Total Quality Management Concepts

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Questions and Answers

What is the definition of quality according to the American Society for Quality?

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

How does improving quality lead to reduced costs?

Improving quality leads to reduced costs because there could be less defects or replacements needed, and efficiency can be increased.

Name and briefly explain the nine dimensions of quality.

Performance, Features, Serviceability, Aesthetics, Reliability, Perceived Quality, Conformance, Durability, Safety.

What are the components included in the cost of quality?

Cost of Conformance (Prevention costs, Appraisal costs), Cost of Non-conformance (Internal failure, External costs). Signup and view all the answers

List the seven concepts that are necessary for an effective TQM program.

Continuous improvement, Six Sigma, Employee Empowerment, Benchmarking, Just in Time (JIT), Taguchi methods, TQM Tools. Signup and view all the answers

What is the meaning of Six Sigma?

Highly structured approach to process improvement, statistically is a process that is 99.9997% capable. Signup and view all the answers

What are seven tools of TQM?

Check sheet, Scatter diagram, Cause and effect diagram (fish bone), Pareto chart, Flow chart, Histogram, Statistical process control chart. Signup and view all the answers

Distinguish between design capacity and effective capacity.

Design capacity is the max theoretical output under ideal conditions; effective capacity is what can be realistically achieved given constraints. Signup and view all the answers

What is utilization?

Utilization is the percent of design capacity achieved, expressed as Actual output/design output. Signup and view all the answers

What is efficiency?

Efficiency is the percent of effective capacity achieved, expressed as Actual output/effective capacity. Signup and view all the answers

What is the theory of constraints?

A body of knowledge that deals with anything that limits or constrains an organization's ability to achieve its goals. Signup and view all the answers

Distinguish between bottleneck time and throughput time.

Bottleneck time is the time of the longest process, while throughput time is the time it takes for a product to go through the production process with no waiting. Signup and view all the answers

What are the 5 steps for managing constraints?

<ol> <li>Identify the constraints 2. Develop a plan for overcoming the constraints 3. Focus resources on accomplishing previous step 4. Reduce effects of constraints 5. Find new constraints once overcome.</li> </ol> Signup and view all the answers

A plant has an effective capacity of _ units per day and produces _ units per day.

900, 800 Signup and view all the answers

A university can handle an enrollment of _ students per year but only _ students take business courses.

2000, 1450 Signup and view all the answers

Study Notes

Managing Quality

Quality is defined as the totality of features and characteristics of a product or service that bears on its ability to satisfy stated or implied needs.
Improving quality can lead to reduced costs due to fewer defects and increased efficiency.
Nine dimensions of quality include performance, features, serviceability, aesthetics, reliability, perceived quality, conformance, durability, and safety.
Costs of quality include prevention costs (reducing defects), appraisal costs (evaluating products), internal failure costs (defects found before delivery), and external failure costs (defects found after delivery).
Seven concepts for a successful Total Quality Management (TQM) program are continuous improvement, six sigma, employee empowerment, benchmarking, just-in-time (JIT), Taguchi methods, and TQM tools.
Six Sigma is a structured approach aiming for 99.9997% capability (3.4 defects per million opportunities).
Seven TQM tools are check sheets, scatter diagrams, cause-and-effect diagrams, Pareto charts, flow charts, histograms, and statistical process control charts.

Capacity and Constraint Management

Design capacity is the maximum theoretical output of a system under ideal conditions.
Effective capacity is the expected capacity given current operating constraints.
Utilization is the percent of design capacity achieved (actual output/design output).
Efficiency is the percent of effective capacity achieved (actual output/effective capacity).
Theory of Constraints identifies factors limiting organizational goals.
Bottleneck time is the time of the longest or slowest process; throughput time is the time it takes for a product to go through a production process.
Five steps to managing constraints include identifying, planning, focusing resources, reducing effects, and finding new constraints.

Linear Programming

Linear programming (LP) is a mathematical technique for optimal resource allocation, minimizing/maximizing objective functions subject to constraints.
Four requirements for LP include objective function (profit or cost), constraints, alternatives, and linearity.
Graphical solution steps include constructing a table, writing objective function and constraints as linear equations, plotting constraints to find the area of feasible solutions, identifying corner points, plugging coordinates into the objective function, and selecting the optimal solution.
A feasible solution in LP is any point within or on the boundary of the feasible region.

Waiting-Line Models

Queuing systems have three parts: arrival, waiting line, and service.
Arrival characteristics include size of the arrival population, pattern of arrivals, and behavior of arrivals.
Number of arrivals per unit of time is often modeled by a Poisson distribution.
Service time is often modeled by a negative exponential distribution.
Concepts like balking (customer not joining due to queue length) and reneging (customer joining and leaving the queue) can affect wait times.
Service facilities differ in terms of service time, single/multiserver, number of phases.
Models like M/M/1 and M/D/1 describe different queuing system characteristics.

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Description

This quiz explores the essential elements of Total Quality Management (TQM), focusing on quality definitions, dimensions, and associated costs. Test your knowledge on TQM tools and the Six Sigma approach, which aims for minimal defects in processes. Enhance your understanding of quality management practices that lead to business efficiency.