Question 1

Differentiate between financial ratios and productivity ratios of benchmarking data.

Accepted 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.

Question 2

________ include objectives, policies, and procedures followed by a firm.

Accepted Answer

A) Productivity ratios 
B) Quality measures 
C) Market share data 
D) Structural measures 
E) Operating results 
A) Productivity ratios 
B) Quality measures 
C) Market share data 
D) Structural measures 
E) Operating results D

Question 3

To contribute to efficient, effective, and ethical benchmarking, individuals abide by benchmarking principles.

Accepted Answer

A) True 
 B)False  True

Question 4

The scrap efficiency can be calculated by dividing the cost of scrap by the cost of goods sold.

Accepted Answer

A) True 
 B)False

Question 5

Breadth refers to the impact of the process redesign to the entire organization.

Accepted Answer

A) True 
 B)False

Question 6

In the ________ process of business process benchmarking, the inputs are aligned together to form the product or service.

Accepted Answer

A) reconstruction 
B) control 
C) reengineering 
D) transformation 
E) conversion 
A) reconstruction 
B) control 
C) reengineering 
D) transformation 
E) conversion

Question 7

Calculate the total factor productivity for Firm A.

Accepted Answer

A) 19.20 
B) 3.31 
C) 1.22 
D) 14.77 
E) 8.68 
A) 19.20 
B) 3.31 
C) 1.22 
D) 14.77 
E) 8.68

Question 8

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?

Accepted Answer

A) 3.16 
B) 9.95 
C) 5.83 
D) 13.6 
E) 18.24 
A) 3.16 
B) 9.95 
C) 5.83 
D) 13.6 
E) 18.24

Question 9

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.

Accepted Answer

A) True 
 B)False

Question 10

________ is based on the concept of 5w2h.

Accepted Answer

A) Business process benchmarking 
B) Statistical process control 
C) Total quality management 
D) Business process reengineering 
E) Reverse engineering 
A) Business process benchmarking 
B) Statistical process control 
C) Total quality management 
D) Business process reengineering 
E) Reverse engineering

Question 11

The process of dismantling competitors' products to understand the strengths and weaknesses of their designs is referred to as ________.

Accepted Answer

A) benchmarking 
B) reengineering 
C) baselining 
D) inverse production 
E) reverse engineering 
A) benchmarking 
B) reengineering 
C) baselining 
D) inverse production 
E) reverse engineering

Question 12

Which of the following types of benchmarking does not require direct interaction between the initiator firm and the target firm?

Accepted Answer

A) functional 
B) product 
C) performance 
D) financial 
E) process 
A) functional 
B) product 
C) performance 
D) financial 
E) process

Question 13

Depth of the process redesign refers to organizational elements such as responsibilities, measurements, information technology, and skills.

Accepted Answer

A) True 
 B)False

Question 14

What is the first step in Xerox's 10-step process to benchmarking?

Accepted Answer

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 
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

Question 15

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?

Accepted Answer

A) 7.60 
B) 5.00 
C) 6.26 
D) 9.33 
E) 3.18 
A) 7.60 
B) 5.00 
C) 6.26 
D) 9.33 
E) 3.18

Question 16

The benchmarking principle of ________ states that you must be willing to provide the same level of information that you request.

Accepted Answer

A) preparation 
B) exchange 
C) completion 
D) understanding and action 
E) use 
A) preparation 
B) exchange 
C) completion 
D) understanding and action 
E) use

Question 17

Business process maps are used to identify the exact performance measures and metrics needed from the target firm.

Accepted Answer

A) True 
 B)False

Question 18

Explain the importance of training in benchmarking.

Accepted Answer

Training is a key to success in all qual

Question 19

Cycle times and waste-reduction measures are examples of operating results of benchmarking data.

Accepted Answer

A) True 
 B)False

Question 20

Calculate the materials productivity of Firm B.

Accepted Answer

A) 3.47 
B) 10.40 
C) 19.20 
D) 6.80 
E) 2.60 
A) 3.47 
B) 10.40 
C) 19.20 
D) 6.80 
E) 2.60

Differentiate between financial ratios and productivity ratios of benchmarking data.

________ include objectives, policies, and procedures followed by a firm.

To contribute to efficient, effective, and ethical benchmarking, individuals abide by benchmarking principles.

The scrap efficiency can be calculated by dividing the cost of scrap by the cost of goods sold.

Breadth refers to the impact of the process redesign to the entire organization.

In the ________ process of business process benchmarking, the inputs are aligned together to form the product or service.

Calculate the total factor productivity for Firm A.

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?

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.

________ is based on the concept of 5w2h.

The process of dismantling competitors' products to understand the strengths and weaknesses of their designs is referred to as ________.

Which of the following types of benchmarking does not require direct interaction between the initiator firm and the target firm?

Depth of the process redesign refers to organizational elements such as responsibilities, measurements, information technology, and skills.

What is the first step in Xerox's 10-step process to benchmarking?

The benchmarking principle of ________ states that you must be willing to provide the same level of information that you request.

Business process maps are used to identify the exact performance measures and metrics needed from the target firm.

Explain the importance of training in benchmarking.

Cycle times and waste-reduction measures are examples of operating results of benchmarking data.

Calculate the materials productivity of Firm B.

Differing Perspectives on Quality

Quality Theory

Global Supply Chain Quality and International Quality Standards

Strategic Quality Planning

The Voice of the Customer

Quality and Innovation in Product and Process Design

Designing Quality Services

Managing Supplier Quality in the Supply Chain

The Tools of Quality

Statistically Based Quality Improvement for Variables

Statistically Based Quality Improvement for Attributes

Six Sigma Management and Lean Tools

Managing Quality Improvement Teams and Projects

Implementing and Validating the Quality System

Filters

Exam 6: The Voice of the Market

Differentiate between financial ratios and productivity ratios of benchmarking data.

________ include objectives, policies, and procedures followed by a firm.

To contribute to efficient, effective, and ethical benchmarking, individuals abide by benchmarking principles.

The scrap efficiency can be calculated by dividing the cost of scrap by the cost of goods sold.

Breadth refers to the impact of the process redesign to the entire organization.

In the ________ process of business process benchmarking, the inputs are aligned together to form the product or service.

Calculate the total factor productivity for Firm A.

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?

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.

________ is based on the concept of 5w2h.

The process of dismantling competitors' products to understand the strengths and weaknesses of their designs is referred to as ________.

Which of the following types of benchmarking does not require direct interaction between the initiator firm and the target firm?

Depth of the process redesign refers to organizational elements such as responsibilities, measurements, information technology, and skills.

What is the first step in Xerox's 10-step process to benchmarking?

The benchmarking principle of ________ states that you must be willing to provide the same level of information that you request.

Business process maps are used to identify the exact performance measures and metrics needed from the target firm.

Explain the importance of training in benchmarking.

Cycle times and waste-reduction measures are examples of operating results of benchmarking data.

Calculate the materials productivity of Firm B.

Differing Perspectives on Quality

Quality Theory

Global Supply Chain Quality and International Quality Standards

Strategic Quality Planning

The Voice of the Customer

Quality and Innovation in Product and Process Design

Designing Quality Services

Managing Supplier Quality in the Supply Chain

The Tools of Quality

Statistically Based Quality Improvement for Variables

Statistically Based Quality Improvement for Attributes

Six Sigma Management and Lean Tools

Managing Quality Improvement Teams and Projects

Implementing and Validating the Quality System

Filters