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Updated: Jul 02, 2026
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1. Which total quality management (TQM) process was developed to stress management's responsibility for quality?
A) Statistical quality control charts
B) Product design quality
C) 14 points for quality improvement
D) Fitness quality for use
2. A company suddenly finds demand has increased to 140% of its previous capacity. It has been able to hire only a fraction of the employees previously laid off, and a warehouse fire destroyed 80% of its inventory.
Which two options does the company have to rapidly meet the new demand?
Choose 2 answers
A) Hire and train new full-time employees
B) Subcontract a portion of production capacity
C) Build new production facilities
D) Hire temporary workers
3. Which tier-level supplier directly supplies materials or services to a processing and packaging plant?
A) Tier two suppliers
B) Tier five suppliers
C) Tier three suppliers
D) Tier four suppliers
E) Tier one suppliers
4. What is a key factor of a location analysis for a service company?
A) Proximity to customers
B) Effective capacity
C) Relations with community
D) Best operation level
5. When is capacity measurement at the best operating level?
A) At the minimum point of the cost curve
B) When the average unit cost is minimized
C) When the total cost is minimized
D) At maximum capacity
Solutions:
| Question # 1 Answer: C | Question # 2 Answer: B,D | Question # 3 Answer: E | Question # 4 Answer: A | Question # 5 Answer: B |
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