ISDS 3115 Exam 2 Questions and Answers Already Passed Latest Update 2025-2026
The phrase Six Sigma has two meanings. One is statistical, referring to an extremely high
process, product, or service capability; the other is a comprehensive system for achieving and
sustaining business success.
T/F - Answers true
Quality circles empower employees to improve productivity by finding solutions to work-related
problems in their work area.
T/F - Answers true
Which of the following is NOT one of the major categories of costs associated with quality?
A. internal failure costs
B. prevention costs
C. appraisal costs
D. external failure costs.
E. None of the above; they are all major categories of costs associated with quality - Answers E.
None of the above; they are all major categories of costs associated with quality
A successful TQM program incorporates all EXCEPT which of the following?
A.centralized decision-making authority
B.continuous improvement
C.benchmarking
D.employee involvement
E.JIT - Answers A. centralized decision-making authority
A production manager at a pottery factory has noticed that about 70 percent of defects result
from impurities in raw materials, 15 percent result from human error, 10 percent from machine
malfunctions, and 5 percent from a variety of other causes.This manager is most likely using:
A.a quality loss function.
B.a scatter diagram.
C.a Pareto chart.
D.a cause-and-effect diagram.
,E.a flowchart. - Answers C. a Pareto chart.
When sample measurements falls inside the control limits, it means that:
A.the process output exceeds the requirements.
B.if there is no other pattern in the samples, the process is in control.
C.the process output does not fulfill the requirements.
D.each unit manufactured is good enough to sell.
E.the process limits cannot be determined statistically. - Answers B. if there is no other pattern
in the samples, the process is in control.
Mistakes stemming from workers' inadequate training represent an assignable cause of
variation.
T/F - Answers true
If the process average is in control, then the process range must also be in control.
T/F - Answers false
To measure the voltage of batteries, one would sample by attributes.
T/F - Answers false
A lot that is accepted by acceptance sampling is certified to be free of defects.
T/F - Answers false
The purpose of an x-bar chart is to determine whether there has been a:
A.change in the number of defects in a sample.
B.change in the dispersion of the process output.
C.change in the AOQ.
D.change in the percent defective in a sample.
E.change in the central tendency of the process output. - Answers E. change in the central
tendency of the process output.
Up to three standard deviations above or below the centerline is the amount of variation that
statistical process control allows for:
A.all types of variation.
,B.assignable variation.
C.Type I errors.
D.about 95.5% variation.
E. natural variation. - Answers E. natural variation.
A firm's process strategy is its approach to transforming resources into goods and services.
T/F - Answers true
An example of the postponement strategy for improving service productivity is having the
customer wait until you have sufficient time to serve the customer.
T/F - Answers false
Which of the following industries is most likely to have low equipment utilization?
A.commercial baking
B.auto manufacturing
C. restaurants
D.television manufacturing
E.steel manufacturing - Answers C. restaurants
Frito-Lay is to ________ focus as Harley Davidson is to ________ focus.
A.
process, repetitive
B.product, mass customization
C.repetitive, product
D.process, product
E. product, repetitive - Answers E. product, repetitive
Which of the following phrases best describes process focus?
A.low inventory
B.high fixed costs, low variable costs
C.low volume, high variety
, D.Finished goods are usually made to a forecast and stored.
E.Operators are less broadly skilled. - Answers C. low volume, high variety
The crossover point is that production quantity where:
A.variable costs of one process equal the variable costs of another process.
B.total costs equal total revenues for a process.
C.total costs for one process equal total costs for another process.
D.the process no longer loses money.
E. fixed costs of a process are equal to its variable costs. - Answers C. total costs for one
process equal total costs for another process.
Internal failure costs are associated with scrap, rework, and downtime.
T/F - Answers true
A cause-and-effect diagram helps identify the sources of a problem.
T/F - Answers true
Source inspection is inferior to inspection before costly operations.
T/F - Answers false
Which of the following statements regarding "Six Sigma" is TRUE?
A.Six Sigma certification is granted by the International Standards Organization (ISO).
B.The term has two distinct meanings—one is statistical; the other is a comprehensive quality
system.
C.The Six Sigma program was developed by Toyota in the 1970s.
D.The Six Sigma program is for manufacturing firms and is not applicable to services.
E.Six Sigma means that about 94 percent of a firm's output is free of defects. - Answers B. The
term has two distinct meaningslong dash—one is statistical; the other is a comprehensive
quality system.
A customer service manager at a retail clothing store has collected numerous customer
complaints from the forms they fill out on merchandise returns. To analyze trends or patterns in
these returns, she has organized these complaints into a small number of sources or factors.
This is most closely related to the ________ tool of TQM.
The phrase Six Sigma has two meanings. One is statistical, referring to an extremely high
process, product, or service capability; the other is a comprehensive system for achieving and
sustaining business success.
T/F - Answers true
Quality circles empower employees to improve productivity by finding solutions to work-related
problems in their work area.
T/F - Answers true
Which of the following is NOT one of the major categories of costs associated with quality?
A. internal failure costs
B. prevention costs
C. appraisal costs
D. external failure costs.
E. None of the above; they are all major categories of costs associated with quality - Answers E.
None of the above; they are all major categories of costs associated with quality
A successful TQM program incorporates all EXCEPT which of the following?
A.centralized decision-making authority
B.continuous improvement
C.benchmarking
D.employee involvement
E.JIT - Answers A. centralized decision-making authority
A production manager at a pottery factory has noticed that about 70 percent of defects result
from impurities in raw materials, 15 percent result from human error, 10 percent from machine
malfunctions, and 5 percent from a variety of other causes.This manager is most likely using:
A.a quality loss function.
B.a scatter diagram.
C.a Pareto chart.
D.a cause-and-effect diagram.
,E.a flowchart. - Answers C. a Pareto chart.
When sample measurements falls inside the control limits, it means that:
A.the process output exceeds the requirements.
B.if there is no other pattern in the samples, the process is in control.
C.the process output does not fulfill the requirements.
D.each unit manufactured is good enough to sell.
E.the process limits cannot be determined statistically. - Answers B. if there is no other pattern
in the samples, the process is in control.
Mistakes stemming from workers' inadequate training represent an assignable cause of
variation.
T/F - Answers true
If the process average is in control, then the process range must also be in control.
T/F - Answers false
To measure the voltage of batteries, one would sample by attributes.
T/F - Answers false
A lot that is accepted by acceptance sampling is certified to be free of defects.
T/F - Answers false
The purpose of an x-bar chart is to determine whether there has been a:
A.change in the number of defects in a sample.
B.change in the dispersion of the process output.
C.change in the AOQ.
D.change in the percent defective in a sample.
E.change in the central tendency of the process output. - Answers E. change in the central
tendency of the process output.
Up to three standard deviations above or below the centerline is the amount of variation that
statistical process control allows for:
A.all types of variation.
,B.assignable variation.
C.Type I errors.
D.about 95.5% variation.
E. natural variation. - Answers E. natural variation.
A firm's process strategy is its approach to transforming resources into goods and services.
T/F - Answers true
An example of the postponement strategy for improving service productivity is having the
customer wait until you have sufficient time to serve the customer.
T/F - Answers false
Which of the following industries is most likely to have low equipment utilization?
A.commercial baking
B.auto manufacturing
C. restaurants
D.television manufacturing
E.steel manufacturing - Answers C. restaurants
Frito-Lay is to ________ focus as Harley Davidson is to ________ focus.
A.
process, repetitive
B.product, mass customization
C.repetitive, product
D.process, product
E. product, repetitive - Answers E. product, repetitive
Which of the following phrases best describes process focus?
A.low inventory
B.high fixed costs, low variable costs
C.low volume, high variety
, D.Finished goods are usually made to a forecast and stored.
E.Operators are less broadly skilled. - Answers C. low volume, high variety
The crossover point is that production quantity where:
A.variable costs of one process equal the variable costs of another process.
B.total costs equal total revenues for a process.
C.total costs for one process equal total costs for another process.
D.the process no longer loses money.
E. fixed costs of a process are equal to its variable costs. - Answers C. total costs for one
process equal total costs for another process.
Internal failure costs are associated with scrap, rework, and downtime.
T/F - Answers true
A cause-and-effect diagram helps identify the sources of a problem.
T/F - Answers true
Source inspection is inferior to inspection before costly operations.
T/F - Answers false
Which of the following statements regarding "Six Sigma" is TRUE?
A.Six Sigma certification is granted by the International Standards Organization (ISO).
B.The term has two distinct meanings—one is statistical; the other is a comprehensive quality
system.
C.The Six Sigma program was developed by Toyota in the 1970s.
D.The Six Sigma program is for manufacturing firms and is not applicable to services.
E.Six Sigma means that about 94 percent of a firm's output is free of defects. - Answers B. The
term has two distinct meaningslong dash—one is statistical; the other is a comprehensive
quality system.
A customer service manager at a retail clothing store has collected numerous customer
complaints from the forms they fill out on merchandise returns. To analyze trends or patterns in
these returns, she has organized these complaints into a small number of sources or factors.
This is most closely related to the ________ tool of TQM.
