Question

A. B. C. D. E Investing in the same TQM Initiative round after round will create A. ever increasing returns B. diminishing returns C. the same amount of return 1. According to the S-Shaped curve, diminishing returns for a single year budget become noticeable at 2. A. $1,000,000 B. $1,500,000 C. $2,000,000 If a company with low automation wanted to invest in a single area that exclusively lowers labor costs, they would select: A. QIT (Quality Initiative Training) B. Concurrent Engineering C. Vendor/JIT (Just in Time [Inventory] 3. The exact outcome of TQM efforts appear on the TQM Report, and as bar charts on the TQM spreadsheet. These results are for A. the previous round only B. the upcoming round only C. cumulative for the previous and all remaining rounds (assuming no additional investment is made) 4. The TQM report can be accessed from A. The Capstone(r) Courier B. The Decisions menu 5.

Answer 1

The answer for the question 1 is B.

Each process reaches to perfection after few initiatives and there would not be any possibility to improve further more. In such cases, investing on same TQM initiatives round after round for such mature process will create diminishing returns.

The answer for the question 2 is C.

S – Shaped curve or Sigmoid curve represents the return on investment. The slope of the curve indicates whether the return on investment is high or low. More budget indicates that there is a fall in the return.

The answer for the question 3 is A.

Quality Initiative Training helps the company to invest in areas, which will benefit them.

Here, the company wants to reduce the labor costs and hence it can implement QIT.

Concurrent engineering deals with designing processes in which different stages run simultaneously.

JIT helps in reducing the waiting cost and warehousing cost etc.

The answer for the question 4 is C.

TQM investments show their effect year after year after they are successfully implemented assuming no additional investment is made.

The answer for the question 5 is A.

Capstone(r) courier is an alternative name of industry newsletter. Hence, TQM report can be accessed from this.