CHAPTER 5

1. Decreasing family size is an example of a(n) ________ that creates an opportunity for a new or redesigned product.

A. Technological changeB. Political changeC. Sociological and demographic change D. Economic change

2. Listing products in descending order of their individual dollar contribution to the firm is called

A. BrainstormingB. Value analysisC. Value engineeringD. Product-by-value analysis

3. A route sheet A. Is an instruction to make a given quantity of a particular itemB. Shows in schematic form how a product is assembledC. Lists the operations necessary to produce the component D. Is a correction or modification of an engineering drawing or bill of materials

4. An assembly chart is a(n) A. Exploded view of the productB. Instruction to make a given quantity of a particular itemC. List of the operations necessary to produce the componentD. Schematic showing how the product is assembled

5. Self-checkout at a grocery store is an example ofA. Customer participation in service delivery B. Delayed customizationC. Complete automationD. Customer participation in service design

6. Which of the following is characteristic of the maturity phase?A. Product designs begin to stabilize.B. Products are "fine-tuned."C. Competitors are well established. D. Products are considered for termination.

7. Modular designA. Offers flexibility to both production and marketing B. Means that small variations in production do not adversely affect the

productC. Is environmentally friendlyD. Uses computers to interactively design products

8. Which of the following is not a concept of green manufacturing?A. Use lighter components.B. Make products recyclable.C. Make products so that small variations in production do not adversely

affect the product.D. Use less harmful ingredients.

9. Which of the following is an external product development strategy?

A. New internally developed productsB. Enhancements to existing productsC. Migrations of existing productsD. Joint venture

10. Which of the following is an internal product development strategy?

A. Purchase technology or expertise by acquiring the developerB. Migration of existing productsC. Joint venturesD. Alliances

11. There is a 0.7 probability of experiencing an increase in demand and a 0.3 probability of a decrease. If a company redesigns an existing product, they will gain $400,000 if there is a demand increase and $100,000 if demand falls. If the company designs a new product, they will gain $300,000 if demand increases and $200,000 if demand falls. If the company does nothing, they will not increase revenue at all. Which statement below is best?

A. The company should redesign the existing product. B. The company should be indifferent about these two alternatives.C. The company should do nothing.D. The company should design a new product.

12. In the service industry, the crucial moment that exemplifies, enhances, or detracts from the customer's expectations is called

A. The state of nature

B. The moment of truth C. The payoffD. The critical instant

13. An umbrella of software programs that may include CAD/CAM, DFMA, product routing, maintenance, and other product concerns is called

A. Product lifecycle management software B. Enterprise resource management softwareC. Material requirements planning softwareD. Configuration management software

14. When a customer places a request for a product or service with a producer

A. A work order is created B. An assembly chart is createdC. A decision tree is createdD. An engineering change notice is created

15. Product design may be accomplished more quickly through the use of cross-functional teams that work on various aspects of the design at the same time. This approach is known as

A. The house of qualityB. Simultaneous designC. Concurrent engineering D. The "throw it over the wall" approach

CHAPTER 6

16. The U.S. National Quality Award is named afterA. TaguchiB. JuranC. Baldrige D. Deming

17. Taguchi's quality loss function is based on aA. Quadratic equation B. Negative exponential distributionC. Binomial distributionD. Linear equation

18. The Taguchi method includes three major concepts. These include all of the following, exceptA. Quality robustnessB. Quality loss functionC. Employee involvement D. Target-oriented quality

19. Cause-and-effect diagrams are also known asA. Process chartsB. Fish-bone charts C. Pareto chartsD. Target specification graphs

20. In this chapter, quality is defined asA. Even though it cannot be defined, you know what it isB. How well a product fits patterns of consumer preferencesC. The degree of excellence at an acceptable price and the control of variability

at an acceptable costD. The totality of features and characteristics of a product that bear on its

ability to satisfy stated or implied needs

21. Which of the following is not a common TQM tool?A. Pareto chartsB. Queuing models C. Cause and effect diagramsD. Process charts

22. In which of the four major categories of quality costs would the costs associated with scrap and rework belong?

A. AppraisalB. Internal failure C. ExternalD. Prevention

23. Which of the TQM tools would be best suited for displaying the number of students majoring in each business discipline?

A. Cause and effect diagramB. Scatter diagramC. Histogram D. Flow chart

24. Which of the TQM tools would be best suited for determining why your course registration is never correct?

A. Check sheetB. Cause and effect diagram C. Pareto chartD. Flow chart

25. A device or technique that ensures production of a good unit every time is a

A. Control chartB. Zero defectC. Fail-safeD. Poka-yoke

26. The ISO 9001:2000 standards areA. A set of product specifications for all industriesB. More widely adopted in the U.S. than in EuropeC. Quality management procedures that address leadership,

documentation, and record-keepingD. Are known as the Baldrige standards in the U.S.

27. This quality leader said that quality is free; it is non-quality that is expensive.

A. Armand FeigenbaumB. W. Edwards DemingC. Joseph JuranD. Phil Crosby

CHAPTER 7

28. Low-volume, high-variety production is best suited for which of the following process strategies?

A. Repetitive focusB. Process focus C. Mass customizationD. Product focus

29. High-volume, low-variety production is best suited for which of the following process strategies?

A. Product focus B. Process focusC. Repetitive focusD. Mass customization

30. A process focus isA. Organized around productsB. Based on the classical assembly lineC. A rapid, low-cost production that caters to constantly changing unique

customer desiresD. A production facility organized around processes

31. What is the break-even point in units for a firm that has a fixed cost of $300,000 a year, a direct labor cost of $2.00 per unit, a materials cost of $1.50 per unit, and a selling price of $5.00 per unit?

A. 200,000 units B. 1,500,000 unitsC. 150,000 unitsD. 100,000 units

32. Of the four tools used for process analysis and design, which one focuses on the customer interaction?

A. Service blueprinting B. Time-function mappingC. Process chartsD. Flow-diagrams

33. Which of the quadrants in the service process matrix has high labor intensity and high customization?

A. Mass serviceB. Service factoryC. Service shopD. Professional service

34. STEP allows the designer toA. Always design an object in a way to minimize the use of labor in assemblyB. Exchange design data with other designers on an international basis C. Always develop an optimum designD. Design three-dimensional objects

35. Which of the following automatically place parts into a warehouse?

A. ASRS B. FMSC. CADD. AGV

36. Work in process inventory is highest inA. Mass customizationB. Process focus C. Repetitive focusD. Product focus

37. A large quantity and large variety of products are produced inA. Process focusB. Product focusC. Mass customization D. Repetitive focus

38. The movement of product is measured in hours and days in a _____ type of plant.

A. Product focusB. Mass customizationC. Repetitive focus D. Process focus

39. Scheduling is relatively simple and concerned with establishing a rate of output sufficient to meet sales forecasts in a ______ type of factory.

A. Product focusB. Process focus C. Repetitive focusD. Mass customization

40. This type of process analysis tool is a schematic of the movement of material, product or people.

A. Flow diagram B. Process mappingC. Value stream mappingD. Process charts

41. Which of these production technologies is NOT a component of a flexible manufacturing system?

A. Automated storage and retrieval systemsB. Computer aided manufacturingC. RobotsD. Crossover charting systems

42. In many applications, human quality inspectors can be replaced effectively by

A. Automated storage and retrieval systemsB. Vision systems C. RFID tagsD. FMS