CMQ-OE Online Practice Questions and Answers

Which of these circumstances might reasonably prompt a reevaluation of an organization's policies and strategic objectives?

I. The retirement of the CEO

II. A merger with another company

III. Divestiture of a major division

IV.

Obsolescence of a major technology

A.

I, II, III, and IV

B.

II, III, and IV only

C.

I, II, and IV only

D.

II and III only

Effective actions taken to improve products and service provided by a sports clothing manufacturer to the distributors of their athletic products could include:

I. Conducting a survey of all end users

II. Collecting and analyzing data on what type and quality of the manufacturer 's products appear to be in demand based on shipments in the past twelve months.

III. Identifying patterns of sales by product, by geographic location, and by size of distributor.

IV.

Mutually identifying targets of opportunity beneficial to both manufacturer and distributors, setting improvement objectives, and planning the improvements

A.

I and IV only

B.

II and III only

C.

I, II, III, and IV

D.

II, III, and IV only

The process of optimizing a supply-chain network requires all parties to:

A. maintain agreed-upon safety stock to ensure steady supply

B. give up some independence in pursuit of shared objectives

C. maintain their own inspection departments

D. adjust capacity in anticipation of market shifts

Rank in order, from first to last, the following steps for planning quality assurance within an organization.

1.

Define the company's purpose

2.

Determine basic work activities

3.

Develop job descriptions

4.

Establish quality objectives

A. 1, 2, 3, 4

B. 1, 4, 2, 3

C. 3, 2, 4, 1

D. 3, 1, 4, 2

The formula above is known as the

A. annual payback

B. benefit-cost ratio

C. net present value (NPV)

D. internal rate of return (IRR)

Regulatory standards are derived from which of the following sources?

A. Contracts

B. Legislation

C. Consumer groups

D. ISO 9001

If an organization currently has no strategic plan, the primary focus for a newly hired, senior-level quality manager should be to

A. select a strategic planning model that is simple enough to deploy in the existing business environment

B. create a survey to identify a starting point for a strategic plan

C. determine senior management's level of commitment for a strategic planning effort

D. identify the operational planning that has been completed in the past

According to Juran, the one element that is present in all corporate successes and absent in most failures is

A. positive market conditions

B. a reward and recognition program

C. top management involvement

D. properly trained quality staff

Companies that survey their internal customers have learned which of the following about quality-related issues?

A. Satisfied employees will be able to explain customer service policies and procedures more accurately than dissatisfied employees.

B. The problems that cause employee dissatisfaction can be the same issues that cause external customer dissatisfaction.

C. Internal customer satisfaction drives internal supplier support.

D. Internal customer satisfaction drives external supplier support.

A service provider decides to expand its operations and determines that the company will need three quality engineers to assist with the expansion. Making the decision to hire these engineers as a means of supporting the company's growth is an example of

A. a SWOT analysis

B. a strategic plan

C. an organizational goal

D. an action plan

According to the Taguchi loss function, which of the following statements is true about total quality costs?

A. They decrease as they approach target value.

B. They decrease with employee training.

C. They increase with employee training.

D. They increase with sales volume.

A short-range trend analysis is most beneficial when it is used to

A. monitor an overall process

B. monitor progress toward tactical goals

C. compare present cost levels to past cost levels

D. identify the contribution of individual failure-cost elements

On a balance sheet, which of the following elements should be classified as "assets"?

A. All equipment and the earning value of all employees

B. Any resources that have a monetary value

C. Only the resources that are used to produce saleable goods

D. Only the facilities and the physical equipment contained in those buildings

After conducting a kaizen event for cycle time reduction, which of the following should be true?

A. Cycle time Takt time

B. Cycle time Takt time

C. Cycle time Lead time

D. Cycle time Available time

A process capability study is designed to show the

A. potential for errors in a process

B. range of variation in process

C. capacity of a process

D. cause of special effects in a process