RUTGERS INTRO TO MANAGEMENT EXAM 2
SCRIPT 2026 COMPLETE ANSWERS VERIFIED
◉ Best Practices. Answer: refers to a set of guidelines, ethics, or
ideas that have been shown to produce optimal results
◉ Productivity. Answer: defined by the formula of outputs divided
by inputs for a specified period of time
- Outputs: all goods and services produced
- Inputs: includes labor, capital, materials, and energy
◉ Effectiveness. Answer: measures typically look at the outputs (or
outcomes) of a business process
- Can measure either Quality OR Quantity
-Examples: For a restaurant: measure the % of all entrees prepared
according to the head chef/owner's pre-determined standards. Goal
= 95%.
- For a car manufacturer: measure the level of customer satisfaction
(10-point scale). Goal = 8.5
,◉ Efficiency. Answer: means that we are minimizing the time, cost,
and resources associated with achieving our goals
◉ Effectiveness vs. Efficiency. Answer: - "Effectiveness" focuses on
outcomes
- What do we want to happen?
-What customer experience are we trying to create?
- Examples: We want to serve 500 customers per day, We want
customer satisfaction ratings of 8.5 or higher
- "Efficiency" focuses on inputs
- Production time per product/service = 5 minutes or less- Cost of
ingredients per entree = $2.50 or less
◉ Total quality management. Answer: a comprehensive approach
led by top management and supported throughout the organization
- dedicated to continuous quality improvement, training, and
customer satisfaction
◉ People Orientation. Answer: everyone involved with the
organization should focus on delivering value to customers
,◉ Improvement Orientation. Answer: everyone should work on
continuously improving the work processes
◉ Quality. Answer: refers to the total ability of a product or service
to meet customer needs.
◉ Quality Control. Answer: the strategy for minimizing errors by
managing each stage of production
◉ Quality assurance. Answer: the performance of workers, urging
employees to strive for "zero defects."
◉ The Key Deming Principles. Answer: 1. Quality should be aimed at
the needs of the consumer
2. Companies should aim at improving the system, not blaming
workers
3. Improved quality leads to increased market share, increased
company prospects, and increased employment
4. Quality can be improved on the basis of hard data, using the PDCA
cycle
◉ PDCA Cycle. Answer: Plan - desired and important changes based
on observed data
Do - implement change
, Act - on lessons learned, after study of results
Check - or observed what happened during the change or during the
test
◉ Key assumptions of TQM's People Orientation. Answer: •
Delivering customer value is most important
• People will focus if given empowerment
• TQM requires training, teamwork, and cross-functional efforts
◉ Continuous Improvement. Answer: ongoing, small, incremental
improvements in all parts of an organization
◉ Key assumptions of TQM's Improvement Orientation. Answer: -
It's less expensive to do it right the first time
- It's better to make small improvements all the time
- Accurate standards must be followed to eliminate small variations
- There must be a strong commitment from top management
◉ Kaizen. Answer: a Japanese philosophy of small continuous
improvement that seeks to involve everyone at every level of the
organization in the process of identifying opportunities and
implementing and testing solutions.
SCRIPT 2026 COMPLETE ANSWERS VERIFIED
◉ Best Practices. Answer: refers to a set of guidelines, ethics, or
ideas that have been shown to produce optimal results
◉ Productivity. Answer: defined by the formula of outputs divided
by inputs for a specified period of time
- Outputs: all goods and services produced
- Inputs: includes labor, capital, materials, and energy
◉ Effectiveness. Answer: measures typically look at the outputs (or
outcomes) of a business process
- Can measure either Quality OR Quantity
-Examples: For a restaurant: measure the % of all entrees prepared
according to the head chef/owner's pre-determined standards. Goal
= 95%.
- For a car manufacturer: measure the level of customer satisfaction
(10-point scale). Goal = 8.5
,◉ Efficiency. Answer: means that we are minimizing the time, cost,
and resources associated with achieving our goals
◉ Effectiveness vs. Efficiency. Answer: - "Effectiveness" focuses on
outcomes
- What do we want to happen?
-What customer experience are we trying to create?
- Examples: We want to serve 500 customers per day, We want
customer satisfaction ratings of 8.5 or higher
- "Efficiency" focuses on inputs
- Production time per product/service = 5 minutes or less- Cost of
ingredients per entree = $2.50 or less
◉ Total quality management. Answer: a comprehensive approach
led by top management and supported throughout the organization
- dedicated to continuous quality improvement, training, and
customer satisfaction
◉ People Orientation. Answer: everyone involved with the
organization should focus on delivering value to customers
,◉ Improvement Orientation. Answer: everyone should work on
continuously improving the work processes
◉ Quality. Answer: refers to the total ability of a product or service
to meet customer needs.
◉ Quality Control. Answer: the strategy for minimizing errors by
managing each stage of production
◉ Quality assurance. Answer: the performance of workers, urging
employees to strive for "zero defects."
◉ The Key Deming Principles. Answer: 1. Quality should be aimed at
the needs of the consumer
2. Companies should aim at improving the system, not blaming
workers
3. Improved quality leads to increased market share, increased
company prospects, and increased employment
4. Quality can be improved on the basis of hard data, using the PDCA
cycle
◉ PDCA Cycle. Answer: Plan - desired and important changes based
on observed data
Do - implement change
, Act - on lessons learned, after study of results
Check - or observed what happened during the change or during the
test
◉ Key assumptions of TQM's People Orientation. Answer: •
Delivering customer value is most important
• People will focus if given empowerment
• TQM requires training, teamwork, and cross-functional efforts
◉ Continuous Improvement. Answer: ongoing, small, incremental
improvements in all parts of an organization
◉ Key assumptions of TQM's Improvement Orientation. Answer: -
It's less expensive to do it right the first time
- It's better to make small improvements all the time
- Accurate standards must be followed to eliminate small variations
- There must be a strong commitment from top management
◉ Kaizen. Answer: a Japanese philosophy of small continuous
improvement that seeks to involve everyone at every level of the
organization in the process of identifying opportunities and
implementing and testing solutions.
