1) Toyota developed the world-class production system known as ________.
- A) business process reengineering
- B) just-in-time
- C) total quality management
- D) benchmarking
- E) statistical process control
Answer: B
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Application
2) The sharing of information between companies so that both can improve is called ________.
- A) reengineering
- B) baselining
- C) benchmarking
- D) interfacing
- E) data mining
Answer: C
Diff: 1
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
3) The goal of ________ benchmarking is to identify and to observe the best practices from one or more benchmark firms.
- A) product
- B) strategic
- C) process
- D) financial
- E) functional
Answer: C
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
4) ________ benchmarking allows initiator firms to assess their competitive position by comparing products and services with those of target firms.
- A) Functional
- B) Strategic
- C) Product
- D) Performance
- E) Process
Answer: D
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
5) The process of dismantling competitors’ products to understand the strengths and weaknesses of their designs is referred to as ________.
- A) benchmarking
- B) reengineering
- C) baselining
- D) inverse production
- E) reverse engineering
Answer: E
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
6) ________ benchmarking involves observing how others compete.
- A) Strategic
- B) Product
- C) Performance
- D) Functional
- E) Process
Answer: A
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
7) A benchmarking effort that is limited to studying the purchasing department of another firm is referred to as ________ benchmarking.
- A) functional
- B) performance
- C) process
- D) strategic
- E) product
Answer: A
Diff: 3
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Application
8) ________ is based on the concept of 5w2h.
- A) Business process benchmarking
- B) Statistical process control
- C) Total quality management
- D) Business process reengineering
- E) Reverse engineering
Answer: A
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
9) In the ________ process of business process benchmarking, the inputs are aligned together to form the product or service.
- A) reconstruction
- B) control
- C) reengineering
- D) transformation
- E) conversion
Answer: E
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
10) The ________ process of business process benchmarking results in outputs that are eventually sold to customers.
- A) transformation
- B) conversion
- C) control
- D) reconstruction
- E) reengineering
Answer: B
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
11) In the conversion process, the feedback loop that involves gathering, analyzing, and using the data to adjust the process is called the ________ process.
- A) control
- B) reengineering
- C) reconstruction
- D) development
- E) transformation
Answer: A
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
12) What is the first step in Xerox’s 10-step process to benchmarking?
- A) determine the current performance gap
- B) identify whom to benchmark
- C) decide what to benchmark
- D) develop action plans
- E) project future performance levels
Answer: C
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
13) Which of the following steps in Xerox’s 10-step process to benchmarking helps companies prioritize which areas are the first candidates for change and improvement?
- A) determine the current performance gap
- B) plan and conduct the investigation
- C) identify whom to benchmark
- D) decide what to benchmark
- E) develop action plans
Answer: A
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
14) Which of the following steps in Xerox’s 10-step process to benchmarking involves predicting whether the performance gap for the benchmarked processes will narrow or widen in the coming years?
- A) develop action plans
- B) determine the current performance gap
- C) plan and conduct the investigation
- D) project future performance levels
- E) implement specific actions and monitor progress
Answer: D
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
15) Which of the following types of benchmarking does not require direct interaction between the initiator firm and the target firm?
- A) functional
- B) product
- C) performance
- D) financial
- E) process
Answer: D
Diff: 1
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
16) ________ benchmarking often includes reverse engineering in order to develop new design ideas.
- A) Product
- B) Strategic
- C) Process
- D) Financial
- E) Functional
Answer: A
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
17) ________ benchmarking to assess overall competitiveness can be accomplished by gathering and comparing business results using online databases such as Lexis/Nexis.
- A) Functional
- B) Strategic
- C) Product
- D) Financial
- E) Process
Answer: D
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Application
18) Which of the following is not one of the purposes of benchmarking?
- A) learning from success
- B) national leadership
- C) stealing ideas
- D) beating industry standards
- E) best-in-world
Answer: C
Diff: 3
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
19) A benchmark is an organization recognized for its exemplary operational performance.
Answer: TRUE
Diff: 1
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
20) Toyota developed the world-class production system known as business process reengineering.
Answer: FALSE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
21) Openness can create a competitive advantage through creating psychological barriers to competition.
Answer: TRUE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
22) The first step a benchmarking firm must take is to document current performance.
Answer: TRUE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
23) In a benchmarking relationship, the initiator firm is the firm that is being studied.
Answer: FALSE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
24) In performance benchmarking, the initiator firm focuses its observation and investigation on business processes.
Answer: FALSE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
25) Financial benchmarking involves direct interaction between the initiator firm and the target firms.
Answer: FALSE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
26) Dismantling competitors’ products to understand the strengths and weaknesses of their designs is called reverse engineering.
Answer: TRUE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
27) Strategic benchmarking involves observing how others compete.
Answer: TRUE
Diff: 1
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
28) In functional benchmarking, a company focuses its benchmarking efforts on a single function to improve the operation of that function.
Answer: TRUE
Diff: 1
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
29) The 5w2h concept is labeled as such because a business process benchmarking project should result in the answers to five questions.
Answer: FALSE
Diff: 1
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
30) The 5w2h questions should be viewed in the context of a process.
Answer: TRUE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
31) The conversion process results in outputs that are eventually sold to customers.
Answer: TRUE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
32) In the control process, the inputs are aligned together to form the product or service.
Answer: FALSE
Diff: 3
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
33) The first step in Xerox’s 10-step process to benchmarking is identifying whom to benchmark.
Answer: FALSE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
34) Determining the current performance gap helps the company prioritize which areas are the first candidates for change and improvement.
Answer: TRUE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
35) Explain the process of benchmarking.
Answer: Benchmarking is the sharing of information between companies so that both can improve. The first step a benchmarking firm must take is to document current performance. This activity will allow the company to pinpoint its goals and find a company (inside or outside the industry) that already excels at what it is trying to accomplish, study what it does, and gather ideas for improvement. Benchmarking is useful for externally validating an organization’s approach to its business. If the managers in a firm are unsure that they are pursuing a useful plan of action, benchmarking can help them understand how what they are doing stacks up against the masters.
Diff: 1
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
36) Differentiate between an initiator firm and a target firm. Are these static roles?
Answer: There are two parties to each benchmarking relationship: an initiator firm and a target firm. The initiator firm initiates contact and studies another firm. The target firm is the firm that is being studied (also called a benchmarking partner). These are not static roles. Often the target firm enters into a reciprocal agreement to observe the initiator firm.
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Application
37) Describe the concept of performance benchmarking.
Answer: Performance benchmarking allows initiator firms to assess their competitive position by comparing products and services with those of target firms. Performance issues may include cost structures, various types of productivity performance, speed of concept to market, quality measures, and other performance evaluations.
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
38) Describe the concept of functional benchmarking.
Answer: In functional benchmarking, a company focuses its benchmarking efforts on a single function to improve the operation of that function. An example of functional benchmarking occurs in purchasing. Often purchasing managers use their networks to share information about the purchasing function in many different organizations.
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
39) Describe the concept of 5w2h.
Answer: Business process benchmarking is based on the concept of 5w2h developed by Alan Robinson. The 5w2h concept is labeled as such because a business process benchmarking project should result in the answers to seven questions. Five of these questions begin with the letter “w” (who, what, when, where, and why) and the remaining two questions begin with the letter “h” (how and how much). The 5w2h concept is a good starting point because it focuses the participants in the benchmarking process on the “nuts and bolts” of what is being done.
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
40) Describe the conversion process and the control process in business process benchmarking.
Answer: The 5w2h questions should be viewed in the context of a process. In a broad sense, inputs include the equipment, people, machines, materials, and design that combine to form a product or service. The inputs are combined in what is known as the conversion process. In the conversion process, we align the inputs together to form the product or service. The conversion process results in outputs that are eventually sold to customers.
The first feedback loop results from gathering data from the process. This is known as the control process. The control process involves gathering, analyzing, and using the data to adjust the process. This is often the result of using process control charts.
Diff: 3
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
41) State Xerox’s formal 10-step process to benchmarking.
Answer: Xerox was an early adopter of benchmarking and has used benchmarking effectively to improve processes. This approach includes a formal 10-step process to benchmarking:
- Decide what to benchmark.
- Identify whom to benchmark.
- Plan and conduct the investigation.
- Determine the current performance gap.
- Project future performance levels.
- Communicate benchmarking findings and gain acceptance.
- Revise performance goals.
- Develop action plans.
- Implement specific actions and monitor progress.
- Recalibrate the benchmarks.
Diff: 3
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.1 Discuss the different types of benchmarking.
AACSB: Application of Knowledge
Type: Concept
42) Return on assets (ROA) and return on investments (ROI) are examples of ________.
- A) structural measures
- B) market share data
- C) productivity ratios
- D) quality measures
- E) financial ratios
Answer: E
Diff: 1
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Concept
43) ________ are useful in measuring the extent to which a firm effectively uses the scarce resources that are available to the firm.
- A) Quality measures
- B) Financial ratios
- C) Productivity ratios
- D) Market share data
- E) Structural measures
Answer: C
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Concept
44) ________ are important for monitoring and tracking the effectiveness of a company’s cycle times, waste-reduction measures, and value-added measures.
- A) Customer-related measures
- B) Productivity ratios
- C) Quality measures
- D) Operating results
- E) Structural measures
Answer: D
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Concept
45) Reject rates, capability analysis, and performance information are examples of ________.
- A) structural measures
- B) market share data
- C) productivity ratios
- D) financial ratios
- E) quality measures
Answer: E
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Concept
46) ________ include objectives, policies, and procedures followed by a firm.
- A) Productivity ratios
- B) Quality measures
- C) Market share data
- D) Structural measures
- E) Operating results
Answer: D
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Concept
47) ________ dictates that decisions are made based on the sound collection and analysis of data.
- A) Strategic benchmarking
- B) Baselining
- C) Business process reengineering
- D) Management by fact
- E) Reverse engineering
Answer: D
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Concept
48) ________ is defined as the fundamental rethinking and redesign of business processes.
- A) Process redesign
- B) Benchmarking
- C) Baselining
- D) Reverse engineering
- E) Restructuring
Answer: A
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Concept
49) Which of the following best defines the breadth factor of process redesign?
- A) It refers to organizational elements such as responsibilities, measurements, information technology, and skills.
- B) It refers to the monitoring of key internal firm performance measures over time to identify trends such as improvement in managerial decision making.
- C) It refers to the impact of the process redesign to the entire organization.
- D) It refers to the dismantling of competitors’ products to understand the strengths and weaknesses of their designs.
- E) It refers to the sharing of information between companies so that both can improve.
Answer: C
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Concept
50) Which of the following best defines the depth factor of process redesign?
- A) It refers to organizational elements such as responsibilities, measurements, information technology, and skills.
- B) It refers to the monitoring of key internal firm performance measures over time to identify trends such as improvement in managerial decision making.
- C) It refers to the impact of the process redesign to the entire organization.
- D) It refers to the dismantling of competitors’ products to understand the strengths and weaknesses of their designs.
- E) It refers to the sharing of information between companies so that both can improve.
Answer: A
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Concept
51) ________ requires the monitoring of key internal firm performance measures over time to identify trends such as improvement to inform managerial decision making.
- A) Baselining
- B) Benchmarking
- C) Process redesign
- D) Reverse engineering
- E) Restructuring
Answer: A
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Concept
52) The ________ process involves identifying measures, establishing time frames for future data collection, gathering data, and analyzing data on an ongoing basis to identify performance trends and changes.
- A) restructuring
- B) baselining
- C) reengineering
- D) reverse engineering
- E) benchmarking
Answer: B
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Concept
53) The concept of ________ implies that you must have something to offer the target firm in return for sharing information.
- A) reciprocity
- B) baselining
- C) process redesign
- D) interfacing
- E) restructuring
Answer: A
Diff: 1
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Concept
54) Productivity ratios are useful in measuring the extent to which a firm effectively uses the scarce resources that are available to the firm.
Answer: TRUE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Concept
55) Customer satisfaction measures are poor indicators of financial performance.
Answer: FALSE
Diff: 1
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Concept
56) Cycle times and waste-reduction measures are examples of operating results of benchmarking data.
Answer: TRUE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Concept
57) Quality measures include objectives, policies, and procedures followed by a firm.
Answer: FALSE
Diff: 1
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Concept
58) Management by fact dictates that decisions are made based on the sound collection and analysis of data.
Answer: TRUE
Diff: 1
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Concept
59) To begin the management process of benchmarking, a strategy statement outlining the goals and strategies to be used is developed.
Answer: TRUE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Concept
60) It is best to obtain training from organizations that are experienced with benchmarking and its potential legal liabilities.
Answer: TRUE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Concept
61) Restructuring is defined as a fundamental rethinking and redesigning of business processes.
Answer: FALSE
Diff: 1
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Concept
62) Breadth refers to the impact of the process redesign to the entire organization.
Answer: TRUE
Diff: 1
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Concept
63) Depth of the process redesign refers to organizational elements such as responsibilities, measurements, information technology, and skills.
Answer: TRUE
Diff: 1
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Information Technology
Type: Concept
64) Baselining requires the monitoring of key internal firm performance measures over time to identify trends such as improvement to inform managerial decision making.
Answer: TRUE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Concept
65) Baselining is a methodology utilized to inform managerial decision-making by assessing process redesign impacts.
Answer: TRUE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Concept
66) Because process redesign affects multiple levels in a firm, abrupt organizational changes are reflected in baselining results.
Answer: TRUE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Concept
67) The concept of interfacing implies that you must have something to offer the target firm in return for sharing information.
Answer: FALSE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Concept
68) Business process maps are used to identify the exact performance measures and metrics needed from the target firm.
Answer: TRUE
Diff: 3
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Concept
69) Differentiate between financial ratios and productivity ratios of benchmarking data.
Answer: Financial ratios such as return on assets (ROA) or return on investments (ROI) are probably the easiest to obtain and compare. For many financial ratios, all that is needed is an income statement of a firm and a balance sheet. Many of these statistics are available in annual reports and on the Internet.
Productivity ratios are useful in measuring the extent to which a firm effectively uses the scarce resources that are available to the firm. These include single-factor, multifactor, and total-factor productivity measures.
Diff: 3
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Application
70) Explain the importance of using customer-related results as benchmarking data.
Answer: Customer-related results include customer satisfaction, customer dissatisfaction, and comparisons of customer satisfaction relative to competitors. These measures may be in the form of retention, gains, losses, customer-perceived value, competitive awards, competitive customer ratings, and independent organization evaluations. Customer satisfaction measures are important for gauging the effectiveness of quality improvement because they are good indicators of financial performance.
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Concept
71) Give examples of quality measures and structural measures of benchmarking data.
Answer: Quality measures include conformance-based quality information such as reject rates, capability information, performance information, or other measures. These quality measures also can include scrap and rework measures, percentage of defectives, field repairs, costs of quality, and many other metrics. The quality measures also may include data concerning the performance of processes and time-related statistics.
Structural measures include objectives, policies, and procedures followed by a firm. They may include safety, production, accounting, financial, engineering, and other types of structural measures that are used in determining competitiveness.
Diff: 3
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Application
72) Explain the use of performance measures or indicators in performance improvement.
Answer: A major consideration in performance improvement involves the creation and use of performance measures or indicators. Performance measures or indicators are measurable characteristics of products, services, processes, and operations the company uses to track and improve performance. The measures or indicators should be selected to best represent the factors that lead to improved customer, operational, and financial performance. A comprehensive set of measures or indicators tied to customer and/or company performance requirements represents a clear basis for aligning all activities with the company’s goals. Through the analysis of data from the tracking processes, the measures or indicators themselves may be evaluated and changed to better support such goals.
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Concept
73) Explain the process of managing the benchmarking effort.
Answer: Like other quality management efforts, benchmarking is a managed process. Therefore, management must have an understanding of the benchmarking process, the participants involved, and the objectives of the exercise.
Managing the benchmarking process involves establishing, supporting, and sustaining the benchmarking program. To begin the management process, a strategy statement outlining the goals and strategies to be used is developed. With the strategy statement in place, management sets expectations for performance relating to the benchmarking project. At a minimum, the expectations for benchmarking are that this is an ongoing process that serves as a basis for improvement (not a one-time event) and that specific deliverables are to be identified by management that must be fulfilled.
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Concept
74) Explain the importance of training in benchmarking.
Answer: Training is a key to success in all quality management approaches. This is especially true for benchmarking. Participants must have project management skills and be familiar with benchmarking approaches and protocols. Benchmarking carries with it legal liabilities that should be addressed during the training.
Training should include managerial training, cross-functional benchmarking skills training, team training, and documentation training (flowcharting). Many of these training courses are available from many different consulting organizations. It is best to obtain training from organizations that are experienced with benchmarking. Many companies have established external training arms that can be hired by competing firms.
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Concept
75) Define process redesign. State the two factors that are critical to achieving success through process redesign.
Answer: Process redesign is defined as a fundamental rethinking and redesign of business processes.
Such change is often accompanied by the automation of business processes. Two factors are critical to achieving success through process redesign:
Breadth refers to the impact of the process redesign to the entire organization.
Depth refers to organizational elements such as responsibilities, measurements, information technology, and skills.
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Information Technology
Type: Concept
76) Explain the concept of baselining.
Answer: A methodology that can be applied in assessing business process redesign impacts is baselining. Baselining requires the monitoring of key internal firm performance measures over time to identify trends such as improvement (or decline) to inform managerial decision making. The baselining process involves identifying measures, establishing time frames for future data collection, gathering data, and analyzing data on an ongoing basis to identify performance trends and changes.
Diff: 1
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Concept
77) State the four key problems with benchmarking.
Answer: Benchmarking is not a simple activity, and it can be difficult to implement any of these tools and concepts. There are four key problems with benchmarking:
- There may be substantial difficulty obtaining cooperation from other firms in your own industry. Most organizations have much less clout. The thing to remember is reciprocity. To be effective, you must have something to offer the target firm in return for sharing information.
- The predominance of functional benchmarking with firms in noncompeting industries makes it difficult to benchmark with these firms. It takes much ingenuity to identify benchmarks properly from noncompeting firms.
- Your efforts will be wasted unless you fully understand your own processes before you benchmark someone else. Using tools such as business process maps, it is possible to identify the exact performance measures and metrics needed from the target firm.
- Benchmarking is time-consuming and costly.
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.2 Assess what type of benchmarking is most appropriate for a particular situation.
AACSB: Application of Knowledge
Type: Concept
78) What is the formula used to calculate scrap efficiency?
- A) scrap/cost of goods sold
- B) (cost of goods sold – scrap)/scrap
- C) cost of goods sold/scrap
- D) (scrap – cost of goods sold/scrap
- E) cost of goods sold × scrap
Answer: C
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.3 Compute single-, multi-, and total factor productivity.
AACSB: Application of Knowledge
Type: Concept
79) If the cost of goods sold reported by Champion Cooling Co. is equal to $600,000 and the scrap cost amounts to $50,000, what is their scrap efficiency?
- A) 8.33
- B) 30.0
- C) 12.0
- D) 18.5
- E) 22.8
Answer: C
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.3 Compute single-, multi-, and total factor productivity.
AACSB: Analytical Thinking
Type: Application
80) Champion Cooling Co. signed an exclusive contract with a scrap metal dealer that is willing to pay 33 cents a pound for scrap copper. If the cost of goods sold reported by Champion amounts to $100,000 and the scrap cost is equal to $20,000 for their 3030 pounds of scrap copper, what is Champion’s scrap efficiency?
- A) 7.60
- B) 5.00
- C) 6.26
- D) 9.33
- E) 3.18
Answer: B
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.3 Compute single-, multi-, and total factor productivity.
AACSB: Analytical Thinking
Type: Application
81) Ajax Carpet Cleaning promises to clean 100 square feet of carpet for $15.00. Their work standard for such a job is $5.00 for labor and $2.00 for cleaning supplies. Since they use the customer’s electricity, there are no other inputs in to the cleaning process. What is their labor productivity?
- A) 3.00
- B) 7.50
- C) 20.00
- D) 10.0
- E) 50.0
Answer: A
Diff: 3
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.3 Compute single-, multi-, and total factor productivity.
AACSB: Analytical Thinking
Type: Application
82) Make-Do, a national automotive painting service, paints cars for $199. Their work standard for such a job is $20.00 for labor and $30.00 for paint. They consume $10 worth of supplies and $3 of energy during their service. What is their total factor productivity?
- A) 3.16
- B) 9.95
- C) 5.83
- D) 13.6
- E) 18.24
Answer: A
Diff: 3
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.3 Compute single-, multi-, and total factor productivity.
AACSB: Analytical Thinking
Type: Application
83) Ajax Carpet Cleaning promises to clean 100 square feet of carpet for $20.00. Their work standard for such a job is $5.00 for labor and $2.50 for cleaning supplies. Since they use the customer’s electricity, there are no other inputs in to the cleaning process. What is their labor productivity?
- A) 20.0
- B) 4.00
- C) 8.00
- D) 2.50
- E) 40.0
Answer: B
Diff: 3
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.3 Compute single-, multi-, and total factor productivity.
AACSB: Analytical Thinking
Type: Application
Use the following information to answer the question(s) below.
A company has gathered the following financial information for itself and a competing firm. The company wishes to compare productivity for the two firms:
| Firm A | Firm B |
| Labor | $ 25,000 | $ 20,000 |
| Plant and Equipment | $ 120,000 | $ 150,000 |
| Energy | $ 7,500 | $ 15,000 |
| Materials | $ 240,000 | $ 200,000 |
| Sales | $ 480,000 | $ 520,000 |
84) Calculate the labor productivity of Firm A.
- A) 19.2
- B) 24.0
- C) 20.8
- D) 26.0
- E) 9.6
Answer: A
Diff: 3
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.3 Compute single-, multi-, and total factor productivity.
AACSB: Analytical Thinking
Type: Application
85) Calculate the plant and equipment productivity of Firm B.
- A) 26.00
- B) 2.60
- C) 19.20
- D) 3.47
- E) 34.67
Answer: D
Diff: 3
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.3 Compute single-, multi-, and total factor productivity.
AACSB: Analytical Thinking
Type: Application
86) Calculate the energy productivity of Firm A.
- A) 34.67
- B) 64.00
- C) 19.20
- D) 27.43
- E) 69.33
Answer: B
Diff: 3
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.3 Compute single-, multi-, and total factor productivity.
AACSB: Analytical Thinking
Type: Application
87) Calculate the materials productivity of Firm B.
- A) 3.47
- B) 10.40
- C) 19.20
- D) 6.80
- E) 2.60
Answer: E
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.3 Compute single-, multi-, and total factor productivity.
AACSB: Analytical Thinking
Type: Application
88) Calculate the total factor productivity for Firm A.
- A) 19.20
- B) 3.31
- C) 1.22
- D) 14.77
- E) 8.68
Answer: C
Diff: 3
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.3 Compute single-, multi-, and total factor productivity.
AACSB: Analytical Thinking
Type: Application
89) Calculate the total factor productivity for Firm B.
- A) 14.86
- B) 1.35
- C) 2.60
- D) 34.67
- E) 20.28
Answer: B
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.3 Compute single-, multi-, and total factor productivity.
AACSB: Analytical Thinking
Type: Application
90) Which measure provides the most complete picture of firm productivity?
- A) firm materials output
- B) the ratio of firm output to a single input
- C) multiple factor productivity
- D) single-factor productivity
- E) total factor productivity
Answer: E
Diff: 1
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.3 Compute single-, multi-, and total factor productivity.
AACSB: Application of Knowledge
Type: Concept
91) The higher a firm’s scrap efficiency ratio, the less efficient is the use of its materials.
Answer: FALSE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.3 Compute single-, multi-, and total factor productivity.
AACSB: Application of Knowledge
Type: Application
92) Firm A has a total factor productivity of 10.0 while Firm B has a total factor productivity of 8.0. Therefore, Firm B is the more productive firm and utilizes its resources most efficiently.
Answer: FALSE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.3 Compute single-, multi-, and total factor productivity.
AACSB: Application of Knowledge
Type: Application
93) The scrap efficiency can be calculated by dividing the cost of scrap by the cost of goods sold.
Answer: FALSE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.3 Compute single-, multi-, and total factor productivity.
AACSB: Application of Knowledge
Type: Concept
94) The scrap efficiency formula normalizes the cost of scrap based on the volume of business that a firm does.
Answer: TRUE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.3 Compute single-, multi-, and total factor productivity.
AACSB: Application of Knowledge
Type: Concept
95) The cost of goods sold to scrap ratio is a multiple factor ratio.
Answer: FALSE
Diff: 3
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.3 Compute single-, multi-, and total factor productivity.
AACSB: Application of Knowledge
Type: Concept
96) Total factor productivity is less sensitive to differences in costing conventions and accounting practices.
Answer: TRUE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.3 Compute single-, multi-, and total factor productivity.
AACSB: Application of Knowledge
Type: Concept
97) How is a scrap efficiency ratio calculated?
Answer: Consider the computation of scrap in which a company computes the ratio of cost of goods sold to scrap. The formula for this computation is:
Scrap Efficiency = Cost of Goods Sold/ Scrap
This formula normalizes the cost of scrap based on the volume of business that a firm does. The resulting ratio is the proportion of the material inputs to production that is wasted as scrap. The higher the ratio, the more efficient is the use of these materials.
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.3 Compute single-, multi-, and total factor productivity.
AACSB: Application of Knowledge
Type: Concept
98) The benchmarking principle of ________ states that you must be willing to provide the same level of information that you request.
- A) preparation
- B) exchange
- C) completion
- D) understanding and action
- E) use
Answer: B
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.4 Understand the ethical issues associated with benchmarking
AACSB: Ethical Understanding and Reasoning
Type: Concept
99) Which of the following is not one of the potential legal issues described in the benchmarking principle of legality?
- A) price fixing
- B) dealing arrangements
- C) bid rigging
- D) bribery
- E) unethical behavior
Answer: E
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.4 Understand the ethical issues associated with benchmarking
AACSB: Ethical Understanding and Reasoning
Type: Concept
100) If a firm follows a strict code of conduct, then ethical abuses will never occur.
Answer: FALSE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.4 Understand the ethical issues associated with benchmarking
AACSB: Ethical Understanding and Reasoning
Type: Application
101) Extending one company’s benchmarking study findings to another without the first company’s permission would be a violation of the principle of use.
Answer: TRUE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.4 Understand the ethical issues associated with benchmarking
AACSB: Ethical Understanding and Reasoning
Type: Application
102) To contribute to efficient, effective, and ethical benchmarking, individuals abide by benchmarking principles.
Answer: TRUE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 6.4 Understand the ethical issues associated with benchmarking
AACSB: Ethical Understanding and Reasoning
Type: Concept
Managing Quality: Integrating the Supply Chain, 6e (Foster)
Chapter 7 Quality and Innovation in Product and Process Design
1) What is the first step in the product development process?
- A) project customer needs
- B) generate product ideas
- C) process technology selection
- D) manufacturing system design
- E) marketing plan design
Answer: B
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
2) During the ________ stage of the project development process, external and internal sources brainstorm new concepts.
- A) product marketing and supply chain preparation
- B) technology development for process selection
- C) customer future needs projection
- D) product idea generation
- E) technology selection for product development
Answer: D
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
3) Which of the following is an internal source for product ideas?
- A) management
- B) industry experts
- C) competitors
- D) inventors
- E) customers
Answer: A
Diff: 1
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
4) Which of the following is an external source for product ideas?
- A) marketing
- B) employee suggestions
- C) research and development
- D) management
- E) industry experts
Answer: E
Diff: 1
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
5) R&D-generated ideas can be differentiated from marketing-generated ideas in that the latter ________.
- A) tend to be risky
- B) are less aligned with customer needs
- C) build on existing designs
- D) tend to be groundbreaking
- E) tend to be technologically innovative
Answer: C
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
6) During ________ stage of the product development process, preliminary work can be performed to identify key quality characteristics and potential for variability with each of the different materials.
- A) product marketing and supply chain preparation
- B) technology selection for product development
- C) technology development for process selection
- D) final product definition
- E) manufacturing system design
Answer: B
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
7) The ________ stage of the product development process often requires the design of after-sales processes such as maintenance, warranties, and repair processes that occur after the customer owns the product.
- A) final product definition
- B) product design and evaluation
- C) manufacturing system design
- D) technology selection for product development
- E) product marketing and supply chain preparation
Answer: E
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
8) The ________ stage of the product development process requires definition of the product architecture, the design, production, testing of subassemblies, and testing of the system for production.
- A) manufacturing system design
- B) final product definition
- C) product design and evaluation
- D) technology development for process selection
- E) technology selection for product development
Answer: C
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
9) In the product development process, the acronym PDS stands for ________.
- A) Product Development System
- B) Product Distribution System
- C) Product Design and Selection
- D) Product Design Specification
- E) Product Definition and Specification
Answer: D
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
10) The ________ stage of the product development process involves the selection of the process technologies that will result in a low-cost, high-quality product.
- A) final product definition
- B) technology selection for product development
- C) technology development for process selection
- D) product design and evaluation
- E) manufacturing system design
Answer: E
Diff: 3
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
11) What is the final step in the product development process?
- A) project customer needs
- B) manufacture, delivery, and use
- C) final product definition
- D) product evaluation
- E) manufacturing system design
Answer: B
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
12) ________ is used to develop a computer-compatible mathematical description of a part.
- A) Geometric modeling
- B) Engineering analysis
- C) Multilevel prototyping
- D) Process modeling
- E) Concurrent engineering
Answer: A
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Information Technology
Type: Concept
13) ________ involves the usage of heat-transfer calculations, stress calculations, or differential equations to determine the dynamic behavior of the system being designed.
- A) Process modeling
- B) Geometric modeling
- C) Concurrent engineering
- D) Engineering analysis
- E) Multilevel prototyping
Answer: D
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Information Technology
Type: Concept
14) Examining a design to see if different components in a product occupy the same space is called ________.
- A) process evaluation
- B) design analysis
- C) interference checking
- D) multilevel evaluation
- E) product testing
Answer: C
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Information Technology
Type: Concept
15) The ________ component of a CAD system allows for the cataloging and standardization of parts and components for complex products.
- A) group technology
- B) geometric modeling
- C) multilevel prototyping
- D) product testing
- E) concurrent engineering
Answer: A
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Information Technology
Type: Concept
16) ________ refers to the performance of all the design process steps simultaneously.
- A) Just-in-time engineering
- B) Lean engineering
- C) Concurrent engineering
- D) Reengineering
- E) Reverse engineering
Answer: C
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
17) ________ refers to the differences in products that are produced and marketed by a single firm at any given time.
- A) Change
- B) Criticality
- C) Nonuniformity
- D) Variety
- E) Differentiation
Answer: D
Diff: 1
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
18) ________ is the magnitude of the differences in a product when measured at two different times.
- A) Criticality
- B) Variety
- C) Differentiation
- D) Nonuniformity
- E) Change
Answer: E
Diff: 1
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
19) ________ products are new products using similar technologies that can coexist in a family of products.
- A) Contiguous
- B) Complementary
- C) Differentiated
- D) Concurrent
- E) Variable
Answer: B
Diff: 1
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
20) ________ means to design products so that they are cost-effective and simple to build.
- A) Design for maintenance
- B) Design for control
- C) Design for reliability
- D) Design for engineering
- E) Design for manufacture
Answer: E
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
21) ________ means standardizing parts, modularizing, and using as few parts as possible in a design.
- A) Designing for engineering
- B) Designing for reliability
- C) Designing for manufacture
- D) Designing for simplicity
- E) Designing for control
Answer: D
Diff: 3
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
22) Over-the-wall syndrome refers to the difficulties that arise when ________.
- A) different types of engineers work in totally different departments
- B) firms integrate financial, planning, and control systems into a single architecture
- C) translating customer requirements into functional design
- D) environmental issues become key considerations for companies designing products
- E) the design products become complicated to build
Answer: A
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
23) ________ systems are used to integrate financial, planning, and control systems into a single architecture.
- A) Product data management
- B) Enterprise resource planning
- C) Computer-aided design
- D) Business process management
- E) Information technology management
Answer: B
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Information Technology
Type: Concept
24) Teams comprised of people from various disciplines are a primary component of ________, which involves product and process design steps occurring simultaneously.
- A) enterprise resource planning
- B) reverse engineering
- C) systems engineering
- D) concurrent engineering
- E) design for manufacture
Answer: D
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
25) Layering is performed during ________ by overlaying the geometric images of the final shape of a part over the image of a rough casting.
- A) design review
- B) geometric modeling
- C) inference checking
- D) engineering analysis
- E) computer aided inspection
Answer: A
Diff: 3
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Application
26) Product idea generation is the first step in the project development process.
Answer: TRUE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
27) The primary source for external product ideas is research and development.
Answer: FALSE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
28) Industry experts are external sources for product ideas.
Answer: TRUE
Diff: 1
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
29) Marketing-generated ideas tend to be groundbreaking, risky, and technologically innovative as compared to R&D-generated ideas.
Answer: FALSE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
30) R&D-generated ideas tend to be more incremental, or built upon existing designs, and are better aligned with customer needs than marketing-generated ideas.
Answer: FALSE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
31) Technology development for process selection involves identifying key quality characteristics and potential for variability with each of the different materials.
Answer: FALSE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
32) Manufacturing system design is the selection of the process technologies that will result in a low-cost, high-quality product.
Answer: TRUE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
33) Geometric modeling is used to develop a hand-drawn mathematical description of a part.
Answer: FALSE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Information Technology
Type: Concept
34) Examining a design to see if different components in a product occupy the same space is called interference checking.
Answer: TRUE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Information Technology
Type: Concept
35) Automated drafting results in the creation of a final drawing of the designed product and its components.
Answer: TRUE
Diff: 1
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Information Technology
Type: Concept
36) The multilevel prototyping component of the CAD system allows for the cataloging and standardization of parts and components for complex products.
Answer: FALSE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Information Technology
Type: Concept
37) Computer-aided inspection is performed by infrared and noncontact sensors.
Answer: TRUE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Information Technology
Type: Application
38) Reengineering refers to the performance of all the design process steps simultaneously.
Answer: FALSE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
39) Concurrent engineering leads to increased interaction with the customer.
Answer: TRUE
Diff: 1
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
40) As product life cycles become longer, product variety and change become much more important to a successful competitor.
Answer: FALSE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
41) Variety refers to the differences in products that are produced and marketed by a single firm at any given time.
Answer: TRUE
Diff: 1
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
42) Change is the magnitude of the differences in a product when measured at two different times.
Answer: TRUE
Diff: 1
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
43) Complementary products are new products using different technologies that can coexist in a family of products.
Answer: FALSE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
44) Design for manufacture means to design products so that they are cost-effective and simple to build.
Answer: TRUE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
45) The over-the-wall syndrome refers to design difficulties and increased design cycle times due to organizational problems.
Answer: TRUE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
46) The over-the-wall syndrome is demonstrated by looking at the design process sequentially.
Answer: TRUE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
47) Design for manufacture methods are designed to radically increase cycle times.
Answer: FALSE
Diff: 1
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
48) Enterprise resource planning systems are used to integrate financial, planning, and control systems into a single architecture.
Answer: TRUE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Information Technology
Type: Concept
49) State the nine phases of a product development process.
Answer: The design process includes nine phases that are interrelated:
- Product idea generation
- Customer future needs projection
- Technology selection for product development
- Technology development for process selection
- Final product definition
- Product marketing and supply chain preparation
- Product design and evaluation
- Manufacturing system design
- Product manufacture, delivery, and use
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
50) What are multiuser CAD systems?
Answer: An important advance in CAD systems has been the advent of multiuser CAD systems. Using a common database in a network, multiple designers in locations worldwide can work on a design simultaneously around the clock. Consider a multinational corporation developing a new product. When the U.S. designers sleep, Asian and European designers work. When the U.S. designers return to work, they can see the progress that has been made overnight.
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Information Technology
Type: Concept
51) Explain the use of CAD systems in geometric design and engineering analysis.
Answer: CAD systems are used in geometric design and engineering analysis.
Geometric modeling is used to develop a computer-compatible mathematical description of a part. The image developed is typically a wire-frame drawing of a component. This part may appear in two dimensions, as a two-dimensional drawing of a three-dimensional object, or in full three-dimensional view with complex geometry.
Engineering analysis may involve many different engineering tests such as heat-transfer calculations, stress calculations, or differential equations to determine the dynamic behavior of the system being designed. Analysis-of-mass-properties features in CAD systems automatically identify properties of a designed object such as weight, area, volume, center of gravity, and moment of inertia. CAD systems allow for the automatic calculation of these properties.
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Information Technology
Type: Application
52) Define interference checking with an example.
Answer: Examining a design to see if different components in a product occupy the same space is called interference checking. Interference checking is of major importance in design of airplanes. Hundreds of pipes and thousands of wires occupy the walls of the aircraft. Interference checking in design review ensures that designs are feasible. This is especially important for airplane makers because so many engineers are participating in the design.
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Information Technology
Type: Application
53) What is the group technology component of a CAD system?
Answer: An important component of a CAD system is the group technology component that allows for the cataloging and standardization of parts and components for complex products. Standard parts can result in fewer suppliers, simpler inventory, and less variability in processes.
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
54) Explain concurrent engineering and state its benefits.
Answer: If the design process steps are performed sequentially, the design process will be very time-consuming. Therefore, the steps are performed simultaneously as often as possible. This approach is called concurrent engineering and has been very helpful in speeding up the design life cycle.
The benefits of concurrent engineering primarily include communication among group members and speed. By working on products and processes simultaneously, the group makes fewer mistakes, and the time to get the concept to market is reduced drastically. The team concept joins people from various disciplines, which enhance communication and the cross-fertilization of ideas.
Another benefit of concurrent engineering is increased interaction with the customer. Often customers are included in concurrent engineering teams to give immediate feedback on product designs.
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Application
55) State the importance of complementary products.
Answer: Complementary products are new products using similar technologies that can coexist in a family of products.
Complementary products are needed for two reasons. First, product obsolescence requires that products be updated. Second, some products have seasonal demand necessitating counterseasonal products.
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
56) State any three considerations in a design.
Answer: There are many things to consider when designing products. One of the biggest considerations is design for manufacture (DFM). Design for manufacture means to design products so that they are cost-effective and simple to build.
Another aspect is designing for reliability. It makes little sense to design a product that is capable and stable but not reliable.
Product designs must be simple. Designing for simplicity means standardizing parts, modularizing, and using as few parts as possible in a design.
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
57) Explain the over-the-wall syndrome.
Answer: In the old world of designing products, there existed a hierarchy of engineers. At the top of this hierarchy was the product design engineer. Lower down the hierarchy were the process design engineers. Often these different engineers worked in totally different departments. The fact that they were in different departments often impeded communication. This organizational problem has been referred to as the over-the-wall syndrome.
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Application of Knowledge
Type: Concept
58) State the importance of the product data management (PDM) tool?
Answer: An important component of design software is the product data management (PDM) tool. PDM is a general extension of techniques commonly known as engineering data management, document management, and other similar names. PDM helps manage both product data and the product development process by tracking the masses of data needed to design, manufacture, support, and maintain products.
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.1 Discuss the processes firms use to design products.
AACSB: Information Technology
Type: Concept
59) The acronym QFD stands for ________.
- A) Quality Function Deployment
- B) Quality Feasibility Development
- C) Quality Function Design
- D) Quality Factors for Development
- E) Quality Feasibility Data
Answer: A
Diff: 1
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.2 Perform “house of quality” quality function deployment (QFD) analysis.
AACSB: Application of Knowledge
Type: Concept
60) ________ describes a method for translating customer requirements into functional design.
- A) Manufacturing system design
- B) Final product definition
- C) Quality function deployment
- D) Product design specification
- E) Customer future projection
Answer: C
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.2 Perform “house of quality” quality function deployment (QFD) analysis.
AACSB: Application of Knowledge
Type: Concept
61) What is the first step in performing quality function deployment?
- A) Prioritize technical requirements.
- B) Identify the correlations between design elements in the roof of the house.
- C) Prioritize customer requirements.
- D) Develop a listing of technical design elements along the roof of the house.
- E) Develop a list of customer requirements.
Answer: E
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.2 Perform “house of quality” quality function deployment (QFD) analysis.
AACSB: Application of Knowledge
Type: Concept
62) A particular customer requirement has a strong association with a technical requirement, an importance of 6, a target value of 3, and a sales point value of 2. The absolute weight of this customer requirement is ________.
- A) 1
- B) 6
- C) 9
- D) 18
- E) 36
Answer: E
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.2 Perform “house of quality” quality function deployment (QFD) analysis.
AACSB: Analytical Thinking
Type: Application
63) A particular customer requirement is associated with a technical requirement, has an importance of 3, a target value of 5, and a sales point value of 2. The absolute weight of this customer requirement is ________.
- A) 15
- B) 30
- C) 6
- D) 10
- E) 25
Answer: B
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.2 Perform “house of quality” quality function deployment (QFD) analysis.
AACSB: Analytical Thinking
Type: Application
64) A particular customer requirement is associated with a technical requirement, has an importance of 3, a target value of 1, and a sales point value of 3. The absolute weight of this customer requirement is ________.
- A) 9
- B) 45
- C) 6
- D) 90
- E) 81
Answer: A
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.2 Perform “house of quality” quality function deployment (QFD) analysis.
AACSB: Analytical Thinking
Type: Application
65) A particular customer requirement has a strong association with a technical requirement, an importance of 9, a target value of 3, and a sales point value of 1. The absolute weight of this customer requirement is ________.
- A) 1
- B) 3
- C) 9
- D) 27
- E) 243
Answer: D
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.2 Perform “house of quality” quality function deployment (QFD) analysis.
AACSB: Analytical Thinking
Type: Application
66) Quality function deployment (QFD) describes a method for translating customer requirements into functional design.
Answer: TRUE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.2 Perform “house of quality” quality function deployment (QFD) analysis.
AACSB: Application of Knowledge
Type: Concept
67) The first step in performing quality function deployment is to develop a listing of technical design elements along the roof of the house.
Answer: FALSE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.2 Perform “house of quality” quality function deployment (QFD) analysis.
AACSB: Application of Knowledge
Type: Concept
68) Customer requirements with high competitive assessments and low importance are candidates for improvement.
Answer: FALSE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.2 Perform “house of quality” quality function deployment (QFD) analysis.
AACSB: Application of Knowledge
Type: Concept
69) What is quality function deployment (QFD)?
Answer: Quality function deployment (QFD) describes a method for translating customer requirements into functional design. Sometimes this process of translation is referred to as the voice of the customer. The quality function deployment approach was developed by Dr. S. Mizuno, a former professor of the Tokyo Institute of Technology.
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.2 Perform “house of quality” quality function deployment (QFD) analysis.
AACSB: Application of Knowledge
Type: Concept
70) What are the steps in performing quality function deployment?
Answer: Following are the steps in performing quality function deployment:
- Develop a list of customer requirements.
- Develop a listing of technical design elements along the roof of the house.
- Demonstrate the relationships between the customer requirements and technical design elements.
- Identify the correlations between design elements in the roof of the house.
- Perform a competitive assessment of the customer requirements.
- Prioritize customer requirements.
- Prioritize technical requirements.
- Final evaluation.
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.2 Perform “house of quality” quality function deployment (QFD) analysis.
AACSB: Application of Knowledge
Type: Concept
71) During the prioritization of technical requirements step of Quality Function Deployment, how are the values for absolute and relative weights established?
Answer: The value for the absolute weight is the sum of the products of the relationship between customer and technical requirements and the importance to the customer columns. The value for relative weight is the sum of the products of the relationship between customer requirements and technical requirements and the customer requirements absolute weights.
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.2 Perform “house of quality” quality function deployment (QFD) analysis.
AACSB: Application of Knowledge
Type: Concept
72) ________ reliability is defined as the propensity for a part to fail over a given time.
- A) System
- B) Concurrent
- C) Component
- D) Process
- E) Perpetual
Answer: C
Diff: 1
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.3 Defend design concerns such as design for manufacture, maintainability, and reliability.
AACSB: Application of Knowledge
Type: Concept
73) In 1972, Congress created the ________ to protect citizens from unreasonable risks of injury and death due to defective products or components.
- A) Customer Product Safety Council
- B) Consumer Product Safety Commission
- C) Consumer Protection Safety Council
- D) Customer Product Safety Commission
- E) Council for Product Safety Components
Answer: B
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.3 Defend design concerns such as design for manufacture, maintainability, and reliability.
AACSB: Application of Knowledge
Type: Concept
74) Which of the following is an analytical tool that graphically renders the combination of faults that lead to failure in a system?
- A) System failure diagram
- B) Decision-tree analysis
- C) Fault-tree analysis
- D) Product traceability matrix
- E) FMEA flowchart
Answer: C
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.3 Defend design concerns such as design for manufacture, maintainability, and reliability.
AACSB: Application of Knowledge
Type: Concept
75) Which design methodology includes design concepts such as easily replaceable components, safe maintenance, and nondestructive disassembly?
- A) product life-cycle design
- B) complementary product design
- C) design for maintainability
- D) design for reliability
- E) design for manufacture
Answer: C
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.3 Defend design concerns such as design for manufacture, maintainability, and reliability.
AACSB: Application of Knowledge
Type: Concept
76) Designing for reliability means standardizing parts, modularizing, and using as few parts as possible in a design.
Answer: FALSE
Diff: 3
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.3 Defend design concerns such as design for manufacture, maintainability, and reliability.
AACSB: Application of Knowledge
Type: Concept
77) System reliability is defined as the propensity for a part to fail over a given time.
Answer: FALSE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.3 Defend design concerns such as design for manufacture, maintainability, and reliability.
AACSB: Application of Knowledge
Type: Concept
78) Component reliability is computed from the aggregation of multiple components.
Answer: FALSE
Diff: 3
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.3 Defend design concerns such as design for manufacture, maintainability, and reliability.
AACSB: Application of Knowledge
Type: Concept
79) Failure modes and effects analysis is an analytical tool that graphically renders the combinations of faults that lead to failure of a system.
Answer: FALSE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.3 Defend design concerns such as design for manufacture, maintainability, and reliability.
AACSB: Application of Knowledge
Type: Concept
80) Product traceability increases product liability relating to safety hazards.
Answer: FALSE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.3 Defend design concerns such as design for manufacture, maintainability, and reliability.
AACSB: Application of Knowledge
Type: Concept
81) Differentiate between component reliability and system reliability.
Answer: Component reliability is defined as the propensity for a part to fail over a given time. System reliability refers to the probability that a system of components will perform the intended function over a specified product life. It is important to recognize the difference between component reliability and system reliability. The levels of measurement are different for system and component reliability. When we talk of component reliability, we refer to a finite aspect of the overall product. System reliability is computed from the aggregation of multiple components.
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.3 Defend design concerns such as design for manufacture, maintainability, and reliability.
AACSB: Application of Knowledge
Type: Concept
82) What is the first step in failure modes and effects analysis?
- A) Assign each component an identifier.
- B) List functions for each part.
- C) Identify highest risks.
- D) List one or two failure modes for each function.
- E) Estimate likelihood of failure.
Answer: A
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.4 Perform rudimentary failure modes and effects analysis.
AACSB: Application of Knowledge
Type: Concept
83) What is the final step in failure modes and effects analysis?
- A) Describe effects of each failure mode.
- B) Estimate likelihood of failure.
- C) Eliminate or reduce highest risks.
- D) Estimate failure detection.
- E) Determine hazard likelihood and categorize.
Answer: C
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.4 Perform rudimentary failure modes and effects analysis.
AACSB: Application of Knowledge
Type: Concept
84) ________ refers to how often a failure will occur, how easy it is to diagnose, and whether it can be fixed.
- A) Reliability
- B) Criticality
- C) Traceability
- D) Feasibility
- E) Maintainability
Answer: B
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.4 Perform rudimentary failure modes and effects analysis.
AACSB: Application of Knowledge
Type: Concept
85) Failure modes and effects analysis begins at the highest level of detail to which the system is designed and works downward.
Answer: FALSE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.4 Perform rudimentary failure modes and effects analysis.
AACSB: Application of Knowledge
Type: Application
86) Failure modes and effects analysis results in reduction in product development cost.
Answer: TRUE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.4 Perform rudimentary failure modes and effects analysis.
AACSB: Application of Knowledge
Type: Concept
87) The first step in failure modes and effects analysis is to estimate the likelihood of failure.
Answer: FALSE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.4 Perform rudimentary failure modes and effects analysis.
AACSB: Application of Knowledge
Type: Concept
88) The primary goal of failure modes, effects, and criticality analysis is to develop priorities for corrective action based on estimated risk.
Answer: TRUE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.4 Perform rudimentary failure modes and effects analysis.
AACSB: Application of Knowledge
Type: Concept
89) Criticality prioritizes how the design team should be spending its resources.
Answer: TRUE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.4 Perform rudimentary failure modes and effects analysis.
AACSB: Application of Knowledge
Type: Concept
90) What are the benefits of using failure modes and effects analysis (FMEA)?
Answer: Failure modes and effects analysis (FMEA) systematically considers each component of a system, identifying, analyzing, and documenting the possible failure modes within a system and the effects of each failure on the system. Some benefits that can be derived through the use of FMEA include:
- Improvement of the safety, quality, and reliability of products
- Improvement of a company’s image and its competitiveness
- Increased satisfaction from a user standpoint
- Reduction in product development cost
- Record of actions taken to reduce a product risk
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.4 Perform rudimentary failure modes and effects analysis.
AACSB: Application of Knowledge
Type: Application
91) State the nine-step process of failure modes and effects analysis (FMEA).
Answer: Failure modes and effects analysis (FMEA) uses a nine-step process:
- Assign each component an identifier.
- List functions for each part.
- List one or two failure modes for each function.
- Describe effects of each failure mode.
- Determine hazard likelihood and categorize.
- Estimate likelihood of failure.
- Estimate failure detection.
- Identify highest risks.
- Eliminate or reduce highest risks.
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.4 Perform rudimentary failure modes and effects analysis.
AACSB: Application of Knowledge
Type: Concept
92) Describe the failure modes, effects, and criticality analysis (FMECA).
Answer: Failure modes, effects, and criticality analysis (FMECA) is an extensive but simple method for identifying ways in which an engineered system could fail. As in FMEA, failures, effects, and causes are identified. FMECA rates failure modes by ranking each possible mode according to both the probabilities of its occurrence and the severity of its effects. The primary goal of FMECA is to develop priorities for corrective action based on estimated risk. FMECA is used to analyze a probable cause of a product failure, to determine how the problem affects a customer, to identify the probable manufacturing or assembly processes responsible, to identify which process control variable to focus on for prevention detection, and to quantify the effects on the customer.
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.4 Perform rudimentary failure modes and effects analysis.
AACSB: Application of Knowledge
Type: Concept
93) A method of manufacturing that minimizes waste and pollution is referred to as ________.
- A) renewable manufacturing
- B) clean manufacturing
- C) green manufacturing
- D) ecofriendly manufacturing
- E) sustainable manufacturing
Answer: C
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.5 Discuss green design.
AACSB: Application of Knowledge
Type: Concept
94) The life-cycle approach to product design has led to practices known as ________.
- A) design for aesthetics, design for performance, and design for quality
- B) design for ease of manufacture, design for optimal pricing, and design for quality
- C) design for cost containment, design for quality, and design for conformance
- D) design for reuse, design for disassembly, and design for remanufacture
- E) design for reliability, design for dependability, and design for conformance
Answer: D
Diff: 3
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.5 Discuss green design.
AACSB: Application of Knowledge
Type: Concept
95) The move to green manufacturing began in ________.
- A) Germany
- B) Australia
- C) Japan
- D) United States
- E) China
Answer: A
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.5 Discuss green design.
AACSB: Application of Knowledge
Type: Concept
96) A major goal of product traceability and recall procedures is to be able to ________.
- A) implement green manufacturing
- B) get listed on the CPSC Web site
- C) prioritize how the design team should spend its resources
- D) trace products with a minimum cost
- E) avoid lawsuits
Answer: D
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.5 Discuss green design.
AACSB: Application of Knowledge
Type: Concept
97) Which of the following is not a green design concept?
- A) Avoid waste
- B) Avoid costs associated with reuse and recycling
- C) Use reusable energy when possible
- D) Make products durable
- E) Use nonhazardous materials if possible
Answer: B
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.5 Discuss green design.
AACSB: Application of Knowledge
Type: Application
98) The principles for ________ include using fewer parts and fewer materials, and using snap-fits instead of screws.
- A) design for disassembly
- B) design for conformance
- C) design for reuse
- D) design for remanufacturing
- E) design for performance
Answer: A
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.5 Discuss green design.
AACSB: Application of Knowledge
Type: Concept
99) A method of manufacturing that minimizes waste and pollution is referred to as green manufacturing.
Answer: TRUE
Diff: 1
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.5 Discuss green design.
AACSB: Application of Knowledge
Type: Concept
100) The principles for design for reuse include using fewer parts and fewer materials, and using snap-fits instead of screws.
Answer: FALSE
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.5 Discuss green design.
AACSB: Application of Knowledge
Type: Concept
101) Differentiate between design for reuse and design for disassembly.
Answer: Design for reuse refers to designing products so they can be used in later generations of products.
The principles for design for disassembly include using fewer parts and fewer materials, using snap-fits instead of screws, making assembly efficient and improving disposal, using design for disassembly experts in concurrent design teams, and eliminating waste through better design.
Diff: 2
Learning Outcome: Discuss the total cost of quality and compare the common methods of managing quality
LO: 7.5 Discuss green design.
AACSB: Application of Knowledge
Type: Concept
