1. Quality at the source means returning all defects to the source-our vendors.

FALSE
2. Total quality management is a collection techniques, such control charts, ISO 9000, and quality
function development. FALSE
3. According to Deming, it is the system that management puts that are primarily responsible for poor
quality, not employees. TRUE
4. Juran describes quality managements as a trilogy that consists of quality planning, quality control,
and quality improvement. TRUE
5. Quality certification refers to a process of 100 percent inspection to catch all defective products
before they leave the company; this allows every item to certified defect free. FALSE
6. User instructions and follow-up services after delivery are important elements of overall product or
service quality. TRUE
7. If the majority of service customers are satisfied, it is likely that all service customers will be
satisfied. FALSE
8. Because 'courtesy' is subjective, it can't be considered a factor in service quality. FALSE
9. When problems arise in a total quality managed organization, it is important to assign blame and
punish the worker responsible for causing the problem. FALSE
10. Business organizations achieving good quality benefit in a variety f ways, including a positive
reputation for quality, increased customer loyalty, and lower production costs. TRUE
11. The optimum level of inspection occurs when we catch at least 98.6 percent of the defects. FALSE
12. The primary purpose of statistical process control is detect a defensive product before it is shipped
to a customer. FALSE
13. The best way to assure quality is to use extensive inspection and control charts. FALSE
14. The optimum level of inspection minimizes the sum of inspection costs and the cost of passing
defectives. TRUE
15. The output of a process may not conform to specifications even though the process may be
statistically "in control" TRUE
16. A run test checks a sequence of observations for randomness. TRUE
17. A process that exhibits random variability would be judged to be out of control. FALSE
18. A x-bar control chart can only be valid if the underlying population it measures is a normal
distribution. FALSE
19. Statistical Process control is the measurement of rejects in the final project. FALSE
20. Attributes need to be measured, variable data can be counted. FALSE

Broadly defined, quality refers to the ability of a product or service to occasionally meet or exceed
customer expectations.FALSE
Quality refers to consistently meeting or exceeding customer expectations.

An organization achieves quality by consistently meeting their competitor's standards. FALSE

An organization achieves quality by meeting or exceeding customer expectations.

Because 'courtesy' is subjective, it can't be considered a factor in service quality.FALSE

Many dimensions of quality are subjective.

Recent changes to ISO guidelines stress continuous improvement regardless of how good you
currently are.TRUE
ISO guidelines stress continuous improvement.

The seven dimensions of quality are important for products but are not applicable in service
organizations. FALSE
Dimensions of quality are often similar across products and services.

Regardless of superior quality, consumers won't pay premium prices. FALSE

Customer will often pay premium process for superior quality.

High Quality and low prices are both considered to be dimensions of quality. FALSE
Price is not considered a dimension of quality.

The Baldrige award can only be won by manufacturing organizations. FALSE

It can and has been won by service organizations.

Quality of conformance refers to the degree to which goods and services conform to the intent of
the designers as documented in the specifications. TRUE
High conformance to designer intent leads to high quality of conformance.

Quality of design refers to the degree to which goods and services achieve the intent of the
designers. FALSE
Quality of design refers directly to the intent of the designers.

In market research, a group of consumers who express their opinions about a product or service is
called a steering committee. FALSE
This would be called a focus group.

Business organizations achieving good quality benefit in a variety of ways, including a positive
reputation for quality, increased customer loyalty, and lower production costs. TRUE
Good quality conveys a wide variety of benefits.

User instructions and follow-up services after delivery are important elements of overall product or
service quality. TRUE
Overall product or service quality includes user instructions and follow-up services.

Reducing the variations in our product or service is an important key to perceived quality. TRUE
Variability reduction is a key means by which quality can be improved.
Product design choices are usually the result of inputs from accounting and human resources.
FALSE
Design choices usually result from marketing and engineering inputs.

The dimensions of product and service quality are too abstract to be applied operationally. TRUE
Determinants of quality are more readily applied operationally.

The degree to which a product or service satisfies its intended purpose is determined by design,
conformance to design, cost, and reputation of the producer. FALSE
Neither cost nor reputation influences this.

The degree to which a product or service satisfies its intended purpose is determined by service
after delivery, ease of use, design, and conformance to design. TRUE
These are determinants of quality.

Medical malpractice claims are an example of how poor quality can affect an organization through
liability. TRUE
Poor quality can have serious financial effects.

Convenience, Reliability and Assurance are dimensions of service quality. TRUE

These are dimensions of service quality.

Poor quality has a positive effect on productivity because it usually takes longer to produce a good
part. FALSE
Poor quality has a negative effect on productivity.

If the majority of service customers are satisfied, it is likely that all service customers will be
satisfied. FALSE
Different customers tend to have different expectations.

The primary difference between internal failures and external failures is time and place of discovery
of the failure. TRUE
When the failure is discovered typically determines whether it is an internal or an external
failure.

Customer expectations tend to change over time affecting their perception of service quality. TRUE
Customer expectations do change over time.

Cost of inspectors, testing, test equipment, and labs are examples of prevention costs. FALSE
These are appraisal costs.

Cost of inspectors, testing, test equipment, and labs are examples of appraisal costs. TRUE
These are appraisal costs.

Modern quality management emphasizes finding and correcting mistakes before they reach the
customer - catching the errors before they are shipped. FALSE
Modern quality management emphasizes avoiding mistakes before they ever happen.

Deming stresses that workers are primarily responsible for poor quality because very often they fail
to follow instructions. FALSE
Deming stressed that systems rather than workers were primarily responsible for poor quality.

According to Deming, it is the systems that management puts into place that are primarily
responsible for poor quality, not employees. TRUE
Deming focused on systems as determinants of quality.

. Juran describes quality management as a trilogy that consists of quality planning, quality control,
and quality improvement. TRUE
Juran focused on planning, control and improvement.

Juran describes quality management as a trilogy that consists of quality planning, control of quality
costs, and quality improvement. FALSE
Juran focused on quality planning, quality control, and quality improvement.

Quality at the source means returning all defects to the source - our vendors. FALSE
Quality at the source refers to making each worker responsible for the quality of his or her own
work.

Six sigma programs have both management and technical components. TRUE
Both management and technical components are part of six sigma programs.

Crosby's concept of "quality is free" means that it is less expensive to do it right initially than to do
it over. TRUE
Crosby believes quality pays for itself.

The causes of variation in any process can be identified through the general categories of people,
procedures, education and age. FALSE
The general categories are people, procedures and processes.

Quality certification refers to a process of 100 percent inspection to catch all defective products
before they leave the company; this allows every item to be certified defect free. FALSE
Quality certification refers to the process of certifying that quality processes are in place.
The customer is the focal point and customer satisfaction is the driving force in quality
management. TRUE
The customer and his or her satisfaction are central to quality management.

When considering service quality, convenience often is a major factor. TRUE

Convenience is often a major dimension of service quality.

Serviceability, Conformance and Reliability are dimensions of product quality. TRUE

These are common dimensions of product quality.

Firms that wish to do business with the European Community can benefit from having a quality
management system that meets ISO 9000 standards. TRUE
ISO 9000 certification is critical for doing business in Europe.

Continuous improvement attempts to achieve major breakthroughs in product or service quality.

FALSE
Continuous improvement attempts to achieve ongoing improvements in product or service
quality.

So long as quality input resources are used to make a product, we can expect quality output from
the process. FALSE
Quality inputs help with quality but they do not guarantee it.

Three key philosophies in TQM are continuous improvement, involvement of everyone in the
organization, and customer satisfaction. TRUE
These are the three key philosophies.

Suppliers are not included in quality assurance and quality improvement efforts in TQM; they
should worry about their own problems. FALSE
Suppliers are critical in TQM.

Zero defects requires 100% inspection of the final product. FALSE

Zero defects can be achieved through quality at the source.

The PDSA cycle forms the conceptual basis for continuous improvement. TRUE
It reflects some of the primary ideas behind continuous improvement.

A control chart is a visual representation of the various states in a process. FALSE

A control is a visual representation of the output of a process.
The purpose of benchmarking is to establish a standard against which the organization's
performance can be judged, and to identify a model for possible improvement. TRUE
Benchmarking is used to establish a standard against which performance can be judged.

TQM expands the traditional view of quality beyond looking only at the quality of the final product
or service to looking at the quality of every aspect of the process. TRUE
TQM focuses on what leads to the outcome rather than the outcome itself.

The benchmark organization must be chosen from the same industry in order for its methods to be
applicable. FALSE
The benchmarked organization should be best in class, regardless of industry.

A quality circle is a cross-functional team focused on quality. FALSE

Quality circles typically aren't cross-functional.

Total quality management attempts to involve everyone in an organization in the effort to achieve
quality. TRUE
TQM is an organization-wide initiative.

There is a positive link between quality and productivity. TRUE

Higher quality leads to higher productivity.

The term "quality at the source" refers primarily to the practice of requiring each of our vendors to
provide quality parts and materials. FALSE
Quality at the source refers to each worker being responsible for the quality of his or her work.

ISO standards aid in transferring technology to developing countries. TRUE

ISO facilitates the transfer of quality expertise to developing countries.

TQM is not just a collection of techniques. It is rather a whole new attitude toward quality. TRUE
TQM is a philosophy.

The PDSA cycles is also referred to as the Baldrige Wheel. FALSE

It's also referred to as the Deming wheel or Shewhart cycle.

When problems arise in a total quality managed organization, it is important to assign blame and
punish the worker responsible for causing the problem. FALSE
Blame and punishment have little place in a TQM organization.

ISO standards apply only to manufacturing organizations. FALSE

ISO standards can apply to service organizations.
A major obstacle to implementing TQM can be an emphasis on long-term financial results. FALSE
Short-term financial focus can be an obstacle to implementing TQM.

One criticism of total quality management is that it may produce blind pursuit of quality to the
neglect of other priority considerations. TRUE
Considerations other than quality sometimes can be neglected.

Process mapping is part of process improvement. TRUE

Mapping the process is a first step in process improvement.

Total quality management is a collection of techniques, such as quality control charts, ISO 9000, and
quality function deployment. FALSE
TQM is a philosophy.

A tool that is not used for quality management is ________.

A. Flowchart
B. Histogram
C. Perato Analysis
D. Redesign
E. Check sheets
D. Redesign
Redesigns aren't part of quality management.

The four dimensions of quality that are sometimes used to determine fitness for use of a product
are ______.
A. performance, special features, durability, and service after sale
B. performance, special features, conformance, and reliability
C. special features, conformance, reliability, and durability
D. performance, conformance, reliability, and durability
E. special features, conformance, durability, and service after sale
B. performance, special features, conformance, and reliability
These are the four dimensions of quality that are sometimes used to determine fitness for use of a
product.

A tool that depicts process variation graphically is a(n) _________.

A. Affinity diagram
B. Check list
C. Control Chart
D. Flow Chart
E. Relationship diagram
C. Control Chart
Control charts depict process variation.

Which isn't a cost of quality?

A. Prevention cost
B. External failure
C. Extended Service Contracts
D. Internal failure
E. Appraisal costs
C. Extended Service Contracts

The Deming Prize was established by the _________.

A. American Statistical Association
B. Japanese
C. North American Free Trade Association
D. American Quality Society
E. World Trade Organization
B. Japanese
The Deming Prize is a prominent Japanese quality award.

Lost production time, scrap, and rework are examples of ________.

A. internal failure costs
B. external failure costs
C. appraisal costs
D. prevention costs
E. replacement costs
A. internal failure costs
These are internal failure costs.

Warranty service, processing of complaints, and costs of litigation are examples of ________.
A. internal failure costs
B. external failure costs
C. appraisal costs
D. prevention costs
E. replacement costs
B. external failure costs
These are external failure costs.

Costs of inspectors, testing, test equipment, and labs are examples of ________.
A. internal failure costs
B. external failure costs
C. appraisal costs
D. prevention costs
E. replacement costs
C. appraisal costs
These are appraisal costs.

Loss of business, liability, productivity and costs are consequences of _______.

A. Labor Unions
B. Globalization
C. Poor Quality
D. Robotics
E. Micro-factories
C. Poor Quality
Poor quality increases these costs.

Quality planning and administration, quality training, and quality control procedures are examples
of _______.
A. internal failure costs
B. external failure costs
C. appraisal costs
D. prevention costs
E. replacement costs
D. prevention costs
These are prevention costs.

The purpose of the Malcolm Baldrige National Quality Award is to _______.

A. stimulate efforts to improve quality
B. recognize quality achievements of U.S. companies
C. publicize successful quality programs
D. all of the above
E. distribute the grant money available for improved quality
D. all of the above
All of these are goals of the Baldrige award.

Fixing a problem will often cost money; to minimize these costs it is best to find and fix the problem
_______.
A. just before shipping our product to the customer
B. immediately after we complete the last operation
C. during the design phase
D. just before we begin the first production operation
E. regardless of when you fix the problem, costs are about the same
C. during the design phase
Fixing a problem during the design phase prevents a failure from ever occurring.

Deciding how much to invest in the prevention of defects can be analyzed using ________.
A. EVPI
B. Net Present Value
C. Weighted Factor Analysis
D. Return on Quality
E. Breakeven Analysis
D. Return on Quality
ROQ focuses on the economics of quality efforts.

The Baldrige award is based on seven categories. Which is not one of those?
A. Relative profitability
B. Strategic planning
C. Human resource focus
D. Information and Analysis
E. Leadership
A. Relative profitability
Relative profitability is not a Baldrige category.

ISO 9000 standards do not have a requirement for ________.

A. resource
B. remedial
C. systems
D. training
E. management
D. training
Training isn't a part of ISO 9000 standards.

A quality circle is ________.

A. responsible for quality
B. total quality control
C. an inspection stamp found on meat
D. a voluntary group of employees
E. none of the above
D. a voluntary group of employees
Quality circles are composed of volunteers.

ISO 9000 currently requires _____ of a certified organization.

A. Quarterly reporting
B. Product diversity
C. Annual audits
D. A minimum of four supervisory levels
E. Continuous improvement
E. Continuous improvement
Continuous improvement is emphasized in ISO certification.

The quality control improvement tool which distinguishes between the "important few" and the
"trivial many" is __________.
A. brainstorming
B. check sheets
C. Pareto analysis
D. cause-and-effect diagrams
E. fail-safe methods
C. Pareto analysis
Pareto analysis focused on the 80/20 phenomenon.

The quality control improvement tool that resembles a "fishbone" is ________.

A. brainstorming
B. check sheets
C. Pareto analysis
D. cause-and-effect diagrams
E. fail-safe methods
D. cause-and-effect diagrams
These are also known as Ishikawa diagrams.

TQM stands for:

A. Taguchie Quality Methods
B. Tactical Quality Measurements
C. The Quality Matrix
D. Total Quality Management
E. Total Quantity Measurement
D. Total Quality Management
TQM stands for Total Quality Management.

Which of the following is an element of TQM?

A. continuous improvement
B. competitive benchmarking
C. employee empowerment
D. team approach
E. all of the above
E. all of the above
All of these are elements of TQM.
Management behaviors supporting an organizational culture that encourages continuous
improvement include which of the following?
(I) develop a vision statement for the organization
(II) develop a reward system that promotes the philosophy
(III) institute continuous training programs
(IV) make decisions that adhere to the philosophy
A. I, II, and IV
B. I, II, III, and IV
C. I and III
D. II, III, and IV
E. II and IV
B. I, II, III, and IV
All of these would reflect management focused on continuous improvement.

The tool that is useful in documenting the current process is:

A. a control chart
B. a Pareto chart
C. a check sheet
D. a flow chart
E. a simo chart
D. a flow chart
The flow chart graphically depicts how a process works.

The tool that is useful in the collection and organization of data is:
A. a control chart
B. a Pareto chart
C. a check sheet
D. a flow chart
E. none of the above
C. a check sheet
Check sheets help in the collection and organization of data.

A quality improvement technique that involves the sharing of thoughts and ideas in a way that
encourages unrestrained collective thinking is:
A. Pareto analysis
B. benchmarking
C. brainstorming
D. a control chart
E. a check sheet
C. brainstorming
Brainstorming involves the sharing of thoughts and ideas in a way that encourages unrestrained
collective thinking.
In order for TQM to be successful, it is essential that most of the organization be _________.
A. members of quality circles
B. under contract
C. ISO certified
D. trained in error detection techniques
E. in agreement with the philosophy and its goals
E. in agreement with the philosophy and its goals
TQM won't work without substantial buy-in.

Which of the following raises quality risks?

A. currency fluctuations
B. outsourcing to less-developed countries
C. empowering employees
D. benchmarking
E. streamlining the supplier base
B. outsourcing to less-developed countries
Quality risks increase when outsourcing to less-developed countries.

Focusing attention on the most important problem areas is referred to as:

A. quality circles
B. quality assurance
C. brainstorming
D. Pareto analysis
E. cause-and-effect analysis
D. Pareto analysis
Pareto analysis directs attention to the most important areas.

A chart showing the number of occurrences by category would be used in:

A. Pareto analysis
B. interviewing
C. cause-and-effect diagrams
D. benchmarking
E. none of the above
A. Pareto analysis
We would look for root causes to the most frequently occurring quality failures.

Cause-and-effect diagrams are sometimes called:

A. Pareto diagrams
B. fishbone (Ishikawa) diagrams
C. run charts
D. control charts
E. none of the above
B. fishbone (Ishikawa) diagrams
These help in thinking through what might be causing a quality program.