MQM 227 Actual Questions and Correct Answers
Q1
Regarding the steps involved in the implementation of a quality cost program, which statement
is incorrect? A pilot program is recommended because it will prove the ability of the system to
produce cost-saving results. It is common to find initial quality cost estimates of more than 20%
of sales (can be reduced to as little as 2-4% of sales) To assure a high probability of success,
the unit selected for the pilot program should be as atypical of the company's operation as
possible. A specific operational area must be exposed in sufficient detail to show how actual
quality costs can be eliminated through analysis and corrective action.
Answer: c
Q2
Regarding Deming, which of the following statements is incorrect? In the early 1900s, his father
moved his family from Sioux Falls, Iowa to Cody, Wyoming. In 1924, he received a Ph.D. in
physics at Yale (not statistics). In 1947, he was asked to help with the Japanese census during
U.S. occupation. In 1917, Deming began his education at the University of Wyoming (graduated
in 1921). Because of his tremendous help, the Japanese established the Deming Prize in 1951.
Answer: A
Q3
Regarding Deming's Deadly Diseases, which of the following statements is incorrect? Evaluation
of employee performance often destroys teamwork, nurtures rivalry, and builds fear. Running a
company on visible figures alone is problematic. Job-hopping managers never understand the
companies that they work for and are never there long enough to effect long-term changes. An
emphasis on short-term profits promotes substantial changes in production and quality
Answer: d
Q4
Regarding Deming's Philosophy of Management, which of the following statements is incorrect?
Create consistency of purpose for improvement of product and service. Cease dependence on
mass inspection. Remove barriers to pride of workmanship. People are eager to do a good job
and distressed when they can't. Too often, misguided supervisors, faulty equipment, and
defective materials stand in the way. Improve constantly and forever the system of production
and service. End the practice of awarding business to the supplier with the lowest price
regardless of quality.
Answer: A
, Q5
Regarding Deming's Philosophy of Management, which of the following statements is incorrect?
The job of a supervisor is not to tell people what to do or to punish them but to lead. Leading
consists of helping people do a better job. Institute training. Too often, workers have learned
their job from another worker who was never trained properly or are forced to follow intelligible
instructions. Drive out fear. People are afraid to point out problems for fear they will be blamed
for the problem. Break down barriers between staff areas. Often different departments are
competing with each other or have goals that conflict. Eliminate slogans, exhortations, and
targets for the workforce. Slogans are based on the supposition that employees could do better
if they tried.
Answer: B
Q6
Regarding Feigenbaum's Benchmarks of Total Quality, which of the following statements is
incorrect? Quality is implemented with a total system connected with customers and suppliers.
Quality is a company-wide process. Quality and cost are a difference, not a sum. Quality is what
the customer says it is. Quality is the most cost-effective, least capital-intensive route to
productivity
Answer: C
Q7
Regarding the strategy for using quality costs to facilitate improvement, which of the following
statements is incorrect? Reduce prevention costs according to results achieved Take direct
attack on failure costs in an attempt to drive them to zero. Invest in the "right" prevention
activities to bring about improvement. Continuously evaluate and redirect prevention efforts to
gain further improvement
Answer: A
Q8
What is the fifth (and last step) in a quality cost program? Monitor progress against each
short-range target and take corrective action as needed. Establish a quality cost measurement
system. Develop short-range trend analyses with individual targets to meet annual
improvement goals. Develop a suitable long-range trend analysis. Establish annual
improvement goals for total quality costs.
Answer: A
Q1
Regarding the steps involved in the implementation of a quality cost program, which statement
is incorrect? A pilot program is recommended because it will prove the ability of the system to
produce cost-saving results. It is common to find initial quality cost estimates of more than 20%
of sales (can be reduced to as little as 2-4% of sales) To assure a high probability of success,
the unit selected for the pilot program should be as atypical of the company's operation as
possible. A specific operational area must be exposed in sufficient detail to show how actual
quality costs can be eliminated through analysis and corrective action.
Answer: c
Q2
Regarding Deming, which of the following statements is incorrect? In the early 1900s, his father
moved his family from Sioux Falls, Iowa to Cody, Wyoming. In 1924, he received a Ph.D. in
physics at Yale (not statistics). In 1947, he was asked to help with the Japanese census during
U.S. occupation. In 1917, Deming began his education at the University of Wyoming (graduated
in 1921). Because of his tremendous help, the Japanese established the Deming Prize in 1951.
Answer: A
Q3
Regarding Deming's Deadly Diseases, which of the following statements is incorrect? Evaluation
of employee performance often destroys teamwork, nurtures rivalry, and builds fear. Running a
company on visible figures alone is problematic. Job-hopping managers never understand the
companies that they work for and are never there long enough to effect long-term changes. An
emphasis on short-term profits promotes substantial changes in production and quality
Answer: d
Q4
Regarding Deming's Philosophy of Management, which of the following statements is incorrect?
Create consistency of purpose for improvement of product and service. Cease dependence on
mass inspection. Remove barriers to pride of workmanship. People are eager to do a good job
and distressed when they can't. Too often, misguided supervisors, faulty equipment, and
defective materials stand in the way. Improve constantly and forever the system of production
and service. End the practice of awarding business to the supplier with the lowest price
regardless of quality.
Answer: A
, Q5
Regarding Deming's Philosophy of Management, which of the following statements is incorrect?
The job of a supervisor is not to tell people what to do or to punish them but to lead. Leading
consists of helping people do a better job. Institute training. Too often, workers have learned
their job from another worker who was never trained properly or are forced to follow intelligible
instructions. Drive out fear. People are afraid to point out problems for fear they will be blamed
for the problem. Break down barriers between staff areas. Often different departments are
competing with each other or have goals that conflict. Eliminate slogans, exhortations, and
targets for the workforce. Slogans are based on the supposition that employees could do better
if they tried.
Answer: B
Q6
Regarding Feigenbaum's Benchmarks of Total Quality, which of the following statements is
incorrect? Quality is implemented with a total system connected with customers and suppliers.
Quality is a company-wide process. Quality and cost are a difference, not a sum. Quality is what
the customer says it is. Quality is the most cost-effective, least capital-intensive route to
productivity
Answer: C
Q7
Regarding the strategy for using quality costs to facilitate improvement, which of the following
statements is incorrect? Reduce prevention costs according to results achieved Take direct
attack on failure costs in an attempt to drive them to zero. Invest in the "right" prevention
activities to bring about improvement. Continuously evaluate and redirect prevention efforts to
gain further improvement
Answer: A
Q8
What is the fifth (and last step) in a quality cost program? Monitor progress against each
short-range target and take corrective action as needed. Establish a quality cost measurement
system. Develop short-range trend analyses with individual targets to meet annual
improvement goals. Develop a suitable long-range trend analysis. Establish annual
improvement goals for total quality costs.
Answer: A
