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61 Cards in this Set
- Front
- Back
Pricing does not help what |
quality |
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Three Guru's of quality |
Edwards Deming, Joseph Juran |
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"Quality is free" |
Phillip Crosby |
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Costs of Achieving Good Quality |
prevention, appraisal, internal, and external failure |
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Which is the most costly out of the four? |
External, goes up every time from prevention to external
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Who is in charge of setting and demonstrating standards within a company |
CEO and executives |
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Sigma defect numbers |
higher the sigma #, lower the defects per million are |
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What can quality not be improved by? |
flexible pricing |
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True false, Product liability transfers from the manufacturer to the retailer once the retailer accepts delivery of the product |
False |
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Regarding the quality of design, production, and distribution of products, an ethical requirement for management is to |
determine whether any of the organization's stakeholders are violated by poor quality products |
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Suppose that a firm has historically been achieving "three-sigma" quality. If the firm later changes its quality management practices such that begins to achieve "six-sigma" quality, which of the following phenomena will result? |
The average number of defects will be cut by 99.87%. |
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Total quality management emphasizes |
a commitment to quality that goes beyond internal company issues to suppliers and customers |
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"Kaizen" is a Japanese term meaning |
continuous improvement |
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Which of the following statements regarding "Six Sigma" is true? |
The term has two distinct meanings—one is statistical; the other is a comprehensive quality system. |
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Pareto charts are used to |
organize errors, problems, or defects |
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A production manager at a pottery factory has noticed that about 70 percent of defects result from impurities in raw materials, 15 percent result from human error, 10 percent from machine malfunctions, and 5 percent from a variety of other causes. This manager is most likely using |
Pareto Chart |
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"Poka-yoke" is the Japanese term for |
fool proof |
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Which of the following is false regarding control charts? |
Values above the upper control limits always imply that the product's quality is exceeding expectations. |
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An organization's process strategy |
will have long-run impact on efficiency and flexibility of productionb. is the same as its transformation strategyc. must meet various constraints, including costd. is concerned with how resources are transformed into goods and servicese. All of the above are true. |
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Three types of processes are |
. process focus, repetitive focus, and product focus |
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A job shop is an example of |
intermittent process |
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A product-focused process is commonly used to produce |
high-volume, low-variety products |
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Which one of the following products is most likely made in a job shop environment? |
paper forms |
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An assembly line is an example of a |
repetitive process |
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Which of the following transformations generally has the highest equipment utilization? |
product focused proicess |
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Which of the following phrases best describes product focus? |
high fixed costs, low variable costs |
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Which of the following phrases best describes process focus? |
low volume, high variety |
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Process A has fixed costs of $1000 and variable costs of $5 per unit. Process B has fixed costs of $500 and variable costs of $15 per unit. The crossover point between process A and process B is |
50 units |
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Which of the following characteristics best describes repetitive focus? |
Its output is a standardized product produced from modules. |
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Process X has fixed costs of $10,000 and variable costs of $2.40 per unit. Process Y has fixed costs of $9,000 and variable costs of $2.25 per unit. Which of the following statements is true? |
Process Y is cheaper than process X at all volumes; there is no crossover point. |
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Product Focused processesa. allow more customization, but are not very efficient |
are processes that are specialized for relatively few products or customer groups |
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Strategies for improving productivity in services are |
separation, self-service, automation, and scheduling |
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Which of the following is true regarding opportunities to improve service processes? |
None are true |
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In mass service and professional service, the operations manager should focus on |
human resources |
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Which of the following statements regarding ethical and environmentally friendly processes is true? |
Operations managers can be environmentally sensitive and still follow a low cost strategy. |
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Industrial location analysis typically attempts to |
reduce costs |
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A location decision for an appliance manufacturer would tend to have a(n) |
cost focus |
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location planning, environmental regulations, cost and availability of utilities, and taxes are |
regional/community factors |
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Which of the following is usually not one of the top considerations in choosing a country for a facility location? |
zoning |
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Which of these factors would be considered when making a location decision at the region/community level? |
proximity to raw materials |
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Tangible costs include which of the following? |
taxes |
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Intangible costs include which of the following? |
quality of prospective employeesb. quality of educationc. availability of public transportation |
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A location decision for an appliance manufacturer would tend to have a(n) |
cost focus |
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An approach to location analysis that includes both qualitative and quantitative considerations is |
factor-rating |
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A firm is considering two location alternatives. At location A, fixed costs would be $4,000,000 per year, and variable costs 0.30 per unit. At alternative B, fixed costs would be $3,600,000 per year, with variable costs of $0.35 per unit. If demand is expected to be 10 million units, which plant offers the lowest total cost? |
Plant B, because it is cheaper than Plant A for all volumes over 8,000,000 units |
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A jewelry store is more likely than a jewelry manufacturer to consider __________ in making a location decision. |
parking and access |
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Which of the following is most likely to affect the location strategy of a manufacturing firm? |
utility costs |
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The objective of layout strategy is to develop an effective and efficient layout that will meet the firm's competitive requirements. |
true |
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. A process-oriented layout is the traditional way to support a product differentiation strategy. |
true |
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14. Process-oriented layouts typically have low levels of work-in-process inventory. |
false |
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Product-oriented layouts tend to have high levels of work-in-process inventories |
false |
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The layout strategy that deals with low-volume, high-variety production is |
none of the above |
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The fixed-position layout would be most appropriate in which of the following settings? |
cruise ship assembly line |
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The type of layout which features departments or other functional groupings in which similar activities are performed is |
process oriented |
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The major problem addressed by the process-oriented layout strategy is |
minimizing difficulties caused by material flow varying with each product |
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A big advantage of a process-oriented layout is |
. its flexibility in equipment and labor assignments |
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Which of the following does not support the retail layout objective of maximizing customer exposure to products? |
maximum exposure to expensive items |
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Ambient conditions, spatial layout and functionality, and signs, symbols, and artifacts are all |
servicescapes |
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The major problem addressed by the warehouse layout strategy is |
addressing trade-offs between space and material handling |
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A disadvantage of product-oriented layout is that |
All of the above |
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