MA 15 QC and Process Improvement

Question 1

Define effectiveness in terms of QC

Answer 1

Achieving a desired outcome

Question 2

Define efficiency in terms of QC

Answer 2

focusing on achieving maximum productivity for minimum effort and/or with minimum waste

Question 3

First two steps in cost management

Answer 3

1. Recognizing key to cutting costs is eliminating activities that create costs.
2. Cut only activities which do not impair the ability to achieve strategic objectives.

Question 4

What are the two types of activities

Answer 4

Value-added

Non value- added - these should be eliminated if the activity is not related to the strategic objectives

Question 5

When is the most expensive place to discover poor quality

Answer 5

After delivery to the customer

Question 6

4 types of cost accumulation for cost of quality

Answer 6

External failure
Internal failure
Appraisal or process costs
Prevention or planning costs

Question 7

What are the 1 and 2 standard deviations parameters?

Answer 7

68% fall within 1 s.d.. 95% within 2 s.d.

Question 8

What is the pareto rule

Answer 8

80% of the problems result from 20% of the work performed

Question 9

Two non-statistical tools used

Answer 9

Fishbone diagram - cause and effect

Check sheet - list of procedures created to do a task dna any defects that occur as a result of making the prodcut

Question 10

Define lean management

Answer 10

Removing any processes that do not add value to final product. Can be used in JIT, activity analysis and a zero-defects approach

Question 11

3 key elements of lean management

Answer 11

JIT
Activity analysis
Zero-defects approach

Question 12

4 types of activities analyzed

Answer 12

Processing
Moving
Storing
Inspecting

Question 13

3 main costs of zero-defect approach

Answer 13

Inspecting
Internal failure
External failure

Question 14

Six sigma philosophies

Answer 14

Removing waste at all levels of an organization
Improving processes
Use of champtions assissting each project

Question 15

Supply chain management objectives

Answer 15

Maximize value - balance of cost, time and quality involved in goods and service production

Question 16

4 main areas that supply chain management needs to focus on

Answer 16

Logistics
Procurement
Ops management
IT

Question 17

5 ways supply chain management provides value

Answer 17

Improves ability to achieve strategic objectives along entire supply chain
Enables demand to be forecast accurately
Improves ability to adapt quickly to changes in markets
Can lead to shorter cash-to-cash cycle times for improved cash flows
Enables managers to lower operational expenses through better planning and communication

Question 18

Total quality management common features (3)

Answer 18

Continuous process
Encompasses not only products but also people, products and services
Initiatives are designed to meet and exceed customer expectations

Question 19

8 core principles of TQM

Answer 19

Customer focus
Exec leadership
People involvement
Process approach
Systems approach
Continuous improvement
Factual approach in decision making
Supplier relationships