All of the following are the elements of a TQM system EXCEPT:

Leadership
Communications
Measurement
Detentions

The standards for output based on quality and customer- service requirements that originate at
the organizational and process levels include requirements for all of the following EXCEPT:
Accuracy
Innovation
Timeliness
Turnover

One of the advantages of team work is:

It breaks down barriers between internal customers and suppliers

It results in promotion
It results in salary increment
None of the given options

Reworking _______ the cost of quality.

Decreases
Increases
Neutralizes

________ refers to general processes of improvement and

encompasses discontinuous improvements

Continuous improvement
Continual improvement
Constant improvement
Consecutive improvement

Total quality costs include:

Prevention costs
Appraisal costs
Failure costs
All of the given options

the job characteristic of quality professionals is:

Educating others
Achieving personal targets
Consultative work with other departments
None of the above

Why the factory managers created inspection departments?

To keep defective products aside, ensuring they do not reach the customers
To ensure quantity of goods/services
To count, grade, and rework
All of the above

The ‘ Father’ of statistical quality control is:

F. W. Taylor
Joseph M. Juran
Philip Crosby
Walter Shewhart

Nonconformance is an expense of:

Profit of quality
Defects of quality
Quality of product
Cost of quality

Crosby’ s approach to management is:

A problem that can never be solved
Absolutes of Quality Management
Interim Management
ISO

Example of prevention costs is:

Quality improvement projects

Downgrading
To link outcomes to uses
Warranty claims

Big Q is:
Quality of services
Quality of people
Quality of processes
All of the above

Which of the following document(s) is (are) included in the quality system?

A quality policy
Customer focus
Commitment
All of the given options

-------------- is a graphic tool for defining the relationship between customer desires and the
firm/product capabilities.

House of Quality

Affinity diagram

Arrow diagram

None of the give option

Nonconformance is an expense of

Profit of quality

Defects of quality

Quality of product

Cost of quality

Crosby’ s approach to management is

A problem that can never be solved

Absolutes of Quality Management

Interim Management

ISO

Best price or zero cost is

To keep defective products aside, ensuring they do not reach the customers

Prerogative cost

To count, grade, and rework

Cost leadership
40. The process of evaluating overall project performance on a regular basis to provide
confidence that the project will satisfy the relevant quality standards is called:

1. Quality Assurance

2. Quality Control

3. Quality Planning

4. Quality Review

41. The process of monitoring specific project results to determine if they comply with relevant
quality standards is called:

A. Quality Assurance

B. Quality Control

C. Quality Planning

D. Quality Review

42. A histogram ordered by frequency of occurrence that shows how many results were
generated by each identified cause is:

A. Statistical Histogram

B. Juran Histogram

C. Fishbone Diagram

D. Pareto Diagram

4. Tools and techniques used during the Quality Planning process include:

A. Benefit / cost analysis

B. Benchmarking

C. Quality audits
D. a and b

E. all of the above

43. The overall intentions and direction of an organization with regard to quality as formally
expressed by top management is a:

A. Quality Plan

B. Quality Statement

C. Quality Policy

D. TQM

44. CIP is:

A. Continuous improvement process

B. A sustained, gradual change

C. Includes constancy of purpose and commitment to quality as part of its focus

D. a and b

E. all of the above

45. The practice of ceasing mass inspections and ending awards based on price is credited to:

A. Edward Deming

B. Philip Crosby

C. Juran

D. Pareto

46 Quality is:

A. Zero defects found

B. Conformance to requirements

C. The totality of features and characteristics of a product or service that bear on its ability to
satisfy stated or implied needs

D. b and c

E. all the above

46. The concept of making a giant leap forward followed by a period of maturity is:

A. Innovation

B. Continuous improvement

C. Just in time

D. Paradigm

47. The concept that it is easier and less costly to do the work right the first time is called:

A. Zero defects

B. Continuous improvement

C. DTRTRTFT

D. The customer is the next person in the process

48. The ability of a product to be used for different purposes at different capacities and under
different conditions determines its:

A. Usability

B. Flexibility

C. Operability

D. Availability

49.wich of the following is not considered a cost of nonconformance to quality?

A. Scrap

B. Rework

C. Expediting

D. Process control

E. all of the above are considered nonconformance costs

50. Cost of quality includes:

A. Cost of all work to build a product or service that conforms to the requirements

B. Training programs

C. Cost of all work resulting from nonconformance to the requirements

D. a and b

E. all of the above

51. What percentage of sales is estimated to be the cost of non-quality?

A. 3-5%

B. 12-20%

C. 30-40%

D. 6-8%

52. A series of consecutive points on the same side of the average is called:

A. Run

B. Trend

C. Outliers

D. Cycle
53. Which of the following statements concerning acceptance sampling is false?

A. Used when expensive and time-consuming to test the product 100%.

B. The number of allowable defects before lot is rejected is predetermined.

C. Inspection and test standards must be established to ensure that procedures can adequately
determine conformance and nonconformance.

D. If the number of defects found in the sample exceeds the predetermined amount, the entire lot
is rejected.

E. All of the above are true

54. 80% of the problems are found in 20% of the work is a concept of:

A. Edward Deming

B. Philip Crosby

C. Juran

D. Pareto

55. A structured tool, usually industry or activity specific, used to verify that a set of required
steps has been performed is called:

A. Quality Policy

B. Check list

C. Trend analysis

D. Pareto diagram
Total Quality Management [TQM]

Case Studies
Case Study: Total Quality Management [TQM]

Executive Summary:

Our client, a multi-location ready mix concrete, sand and gravel supplier faced the twin problems
of escalating costs and eroding customer service. MLE was engaged to support the President as
he implemented his vision for the firm. Central to his vision was the creation of a culture which
valued quality, customer service and continuous improvement. Over a six month period MLE
Consulting performed a TQM readiness assessment, organized the Quality Steering Committee,
trained the management and hourly employees in TQM and supported the work of the
departmentally based Quality Teams and the cross functional Corrective Action Teams. Our
client has reported savings of $2 million to $3 million.
Background:

The firm is one of the largest ready mix concrete producers in the Mid-Atlantic region. Over 350
employees are spread over seven different locations and four major divisions. The second
generation management team recognized the need to change the culture of the organization
without losing the strength of the family oriented culture. The company did not have a history of
participative management and reacted slowly to opportunities. Initial interviews confirmed that
management was viewed skeptically. Substandard internal communication fed fear and
resentment on the part of employees.

Managers and employees were very loyal to the company. Most of them had grown up in the
business. Management had a "shirt sleeve style" typical of the construction industry. Most of the
truck drivers could read and write. Turnover was exceptionally low by national and regional
standards.

The prolonged recession in commercial and residential construction had put them in a vulnerable
position. They were faced with increasingly aggressive competition. A major objective for
implementing TQM was to eliminate the waste in delivery and improve the reliability of delivery.
The President made it plain that the savings from improvements would fund the culture he
needed to implement TQM.

The Process:

The first step was to perform a TQM readiness assessment. Over a five day period MLE
interviewed all of the senior management team and several hourly employees. This confirmed
initial observations and highlighted several areas for targeted customer service improvement and
cost reduction. TQM training was developed and initial Corrective Action Teams (CAT) were
formed, based on the results of the assessment.

The next step was to communicate the vision to every employee in the company. The President
told each employee his vision for the business. MLE attended these special 5:30 AM meetings
with the truck drivers to answer questions about the TQM process.

The next step was to organize the steering committee and train the management team. Training
was further developed in the six TQM training sessions. By incorporating their culture,
credibility was improved. In addition, training improved the application of TQM ideas and broke
down barriers to change.

Four groups of twenty employees were then trained. MLE trained in-house trainers to continue
the training of employees.
A second, but equally important task continued parallel to the training. The Corrective Action
Team (CAT) used the TQM process to improve the customer service levels and eliminate waste
in trucking.

The CAT team used each of the five critical areas in Total Quality Management to generate the
needed changes in their trucking operations:

Customer Focus

Teamwork

Problem Solving

Waste Elimination

Continuous Improvement

Over three months they generated cost reduction initiatives worth $600,000 and implemented
over $300,000 of cost savings. This major victory by hourly and first line management
demonstrated the effectiveness of TQM.

Results:

The client engaged MLE to support a change in the vision of the company. They realized a 25:1
payback on their investment in Total Quality Management. Their premier service reputation was
restored and they became the preferred supplier to many contractors. According to the President,
the company has become much amore flexible and responsive. Improvements to the bottom line
bear this out.

Source:http://www.slideshare.net/siddharth4mba/case-study-tqm-total-quality-management

QUESTIONS

Q1: Why MLE change the culture of the organization?

Q2: The process which MLE follow was right?

Q3: Why the profit increased?

Q1: Why MLE change the culture of the organization?

Ans: The firm was one of the largest ready mix concrete producers Over 350 employees are
spread over seven different locations and four major divisions but Turnover was exceptionally
low by National and regional standards. The competition in the industry was increasing so
without changing the culture according to the modern standards the survival of the company was
in danger. The management also realized that we should focus on quality and customer
satisfaction so they decided to bring change.

Q2: The process which MLE follow was right?

Ans: MLE follows the process in a very systematic way and takes steps in right direction.

TQM readiness assessment was done

Communicate the vision to every employee of the company

Train the management team

Focus on five major areas Customer Focus, Teamwork, Problem Solving

Continuous improvement, waste elimination

The process which MLE follows was right and got good results.

Q3: Why the profit increased?

The following are the main reasons

MLE was already an established organization and organization just needs implementation of
TQM tools and methods in efficient way

Management and employees was very loyal to organization

Employees accept changes in a positive way

Planning and implementation was perfect

Focus on right areas

Case Study-Karodhimal Ltd

Very fast growing company catering to North American Market.

Average package is around 5.70 lakhs per annum.

They spend heavily on training of each professional i.e. around 3 lakhs each year.

Their current strengths is around 400 and last year it was 350.

Last year they have achieved the sales of 65 million $ i.e. around 292.5 crores rupees.

Target given to each individual is around 1 million $ i.e. 4.5 crores ( taking exchange rate
1US$ = 45 INR).

Now the hierarchy of the organization was very simple i.e. initially business consultant
then senior business consultant then regional manager and then senior sales manager and
then sales manager and then CEO. They are the direct selling agent for one software in the
market.

Questions: Just by looking at the above facts deduce the organization culture, environment,
quality management levels observed in the organization.

Deduce as much Information possible from this data.

After this state whether if given a chance will you join this organization or not.