Correct Answers
Chapter 6 Correct Answer: N/a
What is TQM? Correct Answer: quality emphasis that
encompasses the entire organization, from supplier to
customer
Managing quality supports: Correct Answer:
differentiation, low cost, and response strategies
How does quality improve profitability? Correct Answer:
Quality increases sales gains and reduces costs
Quality increases sales gains through what measures?
Correct Answer: 1. Improved response
2. Flexible Pricing
3. Improved Reputation
Quality reduces costs through what measures? Correct
Answer: 1. Increased productivity
2. Lower rework and scrap
,3. Lower warranty costs
Improved quality leads to _____ which leads to _______
Correct Answer: increased sales gains and reduced
costs; Increased profits
What are the 3 different views of quality? Correct
Answer: 1. User based
2. Product based
3. Manufacturing based
User based view of quality is: Correct Answer: Better
performance and more features; quality lies in the eyes
of the beholder
Product based view of quality is: Correct Answer:
Specific and measurable attributes of the product;
Manufacturing based view of quality is: Correct Answer:
Conformance to standards and making it right the first
time; quality decided by manufacturer
What are the 7 TQM concepts? Correct Answer: 1.
Continuous improvement
,2. Six Sigma
3. Employee Empowerment
4. Benchmarking
5. Just-in-Time (JIT)
6. Taguchi Concepts
7. Knowledge of TQM Tools
What is continuous improvement and what are its
impacts/benefits? Correct Answer: Never ending
process of continuous improvement that utilizes a Plan-
Do-Check-Act (PDCA) foundation
put on cheat sheet:
Covers people, equipment, material, suppliers, and
procedures
every operation can be improved
, Kaizen, TQM, and Zero Defects are also used to describe
continuous (unending) improvement
What is six sigma and what are its impacts/benefits?
Correct Answer: Two meanings:
1. Statistical definition of a process that is 99.9997%
capable, 3.4 defects per million opportunities
2. A program designed to reduce defects, lower costs,
save time, and improve customer satisfaction
Put on cheat sheet:
Comprehensive system for achieving and sustaining
business success
Set stretch objectives