MGMT 3140 ch 9
E. Leadership
Executives at a pharmaceuticals company have been working with a consultant to implement ISO 9001. They have established the company's vision and goals, and have been working hard to provide inspiration to their employees and establish trust. Which of the following principles is the company addressing here? A. Involvement of people B. Strategic quality planning C. Mutually beneficial supplier relationships D. Process approach to management E. Leadership
B. high-involvement
In a _____ organization, top management ensures that there is consensus about the direction in which the business is heading. A. learning B. high-involvement C. mechanistic D. network E. customer-centric
D. continuous improvement
In a business unit setup, kaizen refers to ____. A. zero defects B. total quality management C. value chain D. continuous improvement E. rightsizing
B. strategic alliance
Slim Center Counseling and ASA Software recently joined forces to produce a meal planning program for use on home computers. The two organizations are working together on the project since neither could have developed it using only their own resources. Both will own the resulting program. This is an example of a ____. A. network organization B. strategic alliance C. cluster organization D. subordinate collaboration E. high-involvement organization
C. Concurrent
_____ engineering refers to a design approach in which all relevant functions cooperate jointly and continually in a maximum effort aimed at producing high-quality products that meet customers' needs. A. Total quality B. Customer-focused C. Concurrent D. Demand E. Functional
C. core capability
A _____ is the knowledge, expertise, or skill that underlies a company's ability to be a leader in providing a range of specific goods or services. A. dynamic network B. continuous process C. core capability D. cognitive ability E. knowledge flow
D. reengineering
A company that asks itself "If you were the customer, how would you like us to operate?" and then takes action to transform itself is best described as using the notion of ____. A. strategic maneuvering B. lean manufacturing C. operations management D. reengineering E. total quality management
C. a form of organization that seeks to maximize internal efficiency.
A mechanistic organization is best described as: A. a form of organization that uses the principle of specialization based on function or role. B. an organization that emphasizes flexibility. C. a form of organization that seeks to maximize internal efficiency. D. an organization with fewer levels of intervening management between staff and managers. E. an organization skilled at creating, acquiring, and transferring knowledge, and at modifying its behavior to reflect new knowledge.
A. customer relationship
A multifaceted process focusing on creating two-way exchanges with customers to foster intimate knowledge of their needs, wants, and buying patterns is called _____ management. A. customer relationship B. total quality C. human resources D. customer analytics E. buyer-behavior
C. ISO 9001
A series of quality standards developed by a committee working under the International Organization for Standardization to improve total quality in all businesses for the benefit of both producers and consumers is known as ____. A. total quality management B. just-in-time control C. ISO 9001 D. computer-integrated manufacturing E. customer-based integration
A. job
A small office with only a physician, a nurse, and a bookkeeper is an example of a _____ shop. A. job B. large batch C. continuous process D. mass customization E. specialty
B. just-in-time (JIT) operation
A system that calls for subassemblies and components to be manufactured in very small lots and delivered to the next stage in the production process as they are needed is known as a ____. A. dynamic networking operation B. just-in-time (JIT) operation C. mass customization process D. continuous process operation E. flexible manufacturing process
E. strategic alliance
A(n) _____ is a formal relationship created among independent organizations with the purpose of joint pursuit of mutual goals. A. subordinate partnership B. organizational alliance C. network organization D. cluster organization E. strategic alliance
A. Numerical quotas
According to Deming's 14 points of quality, which of the following has to be eliminated, as they are contrary to the idea of continuous improvement? A. Numerical quotas B. Retraining programs C. Value chains D. Strategic alliances E. Just-in-time operations
C. strategic triangle
According to Dr. Kenichi Ohmae, customers, corporation, and competitors make up the ____. A. profit gateway B. structure foundation C. strategic triangle D. control cycle E. profit pyramid
C. Customers, corporation, and competitors
According to Dr. Kenichi Ohmae, which of the following constitutes the strategic triangle of a business unit? A. Executives, board members, and employees B. Distributors, corporation, and suppliers C. Customers, corporation, and competitors D. Financiers, customers, and employees E. Financiers, customers, and competitors
A. lean manufacturing
An operation that achieves increased efficiency while simultaneously improving effectiveness is best described as practicing ____. A. lean manufacturing B. ISO 9001 C. mass customization D. concurrent engineering E. JIT operations
A. learning
An organization that is skilled at creating, acquiring, and transferring knowledge and at modifying its behavior to reflect new knowledge and insights is known as a ____ organization. A. learning B. high-involvement C. mechanistic D. network E. matrix
D. the next process
As organizations focus on responding to customer needs, they soon find that the traditional meaning of a customer expands to include internal customers. The word customer now refers to ____. A. the purchaser of the end product B. the user of the end product C. the consumer with whom a relationship is maintained D. the next process E. the person interested in the product
C. costs associated with an organization being too big.
Diseconomies of scale refers to the: A. environmental forces that inherently have a negative impact on business growth. B. realization of lower per-unit costs. C. costs associated with an organization being too big. D. use of materials or processes in related products or services. E. fluctuations in the economy.
A. planned elimination of organizational positions.
Downsizing in organizations refers to the: A. planned elimination of organizational positions. B. decrease in product volume and variety. C. transition from corporate equity to corporate debt. D. sale of less efficient operating units. E. decrease in the use of organizational resources.
B. materials and processes employed in one product can be used to make other related products.
Economies of scope refers to the idea that: A. producing large quantities results in lower costs per unit produced. B. materials and processes employed in one product can be used to make other related products. C. getting products to market ahead of the competition is, often, a key to success. D. the producer with the greatest percentage of market share has maximum staying power. E. the variety of products offered is an indicator that an organization has sustainable economic growth.
B. survivor's syndrome
Employees who retain their jobs after downsizing often experience heavier workloads and loss of organizational commitment and become risk-averse, which are usually symptoms of ____. A. unemployment anxiety B. survivor's syndrome C. downsizing disorientation D. downsizing anxiety E. employee depression
B. continuous improvement
In the realm of customer relations, _____ includes continually changing in order to connect with customers, even without waiting for customers to make the first move. A. continuous integration B. continuous improvement C. value chain analysis D. customer exchange E. total quality management
D. extending capabilities to find new applications and opportunities.
Managers who want to strengthen their firms' competitiveness via core capabilities need to focus on: A. assigning only specific tasks to specific workers. B. purchasing more capital assets. C. hiring more people anticipating economic downturns. D. extending capabilities to find new applications and opportunities. E. maintaining and growing the stock price.
A. large batch technologies
McDonald's and Burger King have production processes that tend to be standardized, and all customers receive similar if not identical products. These organizations are examples of ____. A. large batch technologies B. small batch technologies C. flexible factories D. just-in-time technologies E. inflexible factories
A. six sigma quality
One of the most important contributors to total quality management has been the introduction of statistical tools to analyze the causes of product defects in an approach called ____. A. six sigma quality B. concurrent engineering C. value chain management D. computer-integrated manufacturing E. kanban
B. just-in-time operations
Perfect quality, elimination of waste, value added manufacturing, and employee involvement are all components of ____. A. supply chain management B. just-in-time operations C. lean manufacturing D. logistics E. simultaneous engineering
C. Downsizing
Phoenix Paint, a manufacturer of designer indoor paint, is in the process of eliminating some positions in its organization. Its management has carefully analyzed all of the jobs and strategically determined which to keep, with an eye toward protecting its most talented people. Which of the following refers to what Phoenix is doing in this scenario? A. Standardizing B. Centralizing C. Downsizing D. Benchmarking E. Globalizing
A. Logistics
Problems with which of the following is most likely to result in products going out of stock and consumers choosing alternatives? A. Logistics B. Robotic manufacturing C. Time-based human resources management D. Kanban E. Six sigma
B. flat and decentralized
Structurally, a high-involvement organization is usually ____. A. task-oriented and bureaucratic B. flat and decentralized C. hierarchical and centralized D. customer-centric and centralized E. highly departmentalized
A. loss of productivity and morale in employees who remain after downsizing.
Survivor's syndrome refers to the: A. loss of productivity and morale in employees who remain after downsizing. B. guilt on the part of management for going ahead with the downsizing. C. slump in market share after a new company enters the market. D. lack of motivation in the people who got laid off to find new jobs. E. distress experienced by employees who have been laid off.
E. organic
The _____ structure is an organizational form that emphasizes flexibility. A. systematic B. mechanistic C. bureaucratic D. scientific E. organic
D. scope
The ability to utilize processes or materials for multiple related products and thereby gain efficiencies is referred to as economies of ____. A. scale B. production C. agility D. scope E. size
D. organize work flow around products.
The factor that differentiates flexible factories from traditional factories is that flexible factories: A. have relatively longer production runs. B. tend to focus on multiple products at a time. C. move large orders of standard products through assembly lines. D. organize work flow around products. E. avoid decentralized scheduling.
A. control people, decisions, and actions
The formal structure of an organization is primarily put in place to: A. control people, decisions, and actions. B. develop a process for investing returns. C. increase rates of promotion. D. allow for intrapreneurship. E. encourage entrepreneurship.
C. revolutionize key organizational systems and processes.
The principal idea of reengineering is to: A. fully utilize available technology. B. get more market share. C. revolutionize key organizational systems and processes. D. provide more customized products. E. innovate more than the competitors.
B. the value chain
The sequence of activities that flow from raw materials to the delivery of a good or service, with additional value created at each step, is known as ____. A. competitive analysis B. the value chain C. customer analysis D. total quality management E. the strategic triangle
B. resources into the organization and products from the organization to its customers.
The term logistics refers to the movement of: A. finished products within the organization warehouse system. B. resources into the organization and products from the organization to its customers. C. resources throughout the manufacturing process. D. employees in the organization during the accomplishment of their tasks. E. financial instruments among organizations.
D. continuous improvement
Total quality management is a way of managing in which everyone is committed to the _____ of his or her part of the operation. A. fulfillment B. accountability C. concurrent engineering D. continuous improvement E. ethical standards
A. Large size
Which of the following aspects of an organization creates scale economies and economies of scope and leads to advantages like lower operating costs, greater purchasing power, and easier access to capital? A. Large size B. High flexibility C. Mass customization D. Centralized structure E. High agility
C. Downsizing
Which of the following involves eliminating functions, hierarchical levels, or even whole units? A. Reengineering B. Domain selection C. Downsizing D. Buffering E. Benchmarking
C. Machines and/or computers do all the work.
Which of the following is a characteristic of continuous process technologies? A. There is a definite starting and stopping point to the process. B. It has the ability to produce a wide variety of products. C. Machines and/or computers do all the work. D. Structure is generally more bureaucratic. E. Communication tends to be formal within the organization.
B. Having relatively shorter production runs
Which of the following is a characteristic of flexible factories? A. Scheduling decisions are made by top management B. Having relatively shorter production runs C. Focusing on a variety of products simultaneously D. Moving large orders of standard products through assembly lines E. Using centralized scheduling
D. Service
Which of the following is a primary activity in the generic value chain? A. Firm infrastructure B. Human resource management C. Technology development D. Service E. Procurement
D. Procurement
Which of the following is a support activity in the generic value chain? A. Research and development B. Operations C. Outbound logistics D. Procurement E. Marketing and sales
D. Giving special attention and help to those who have lost their jobs
Which of the following is an effective practice in downsizing? A. Laying off excessive people so that new people can be hired when needed B. Making slow, small, and frequent layoffs to maintain productivity C. Engaging in excessive hiring so that downsizing doesn't affect productivity D. Giving special attention and help to those who have lost their jobs E. Implementing voluntary early retirement
C. Lean manufacturing
Which of the following is an operation that strives to achieve the highest possible productivity and total quality by eliminating unnecessary steps in the production process and continually striving for improvement? A. Time-based competition B. Total quantity management C. Lean manufacturing D. Mass customization E. Concurrent engineering
C. Eliminate slogans and buzzwords.
Which of the following is one of W. Edwards Deming's 14 points of quality? A. Strive for short-term improvement rather than long-term profit. B. Ensure compliance by punishing those who deviate from the process. C. Eliminate slogans and buzzwords. D. Implement or reinforce the use of numerical quotas. E. Mass inspection is the best way to ensure quality.
D. Customer and market focus
Which of the following is one of the criteria for receiving the Malcolm Baldrige National Quality Award? A. Use of JIT B. Extensive training for workers C. Technological innovation D. Customer and market focus E. ISO 9001 certification
C. The emphasis is on mutual adjustment among people.
Which of the following is true of small batch technologies? A. The organization is bureaucratic. B. Decision making is centralized. C. The emphasis is on mutual adjustment among people. D. Most procedures are formal. E. They provide a low variety of high-volume services.
B. For the alliance to work, the partners should consider one another's areas of expertise.
Which of the following statements is true about strategic alliances? A. Managers typically do not devote enough time to screen potential partners, for a strategic alliance, in financial terms. B. For the alliance to work, the partners should consider one another's areas of expertise. C. The most successful strategic alliances have the same research interests. D. Strategic alliances often slow down the work of two organizations. E. Manufacturing costs are often increased by using a strategic alliance.
D. Jobholders rely more heavily on judgment than on rules.
Which of the following statements is true about the organic structure? A. Jobholders have fewer, fixed responsibilities. B. It is more rigid than a mechanistic structure. C. It is characterized by a lack of flexibility. D. Jobholders rely more heavily on judgment than on rules. E. It values obedience to authority more than commitment to the organization's goals.
E. The organizational form is a flat, decentralized structure built around a customer, good, or service.
Which of the following statements is true of a high-involvement organization? A. Lower-level employees are not accountable for a good or service delivery. B. The leader defers to the board of directors for all decisions. C. Task forces and study groups are not generally used because they are seen as a waste of time and resource. D. Employee involvement tends to be inadequate when the environment changes rapidly. E. The organizational form is a flat, decentralized structure built around a customer, good, or service.
B. Learning organizations
Which of the following types of organizations pursues activities such as engaging in disciplined thinking, searching constantly for new knowledge, benchmarking, and sharing ideas throughout the organization via information systems? A. Mechanistic organizations B. Learning organizations C. High-involvement organizations D. Monolithic organizations E. Pluralistic organizations
A. creating constancy of purpose.
Will is the marketing head of a firm. He usually strives for long-term improvement rather than short-term profit, regardless of the economic environment. In the context of Deming's 14 points of quality, this is an example of: A. creating constancy of purpose. B. adopting a new philosophy. C. improving constantly and forever the system of production and service. D. taking action to accomplish the transformation. E. offering training and retraining.
A. Total quality management
_____ is an integrative approach to management that supports the attainment of customer satisfaction through a wide variety of tools and techniques that result in goods and services of high standards. A. Total quality management B. Customer relationship management C. Value-added manufacturing D. Mass customization E. Computer-integrated manufacturing
D. Time-based competition
_____ refers to strategies aimed at reducing the total duration it takes to deliver a product or service. A. Logistics management B. Mass customization C. Continuous process D. Time-based competition E. Lean manufacturing
B. Mass customization
_____ refers to the production of varied, individually customized products at the low cost of standardized, mass-produced products. A. Individual production B. Mass customization C. Flexible production D. Mass production E. Continuous process production
D. RFID
_____ tags help boost logistics efficiency and speed in the distribution system and even at some retailers. A. JIT B. TBC C. TQM D. RFID E. ISO
