TQM Midterm

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Question 1.1. (TCO 1) Which of the following practices were utilized by most companies to maintain quality levels until the start of the 1980s? (Points : 6)

Team-based initiatives Process-improvement efforts Design-quality reviews inspection

Question 2.2. (TCO 1) Which of the following does NOT support the principles of total quality? (Points : 6)

An integrated organizational infrastructure A set of management practices Reliance on a separate Quality Department A set of tools and techniques

Question 3.3. (TCO 2) Which of the following systems do not have a role to play in assuring quality in a manufacturing firm? (Points : 6)

Sales Purchasing Tool Engineering None (All answers have a role.)

Question 4.4. (TCO 2) In the 1950s, volume and complexity together gave rise to: (Points : 6)

reliability engineering quality assurance departments TQM Loss of market share

Question 5.5. (TCO 3) The Malcolm Baldrige National Quality Award was established by which of the following? (Points : 6)

Several American automobile industry executives The American Society for Quality (ASQ) Baldrige Consulting An Act of Congress

Question 6.6. (TCO 3) ISO 9000:2000 defines a _____-based approach to quality management systems. (Points : 6)

customer statistics process product

Question 7.7. (TCO 4) Which of the following causes the majority of poor quality in a system, according to Deming? (Points : 6)

Outdated equipment Production workers Lack of automation Management

Question 8.8. (TCO 4) According to Deming's philosophy, which of the following is false regarding inspection? (Points : 6)

Inspection encourages the production of defects. Inspection can be used to assure quality. Inspection is rarely accurate. Inspection does not add value to the product.

Question 9.9. (TCO 5) If a competitor's product offers the same benefits at a lower price, then the competitor's product provides _____. (Points : 6)

higher value higher effectiveness lower value higher quality

Question 10.10. (TCO 5) Crosby’s “quality vaccine” consists of _________. (Points : 6)

Reliability, Education, and Implementation Courtesy Communication Determination, Education, and Implementation

Question 11.11. (TCO 6) A _____ is an approach that integrates an organization's major goals, policies, and action sequences into a cohesive whole. (Points : 6)

tactic program mission strategy

Question 12.12. (TCO 6) Leadership for quality is about continually improving the performance of________. (Points : 6)

people processes products all of the above

Question 13.13. (TCO 7) How did Deming believe worker motivation is best accomplished? (Points : 6)

Neither internal motivation nor incentives and bonuses Internal motivation rather than incentives and bonuses Incentives and bonuses rather than internal motivation Incentives but not bonuses

Question 14.14. (TCO 7) The manager’s role in empowerment includes (Points : 6)

Commitment Leadership Facilitation all of the above

Question 15.15. (TCO 8) In order to ensure excellence in team work, team leaders should attempt to develop which of the following characteristics in teams:(Points : 6)

People Skills Participation Accountability all of the above

Question 16.16. (TCO 8) In firms that implement Six Sigma efforts, _____ are often targeted as future leaders. (Points : 6)

team members Black belts champions Green belts

Question 17.17. (TCO 9) Which one of the following types of processes drives the creation of products and services, is critical to customer satisfaction, and has a large impact on the organization's strategic goals? (Points : 6)

Support processes Outsourced processes Value-creation processes Supplier processes

Question 18.18. (TCO 9) Kaizen is best described by which of the following terms? (Points : 6)

Concurrent engineering Continuous improvement at all levels Innovation Statistical process control

Question 19.19. (TCO 10) During Final Inspection at a shirt manufacturer, more than 1,500 shirts were found with incorrect buttons. The manufacturer sold the shirts at 70 percent of the normal price to a retailer who specializes in factory seconds. The revenue lost by the manufacturer is considered which of the following? (Points : 6)

An internal failure cost An appraisal cost An external failure cost A prevention cost

Question 20.20. (TCO 10) The additional labor that is used when a machined part is returned to the drilling department for rework to correct a quality problem is considered which of the following? (Points : 6)

A prevention cost An appraisal cost An internal failure cost An external failure cost

Question 21.21. (TCO 11) Partitioning a population into hierarchical groups or levels and selecting a sample from each group or level is known as which of the following? (Points : 6)

Simple random sampling Stratified sampling Systematic sampling Judgment sampling

Question 22.22. (TCO 11) A bank observes that most customer complaints come from only a small part of its total customer base. This is an example of which of the following? (Points : 6)

Clustering The Pareto principle Skewing The central limit theorem

Question 23.23. (TCO 12) Which of the following constitutes an approach to reducing sampling error? (Points : 6)

Cross-checking research designs with knowledgeable analysts Questioning the assumption that tomorrow's and today's populations are comparable Taking a larger sample from the population Reducing conditions that contribute to dissimilar population segments

Question 24.24. (TCO 12) Determine the upper control limit (UCL) and lower control limit (LCL) for an X-Bar chart if six samples of subgroup size 6 (n=6) were collected, and the mean of the sample averages is 4.7 and mean of the sample ranges is 0.35. (Points : 30)

UCL = 4.86905, LCL = 4.53095 UCL = 4.90195, LCL = 4.49805 UCL = 4.72250, LCL = 4.14350 UCL = 5.05805, LCL = 4.34195

Question 25.25. (TCO 12) Determine the upper control limit (UCL) and lower control limit (LCL) for an R-chart if twenty samples of subgroup size 3 (n=3) were collected for a variable measurement and the mean of the sample ranges equals 4.4. (Points : 30)

UCL = 9.3016, LCL = 0.3344 UCL = 1.4696, LCL = 0.0000 UCL = 11.3256, LCL = 0.0000 UCL = 8.8176, LCL = 0.0000

Question 26.26. (TCO 13) Which of the following are the phases of the Six Sigma problem solving approach? (Points : 6)

Define, Monitor, Analyze, Improve, Confirm Define, Monitor, Analyze, Invest, Control Define, Measure, Analyze, Improve, Control Define, Measure, Analyze, Invest, Control

Question 27.27. (TCO 14) St. Luke's Hospital identified several phases in its organization's TQM implementation. This is an example of _____. (Points : 6)

poor implementation quality as a journey implementation that is moving too slowly All of the above

Essay Questions:

1. (TCO 3) Answer the following questions concerning ISO 9000:

1. The ISO 9001 Requirements document is organized into four sections. Discuss three of the four sections. (10 points)

2. Discuss how ISO 9000:2000 is different than older standards. (10 points)

3. Discuss three of the eight quality management principles of ISO 9000:2000.

Question 2.2. (TCO 14) Answer the following questions concerning best practices:

1. Discuss the five best practices that are considered to be universal. (10 points)

2. Besides those noted in (1) above, discuss the best practices useful to lower performers, namely, those with an ROA of 2 percent or less. (10 points)

3. Besides those noted in (1) above, discuss the best practices useful to high performers, namely, those with an ROA of 6.9 percent or more. (10 points)

Question 3.3. (TCO 4) Deming's Profound Knowledge consists of four elements. Answer the following three parts relating to the psychology element of Deming's Profound Knowledge. Your discussion should relate to this element of Deming's Profound Knowledge and not psychology in general.

1. Discuss why psychology is important for us to understand. (10 points)

2. Discuss how fear plays a part in this element. (10 points)

3. Discuss how pay and motivation are of interest in this element. (10 points)