1. Lean and six sigma share in common which of the following traits?

a. They are mutually exclusive

b. They both require top management commitment
c. They are independent of customer satisfaction
d. They both require long learning curves

2. The most important element in LSS deployment would be considered:

a. Training
b. Organizational structure
c. Management support
d. Reward and recognition

3. Which of the following concepts is mostly associated with Taiichi Ohno?

a. SPC
b. TOC
c. CTQ
d. TPS

4. Which of the following is the most acceptable reason for the deployment of LSS
projects?
a. A focus on cost savings
b. A focus on customer dissatisfaction
c. A focus on external problems
d. A focus on design improvements

5. LSS project benefits would include which of the following?

a. Decreased profits
b. Improved process capability
c. Increased defects
d. Increase warranty claims

6. Kaplan and Norton have outlined a business planning process that gives
consideration to factors other than strictly financial ones. It provides a greater
perspective for stakeholder interests. This approach is referred to as:
a. Balanced Scorecard
 b. Strategic Planning
c. 5 Forces of competitive strategy
d. Quality function deployment

7. Increasing performance in a LSS corporation from 3 sigma to 4 sigma would

reduce defects per million by a factor of:
a. 2
b. 8
c. 10
d. 16

8. In a nutshell, LSS is considered:

a. A business improvement approach
b. A focus on critical customer items
c. An elimination of mistakes and defects
d. A concentrated focus on business outputs

9. What guru is MOST widely associated with DOE?

a. Shingo
b. Juran
c. Ishikawa
d. Taguchi

10. The term "metrics" most frequently refers to:

a. A unit measurement
b. The metric system
c. The science of weights and measurements
d. An evaluation method

11. If one chose to look at any business enterprise on a main level basis, which of the
following category choices would have either KPIV (key process input variables)
or KPOV (key process output variables)?
a. Process and operations
b. Operations and technological
c. Business and technological
d. Technological and process

12. What luminary is generally recognized as being the creator of the control chart?
 a. Deming
b. Shewhart
c. Harry
d. Ishikawa

13. The defect levels, as reported by Motorola in their six sigma program, are higher
than one might expect from use of a standard normal table or traditional
capability calculations. Why is this true?
a. Motorola found their processes followed the exponential distribution
b. Motorola allowed for failure on one-tail only
c. Motorola allowed fro 1.5sigma shift in the mean
d. Motorola found that six sigma efforts increased process variation

14. A lean enterprise approach encompasses which of the following departments?

a. Manufacturing only
b. All company departments plus suppliers
c. Manufacturing, quality, and the supply chain
d. Manufacturing and quality departments

15. From an upper management perspective, what has been the principle motivating
factor in embracing LSS?
a. Bottom line results
b. Market share growth
c. Defect reductions
d. Customer focus

16. Strategic goals will be subdivided into:

a. Major benchmarks
b. Loss functions
c. Numerous tactical goals
d. Appropriate metrics

17. Of the key elements of an organizational plan, which of the following would be
most likely to contain numbers and dates?
a. Vision statements
b. Tactical objectives
c. Guiding principles
d. Mission statements
18. Who was the first CEO to understand the need to control variation instead of the
process average as a way to significantly improve quality?
a. Jack Welch
b. Robert Galvin
c. Henry Ford
d. Bill Smith

19. Which of the following would be considered a strategic quality goal?

a. Commitment to the customer
b. Reducing the scrap rate in the finishing department by 1%
c. Improved performance inspection checks on work in progress
d. Training 6 green belts in statistical techniques this quarter

20. The concept most closely associated with lean production is:
a. Better quality
b. Faster production
c. Flexible production
d. Elimination of waste

21. Why is LSS called TQM on steroids?

a. Because of the extensive training element required
b. Because of the inclusion of statistical and lean tools
c. Because of the heavy impact of top management support
d. Because of the impact of cost savings on the bottom line

22. Strategic goals must be subdivided. Thus, they are:

a. Delegated
b. Distributed
c. Accountable
d. Deployed

23. Many tools can be used in either lean or six sigma projects. A problem solving
approach that unifies project follow-up is:
a. SIPOC
b. DOE
c. DMAIC
d. TPM
24. Which of the following quality gurus is most closely associated with the term
"total quality management"?
a. Crosby
b. Feigenbaum
c. Deming
d. Juran

25. The difference between strategic goals and the strategic business plan is that:
a. Strategic goals are often a lower tier than the strategic business plan
b. They are determined by top management only
c. They may offer conflicting priorities
d. They are based on priorities given by all levels of the company

26. What would occur if the quality goals were not a part of the strategic plan?
a. There would be no strategic goals
b. There would not be as much emphasis on quality
c. The total quality effor towuld not suffer
d. The quality department would still maintain the quality goals

27. Which American figure is seen as the earliest advocate of waste reduction?
a. Henry Ford
b. Frederick W. Taylor
c. W. Edwards Deming
d. James Womack

28. A company has just started a LSS initiative. Which set of tools would be better
suited for initial projects?
a. Lean tools because they provide stability and repeat-ability for future
projects
b. Six sigma tools because they provide a larger number of available options
c. Lean tools because they provide a more reliable and accurate picture of the
root cause
d. Six sigma tools because they provide more measurement data

29. Which of the following quality luminaries would be most clearly identified as a
proponent of improvement and breakthrough projects?
a. Ishikawa
b. Deming
 c. Juran
d. Crosby

30. Strategic plan implementation at the functional level requires:

a. Functional level metrics
b. A company quality policy with everyone understanding it
c. Functional short and long term strategic goals
d. A customer focus

31. Which of the following legendary lean thinkers was never officially on Toyota's
payroll?
a. Sakichi Toyoda
b. Taii Ohno
c. Shigeo Shingo
d. Eiji Toyoda

32. Which of the following is a resource requirement needed to achieve strategic

goals?
a. Infrastructure and support for the projects
b. Knowledge of Mikel Harry's work
c. Use of the Juran Triology
d. Proficiency with Taguchi designs

33. Who created the initial problem solving framework that would later become
DMAIC?
a. Mikel Harry
b. Forrest Breyfogle, III
c. Robert Galvin
d. Michael George

34. After the development of a viable corporate strategy, the next logical step would
be:
a. PDCA
b. Deployment
c. SWOT Analysis
d. Benchmarking
35. If a metrics format were being developed to track marketplace response, which of
the following items would be included?
a. Cost of quality
b. Customer retention
c. Cycle time reduction
d. Profit margin on sales

36. Metrics of the effectiveness of the strategic quality plan include:

a. DMAIC
b. Customer satisfaction
c. The CSI number
d. Drennik index

37. The extension from lean production to lean office is possible because:
a. The office produces a variety of services
b. The concept of waste applies to every business environment
c. Offices are more data driven than manufacturing
d. There is little difference between production and office environments

38. If metrics were used to track marketplace response as part of the strategic plan
deployment, which of the following measures are most likely to be included?
a. Analysis of returns and cost of quality
b. Cost of quality and customer retention
c. Customer market surveys and customer retention
d. Customer retention and cost of quality

39. Who should be the ultimate recipient of LSS project results?

a. Top managers
b. Employees
c. Customers
d. Project sponsors

40. One of Dr. Deming's 14 points for management states, "cease dependence upon
inspection as a way to achieve quality". The underlying tenet of this statement is
which of the following?
A. Many American companies employ too many inspectors; perhaps 5-10%
of the workforce
B. Quality should be built into the product not inspected in
 C. In most cases, the worker should perform his/her own inspection and not
rely on someone else
D. Most manual inspection will miss 10-20% of defects under typical working
conditions

41. Which of the following elements would be expected to be included in a good project
plan?

I. Cost-benefit analysis -

II. Timetable for completion -

III. Description of required resources
IV. Statement of project deliverables

A. I and II only

B. II and III only

C. I, III, and IV only

D. I, II, III, and IV

42. Which of the following is not an advantage of a formal project report?

A. They generally address a specific issue.

B. They are suitable for long-term retention.

C. They usually include additional background information.

D. They are useful to individuals not closely involved with the project.

43. The most critical use for project portfolio analysis is to:

A. Compare the net value of a new project relative to continuing previously approved projects

B. Determine the best time to start a new project

C. Assess the feasibility of starting a new project relative to the resources being allocated to
existing projects as well as assessing the strategic fit of the new project

D. Make room for a new project by canceling or postponing an existing project that will not
produce as high an ROI as the new project

44. Given a four-week project involving 22 tasks, a budget of $22,000, and a part-time team
(project manager and two analysts), which project management tool will most likely be
used to display project progress to management?

A. Work breakdown structure

B. Network diagram

C. Budget variance report

D. Gantt/milestone chart

45. The mission statement for a quality function would best focus on:

A. Reducing defects.

B. Assessing the performance of production workers.

C. Companywide and departmental activities that collectively result in product and/or service
quality.

D. Leading small teams that break down barriers and reach higher organizational goals.

46. Which of the following quality tools is most likely to identify a specific quality system
effectiveness problem to be addressed?

A. Process map

B. Balanced scorecard

C. Quality management system audit

D. Employee performance appraisal

 47. The Baldrige Award performance excellence criteria address which types of performance?

I. Procedural compliance -

II. Supplier-related -

III. Customer related -

IV. Financial and marketplace -

A. I and IV only

B. III and IV only

C. II, III, and IV only

D. III only

48. The purpose of the ISO 9001 standard is to:

I. Provide confidence in quality management systems by offering a common basis for
assessments.
II. Provide confidence to customers and other stakeholders that the requirements for
quality are being, or will be, met.
III. Systematically pursue ever-higher levels of overall company and human performance,
including quality, productivity, and time performance.
IV. Build loyalties and teamwork while encouraging and supporting initiative and risk-
taking.

A. I and II only

B. I, II, and IV only

C. III and IV only

D. I, II, III, and IV

 49. Which of the following is true?

A. Benchmarking should be an ongoing process contributing to continual improvement

B. Six Sigma methodology is only applicable to large problems causing variation in

manufactured product

C. A kaizen event is held in celebration of a significant process improvement

D. The concepts of TQM are passé

50. Which of the following concepts may best exemplify a universal business rationale for
improving quality?

A. Crosby’s “Do it right the first time”

B. Ishikawa’s “Total quality control”

C. Deming’s “Chain reaction”

D. Juran’s “Trilogy”

51. All but one of the following statements is true. Which one is not true?

A. Cost and quality are complementary rather than conflicting objectives.

B. The cost of quality is primarily the investment in obtaining and sustaining good quality.

C. When production output is less than free of all defects, people are being paid to produce
poor quality.

D. Nothing less than 100 percent inspection will suffice to ensure that good quality is produced.

52. The concept of self-control by a production worker includes:

I. Knowing what the organizational goals are, what the job objective is, and the standard
for performance.
II. Knowing what the actual performance is.
 III. Notifying supervision whenever a nonconformance occurs.
IV. Having the means for changing the performance when it does not conform to the
goals, objectives, and standards.

A. III only

B. I, II, and III only

C. I and II only

D. I, II, and IV only

53. A new process improvement team has just flow charted how a process currently works.
The value to the team is to:

A. Document and retain records demonstrating how work activities were performed at a
specific moment in time.

B. Gain consensus on how information and materials currently flow through the organization.

C. Validate baseline performance data collected before a change is implemented.

D. Assess the level of compliance against a quality standard.

54. An acute-care unit of a medium-size hospital wants to develop a standardized approach

to root cause analysis to improve diagnostic effectiveness. What tools should they
consider for their toolbox?

I. Flowchart -
II. Check sheet and Pareto chart

III. Fishbone chart -

IV. Five whys -

V. Histogram and scatter diagram

VI. Control charts -

VII. DMAIC -
A. II, III, IV, and VII only

B. VII only

C. IV and VII only

D. I, II, III, IV, V, VI, and VII

55. A work team has identified three software packages that will help them dramatically
improve a process and needs to decide which to purchase. Each package has some of
the same and some different features and there are many different criteria that need to
be used in making the decision. Which of the following tools is likely to be most valuable
for helping the team decide?

A. Priorities matrix

B. Tree diagram

C. Matrix diagram

D. Activity network diagram

56. The decision-making authority delegated to lower management levels depends on:

I. The situation -
II. The extent of centralization or decentralization
III. Which people in the organization have the best information
VII. The complexity of the environment in which the organization functions

A. I and III

B. II and IV

C. I, II, and IV

D. I, II, III, and IV

57. Organizational culture is comprised of:

A. Organization policy

B. Strategic plans

C. Values, norms, and assumptions shared by the organization members

D. Core competency of the organization

58. A leader derives her or his leadership role from:

A. Her or his experience and training

B. Acceptance of her or his direction by the followers

C. Top management

D. Acceptance by the external customers and the public

59. Situational leadership is applicable when:

I. One approach does not meet every situation
II. A new person on the job requires a lot of direction
III. A new process has been introduced
IV. The performer has mastered the task assigned

A. II and III only

B. IV only

C. I, II, III, and IV

D. III only

60. Which of the following is not usually a role of a manager?

A. Selects people to fill job vacancies

B. Mentors a potential candidate for management

C. Determines the legality of a supplier–partnership agreement

D. Organizes the work to be done

61. The most effective approach for initiating a breakthrough process reengineering effort
would be to:

A. Hire an external consultant to direct the planning and implementation of the process
change

B. Form a cross-functional project team to carry out the process change

C. Appoint a change agent/sponsor, select a project manager, develop a preliminary plan

(including feasibility analysis), obtain funds for detail planning, form a cross-functional project
team, plan project details, obtain approval, and implement project. Retain an experienced
external consultant as an advisor on issues where internal expertise may be lacking.

D. Create an awareness of the need for change and communicate a vision of what the change
will accomplish

62. An important benefit of using an internal change agent versus an external change agent
is to:

A. Guarantee reduction of the cycle time for quality improvement because the internal change
agent already knows what needs to be done and how to do it.

B. Set more goals for improvement because the internal change agent has a greater interest in
the outcome.

C. Gain greater support for change from a respected leader who understands the company’s
key business factors and the need for change.

D. Better protect the needs of all stakeholders by providing feedback to top management that
is nonthreatening and more objective.
 63. Studies in the healthcare field have identified stethoscopes as one major cause of patient
infections. To combat this cause, all healthcare professionals are urged to sterilize their
stethoscopes before and after using with each patient. What approach would be best to
ensure that this happens?

A. Provide dispensers with sterilization pads at the entrance to all patient rooms, examining
rooms, labs, and operating areas. Periodic unscheduled audits will be taken of the number of
pads used. Praise or reprimand will be given based on audit findings.

B. Same as A above except each wrapper includes a coupon for entering a weekly drawing for
a prize of ones choice, and no audit will be conducted.

C. Same as A above, except wrappers are saved and turned in to supervisor/ department head
at end of each shift and no audit will be conducted. Cooperating professionals will receive
positive reinforcement for taking action, regardless of number of wrappers submitted.

D. Professionals working in each unit will be allowed to design their own units nonmonetary
incentive/reminder for participating in the stethoscope sterilization initiative.

64. Which of the following is not a type of organizational structure?

A. Strategic

B. Process

C. Collateral

D. Matrix

65. Which of the following are ways to promote quality and teamwork in organizations?

I. Reducing hierarchies -
II. Creating steering committees
III. Recognizing internal customers
IV. Structuring the organization into teams

A. I and III only

B. II and IV only

C. I, II, and III only

D. I, II, III, and IV

66. Which of the following are good reasons for including workforce personnel on project
teams?
I. Provide subject matter expertise.
II. Reduce the upper management time commitment.
III. Increase worker participation in the improvement process.
IV. Reduce the direct labor allocation on over-budget product lines.

A. I and III only

B. II and IV only

C. I, III, and IV only

D. I, II, III, and IV

67. Which of the following best describes the differences between cross-functional and
matrix organizations?

A. Cross-functionals deal with companywide issues, whereas matrices focus on specific

projects.

B. Cross-functionals are often temporary, whereas matrices are permanent.

C. Cross-functionals deal with internal groups, whereas matrices deal with external groups.

D. Cross-functionals usually consist of personnel with technical skills, whereas matrices usually
consist of high-level functional executives.

68. Empowerment can be characterized by each of the following statements except:

A. Employees are able to operate in a state of self-control.

B. A partnership is formed between employees and management.

C. Employees are able to make decisions affecting their work.

D. Management relinquishes responsibility to employees.

69. In your former position of employment you helped develop a statistical software
package that the company markets, and because of your position there you receive
royalties on the sales. Your current employer needs to purchase some statistical software
and has asked you to select the best available package. You believe that the one sold by
your former employer best meets the criteria. You should:

A. State that you can not participate in the selection process because of your potential bias.

B. Tell the company of your financial interest in the software selected, along with the reasons
for selecting it as the best option.

C. Simply purchase the software because you know it is the best based on the matrix you used
for analysis of the various packages.

D. Select another statistical software package to avoid any possible perception of bias.

70. A department has been asked to name two employees who will become part of a
temporary team set up by an external customer to resolve a recurring problem. Which of
the following is the least important criterion for selecting the two representatives?

A. Strong interpersonal skills

B. Problem-solving skills

C. Negotiation skills

D. Knowledge of the customer’s product

 71. You have been meeting every day for four days with the purchasing manager, trying to
decide the relative responsibilities of the quality and purchasing departments for dealing
with supplier problems. Which of the following would likely be least effective at helping
reach an agreement?

A. Meet in a conference room rather than one of your offices.

B. Wait several days before meeting again.

C. Write a procedure outlining how you believe the process should work.

D. Spend more time listening than talking, in order to understand the purchasing manager s
viewpoint.

72. Managers who take shortcuts, push employees beyond their limits, eliminate training,
and neglect equipment maintenance probably are:

A. Dissatisfied with their current salaries.

B. Evaluated against short-term results.

C. Striving for a promotion.

D. Tired and overworked.

73. A tool used to assess the readiness of the organization to embrace and institutionalize
change is:

A. Management review.

B. Hoshin planning.

C. Nominal group technique.

D. Force-field analysis.
 74. Two employees separately submitted the same idea to a company’s formal suggestion
system on the same date. Under the rules of the system, the employee who submits an
idea is to receive a portion of the financial savings in the first year, which for this idea will
be a very substantial amount. However, each employee claims to have come up with the
idea and insists that the other stole it and submitted it after a conversation they’d had
about a processing problem in their department. Neither wants to share the reward. The
company should:

A. Change the suggestion system to be available only to teams.

B. Call in an arbitrator to settle the issue.

C. Insist that the two employees negotiate with each other until they reach an agreement.

D. Ask others in the department how they believe the reward should be distributed.

75. The leader of a team that had formerly worked together exceptionally well has noticed
several disagreements between team members since two new people joined the team
two weeks ago. The leader should:

A. Meet with all team members except the new ones and try to come up with suggestions for
resolving any problems.

B. Have a one-on-one discussion with each of the new members and explain how the team
used to avoid arguments.

C. Ask a facilitator to attend the next few meetings to help reduce conflict.

D. Do nothing.

76. A facilitator notices that the team jumps to conclusions after only one or two members
have stated their opinion. The facilitator should:

A. Tell the team to have a nonbinding vote before beginning a discussion, which will make
each person’s view apparent.

B. Ask the team to fill out a questionnaire rating themselves on effective group process.
C. Tell the quiet members they need to speak out.

D. Ask what the impact will be on the team if they don’t adequately discuss issues.

77. A company has been very reactive in dealing with quality since it was started 19 years
ago and management wants to develop a more proactive organization. Which of the
following actions by top management would be most useful at the beginning of the
process of change?

A. Change the reward system.

B. Create a new position with the title “preventive action coordinator.”

C. Reorganize into “small business units” that have a line of sight for quality problems.

D. Define, communicate, and demonstrate proactive quality behaviors.

78. A team is frustrated by the difficulty of the project on which they’re working, and has
asked the sponsor to attend their next meeting. The sponsor should:

A. Decline, since the team needs to own the process.

B. Attend with a clear vision of the importance of the project.

C. Try to identify resisting forces before attending the meeting.

D. Attend and communicate a sense of urgency.

79. Which of the following process improvement teams projects is likely to be regarded as
most successful where on-time deliverables are critical.

A. Deliverables were completed on time, but project incurred a one percent cost overrun.
 B. Project team worked well together and worked hard but lacked sufficient resources to
complete project on time and within budget.

C. Project required a reduction in scope in order to finish within planned time and cost and
avoid a late penalty.

D. Project completed deliverables a week late and incurred a cost overrun but provided
unplanned added value.

80. As part of the continued evolution of their TQM philosophy, a company recently devised
a sophisticated gain-sharing program that allows all employees to obtain financial
rewards from improved organizational performance. Which of the following is true?

A. The company will see the increased enthusiasm for their TQM efforts.

B. Management should ensure that the TQM effort also taps intrinsic motivation.

C. The gain-sharing program probably gives a greater proportion of the rewards to employees
at higher levels of the organization.

D. Quality to the customer may drop as improvement efforts become more focused on
financial results.

81. Which of these circumstances might reasonably prompt a reevaluation of an

organization’s policies and strategic objectives?
I. The retirement of the CEO -
II. A merger with another company
III. Divestiture of a major division
IV. Obsolescence of a major technology

A. I, II, III, and IV

B. II, III, and IV only

C. I, II, and IV only

D. II and III only

 82. A small chain of five retail stores has just completed its initial strategic planning and
wishes to determine the effectiveness of its plans for the first year. They should track and
measure:
A. Results from action plans.
B. Frequency of application of the quality policy.
C. Attainment of the strategic objectives.
D. Organization goals.

83. Three hospitals are located within the same metropolitan area. One hospital determined
that both its cafeteria and its gift shop ranked lower in variety and convenience than the
other two hospitals. Which of the following actions would be most appropriate?

A. Normalize the data based on any significant differences in the customers being served (for
example, economic strata).

B. Subcontract the cafeteria and gift shop to outside sources that can provide greater attention
to these nonmedical aspects of the hospital operations.

C. Collocate the cafeteria and the gift shop in order to share resources, reduce costs, simplify
access, and allow greater investment in variety.

D. Look at customer purchasing patterns and profit margins to maximize investment payback.

84. Strategic planning may include all but which of the following?

A. A SWOT analysis

B. Hoshin planning and deployment

C. A seven-step problem-solving technique

D. Scenario planning
 85. During the development of company strategy, the input should be sought from:

A. Advertising agencies.

B. Competitors.

C. Stakeholders.

D. Public relations advisers

86. To establish the direction an organization’s first strategic planning initiative should take,
the organization should first create:

A. A mission statement.

B. Organizational objectives.

C. A vision statement.

D. Action plans.

87. An organization’s environmental scanning process has uncovered the following:

-> They have an underutilized core competency.
-> Their research and development capability is well recognized.
-> Retention of their best performers is a problem.
-> A new technology from another country can be employed in developing a whole new
product family.
What technique/tool was most likely used to categorize and analyze these and other
similar data?

A. Priorities matrix

B. Process map

C. Quality function deployment

D. SWOT analysis

88. The role of the quality function in supporting strategic plans could include all but which
of the following?

A. Institute and enforce a quality policy across all organizational functions.

B. Lead the implementation of an ISO 9001 QMS, as identified in the strategic plan.

C. Advise other functions in the setting of quality objectives that are linked to the
organization’s strategic plan.

D. Facilitate the deployment of the voice of the customer throughout the organization.

89. In preparation for strategic planning, organizations should look closely at their industry
to determine:
I. The amount of excess capacity.
II. Which competitors might join forces and become a greater threat.
III. How employees perceive competitor advertisements.
IV. What changes in regulatory requirements are likely to occur.

A. I and II

B. II and III

C. I, II, and IV

D. I, II, III, and IV

90. Scenario planning is used for:

a. Deciding which continuous improvement project recommendations to
implement first.
b. Determining which method of financial analysis to use.
 c. Envisioning several alternative strategic viewpoints.
d. Analyzing the results of a SWOT analysis.
91. Which of the following is a good tool for planning cycle-time reduction and concurrent
operations?
A. A timeline
B. A Pareto diagram
C. An X and R chart
D. A PERT chart

92. A mission statement should meet which of the following requirements?

A. It should address only issues of values, beliefs, and philosophies of the organization.
B. It should be something currently unachievable so that the organization will have to stretch itself.
C. It should be clear and understandable to all of the organization’s personnel.
D. It should be of sufficient length and breadth to cover all aspects of the organization’s business.

93. Which of the following statements is the best example of a tactical plan?
A. “Increase the return on equity (ROE) by 30% in five years.”
B. “Increase the share in select market by 15%.”
C. “Develop an instrument calibration program.”
D. “Improve the quality by 40% in seven years.”

94. An internal quality audit should be designed primarily to answer which of the following
questions?
A. “Is the process effective?”
B. “What is the degree of management compliance?”
C. “How can the process be made more efficient?”
D. “What is the level of compliance?”

95. Which of the following should happen first when implementing a total quality management
(TQM) process?
A. Assigning team goals
B. Developing strategies
C. Constructing a mission statement
D. Making organizational changes that support TQM

96. Which of the following actions is NOT used to reduce process cycle time?
A. Analyzing current processes
B. Reducing queue times
C. Setting priorities
 D. Implementing activity-based costing

97. Which of the following departments provides services primarily to external customers?
A. Human resources
B. Purchasing
C. Marketing
D. Manufacturing

98. Which of the following is the best way to ensure that information is conveyed appropriately?
A. Sending e-mails or interoffice memos to everyone in the organization
B. Using a communication plan
C. Posting it on the organization’s web site
D. Explaining the details at a meeting

99. Before selecting a supplier as a partner, a customer should do which of the following first?
A. Conduct supplier surveys.
B. Define its own needs.
C. Determine which suppliers are industry leaders.
D. Get feedback from employees about how various suppliers are performing.

100. In order to be successful, a change agent in a company should do which of the

following?
A. Understand and respect peoples’ needs.
B. Disregard previous unsuccessful efforts to transform the company.
C. Maintain allegiance to the traditions and image of the company.
D. Keep potentially painful change quiet until it must be communicated.

101. How would a training manager ensure that the company had people capable of filling in
for others?
A. Job enrichment
B. Indoctrination
C. Cross-training
D. Coaching

102. Using Deming’s chain reaction theory, rank order the following events that will result
from improving quality, from first to last.

1. The company will stay in business

2. The company will capture the market

3. The company will be able to provide more jobs

4. Productivity will improve

5. Costs will decrease

A. 5, 4, 2, 1, 3
B. 1, 2, 3, 4, 5
C. 1, 5, 4, 2, 3
D. 5, 3, 4, 2, 1
103. Which of the following information would be most useful in performing SWOT analysis?

A. The experiences of cross-functional teams

B. Trends in market growth
C. Historical data on accounts receivable
D. A report on the turnover rates of competitors

104. Which of the following should happen first when implementing a total quality
management (TQM) process?

a. Assigning team goals

b. Developing strategies
c. Making organizational changes that support TQM
d. Constructing a mission statement

105. In order to be successful, a change agent in a company should do which of the

following?

a. Understand and respect peoples’ needs.

b. Disregard previous unsuccessful efforts to transform the company.
c. Maintain allegiance to the traditions and image of the company.
d. Keep potentially painful change quiet until it must be communicated.
 106. Before selecting a supplier as a partner, a customer should do which of the following
first?

a. Determine which suppliers are industry leaders.

b. Define its own needs.
c. Get feedback from employees about how various suppliers are performing.
d. Conduct supplier surveys.

107. What best describes the use of Quality Function Deployment (QFD)?

a. A structured method for identifying critical control points in the process for measuring
customer requirements.
b. A structured method to assure customer’s requirements are communicated throughout
an organization.
c. A structured method for identifying failure modes and determining appropriate actions
to mitigate risk.
d. A structured method for determining the measurement error for determining
conformance to customer requirements.

108. Which of the following departments provides services primarily to external customers?

a. Manufacturing
b. Human resources
c. Purchasing
d. Marketing

109. Before a purchasing agent can send requisitions to a supplier, the quality department
must check the purchase requisitions for code-related requirements.

Which of the following best describes the relationship that supports this process?

a. The purchasing agent is an internal supplier to the quality department.

b. The quality department is an internal supplier to the purchasing agent.
c. The purchasing agent is the customer of an external supplier.
d. The quality department is an adversary of the purchasing agent.
 110. The roles and responsibilities of a process improvement team should be established by
which of the following company authorities?

A. The human resources department

B. The board of directors
C. The quality steering committee
D. The team members’ supervisors

111. The decision-making authority delegated to lower management levels depends on: I.
The situation II. The extent of centralization or decentralization III. Which people in the
organization have the best information VII. The complexity of the environment in which the
organization functions

A. I and III

B. II and IV

C. I, II, and IV

D. I, II, III, and IV

112. Organizational culture is comprised of:

A. Organization policy

B. Strategic plans

C. Values, norms, and assumptions shared by the organization members

D. Core competency of the organization

113. A leader derives her or his leadership role from:

A. Her or his experience and training

B. Acceptance of her or his direction by the followers

C. Top management

D. Acceptance by the external customers and the public

114. Situational leadership is applicable when:

I. One approach does not meet every situation
II. II. A new person on the job requires a lot of direction
III. III. A new process has been introduced
 IV. IV. The performer has mastered the task assigned

A. II and III only

B. IV only

C. I, II, III, and IV

D. III only

115. Which of the following is not usually a role of a manager?

A. Selects people to fill job vacancies

B. Mentors a potential candidate for management

C. Determines the legality of a supplier–partnership agreement

D. Organizes the work to be done

116. The most effective approach for initiating a breakthrough process reengineering effort
would be to:

A. Hire an external consultant to direct the planning and implementation of the process change

B. Form a cross-functional project team to carry out the process change

C. Appoint a change agent/sponsor, select a project manager, develop a preliminary plan (including
feasibility analysis), obtain funds for detail planning, form a cross-functional project team, plan project
details, obtain approval, and implement project. Retain an experienced external consultant as an advisor
on issues where internal expertise may be lacking.

D. Create an awareness of the need for change and communicate a vision of what the change will
accomplish

117. An important benefit of using an internal change agent versus an external change agent
is to:

A. Guarantee reduction of the cycle time for quality improvement because the internal change agent
already knows what needs to be done and how to do it.

B. Set more goals for improvement because the internal change agent has a greater interest in the
outcome.

C. Gain greater support for change from a respected leader who understands the company’s key
business factors and the need for change.
D. Better protect the needs of all stakeholders by providing feedback to top management that is
nonthreatening and more objective.

118. Studies in the healthcare field have identified stethoscopes as one major cause of
patient infections. To combat this cause, all healthcare professionals are urged to sterilize their
stethoscopes before and after using with each patient. What approach would be best to ensure
that this happens?

A. Provide dispensers with sterilization pads at the entrance to all patient rooms, examining rooms, labs,
and operating areas. Periodic unscheduled audits will be taken of the number of pads used. Praise or
reprimand will be given based on audit findings.

B. Same as A above except each wrapper includes a coupon for entering a weekly drawing for a prize of
one’s choice, and no audit will be conducted.

C. Same as A above, except wrappers are saved and turned in to supervisor/ department head at end of
each shift and no audit will be conducted. Cooperating professionals will receive positive reinforcement
for taking action, regardless of number of wrappers submitted.

D. Professionals working in each unit will be allowed to design their own unit’s nonmonetary
incentive/reminder for participating in the stethoscope sterilization initiative.

119. Which of the following is not a type of organizational structure?

A. Strategic

B. Process

C. Collateral

D. Matrix

120. Which of the following are ways to promote quality and teamwork in organizations?
I. Reducing hierarchies
II. II. Creating steering committees
III. III. Recognizing internal customers
IV. IV. Structuring the organization into teams

A. I and III only

B. II and IV only

C. I, II, and III only

D. I, II, III, and IV