Question 1

Even when given the proper climate in which to work, most people do not want to do a good job.

Accepted Answer

A) True 
 B)False  False

Question 2

Because of the nature of many cost accounting systems, quality costs are rarely aggregated into various overhead accounts, which would mask their real impact on the finances and operations of a company.

Accepted Answer

A) True 
 B)False  False

Question 3

All delivery activities in a process can be considered wasteful.

Accepted Answer

A) True 
 B)False  True

Question 4

_____ are incurred following production or after the customer takes possession.

Accepted Answer

A)  Inspection costs 
B)  Appraisal costs 
C)  Internal failure costs 
D)  Prevention costs 
E)  External failure costs 
A)  Inspection costs 
B)  Appraisal costs 
C)  Internal failure costs 
D)  Prevention costs 
E)  External failure costs

Question 5

Which of the following is Falseconcerning Deming's philosophy on numerical quotas and measurement by objective?

Accepted Answer

A)  Workers may game the system to make their individual production and output goals. 
B)  Many numerical based goals and objectives are often developed arbitrarily. 
C)  Goals are often short term in their focus. 
D)  Output standards fully support TQM improvements and other quality initiatives. 
E)  Many numerically-based goals and objectives are beyond the control of the worker. 
A)  Workers may game the system to make their individual production and output goals. 
B)  Many numerical based goals and objectives are often developed arbitrarily. 
C)  Goals are often short term in their focus. 
D)  Output standards fully support TQM improvements and other quality initiatives. 
E)  Many numerically-based goals and objectives are beyond the control of the worker.

Question 6

Which of the following is not one of Deming's 14 points?

Accepted Answer

A)  Institute training. 
B)  Drive out fear. 
C)  Optimize the efforts of individuals working alone. (LO #4) 
D)  Stop making decisions purely on the basis of price. 
E)  Improve constantly and forever. 
A)  Institute training. 
B)  Drive out fear. 
C)  Optimize the efforts of individuals working alone. (LO #4) 
D)  Stop making decisions purely on the basis of price. 
E)  Improve constantly and forever.

Question 7

Deming indicates that the only proper way of dealing with defects is to inspect for and remove them from the process.

Accepted Answer

A) True 
 B)False

Question 8

Designed-in systemic variation is a managerial concern, not a labor issue.

Accepted Answer

A) True 
 B)False

Question 9

A _____ is designed to provide information about the performance of the process under stable operating conditions, i.e., when no special causes of variation are present.

Accepted Answer

A)  make-buy analysis 
B)  process capability study 
C)  price analysis 
D)  cost analysis 
E)  Six Sigma project 
A)  make-buy analysis 
B)  process capability study 
C)  price analysis 
D)  cost analysis 
E)  Six Sigma project

Question 10

The lowest purchase price of an item may be important in the short run for supply management but may cause increased costs somewhere else in the production system over the long run: excessive scrap and rework, defective products, greater warranty claims, and so on.

Accepted Answer

A) True 
 B)False

Question 11

A grassroots TQM effort that emanates from the lower levels of the organization is doomed to failure without active and visible top management commitment and support.

Accepted Answer

A) True 
 B)False

Question 12

In recent years, the concept of quality has changed radically from meeting customer requirements or expectations to exceeding them.

Accepted Answer

A) True 
 B)False

Question 13

_____ represents the ability to meet or exceed current and future customer (i.e., buyer and eventually end customer) expectations or requirements within critical performance areas on a consistent basis.

Accepted Answer

A)  Kaizen 
B)  Supplier quality 
C)  Strategic sourcing 
D)  Process capability 
E)  Supply base rationalization 
A)  Kaizen 
B)  Supplier quality 
C)  Strategic sourcing 
D)  Process capability 
E)  Supply base rationalization

Question 14

A buyer cannot realistically expect the highest levels of supplier performance when the supplier must respond to frequent or short lead time changes.

Accepted Answer

A) True 
 B)False

Question 15

It is far less expensive and more efficient in the long run to avoid generating the defect in the first place than it is to inspect for it once it is created.

Accepted Answer

A) True 
 B)False

Question 16

To remain current registration, ISO 9001:2008 registration must be accomplished every _____.

Accepted Answer

A)  10 years 
B)  5 years 
C)  2 years 
D)  3 years 
E)  There is no expiration date for ISO 9001:2008 registration. 
A)  10 years 
B)  5 years 
C)  2 years 
D)  3 years 
E)  There is no expiration date for ISO 9001:2008 registration.

Question 17

In many respects, the cost of quality should actually be considered as the cost of "poor quality."

Accepted Answer

A) True 
 B)False

Question 18

Which of the following is not one of the eight key principles of total quality management?

Accepted Answer

A)  Pursue quality at the source. 
B)  Emphasize prevention rather than detection of defects. 
C)  Focus on process rather than output. 
D)  Establish continuous improvement as a way of life. 
E)  Stress subjective rather than objective analysis. (LO #2) 
A)  Pursue quality at the source. 
B)  Emphasize prevention rather than detection of defects. 
C)  Focus on process rather than output. 
D)  Establish continuous improvement as a way of life. 
E)  Stress subjective rather than objective analysis. (LO #2)

Question 19

Which of the following is not one of the benefits to the buyer of a supplier achieving ISO 9001:2008 registration?

Accepted Answer

A)  Few buying firms have sufficient size or resources to independently develop and implement their own comprehensive supplier certification audits. 
B)  The supplier may develop interest from other buyers wanting to do business with it. (LO #5) 
C)  Third party registration may provide insight into a supplier's quality system conformance that a buyer may otherwise lack. 
D)  The buying firm receives the benefit of a supplier quality certification without actually having to conduct its own quality certification audits. 
E)  The supplier assumes responsibility for meeting the ISO standards and paying its own registration fees. 
A)  Few buying firms have sufficient size or resources to independently develop and implement their own comprehensive supplier certification audits. 
B)  The supplier may develop interest from other buyers wanting to do business with it. (LO #5) 
C)  Third party registration may provide insight into a supplier's quality system conformance that a buyer may otherwise lack. 
D)  The buying firm receives the benefit of a supplier quality certification without actually having to conduct its own quality certification audits. 
E)  The supplier assumes responsibility for meeting the ISO standards and paying its own registration fees.

Question 20

Once a firm fully rationalizes and optimizes its supply base, improvement will occur primarily by developing the capabilities of existing suppliers rather than by switching suppliers on a large scale.

Accepted Answer

A) True 
 B)False

Even when given the proper climate in which to work, most people do not want to do a good job.

Because of the nature of many cost accounting systems, quality costs are rarely aggregated into various overhead accounts, which would mask their real impact on the finances and operations of a company.

All delivery activities in a process can be considered wasteful.

_____ are incurred following production or after the customer takes possession.

Which of the following is Falseconcerning Deming's philosophy on numerical quotas and measurement by objective?

Which of the following is not one of Deming's 14 points?

Deming indicates that the only proper way of dealing with defects is to inspect for and remove them from the process.

Designed-in systemic variation is a managerial concern, not a labor issue.

A _____ is designed to provide information about the performance of the process under stable operating conditions, i.e., when no special causes of variation are present.

The lowest purchase price of an item may be important in the short run for supply management but may cause increased costs somewhere else in the production system over the long run: excessive scrap and rework, defective products, greater warranty claims, and so on.

A grassroots TQM effort that emanates from the lower levels of the organization is doomed to failure without active and visible top management commitment and support.

In recent years, the concept of quality has changed radically from meeting customer requirements or expectations to exceeding them.

_____ represents the ability to meet or exceed current and future customer (i.e., buyer and eventually end customer) expectations or requirements within critical performance areas on a consistent basis.

A buyer cannot realistically expect the highest levels of supplier performance when the supplier must respond to frequent or short lead time changes.

It is far less expensive and more efficient in the long run to avoid generating the defect in the first place than it is to inspect for it once it is created.

To remain current registration, ISO 9001:2008 registration must be accomplished every _____.

In many respects, the cost of quality should actually be considered as the cost of "poor quality."

Which of the following is not one of the eight key principles of total quality management?

Which of the following is not one of the benefits to the buyer of a supplier achieving ISO 9001:2008 registration?

Once a firm fully rationalizes and optimizes its supply base, improvement will occur primarily by developing the capabilities of existing suppliers rather than by switching suppliers on a large scale.

Introduction to Purchasing and Supply Chain Management

The Purchasing Process

Purchasing Policy and Procedures

Supply Management Integration for Competitive Advantage

Purchasing and Supply Management Organization

Category Strategy Development

Supplier Evaluation and Selection

Supplier Management and Development: Creating a World-Class Supply Base

Worldwide Sourcing

Strategic Cost Management

Purchasing and Supply Chain Analysis: Tools and Techniques

Negotiation and Conflict Management

Contract Management

Purchasing Law and Ethics

Lean Supply Chain Management

Purchasing Services

Supply Chain Information Systems and Electronic Sourcing

Performance Measurement and Evaluation

Purchasing and Supply Strategy Trends

Filters

Exam 8: Supplier Quality Management

Even when given the proper climate in which to work, most people do not want to do a good job.

Because of the nature of many cost accounting systems, quality costs are rarely aggregated into various overhead accounts, which would mask their real impact on the finances and operations of a company.

All delivery activities in a process can be considered wasteful.

_____ are incurred following production or after the customer takes possession.

Which of the following is Falseconcerning Deming's philosophy on numerical quotas and measurement by objective?

Which of the following is not one of Deming's 14 points?

Deming indicates that the only proper way of dealing with defects is to inspect for and remove them from the process.

Designed-in systemic variation is a managerial concern, not a labor issue.

A _____ is designed to provide information about the performance of the process under stable operating conditions, i.e., when no special causes of variation are present.

The lowest purchase price of an item may be important in the short run for supply management but may cause increased costs somewhere else in the production system over the long run: excessive scrap and rework, defective products, greater warranty claims, and so on.

A grassroots TQM effort that emanates from the lower levels of the organization is doomed to failure without active and visible top management commitment and support.

In recent years, the concept of quality has changed radically from meeting customer requirements or expectations to exceeding them.

_____ represents the ability to meet or exceed current and future customer (i.e., buyer and eventually end customer) expectations or requirements within critical performance areas on a consistent basis.

A buyer cannot realistically expect the highest levels of supplier performance when the supplier must respond to frequent or short lead time changes.

It is far less expensive and more efficient in the long run to avoid generating the defect in the first place than it is to inspect for it once it is created.

To remain current registration, ISO 9001:2008 registration must be accomplished every _____.

In many respects, the cost of quality should actually be considered as the cost of "poor quality."

Which of the following is not one of the eight key principles of total quality management?

Which of the following is not one of the benefits to the buyer of a supplier achieving ISO 9001:2008 registration?

Once a firm fully rationalizes and optimizes its supply base, improvement will occur primarily by developing the capabilities of existing suppliers rather than by switching suppliers on a large scale.

Introduction to Purchasing and Supply Chain Management

The Purchasing Process

Purchasing Policy and Procedures

Supply Management Integration for Competitive Advantage

Purchasing and Supply Management Organization

Category Strategy Development

Supplier Evaluation and Selection

Supplier Management and Development: Creating a World-Class Supply Base

Worldwide Sourcing

Strategic Cost Management

Purchasing and Supply Chain Analysis: Tools and Techniques

Negotiation and Conflict Management

Contract Management

Purchasing Law and Ethics

Lean Supply Chain Management

Purchasing Services

Supply Chain Information Systems and Electronic Sourcing

Performance Measurement and Evaluation

Purchasing and Supply Strategy Trends

Filters