Operations Management OA Study Guide
Quality Management Methods
Which definition used for quality evaluates how well a product performs its intended
function? Fitness for use
Additional Terms:
Support services - how the quality of a product or service is judged
Value for price paid - definition of quality that consumers often use for product or
service usefulness
Psychological criteria - objective definition that focuses on the judgmental evaluation
of what constitutes product or service quality. Different factors contribute to the
evaluation, such as the atmosphere of the environment or the perceived prestige of the
product.
Which total quality management (TQM) process was developed to stress
management’s responsibility for quality? 14 points for quality improvement
Additional Terms:
Statistical quality control (SQC) - set of statistical tools that identify quality problems
during the production process which includes descriptive statistics (describe
characteristics and relationships and includes mean, standard deviation, range and
measure of the distribution data – basically describes quality), statistical process
control (SPC) (involves inspecting a random sample of the output from a
process and deciding whether the process is producing products with
characteristics that fall within a predetermined range. SPC answers the
question of whether or not the process is functioning properly) and
acceptance sampling (The process of randomly inspecting a sample of goods and
deciding whether to accept the entire lot based on the results).
Product design quality –
Mean - average
Range - difference between largest and smallest observations in date set
Standard deviation - measures the amount of data dispersion around the mean.
Quality Control Chart - graph that shows whether a sample of data falls within the
common or normal range of variation
Out of control - The situation in which a plot of data falls outside preset control limits.
Which total quality management (TQM) process consists of 13 published standards and
guidelines? ISO 9000
Additional Terms:
ISO 9000 - 2008, Quality Management Systems—Fundamentals and
Standards: Provides the terminology and definitions used in the standards. It is the
starting point for understanding the system of standards.
, ISO 9001 - 2008, Quality Management Systems—Requirements: This is the standard
for the certification of a firm’s quality management system. It is used to demonstrate the
conformity of quality management systems to meet customer requirements.
ISO 9004 - 2008, Quality Management Systems—Guidelines for Performance: Provides
guidelines for establishing a quality management system. It focuses not only on meeting
customer requirements but also on improving performance.
ISO 14000 - A set of international standards and a certification focusing on a company’s
environmental responsibility. Three major areas:
Management systems standards measure systems development and
integration of environmental responsibility into the overall business.
Operations standards include the measurement of consumption of natural
resources and energy.
Environmental systems standards measure emissions, effluents, and other
waste systems.
A company manufactures shoes using a quality management system. The company
needs to put a process in place to measure any defects. The company would like to
measure the number of defects and observe the number of occurrences to isolate the
particular defect. Which quality tool should the company use to focus on correcting this
particular issue? Checklist
Additional Terms:
Scatter diagram - Graphs that show how two variables are related to each other
Control chart - graph that shows whether a sample of data falls within the common or
normal range of variation
Flow chart - used for viewing the flow of the processes involved in producing the
product. It is a very useful tool for seeing the totality of the operation and for identifying
potential problem areas.
Checklist - list of common defects and the number of observed occurrences of these
defects
Which quality control tool should be used to monitor the current status or end result of a
process? Control chart
Which group of keywords or phrases describes the critical role that marketing plays in
the total quality management (TQM) process? Enhance competition; understand
consumer preferences; maintain communication with operations
What is the common theme in total quality management (TQM) across all functions in
an organization? To satisfy customer needs
Which concept of variation measures the central tendency of a set of data? Mean
What do assignable causes of variation indicate? Out-of-control signals were found
in the process.
Quality Management Methods
Which definition used for quality evaluates how well a product performs its intended
function? Fitness for use
Additional Terms:
Support services - how the quality of a product or service is judged
Value for price paid - definition of quality that consumers often use for product or
service usefulness
Psychological criteria - objective definition that focuses on the judgmental evaluation
of what constitutes product or service quality. Different factors contribute to the
evaluation, such as the atmosphere of the environment or the perceived prestige of the
product.
Which total quality management (TQM) process was developed to stress
management’s responsibility for quality? 14 points for quality improvement
Additional Terms:
Statistical quality control (SQC) - set of statistical tools that identify quality problems
during the production process which includes descriptive statistics (describe
characteristics and relationships and includes mean, standard deviation, range and
measure of the distribution data – basically describes quality), statistical process
control (SPC) (involves inspecting a random sample of the output from a
process and deciding whether the process is producing products with
characteristics that fall within a predetermined range. SPC answers the
question of whether or not the process is functioning properly) and
acceptance sampling (The process of randomly inspecting a sample of goods and
deciding whether to accept the entire lot based on the results).
Product design quality –
Mean - average
Range - difference between largest and smallest observations in date set
Standard deviation - measures the amount of data dispersion around the mean.
Quality Control Chart - graph that shows whether a sample of data falls within the
common or normal range of variation
Out of control - The situation in which a plot of data falls outside preset control limits.
Which total quality management (TQM) process consists of 13 published standards and
guidelines? ISO 9000
Additional Terms:
ISO 9000 - 2008, Quality Management Systems—Fundamentals and
Standards: Provides the terminology and definitions used in the standards. It is the
starting point for understanding the system of standards.
, ISO 9001 - 2008, Quality Management Systems—Requirements: This is the standard
for the certification of a firm’s quality management system. It is used to demonstrate the
conformity of quality management systems to meet customer requirements.
ISO 9004 - 2008, Quality Management Systems—Guidelines for Performance: Provides
guidelines for establishing a quality management system. It focuses not only on meeting
customer requirements but also on improving performance.
ISO 14000 - A set of international standards and a certification focusing on a company’s
environmental responsibility. Three major areas:
Management systems standards measure systems development and
integration of environmental responsibility into the overall business.
Operations standards include the measurement of consumption of natural
resources and energy.
Environmental systems standards measure emissions, effluents, and other
waste systems.
A company manufactures shoes using a quality management system. The company
needs to put a process in place to measure any defects. The company would like to
measure the number of defects and observe the number of occurrences to isolate the
particular defect. Which quality tool should the company use to focus on correcting this
particular issue? Checklist
Additional Terms:
Scatter diagram - Graphs that show how two variables are related to each other
Control chart - graph that shows whether a sample of data falls within the common or
normal range of variation
Flow chart - used for viewing the flow of the processes involved in producing the
product. It is a very useful tool for seeing the totality of the operation and for identifying
potential problem areas.
Checklist - list of common defects and the number of observed occurrences of these
defects
Which quality control tool should be used to monitor the current status or end result of a
process? Control chart
Which group of keywords or phrases describes the critical role that marketing plays in
the total quality management (TQM) process? Enhance competition; understand
consumer preferences; maintain communication with operations
What is the common theme in total quality management (TQM) across all functions in
an organization? To satisfy customer needs
Which concept of variation measures the central tendency of a set of data? Mean
What do assignable causes of variation indicate? Out-of-control signals were found
in the process.
