Exam 3

Question 1

An all-inclusive definition of quality views it as the ability of products/services to

Answer 1

meet the customer’s stated or implied needs.

Question 2

Storage of unneeded inventory is a non-value added item. (T or F)

Answer 2

True

Question 3

Total quality management is inseparable from the concept of

Answer 3

continuous improvement

Question 4

When implementing TQM, an organization should establish long-term relationships with preferred suppliers. (T or F)

Answer 4

True

Question 5

Productivity is measured by the quantity of good output generated from a specific amount of input during a time period. (T or F)

Answer 5

True

Question 6

Whare are undesirable from a consumer perspective but are frequently needed?

Answer 6

non-value-added activities

Question 7

Strategic benchmarking is industry specific in its approach (T or F)

Answer 7

False

Question 8

Comparing the way a “best-in-class” company performs a specific activity (such as distribution) is called

Answer 8

process benchmarking

Question 9

Productivity is measured by the

Answer 9

quantity of good output generated from a specific amount of input during a time period.

Question 10

The four categories of product quality costs are

Answer 10

external failure, internal failure, prevention, and appraisal.