Chapter 6: Managing Quality

Identify the true statements about the major categories of costs. (Check all that apply.)

A defect found in later stages of a supply chain is much more costly than a defect found in earlier stages. In later stages of a supply chain, there is sometimes less ability to rework the product. Failure costs include both the internal costs of defects found inside a company and the external costs of defects found by customers.

Identify the true statements about standard deviation

A high standard deviation indicates that the data are spread out over a large range of values. Standard deviation is an indicator of process variability. A low standard deviation indicates that the data points tend to be very close to the same value, typically the mean.

Identify the steps involved in the Six Sigma approach.

Analyze Control Improve Measure Define

Define external failure costs.

Costs associated with quality failures uncovered after products are delivered to customers

Define appraisal costs.

Costs resulting from inspections used to assess products' quality levels

Identify the differences between the DFSS (design for Six Sigma) and the DMAIC (define, measure, analyze, improve, control) processes. (Check all that apply.)

DFSS takes place in the development phase, whereas DMAIC takes place after a new product has been launched. DFSS makes use of design engineering tools, whereas DMAIC ideally works with actual product and operational data.

The plan-do-check-act cycle is also known as the ______ ______

Deming Wheel or Deming Cycle

_____ is a design approach that balances customer requirements with the constraints and capabilities of the supporting manufacturing and service processes.

Design for Six Sigma

Identify the values that characterize total quality management.

Extended process view of operations Emphasis on customer requirements Employee empowerment

True or false: Service quality is unaffected by the interpersonal communications and experiences involved in a service.

False

Identify the views of a progressive quality management approach. (Check all that apply.)

Frontline workers must have the resources required to make quality improvements. Frontline workers need to have the knowledge required to make good decisions. Clear definition and recognition of the enlarged scope of decisions should be put forth to the frontline workers in a process. Frontline workers must be given both the responsibility and the authority to make decisions.

______ ______ is a set of internationally accepted standards for business quality management systems.

ISO 9000

Identify the true statements about the quality problems that arise in a total quality management.

In total quality management, problem prevention is emphasized than fixing problems after they occur. Problem solving is most effective when decisions are based on the analysis of actual data. Quality problems are often only solvable through the involvement of suppliers.

_____ costs are associated with quality failures uncovered before products are delivered to customers.

Internal failure

Define standard deviation.

It is a measure of the variability or dispersion of a population, data set, or distribution.

Define product quality.

It is a product's fitness for consumption in terms of meeting customers' needs and desires.

Identify the core values of quality management that are emphasized by the ISO 9000 certification.

It is customer-oriented, with a great emphasis placed on defining, meeting, and achieving customer satisfaction. It emphasizes the importance of managing inter and intraorganizational relationships. It places a high priority on evidence-based decision making. It recognizes the importance of a process-oriented approach, including the definition, measurement, and documentation of processes. It emphasizes the role of leadership in engaging people to make improvements on a regular basis.

Identify the true statements about ISO 9000. (Check all that apply.)

It was initially developed by the International Organization for Standardization to facilitate international trade. Its essential purpose is to ensure that operating processes are well documented, consistently executed, monitored, and improved. It is applicable to all forms of organizations, irrespective of size or product offerings. It provides essentially the same function for business processes as financial accountants provide when they audit a company's financial transactions.

______ quality is a measure of how well a product's designed features match up to the requirements of a given customer group.

design

True or false: Even small improvements often need large investments of capital.

false

Define conformance quality.

is a measure of whether or not a delivered product meets its design specifications.

The functions of a _____ are to select transport providers, develop tracking and other information systems, design packaging, storage, and material handling processes, and manage interactions with transportation providers.

logistics manager

The degree to which the product meets or exceeds certain operating characteristics is known as _____.

performance

_____ is a management approach that establishes an organizationwide focus on quality.

quality management

______ ______ ______ is an integrated management business strategy aimed at embedding awareness of quality in all organizational processes.

total quality management

_____ is a process for improving quality that describes the sequence used to solve problems and improve quality continuously over time.

Plan-do-check-act cycle

_____ costs are associated with efforts to prevent product defects and associated failure and appraisal costs.

Prevention

_____ is a management program that seeks to improve the quality of process outputs by identifying and removing the cause of defects and variations in various processes.

Six Sigma

Identify the factors that affect the success of total quality management.

Strong, charismatic leadership Crisis situation or compelling reason for change Trust between labor and management

True or false: TQM (Total quality management) has a heavy emphasis on decision making in cross-functional teams.

True

Identify the variations in repeated activities that are often the major sources of problems in operations processes.

Variability in the time taken to complete a task Variations in marketing promotions Variations in a purchased material characteristic

Identify the variations in repeated activities that are often the major sources of problems in operations processes.

Variations in marketing promotions Variability in the time taken to complete a task Variations in a purchased material characteristic

The organizational structure in which the employees are at the bottom and the top management is on the top is known as ______ Organizational Structure.

Traditional or Conventional

Identify the true statements about Kaizen Improvement.

Kaizen is also known as Continuous Improvement. It states that the long-term success of an organization occurs only when everyone in the firm identifies and implements improvements every day. Pursuit of small improvements keeps people thinking about the process and its current operation.