©EMILLECT 2024/2025 ACADEMIC YEAR. ALL RIGHTS RESERVED
FIRST PUBLISH OCTOBER 2024
GMS401 FINAL EXAM STUDY GUIDE
SOLUTIONS
Quality - ANSWER✔✔-the ability of a product or service to meet customer needs
4 Categories of Cost of Quality - ANSWER✔✔-1. Prevention costs
2. Appraisal costs
3. Internal failure
4. External costs
Prevention costs - ANSWER✔✔-reducing the potential for defects (training)
Appraisal costs - ANSWER✔✔-evaluating products, parts and services (testing, inspection)
Internal failure - ANSWER✔✔-producing defective parts or service before delivery (rework, scrap,
downtime)
External costs - ANSWER✔✔-costs that occur after delivery of defective parts or services (returned
goods, liability, costs to society)
Page 1/287
, ©EMILLECT 2024/2025 ACADEMIC YEAR. ALL RIGHTS RESERVED
FIRST PUBLISH OCTOBER 2024
ISO 9000 - ANSWER✔✔-A set of quality standards developed by the International Organization for
Standardization (ISO). Focus is to establish quality management procedures through leadership, detailed
documentation, work instructions and record keeping.
ISO 14000 - ANSWER✔✔-A series of environmental management standards that contain 5 core
elements: environment management, auditing, performance evaluation, labelling and life cycle
assessment
Total Quality Management (TQM) - ANSWER✔✔-management of an entire organization so that it excels
in all aspects of products and services that are important to the customer
Deming's 14 points for implementing quality improvement - ANSWER✔✔-1. create consistency of
purpose
2. lead to promote change
3. build quality into the product
4. build long-term relationships based on performance
5. continuously improve product, quality and service
6. start training
7. emphasize leadership
Page 2/287
, ©EMILLECT 2024/2025 ACADEMIC YEAR. ALL RIGHTS RESERVED
FIRST PUBLISH OCTOBER 2024
8. drive out fear
9. break down barriers between departments
10. stop haranguing (lecture) workers
11. support, help, improve
12. remove barriers to pride in work
13. institute a vigorous program of education and self-improvement
14. put everybody in the company to work on the transformation
7 Concepts of TQM - ANSWER✔✔-1. continuous improvement
2. six stigma
3. employee empowerment
4. benchmarking
5. just-in-time (JIT)
6. taguchi concepts
7. knowledge of TQM tools
Page 3/287
, ©EMILLECT 2024/2025 ACADEMIC YEAR. ALL RIGHTS RESERVED
FIRST PUBLISH OCTOBER 2024
PDCA - ANSWER✔✔-a continuous improvement model that involves 4 stages: plan, do, check, act
Six Stigma - ANSWER✔✔-a program to save time, improve quality and lower cots (process with
99.9997% capability). Developed by Motorola in 1980s
DMAIC - ANSWER✔✔-Six stigma improvement model:
1. define (critical outputs and identify gaps for improvement)
2. measure (the work and collect process data)
3. analyze (the data)
4. improve (the process)
5. control (the new processes to make sure new performance is maintained)
Employee Empowerment - ANSWER✔✔-enlarging employee jobs so that the added responsibility and
authority is moved to the lowers level possible in the organization
Quality circle - ANSWER✔✔-a group of employees meeting regularly with a facilitator to solve work-
related problems in their work area
Benchmarking - ANSWER✔✔-selecting demonstrated standard of performance that represents the very
best performance for a process or an activity
Page 4/287
FIRST PUBLISH OCTOBER 2024
GMS401 FINAL EXAM STUDY GUIDE
SOLUTIONS
Quality - ANSWER✔✔-the ability of a product or service to meet customer needs
4 Categories of Cost of Quality - ANSWER✔✔-1. Prevention costs
2. Appraisal costs
3. Internal failure
4. External costs
Prevention costs - ANSWER✔✔-reducing the potential for defects (training)
Appraisal costs - ANSWER✔✔-evaluating products, parts and services (testing, inspection)
Internal failure - ANSWER✔✔-producing defective parts or service before delivery (rework, scrap,
downtime)
External costs - ANSWER✔✔-costs that occur after delivery of defective parts or services (returned
goods, liability, costs to society)
Page 1/287
, ©EMILLECT 2024/2025 ACADEMIC YEAR. ALL RIGHTS RESERVED
FIRST PUBLISH OCTOBER 2024
ISO 9000 - ANSWER✔✔-A set of quality standards developed by the International Organization for
Standardization (ISO). Focus is to establish quality management procedures through leadership, detailed
documentation, work instructions and record keeping.
ISO 14000 - ANSWER✔✔-A series of environmental management standards that contain 5 core
elements: environment management, auditing, performance evaluation, labelling and life cycle
assessment
Total Quality Management (TQM) - ANSWER✔✔-management of an entire organization so that it excels
in all aspects of products and services that are important to the customer
Deming's 14 points for implementing quality improvement - ANSWER✔✔-1. create consistency of
purpose
2. lead to promote change
3. build quality into the product
4. build long-term relationships based on performance
5. continuously improve product, quality and service
6. start training
7. emphasize leadership
Page 2/287
, ©EMILLECT 2024/2025 ACADEMIC YEAR. ALL RIGHTS RESERVED
FIRST PUBLISH OCTOBER 2024
8. drive out fear
9. break down barriers between departments
10. stop haranguing (lecture) workers
11. support, help, improve
12. remove barriers to pride in work
13. institute a vigorous program of education and self-improvement
14. put everybody in the company to work on the transformation
7 Concepts of TQM - ANSWER✔✔-1. continuous improvement
2. six stigma
3. employee empowerment
4. benchmarking
5. just-in-time (JIT)
6. taguchi concepts
7. knowledge of TQM tools
Page 3/287
, ©EMILLECT 2024/2025 ACADEMIC YEAR. ALL RIGHTS RESERVED
FIRST PUBLISH OCTOBER 2024
PDCA - ANSWER✔✔-a continuous improvement model that involves 4 stages: plan, do, check, act
Six Stigma - ANSWER✔✔-a program to save time, improve quality and lower cots (process with
99.9997% capability). Developed by Motorola in 1980s
DMAIC - ANSWER✔✔-Six stigma improvement model:
1. define (critical outputs and identify gaps for improvement)
2. measure (the work and collect process data)
3. analyze (the data)
4. improve (the process)
5. control (the new processes to make sure new performance is maintained)
Employee Empowerment - ANSWER✔✔-enlarging employee jobs so that the added responsibility and
authority is moved to the lowers level possible in the organization
Quality circle - ANSWER✔✔-a group of employees meeting regularly with a facilitator to solve work-
related problems in their work area
Benchmarking - ANSWER✔✔-selecting demonstrated standard of performance that represents the very
best performance for a process or an activity
Page 4/287
