Economics: Posttest 7 & 8

Janine works for a gift-wrapping service. During a typical eight-hour work day, Janine wraps 52 gifts. What is her productivity rate? 6.5 gifts per hour 7.0 gifts per hour 17.3 gifts per hour 2.2 gifts per hour

6.5 gifts per hour

Which of the following quality-control methods improves quality by saving time and allowing potential problems to be caught earlier in the product design and development process: Concurrent engineering Lean production Pareto House of quality matrix

Concurrent engineering

Which of the following quality-control tools is used to analyze a sequence of events and find relationships within it: Statistical process control Flow chart Scatter diagram Check sheet

Flow chart

Which of the following is another name for a bar graph: Flow chart Histogram Check sheet House of quality matrix

Histogram

Which of the following quality-management tools helps managers to determine whether or not a product meets customer needs: Scatter diagram House of quality matrix Flow chart Check sheet

House of quality matrix

Which of the following is a widely used set of quality-management standards: ISO 8000 ISO 1000 ISO 31000 ISO 9000

ISO 9000

Which of the following is a true statement regarding the Taguchi method: It is part of "Little Q" thinking. It requires a lot of time, effort, and money in the beginning. It is a requirement for organizations to be certified in quality management. It improves business and manufacturing processes.

It requires a lot of time, effort, and money in the beginning

How does increased business productivity benefit consumers? More goods and services become available, so prices go up. Costs of labor and prices increase, so inflation goes up. More goods and services become available, so prices go down. The gross domestic product goes down, so inflation goes up.

More goods and services become available, so prices go down

What is a method that managers can use to motivate employees? Sharing customer information with employees Investing in new technology Encouraging employees to specialize Offering performance-based financial rewards

Offering performance-based financial rewards

Which of the following is considered the worst of the seven wastes identified in lean production: Defective products Overproduction Inventory Over-processing

Overproduction

Which of the following quality-management tools helps managers to determine which problems need immediate attention: Statistical quality control Pareto chart House of quality matrix Cause-and-effect diagram

Pareto chart

Which of the following is an example of using capital investment to increase productivity: Giving performance-based bonuses Making suggestions to improve the organization Purchasing new computers Renegotiating a supplier's contract

Purchasing new computers

Which of the following quality-control tools is a graphical representation of two variables that is used to determine cause and effect: Flow chart Check sheet Histogram Scatter diagram

Scatter diagram

Why is the productivity of service businesses measured differently than that of manufacturing businesses? Manufacturers produce intangible goods. Manufacturers measure their productivity on a regular basis. Service businesses are less efficient than manufacturers. Service businesses are concerned about the appropriateness of their products.

Service businesses are concerned about the appropriateness of their products

Why are better trained and educated workers often more productive? They tend to have a higher gross domestic product per capita. They tend to be more organized and able to manage their time wisely. They are more likely to become managers. They are less likely to take vacation and sick days.

They tend to be more organized and able to manage their time wisely.

Why should productivity be measured? To find new ways to meet customer needs To see whether the business's objectives are being met To determine the best ways to invest company profits To locate new sources of inputs

To see whether the business's objectives are being met

To reduce the chance of investigations and orders to cease production, businesses should specialize. lobby members of Congress. adhere to government regulations. purchase the most up-to-date technology available.

adhere to government regulations

David, an assembly-line worker, has a sheet of paper at his station to record the number of defective products he finds during his shift. This paper is called a house of quality matrix. check sheet. control chart. Pareto chart.

check sheet

Sharing business goals and objectives with workers is a method of increasing productivity through motivation. communication. mass production. specialization.

communication

A key tool in statistical process control is the control chart. cause-and-effect diagram. scatter diagram. check sheet.

control chart

One way that the productivity of a business can be measured is by dividing the number of products made by the cost of distributing those items. dividing the dollar value of total sales by the costs of making those sales. determining the amount of time needed to gather all necessary inputs. calculating the total monetary costs of all inputs used.

dividing the dollar value of total sales by the costs of making those sales

"Big Q" focuses on exceeding customer expectations. designing and developing products. improving factory conditions. conforming to specifications.

exceeding customer expectations

Another term for quality is mediocrity. adequacy. non-conformance. excellence.

excellence

A fishbone diagram is a quality-control tool used to design products. evaluate business processes. determine a product's quality. identify cause and effect.

identify cause and effect

A positive effect that productivity has on a business is helping it increase sales and profits. increase the standard of living. stop inflation. determine the health of the nation's economy.

increase sales and profits

The equipment, ingredients, and employee labor at a restaurant are all mass production. objectives. productivity. inputs.

inputs

Lean production focuses on designing and developing quality products. supervising manufacturing processes to ensure efficiency. condensing the product-development process. maximizing customer value while minimizing waste.

maximizing customer value while minimizing waste

Even though Brad isn't a manager, his boss encourages him to give his input on issues affecting the company. Brad's boss is using specialization. motivation. quality of work life. Correct! participative decision-making.

participative decision-making

A focus on how things are done, rather than just outcomes, is known as lean production. process orientation. continual improvement. concurrent engineering.

process orientation

Supervising business and manufacturing processes to ensure quality and efficiency is a quality-control method known as the Taguchi method. concurrent engineering. statistical process control. process performance management.

process performance management

Failure to focus on quality management may result in customer satisfaction. "Little Q" thinking. process orientation. product recalls.

product recalls

The amount and value of outputs produced from set amounts of resources are known as inputs. productivity. objectives. mass production.

productivity

Fair salaries and wages, competitive benefits, and safe and healthful working conditions are all important in creating a good standard of living. division of labor. competitive advantage. quality of work life.

quality of work life

Research and development speed up production by reviewing company goals with employees. simplifying existing products. limiting inflation. providing employees with adequate job training.

simplifying existing products

A company produces only one type of shoe, since this is the product it is best able to produce with its resources. This is an example of specialization. productivity. competitive advantage. division of labor.

specialization

"Little Q" is a __________ way of thinking. tactical long-term strategic modern

tactical

Lack of standardization occurs when products are complex and difficult to assemble. employees don't understand how to use a machine or tool. team members do not get along with each other. tasks and processes are done differently every time.

tasks and processes are done differently every time

Gross domestic product per capita is a measure of the average worker's productivity. everything a country exports. everything a country imports from foreign countries. everything a country produces within its borders.

the average worker's productivity

"Big Q" is also known as robust design. total quality management. lean production. concurrent engineering.

total quality management

A factory that mass produces clothing increases productivity because it reduces research and development costs. employee wages. levels of management. wasted resources.

wasted resources