GSCM I588 IFinal IExam IStudy IGuide
TCO IA
1. Learn Ithe Iimportance Iof IQuality IManagement.
a. Quality Imanagement Iimpacts Iproductivity Ias Iwell Ias Ithe Icost Iand Iquality Iof Iwork.
2. Explore Ithe Ihistoric Iunderpinnings Iof IQuality IManagement.
3. Define Ithe Ivarious Imeanings Iof IQuality IManagement.
a. The Iact Iof Ioverseeing Iall Iactivities Iand Itasks Ineeded Ito Imaintain Ia Idesired Ilevel Iof Iexcellence.
IThis Iincludes Icreating Iand Iimplementing Iquality Iplanning Iand Iassurance, Ias Iwell Ias Iquality
Icontrol Iand Iquality Iimprovement. IIt Iis Ialso Ireferred Ito Ias Itotal Iquality Imanagement I(TQM).
4. Identify Ithe ITrends Iand IPatterns Iof Itotal Iquality Iand Ihow Iit Ihas Ievolved Iover Ithe Iyears I(pg I17).
5. Discuss Iwhy Iwe Iuse Iquality Imanagement Ias Ia Iframework Ifor Iour Ibusiness Idirection.
6. Research Ithe Iquality Ithought Ileader’s Iperspectives Ion Iquality Imanagement Iphilosophies.
a. Deming I– IDeming Ipioneered Istatistical Iquality Icontrol Imethodology, Ithe Ineed Ifor Itotal
Iengagement Ion Ithe Ipart Iof Iorganizational Ileadership, Icustomer/supplier Ipartnerships Iand Icontinuous
Iimprovement Iin Iproduct Iand Iservice Iquality Ithrough Ireduction Iof Iuncertainty Iand Ivariation Iin Idesign,
Imanufacturing Iand Iservice Iprocesses.
b. Juran I– IJuran Ididn’t Ipropose Imajor Icultural Ichange Iin Ithe Imanner IDeming Idid, Ibut Iinstead,
Ichose Ito Iwork Iwithin Iexisting Iorganizational Isystems Ithat Iwere Ifamiliar Ito Imanagers. IThe Ihope Iwas Ito
Ireduce Ithe Irisk Iof Irejection Iby Ithe Icompanies Ithemselves. IHe Iespoused Ithe Ithought Ithat Idifferent Ilevels
Iof Ithe Iorganization Ispoke Idifferent Ilanguages Ibased Ion Itheir Irespective Iroles.
c. Crosby I– ICrosby Ideveloped I“Absolutes Iof IQuality IManagement” Iand I“The IBasic IElements Iof
IImprovements”. IHe Ifelt Iquality Iwas Inever Ia Iproblem, Ibut Iit Iwas Ithe Ilack Iof Iquality Ithat Iwas Ithe Iproblem
Iand Ifocused Idirection Ion Ieliminating Ithe Iroadblocks Ito Iquality. IHe Iwas Ialso Ithe Iauthor Iof Ithe Iquotes
I“The IOnly IPerformance IStandard Iis IZero”, Iand I“The Ionly Iperformance Imeasurement Iis Ithe Icost Iof
Iquality, Iwhich Iis Ithe Iexpense Iof Inon-conformance”. IHis Ibook I“Quality Iis IFree” Iwas Iwidely Iembraced Iby
Itop IU.S. Icorporate Imanagers. I Crosby Idiffered Ifrom IDeming Iand IJuran Iin Istating Ithat Iquality Ifailures Iwere
Iin Ipart Idue Ito Ihuman Ierror.
d. Feigenbaum I– IFeigenbaum Iquoted Ithe Iphrase I“Total IQuality IControl”, Iwhich Iintegrated
Iquality Idevelopment, Iquality Imaintenance Iand Iquality Iimprovement Iacross Iall Iorganizational Ilevels.
I His Iphilosophy Iwas Isummarized Iin I“Three ISteps Ito IQuality”, Iwhich Iinvolved Iquality Ileadership, Imodern
Iquality Itechnology, Iand Iorganizational Icommitment. IFeigenbaum’s Iphilosophies Iare Iseen Ias Imore
Icontemporary Iwhen Icompared Ito IDeming Iand IJuran.
,7. Describe Ihow Iunderstanding Ithe Iquality Ithought Ileader’s Iperspective Ican Iimprove Ia Ibusiness.
8. Analyze Ithe Icurrent Ibest Ipractices Iin Iutilizing Iprocess Imanagement Itechniques I(pg I671).
9. Examine Ithe Idifferent Itypes Iof Iprocess Imanagement Itools Ifor Iprocess Iimprovement.
a. Deming I– IPlan I/ IDo I/ ICheck I/ IAct I(pg I463)
a. Plan I– IDesign Ithe IProduct.
b. Do I– IEnsure Iproduction Imakes Ithe Iproduct Ias Idesigned.
c. Check I– ICheck Isales/complaints. IConfirm Iwhether Ithe Icustomer Iis Isatisfied.
d. Act I– IUse Ifeedback Ito Iincorporate Iimprovements Iin Ithe Inext Iphase Iof Iplanning.
b. DMAIC I– IDefine I/ IMeasure I/ IAnalyze I/ IImprove I/ IControl I(pg I468)
a. Define I– IDefine Ithe Iproblem Iin Ioperational Iterms.
b. Measure I– IUnderstand Ithe Iprocess Iperformance Iand Icollect Idata Inecessary Ifor
Ianalysis.
c. Analyze I- IUnderstand Ithe Inature Iof Ithe Iproblem Iand Iidentify Ithe Isource.
d. Improve I– IGenerate Iideas Ito Iremove Ior Iresolve Ithe Iproblem, Iand Iimprove Ithe
Iperformance Imeasures.
e. Control I– IMaintain Ithe Iimprovements.
c. Six ISigma I–
10. Understand Ihow Ian Iorganization Ican Iimplement Iand Iutilize Ithe Itechniques Iof IISO I9000, IBaldridge
Iand ISix ISigma I(pg I543).
a. Each Iof Ithe Ithree Iframeworks Ioffer Ia Idifferent Iemphasis Iin Ihelping Iorganizations Iimprove
Iperformance Iand Iincrease Icustomer Isatisfaction. I Baldridge Ifocuses Ion Iperformance
Iexcellence. IISO I9000 Ifocuses Ion Iproduct Iand Iservice Iconformity. ISix ISigma Ifocuses Ion
Imeasuring Iproduct Iquality.
11. Determine Ithe Idifferences Ibetween ISix ISigma Iand ILean Iprinciples.
a. Lean Iand ISix ISigma Ieach Iattack Idifferent Ikinds Iof Iproblems. I Lean Iaddresses Ivisible Iproblems
Iin Iprocesses. ISix ISigma Iis Imore Iconcerned Iwith Iless Ivisible Iproblems, Ilike Ivariation Iin
Iperformance. ILean Ifocuses Ion Iefficiency Iby Ireducing Iwaste Iand Iimproving Iprocess Iflow. ISix
ISigma Ifocuses Ion Ieffectiveness, Iby Ireducing Ierrors Iand Idefects. ILean Iprocesses Iare Imore
Iintuitive Iand Ieasier Ito Iapply Ithroughout Ithe Iorganization’s Iworkforce. ISix ISigma Irequires
Iextensive Itraining.
12. Analyze Ihow Ian Iorganization Ican Isustain Ithe Iquality Iorganization.
a. Continuous Iimprovement.
, 13. Compare Iand Icontrast Ithe Ievolution Iof Iquality Iand Ithe Irole Iit Iplayed Iin Ithe Imanagement Iof IU.S. Iand
IJapanese Ibusiness Ifirms Ifrom Ithe I1950s Ito Ithe Ipresent.
After Ithe Iwar, Igoods Iwere Iin Ishort Isupply. I Productivity Iand Ioutput Itook Ipriority Iover Iquality.
ITop Imanagement Ichose Imass Iinspection Iover Iquality Iimprovement. IDeming Iand IJuran Iwent Ito
IJapan, Iwho Iembraced Iand Iimplemented Itheir Iquality Itheories. IJapan Ibecame Imuch Imore Ihighly
Isuccessful, Ibut Ithe IU.S. Iexperienced Ia Ihuge Idecline Iin Iproduct Iquality.
14. Explain Ithe Ithree Icore Iprinciples Iof Itotal Iquality.
a. Customer IFocus I-
b. Teamwork
c. Continuous IImprovement
15. The Ifinance Ifunction Iis Iresponsible Ifor:
a. Obtaining Ifunds, Icontrolling Itheir Iuse, Ianalyzing Iinvestment Iopportunities Iand Iensuring Ithat
Ithe Ifirm Ioperates Icost-effectively, Iand, Iideally, Iprofitably.
16. Discuss Ihow Ia Ifast-food Irestaurant Icould Imeasure Iits Iquality Ieffectiveness Iusing Ieach Iof Ithe Ifollowing
Idefinitions Iof Iquality: Iproduct-based, Iuser-based, Ivalue-based, Iand Imanufacturing-based.
a. Product-Based I- Ample IPortion ISize
b. User-Based I- Agreeable ITaste
c. Value-Based I- Reasonable IPrice
d. Manufacturing-Based I- Prepared ICorrectly
17. Contrast I the I mindset I of I management I under I total I quality I and I more I traditional I management
Istructures Iwith Irespect Ito Iemployees, Imanufacturing, Iand Ileadership.
a.
18. Describe Ithe Irelationship Ibetween Iquality Iand Ipersonal Ivalues.
a. Quality Ibegins Iwith Iindividual Iattitudes Iand Ibehavior. ISurveys Ihave Ishown Ithat Ipersonal
Iinitiative, Iwhen Icombined Iwith Ia Icustomer Iorientation, Iresult Iin Ia Ipositive Iimpact Ion Ibusiness
Isuccess Iand Isales Igrowth Irate. IUnless Iquality Iis Iinternalized Iat Ithe Ipersonal Ilevel, Iit Iwill Inever
Ibecome Irooted Iin Ithe Iculture Iof Ian Iorganization.
TCO IA
1. Learn Ithe Iimportance Iof IQuality IManagement.
a. Quality Imanagement Iimpacts Iproductivity Ias Iwell Ias Ithe Icost Iand Iquality Iof Iwork.
2. Explore Ithe Ihistoric Iunderpinnings Iof IQuality IManagement.
3. Define Ithe Ivarious Imeanings Iof IQuality IManagement.
a. The Iact Iof Ioverseeing Iall Iactivities Iand Itasks Ineeded Ito Imaintain Ia Idesired Ilevel Iof Iexcellence.
IThis Iincludes Icreating Iand Iimplementing Iquality Iplanning Iand Iassurance, Ias Iwell Ias Iquality
Icontrol Iand Iquality Iimprovement. IIt Iis Ialso Ireferred Ito Ias Itotal Iquality Imanagement I(TQM).
4. Identify Ithe ITrends Iand IPatterns Iof Itotal Iquality Iand Ihow Iit Ihas Ievolved Iover Ithe Iyears I(pg I17).
5. Discuss Iwhy Iwe Iuse Iquality Imanagement Ias Ia Iframework Ifor Iour Ibusiness Idirection.
6. Research Ithe Iquality Ithought Ileader’s Iperspectives Ion Iquality Imanagement Iphilosophies.
a. Deming I– IDeming Ipioneered Istatistical Iquality Icontrol Imethodology, Ithe Ineed Ifor Itotal
Iengagement Ion Ithe Ipart Iof Iorganizational Ileadership, Icustomer/supplier Ipartnerships Iand Icontinuous
Iimprovement Iin Iproduct Iand Iservice Iquality Ithrough Ireduction Iof Iuncertainty Iand Ivariation Iin Idesign,
Imanufacturing Iand Iservice Iprocesses.
b. Juran I– IJuran Ididn’t Ipropose Imajor Icultural Ichange Iin Ithe Imanner IDeming Idid, Ibut Iinstead,
Ichose Ito Iwork Iwithin Iexisting Iorganizational Isystems Ithat Iwere Ifamiliar Ito Imanagers. IThe Ihope Iwas Ito
Ireduce Ithe Irisk Iof Irejection Iby Ithe Icompanies Ithemselves. IHe Iespoused Ithe Ithought Ithat Idifferent Ilevels
Iof Ithe Iorganization Ispoke Idifferent Ilanguages Ibased Ion Itheir Irespective Iroles.
c. Crosby I– ICrosby Ideveloped I“Absolutes Iof IQuality IManagement” Iand I“The IBasic IElements Iof
IImprovements”. IHe Ifelt Iquality Iwas Inever Ia Iproblem, Ibut Iit Iwas Ithe Ilack Iof Iquality Ithat Iwas Ithe Iproblem
Iand Ifocused Idirection Ion Ieliminating Ithe Iroadblocks Ito Iquality. IHe Iwas Ialso Ithe Iauthor Iof Ithe Iquotes
I“The IOnly IPerformance IStandard Iis IZero”, Iand I“The Ionly Iperformance Imeasurement Iis Ithe Icost Iof
Iquality, Iwhich Iis Ithe Iexpense Iof Inon-conformance”. IHis Ibook I“Quality Iis IFree” Iwas Iwidely Iembraced Iby
Itop IU.S. Icorporate Imanagers. I Crosby Idiffered Ifrom IDeming Iand IJuran Iin Istating Ithat Iquality Ifailures Iwere
Iin Ipart Idue Ito Ihuman Ierror.
d. Feigenbaum I– IFeigenbaum Iquoted Ithe Iphrase I“Total IQuality IControl”, Iwhich Iintegrated
Iquality Idevelopment, Iquality Imaintenance Iand Iquality Iimprovement Iacross Iall Iorganizational Ilevels.
I His Iphilosophy Iwas Isummarized Iin I“Three ISteps Ito IQuality”, Iwhich Iinvolved Iquality Ileadership, Imodern
Iquality Itechnology, Iand Iorganizational Icommitment. IFeigenbaum’s Iphilosophies Iare Iseen Ias Imore
Icontemporary Iwhen Icompared Ito IDeming Iand IJuran.
,7. Describe Ihow Iunderstanding Ithe Iquality Ithought Ileader’s Iperspective Ican Iimprove Ia Ibusiness.
8. Analyze Ithe Icurrent Ibest Ipractices Iin Iutilizing Iprocess Imanagement Itechniques I(pg I671).
9. Examine Ithe Idifferent Itypes Iof Iprocess Imanagement Itools Ifor Iprocess Iimprovement.
a. Deming I– IPlan I/ IDo I/ ICheck I/ IAct I(pg I463)
a. Plan I– IDesign Ithe IProduct.
b. Do I– IEnsure Iproduction Imakes Ithe Iproduct Ias Idesigned.
c. Check I– ICheck Isales/complaints. IConfirm Iwhether Ithe Icustomer Iis Isatisfied.
d. Act I– IUse Ifeedback Ito Iincorporate Iimprovements Iin Ithe Inext Iphase Iof Iplanning.
b. DMAIC I– IDefine I/ IMeasure I/ IAnalyze I/ IImprove I/ IControl I(pg I468)
a. Define I– IDefine Ithe Iproblem Iin Ioperational Iterms.
b. Measure I– IUnderstand Ithe Iprocess Iperformance Iand Icollect Idata Inecessary Ifor
Ianalysis.
c. Analyze I- IUnderstand Ithe Inature Iof Ithe Iproblem Iand Iidentify Ithe Isource.
d. Improve I– IGenerate Iideas Ito Iremove Ior Iresolve Ithe Iproblem, Iand Iimprove Ithe
Iperformance Imeasures.
e. Control I– IMaintain Ithe Iimprovements.
c. Six ISigma I–
10. Understand Ihow Ian Iorganization Ican Iimplement Iand Iutilize Ithe Itechniques Iof IISO I9000, IBaldridge
Iand ISix ISigma I(pg I543).
a. Each Iof Ithe Ithree Iframeworks Ioffer Ia Idifferent Iemphasis Iin Ihelping Iorganizations Iimprove
Iperformance Iand Iincrease Icustomer Isatisfaction. I Baldridge Ifocuses Ion Iperformance
Iexcellence. IISO I9000 Ifocuses Ion Iproduct Iand Iservice Iconformity. ISix ISigma Ifocuses Ion
Imeasuring Iproduct Iquality.
11. Determine Ithe Idifferences Ibetween ISix ISigma Iand ILean Iprinciples.
a. Lean Iand ISix ISigma Ieach Iattack Idifferent Ikinds Iof Iproblems. I Lean Iaddresses Ivisible Iproblems
Iin Iprocesses. ISix ISigma Iis Imore Iconcerned Iwith Iless Ivisible Iproblems, Ilike Ivariation Iin
Iperformance. ILean Ifocuses Ion Iefficiency Iby Ireducing Iwaste Iand Iimproving Iprocess Iflow. ISix
ISigma Ifocuses Ion Ieffectiveness, Iby Ireducing Ierrors Iand Idefects. ILean Iprocesses Iare Imore
Iintuitive Iand Ieasier Ito Iapply Ithroughout Ithe Iorganization’s Iworkforce. ISix ISigma Irequires
Iextensive Itraining.
12. Analyze Ihow Ian Iorganization Ican Isustain Ithe Iquality Iorganization.
a. Continuous Iimprovement.
, 13. Compare Iand Icontrast Ithe Ievolution Iof Iquality Iand Ithe Irole Iit Iplayed Iin Ithe Imanagement Iof IU.S. Iand
IJapanese Ibusiness Ifirms Ifrom Ithe I1950s Ito Ithe Ipresent.
After Ithe Iwar, Igoods Iwere Iin Ishort Isupply. I Productivity Iand Ioutput Itook Ipriority Iover Iquality.
ITop Imanagement Ichose Imass Iinspection Iover Iquality Iimprovement. IDeming Iand IJuran Iwent Ito
IJapan, Iwho Iembraced Iand Iimplemented Itheir Iquality Itheories. IJapan Ibecame Imuch Imore Ihighly
Isuccessful, Ibut Ithe IU.S. Iexperienced Ia Ihuge Idecline Iin Iproduct Iquality.
14. Explain Ithe Ithree Icore Iprinciples Iof Itotal Iquality.
a. Customer IFocus I-
b. Teamwork
c. Continuous IImprovement
15. The Ifinance Ifunction Iis Iresponsible Ifor:
a. Obtaining Ifunds, Icontrolling Itheir Iuse, Ianalyzing Iinvestment Iopportunities Iand Iensuring Ithat
Ithe Ifirm Ioperates Icost-effectively, Iand, Iideally, Iprofitably.
16. Discuss Ihow Ia Ifast-food Irestaurant Icould Imeasure Iits Iquality Ieffectiveness Iusing Ieach Iof Ithe Ifollowing
Idefinitions Iof Iquality: Iproduct-based, Iuser-based, Ivalue-based, Iand Imanufacturing-based.
a. Product-Based I- Ample IPortion ISize
b. User-Based I- Agreeable ITaste
c. Value-Based I- Reasonable IPrice
d. Manufacturing-Based I- Prepared ICorrectly
17. Contrast I the I mindset I of I management I under I total I quality I and I more I traditional I management
Istructures Iwith Irespect Ito Iemployees, Imanufacturing, Iand Ileadership.
a.
18. Describe Ithe Irelationship Ibetween Iquality Iand Ipersonal Ivalues.
a. Quality Ibegins Iwith Iindividual Iattitudes Iand Ibehavior. ISurveys Ihave Ishown Ithat Ipersonal
Iinitiative, Iwhen Icombined Iwith Ia Icustomer Iorientation, Iresult Iin Ia Ipositive Iimpact Ion Ibusiness
Isuccess Iand Isales Igrowth Irate. IUnless Iquality Iis Iinternalized Iat Ithe Ipersonal Ilevel, Iit Iwill Inever
Ibecome Irooted Iin Ithe Iculture Iof Ian Iorganization.
