to their contribution to quality
b.
external consultants designed to provide training in the use of Quality tools c.
always machine operators
d.
all trained to be facilitators
e.
none of the above, all of the statements are false

14. 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.
patent infringement
15.

Costs of dissatisfaction, repair costs, and warranty costs are elements of cost in the a.
Taguchi Loss Function
b.
Pareto Chart
c.
ISO 9000 Quality Cost Calculator
d.
Process Chart

16.

A quality loss function utilizes all of the following costs except a.
the cost of scrap and repair
b.
the cost of customer dissatisfaction
c.
inspection, warranty, and service costs
d....
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