CORRECT ANSWERS |ALL PASSED| NEWEST EDITION 2024
ALREADY GRADED A+
Quality of Service is defined by perceptual factors - (correct answer) 1.
Responsiveness to customers needs/
2. Courtesy and friendliness of staff.
3. Promptness in resolving complains.
4. Atmosphere
5. Time: the amount of time a customer has to wait for the service.
6. Consistency: the degree to which service is the same each time.
Example of Fitness for use - (correct answer) For example, a Mercedes-Benz and a
Jeep Cherokee both meet a fitness for use definition if one considers transportation as
the intended function. However, if the definition becomes more specific and assumes
that the intended use is for transportation on mountain roads and carrying fishing gear,
the Jeep Cherokee has a greater fitness for use. You can also see that fitness for use is
a user-based definition in that it is intended to meet the needs of a specific user group.
TQM: Total Quality Management - (correct answer) is an integrated organizational
effort designed to improve quality at every level.
Customer Defined Quality - (correct answer) TQM is about meeting quality
expectations as defined by the customer.
Conformance to specification - (correct answer) measures how well the product or
service meets the targets and tolerances determined by its designers.
Example of Conformance to specification - (correct answer) The wait for hotel room
service may be specified as 20 minutes, but there may be an acceptable delay of an
additional 10 minutes.
Also, consider the amount of light delivered by a 60-watt light bulb. If the bulb delivers
50 watts, it does not conform to specifications.
Fitness for use - (correct answer) focuses on how well the product performs its
intended function or use.
Value for a price paid - (correct answer) is a definition of quality that consumers
often use for product or service usefulness. This is the only definition that combines
economics with consumer criteria; it assumes that the definition of quality is price
sensitive.
Examples of Value for a price paid - (correct answer) For example, suppose that
you wish to sign up for a personal finance seminar and discover that the same class is
,being taught at two different colleges at significantly different tuition rates. If you take
the less expensive seminar, you will feel that you have received greater value for the
price.
Support Services - (correct answer) provided are often how the quality of a product
or service is judged. Quality does not apply only to the product or service itself; it also
applies to the people, processes, and organizational environment associated with it.
Example of Support Services - (correct answer) For example, the quality of a
university is judged not only by the quality of staff and course offerings but also by the
efficiency and accuracy of processing paperwork.
Psychological Criteria - (correct answer) is a subjective definition that focuses on the
judgmental evaluation of what constitutes product or service quality. Different factors
contribute to the evaluation, such as the atmosphere of the environment or the
perceived prestige of the product.
Examples of Psychological Criteria - (correct answer) For example, a hospital
patient may receive average healthcare, but a very friendly staff may leave the
impression of high quality. Similarly, we commonly associate certain products with
excellence because of their reputation; Rolex watches and Mercedes-Benz automobiles
are examples.
Manufacturing Organizations - (correct answer) Manufacturing organizations
produce a tangible product that can be seen, touched, and directly measured. Examples
include cars, CD players, clothes, computers, and food items.
Quality in manufacturing organizations - (correct answer) quality definitions in
manufacturing usually focus on tangible product features.
Common quality definition in manufacturing - (correct answer) 1. Conformance: the
degree to which a product characteristic meets preset standards.
2. Performance: such as acceleration of a vehicle
3. Reliability: meaning that the product will function as expected without failure
4. Features: the extras that are included beyond the basic characteristics
5. Durability: the expected operational life of the product
6. Serviceability: how readily a product can be repaired
Service Organizations - (correct answer) service organizations produce a product
that is intangible. Usually, the complete product cannot be seen or touched. Rather, it is
experienced. The intangible nature of the product makes defining quality difficult.
Examples of Service Organizations - (correct answer) delivery of healthcare, the
experience of staying at a vacation resort, and learning at a university.
Quality Control Costs - (correct answer) Cost necessary for achieving high quality.
,Two types of Quality Control Costs - (correct answer) 1. Prevention costs.
2. Appraisal costs.
Prevention Costs - (correct answer) are all costs incurred in the process of
preventing poor quality from occurring. Costs includes the following.
1. quality planning costs, such as the costs of developing and implementing a quality
plan.
2. cost of product and process design.
3. Employee training in quality measurement.
4. Cost of maintaining records of information and data related to quality.
Appraisal Costs - (correct answer) incurred in the process of uncovering defects.
They include the following;
1. Cost of quality inspections.
2. Product testing.
3. performing audits to make sure that quality standards are being met.
4. costs of worker time spent measuring quality
5. cost of equipment used for quality appraisal.
Quality Failure Costs - (correct answer) Cost consequences of poor quality.
Two types of Quality Failure Costs - (correct answer) 1. External Failure Costs
2. Internal Failure Costs
Internal Failure Costs - (correct answer) are associated with discovering poor
product quality before the product reaches the customer site.
1. rework: the cost of correcting the defective item.
2.Scrap: when item is so defective that it cannot be fixed and must be thrown away.
Scrap cost includes all the material, labor, and machine cost spent in producing the
defective product.
3. cost of machine downtime due to failures in the process and the costs of discounting
defective items for salvage value.
External Failure Costs - (correct answer) are associated with quality problems that
occur at the customer site. These costs can be particularly damaging because customer
faith and loyalty can be difficult to regain.
1. Customer complaints
2. Product returns
3. repairs to warranty claims
4. recalls
5. litigation costs resulting from product liability issues
6. lost sales and lost customers
, Example of External Failure Costs - (correct answer) manufacturers of lunch meats
and hot dogs whose products have been recalled due to bacterial contamination have
had to struggle to regain consumer confidence. Other examples include auto
manufacturers whose products have been recalled due to major malfunctions such as
problematic braking systems and airlines that have experienced a crash with many
fatalities. External failure can sometimes put a company out of business almost
overnight.
External Failure Costs are particularly high where? - (correct answer) External
failure costs tend to be particularly high for service organizations. The reason is that
with a service the customer spends much time in the service delivery system, and there
are fewer opportunities to correct defects than there are in manufacturing. Examples of
external failure in services include overbooking airline flights, long delays in airline
service, and lost luggage.
Walter A. Shewhart - (correct answer) "grandfather of quality control"
-developed quality control charts that are used to identify whether the variability in the
process is random or due to an assignable cause, such as poor workers or
miscalibrated machinery.
W. Edwards Deming - (correct answer) "father of quality control"
-Deming prize: an annual award given to firms that demonstrate outstanding quality.
-"14 points": upper management must develop a commitment to quality and provide a
system to support this commitment that involves all employees and suppliers.
Joseph M. Juran - (correct answer) -considered to have had the greatest impact on
quality management.
-defines quality as fitness for use which takes in to account customer intentions for use
of the product instead of focusing on technical specifications.
-develpped the concept of cost of quality which allows measuring quality in dollar terms
rather than on the basis of subjective evaluations.
-originated the quality trilogy.
Quality Trilogy - (correct answer) 1. quality planning
2. quality control
3. quality improvement.
Quality planning - (correct answer) companies identify their customers, product
requirements, and overriding business goals. Process set up so quality standards can
be met.
Quality control - (correct answer) stresses the regular use of statistical control
methods to ensure that quality standards are met and to identify variation from the
standards.