Question 1

A headphone manufacturer uses advancements in technology to continually improve the sound quality of its products. This is an example of

Accepted Answer

A) incremental product innovation. 
B) quantum process innovation. 
C) quantum product innovation. 
D) incremental process innovation. 
E) process development engineering.

Question 2

To realize improvements in ease of production, a company should

Accepted Answer

A) keep production methods constant for employee continuity. 
B) design products with fewer component parts. 
C) increase the average number of customer queries solved per day. 
D) decrease the number of employees performing a particular task. 
E) create an additional product as an adjunct to the main product.

Question 3

To achieve ________, managers must find a way to lower costs and/or increase differentiation.

Accepted Answer

A) quantum innovation 
B) superior quality 
C) total quality management 
D) a competitive advantage 
E) value chain management

Question 4

As a member of the ________ function within his company, Arturo visits new businesses to educate them on the features and advantages offered by his company's products.

Accepted Answer

A) production 
B) materials management 
C) customer service 
D) marketing 
E) sales

Question 5

Six Sigma shares with TQM its focus on improving value chain processes to increase

Accepted Answer

A) productivity. 
B) quality. 
C) innovation. 
D) flexibility. 
E) production.

Question 6

The primary goal of flexible manufacturing is to

Accepted Answer

A) create products that can be modified easily. 
B) repeatedly produce a standard product design. 
C) manage interactions among large factory teams. 
D) reduce the space needed for equipment. 
E) reduce the time required to set up production equipment.

Question 7

To speed product development and promote innovation, managers should avoid

Accepted Answer

A) forcing a structured process for evaluating ideas. 
B) funding too many project ideas at one time. 
C) tailoring products to meet customer demands. 
D) allowing team members to waste time brainstorming. 
E) establishing a stage-gate funnel.

Question 8

For successful total quality management (TQM),

Accepted Answer

A) quality is evaluated externally by customers after delivery. 
B) suggestions for improvement are provided by high-level managers only. 
C) managers in every function must cooperate. 
D) additional steps in the production process must be implemented. 
E) a just-in-time inventory shouldn't be used.

Question 9

Define a value chain and the concept of value chain management. Select two functions within a value chain and provide an example of effective management for each.

Accepted Answer

The answer of Define a value chain and the concept...

Question 10

Riya is assigned to a new project and has ownership for key project stages from planning, through development, to delivery. Riya is considered a ________ member of the project team.

Accepted Answer

A) contract 
B) core 
C) supporting 
D) developmental 
E) founding

Question 11

A company that produces business telephones does an audit of customer complaints. The results reveal that the customer support department has the biggest share of complaints. This represents a ________ defect.

Accepted Answer

A) product 
B) manufacturing 
C) service 
D) distribution 
E) supply

Question 12

The goal of Six Sigma is to improve a company's quality to only three defects per million by

Accepted Answer

A) systematically altering the way all processes involved in value chain activities are performed. 
B) limiting the value chain implementation to six functions. 
C) focusing process improvements on the manufacturing and production activities in the value chain. 
D) focusing process improvements on the sales and after-sales support activities in the value chain. 
E) building relationships with customers to increase value over time.

Question 13

Miranda suggests to her company that they should introduce self-managed teams in order to

Accepted Answer

A) specialize team member skills. 
B) increase workforce efficiency. 
C) simplify production processes. 
D) build a taller organizational hierarchy. 
E) centralize management responsibilities.

Question 14

A recent review of the company's operational costs showed that it needed to achieve dramatic improvements in all aspects of performance to stay competitive. What should the CEO do to best improve performance?

Accepted Answer

A) Increase management oversight of employees. 
B) Launch a process reengineering task force. 
C) Approve incremental product changes. 
D) Add steps to each value chain activity to monitor results. 
E) Implement a flexible manufacturing model.

Question 15

Members of a self-managed team often

Accepted Answer

A) develop depth of experience in a single task. 
B) are closely monitored by functional supervisors. 
C) produce just part of a product. 
D) have some responsibility for hiring, ordering materials, and managing schedules. 
E) operate according to specific rules, SOPs, and restrictive norms.

Question 16

________ is the gradual improvement and refinement of existing products over time as existing technologies are perfected.

Accepted Answer

A) Quantum process innovation 
B) Quantum product innovation 
C) Incremental product innovation 
D) Incremental process innovation 
E) Product process reengineering

Question 17

A local car dealership sells a minivan to a couple. Three days later, they call the couple to ensure they are happy with the purchase and to address any questions or concerns they may have regarding the new vehicle. This dealership is trying to gain a competitive advantage through superior

Accepted Answer

A) efficiency. 
B) product quality. 
C) innovation. 
D) speed and flexibility. 
E) responsiveness to customers.

Question 18

________ is a technique that focuses all functions within an organization on improving the design, features, reliability, and after-sales support of products.

Accepted Answer

A) Flexible manufacturing 
B) Just-in-time management 
C) Total quality management 
D) Quantum innovation 
E) Customer relationship management

Question 19

________ management is the development of a set of functional-level strategies that support a company's business-level strategy and strengthen its competitive advantage.

Accepted Answer

A) Total quality 
B) Human resource 
C) Value chain 
D) Materials 
E) Customer relationship

Question 20

To effectively implement total quality management, managers should

Accepted Answer

A) minimize interactions across departments to increase functional focus. 
B) demand that employees achieve quality goals without added incentives. 
C) ask employees for suggestions about improvements. 
D) focus on the cost of the quality program. 
E) stockpile inventory to avoid manufacturing delays.

Exam 9: Value Chain Management Functional Strategies for Competitive Advantage