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Lost production time, scrap, and rework are examples of:


A) internal failure costs.
B) external failure costs.
C) appraisal costs.
D) prevention costs.
E) replacement costs.

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The Deming Prize was established by the:


A) American Statistical Association.
B) Union of Japanese Scientists.
C) North American Free Trade Association.
D) American Quality Society.
E) World Trade Organization.

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Deciding how much to invest in the prevention of defects can be analyzed using:


A) EVPI.
B) net present value.
C) weighted factor analysis.
D) return on quality.
E) break-even analysis.

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Modern quality management emphasizes finding and correcting mistakes before they reach the customer-catching the errors before they are shipped.

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Costs of inspectors, testing, test equipment, and labs are examples of:


A) internal failure costs.
B) external failure costs.
C) appraisal costs.
D) prevention costs.
E) replacement costs.

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Quality of design refers to the intention of the designers to include or exclude certain features in a product or service based on marketing and other information.

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ISO standards aid in transferring technology to developing countries.

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Reducing the variability in our product or service is an important key to quality.

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TQM stands for:


A) Taguchi Quality Methods.
B) Tactical Quality Measurements.
C) The Quality Matrix.
D) Total Quality Management.
E) Total Quantity Measurement.

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Serviceability, conformance, and reliability are dimensions of product quality.

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The Baldrige Award is based on evaluations in seven main areas. Which is not one of those?


A) relative profitability
B) strategic planning
C) human resource management
D) information and analysis
E) leadership

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The process of identifying other organizations that are best at some facet of your operations, analyzing your performance versus theirs in order to establish a standard against which to judge performance, and identifying a model for learning how to improve is known as:


A) continuous improvement.
B) employee empowerment.
C) benchmarking.
D) copycatting.
E) industrial espionage.

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So long as quality input resources are used to make a product, we can expect quality output from the process.

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The quality certification that deals primarily with conformance to customer requirements is ISO __________; ISO __________ is concerned primarily with the organization's effect on the environment.


A) 9000; 14000
B) 24700; 9000
C) 14000; 9000
D) 9000; 24700
E) 14000; 24700

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Before a dimension of quality can be made operationally useful, it must be restated in some ___________ form.


A) qualitative
B) manipulative
C) certifiable
D) measurable
E) marketable

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Medical malpractice claims are an example of how poor quality can affect an organization through liability.

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Crosby's concept of "quality is free" means that it is less expensive to do it right initially than to do it over.

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Quality planning and administration, quality training, and quality control procedures are examples of:


A) internal failure costs.
B) external failure costs.
C) appraisal costs.
D) prevention costs.
E) replacement costs.

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A quality circle is:


A) responsible for quality.
B) total quality control.
C) an inspection stamp found on meat.
D) a group of employees who meet to discuss ways of improving products or processes.
E) a team of customers and their contacts within the company who meet to discuss ways of improving products or processes.

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Which is not a cost of quality?


A) prevention cost
B) external failure costs
C) extended service contract costs
D) internal failure costs
E) appraisal costs

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