OM 9

Broadly defined, quality refers to the ability of a product or service to occasionally meet or exceed
customer expectations.

FALSE Quality refers to consistently meeting or exceeding customer expectations.

An organization achieves quality by consistently meeting their competitor's standards.

FALSE An organization achieves quality by meeting or exceeding customer expectations.

Because 'courtesy' is subjective, it can't be considered a factor in service quality.

FALSE Many dimensions of quality are subjective.

Recent changes to ISO guidelines stress continuous improvement regardless of how good you currently
are.

TRUEISO guidelines stress continuous improvement.

The seven dimensions of quality are important for products but are not applicable in service
organizations.

FALSE Dimensions of quality are often similar across products and services.

Regardless of superior quality, consumers won't pay premium prices.

FALSE Customer will often pay premium process for superior quality.

High Quality and low prices are both considered to be dimensions of quality.

FALSE Price is not considered a dimension of quality.

The Baldrige award can only be won by manufacturing organizations.

FALSE It can and has been won by service organizations.

Quality of conformance refers to the degree to which goods and services conform to the intent of the
designers as documented in the specifications.

TRUE High conformance to designer intent leads to high quality of conformance.

Quality of design refers to the degree to which goods and services achieve the intent of the designers.

FALSE Quality of design refers directly to the intent of the designers.

In market research, a group of consumers who express their opinions about a product or service is called
a steering committee.
FALSE This would be called a focus group.

Business organizations achieving good quality benefit in a variety of ways, including a positive reputation
for quality, increased customer loyalty, and lower production costs.

TRUE Good quality conveys a wide variety of benefits.

User instructions and follow-up services after delivery are important elements of overall product or
service quality.

TRUE Overall product or service quality includes user instructions and follow-up services.

Reducing the variations in our product or service is an important key to perceived quality.

TRUE Variability reduction is a key means by which quality can be improved.

Product design choices are usually the result of inputs from accounting and human resources.

FALSE Design choices usually result from marketing and engineering inputs.

The dimensions of product and service quality are too abstract to be applied operationally.

TRUE Determinants of quality are more readily applied operationally.

The degree to which a product or service satisfies its intended purpose is determined by design,
conformance to design, cost, and reputation of the producer.

FALSE Neither cost nor reputation influences this.

The degree to which a product or service satisfies its intended purpose is determined by service after
delivery, ease of use, design, and conformance to design.

TRUE These are determinants of quality.

Medical malpractice claims are an example of how poor quality can affect an organization through
liability.

TRUE Poor quality can have serious financial effects.

Convenience, Reliability and Assurance are dimensions of service quality.

TRUE These are dimensions of service quality.

Poor quality has a positive effect on productivity because it usually takes longer to produce a good part.

FALSE Poor quality has a negative effect on productivity.

If the majority of service customers are satisfied, it is likely that all service customers will be satisfied.
FALSE Different customers tend to have different expectations.

The primary difference between internal failures and external failures is time and place of discovery of
the failure.

TRUE When the failure is discovered typically determines whether it is an internal or an external failure.

Customer expectations tend to change over time affecting their perception of service quality.

TRUE Customer expectations do change over time.

Cost of inspectors, testing, test equipment, and labs are examples of prevention costs.

FALSE These are appraisal costs.

Cost of inspectors, testing, test equipment, and labs are examples of appraisal costs.

TRUE These are appraisal costs.

Modern quality management emphasizes finding and correcting mistakes before they reach the
customer - catching the errors before they are shipped.

FALSE Modern quality management emphasizes avoiding mistakes before they ever happen.

Deming stresses that workers are primarily responsible for poor quality because very often they fail to
follow instructions.

FALSE Deming stressed that systems rather than workers were primarily responsible for poor quality.

According to Deming, it is the systems that management puts into place that are primarily responsible
for poor quality, not employees.

TRUE Deming focused on systems as determinants of quality.

. Juran describes quality management as a trilogy that consists of quality planning, quality control, and
quality improvement.

TRUE Juran focused on planning, control and improvement.

Juran describes quality management as a trilogy that consists of quality planning, control of quality costs,
and quality improvement.

FALSE Juran focused on quality planning, quality control, and quality improvement.

Quality at the source means returning all defects to the source - our vendors.

FALSE Quality at the source refers to making each worker responsible for the quality of his or her own
work.
Six sigma programs have both management and technical components.

TRUE Both management and technical components are part of six sigma programs.

Crosby's concept of "quality is free" means that it is less expensive to do it right initially than to do it
over.

TRUE Crosby believes quality pays for itself.

The causes of variation in any process can be identified through the general categories of people,
procedures, education and age.

FALSE The general categories are people, procedures and processes.

Quality certification refers to a process of 100 percent inspection to catch all defective products before
they leave the company; this allows every item to be certified defect free.

FALSE Quality certification refers to the process of certifying that quality processes are in place.

The customer is the focal point and customer satisfaction is the driving force in quality management.

TRUE The customer and his or her satisfaction are central to quality management.

When considering service quality, convenience often is a major factor.

TRUE Convenience is often a major dimension of service quality.

Serviceability, Conformance and Reliability are dimensions of product quality.

TRUE These are common dimensions of product quality.

Firms that wish to do business with the European Community can benefit from having a quality
management system that meets ISO 9000 standards.

TRUE ISO 9000 certification is critical for doing business in Europe.

Continuous improvement attempts to achieve major breakthroughs in product or service quality.

FALSE Continuous improvement attempts to achieve ongoing improvements in product or service

So long as quality input resources are used to make a product, we can expect quality output from the
process.

FALSE Quality inputs help with quality but they do not guarantee it.

Three key philosophies in TQM are continuous improvement, involvement of everyone in the
organization, and customer satisfaction.
TRUE These are the three key philosophies.

Suppliers are not included in quality assurance and quality improvement efforts in TQM; they should
worry about their own problems.

FALSE Suppliers are critical in TQM.

Zero defects requires 100% inspection of the final product.

FALSE Zero defects can be achieved through quality at the source.

The PDSA cycle forms the conceptual basis for continuous improvement.

TRUE It reflects some of the primary ideas behind continuous improvement.

A control chart is a visual representation of the various states in a process.

FALSE A control is a visual representation of the output of a process.

The purpose of benchmarking is to establish a standard against which the organization's performance
can be judged, and to identify a model for possible improvement.

TRUE Benchmarking is used to establish a standard against which performance can be judged.

TQM expands the traditional view of quality beyond looking only at the quality of the final product or
service to looking at the quality of every aspect of the process.

TRUE TQM focuses on what leads to the outcome rather than the outcome itself.

The benchmark organization must be chosen from the same industry in order for its methods to be
applicable.

FALSE The benchmarked organization should be best in class, regardless of industry.

A quality circle is a cross-functional team focused on quality.

FALSE Quality circles typically aren't cross-functional.

Total quality management attempts to involve everyone in an organization in the effort to achieve
quality.

TRUE TQM is an organization-wide initiative.

There is a positive link between quality and productivity.

TRUE Higher quality leads to higher productivity.

The term "quality at the source" refers primarily to the practice of requiring each of our vendors to
provide quality parts and materials.
FALSE Quality at the source refers to each worker being responsible for the quality of his or her work.

ISO standards aid in transferring technology to developing countries.

TRUE ISO facilitates the transfer of quality expertise to developing countries.

TQM is not just a collection of techniques. It is rather a whole new attitude toward quality.

TRUE TQM is a philosophy.

The PDSA cycles is also referred to as the Baldrige Wheel.

FALSE It's also referred to as the Deming wheel or Shewhart cycle.

When problems arise in a total quality managed organization, it is important to assign blame and punish
the worker responsible for causing the problem.

FALSE Blame and punishment have little place in a TQM organization.

ISO standards apply only to manufacturing organizations.

FALSE ISO standards can apply to service organizations.

A major obstacle to implementing TQM can be an emphasis on long-term financial results.

FALSE Short-term financial focus can be an obstacle to implementing TQM.

One criticism of total quality management is that it may produce blind pursuit of quality to the neglect
of other priority considerations.

TRUE Considerations other than quality sometimes can be neglected.

Process mapping is part of process improvement.

TRUE Mapping the process is a first step in process improvement.

Total quality management is a collection of techniques, such as quality control charts, ISO 9000, and
quality function deployment.

FALSE TQM is a philosophy.

A tool that is not used for quality management is ________.

A. Flowchart

B. Histogram

C. Perato Analysis

D. Redesign
E. Check sheets

D. Redesign

Redesigns aren't part of quality management.

The four dimensions of quality that are sometimes used to determine fitness for use of a product are
______.

A. performance, special features, durability, and service after sale

B. performance, special features, conformance, and reliability

C. special features, conformance, reliability, and durability

D. performance, conformance, reliability, and durability

E. special features, conformance, durability, and service after sale

B. performance, special features, conformance, and reliability

These are the four dimensions of quality that are sometimes used to determine fitness for use of a
product.

A tool that depicts process variation graphically is a(n) _________.

A. Affinity diagram

B. Check list

C. Control Chart

D. Flow Chart

E. Relationship diagram

C. Control Chart

Control charts depict process variation.

Which isn't a cost of quality?

A. Prevention cost

B. External failure

C. Extended Service Contracts

D. Internal failure
E. Appraisal costs

C. Extended Service Contracts

The Deming Prize was established by the _________.

A. American Statistical Association

B. Japanese

C. North American Free Trade Association

D. American Quality Society

E. World Trade Organization

B. Japanese

The Deming Prize is a prominent Japanese quality award.

Lost production time, scrap, and rework are examples of ________.

A. internal failure costs

B. external failure costs

C. appraisal costs

D. prevention costs

E. replacement costs

A. internal failure costs

These are internal failure costs.

Warranty service, processing of complaints, and costs of litigation are examples of ________.

A. internal failure costs

B. external failure costs

C. appraisal costs

D. prevention costs

E. replacement costs

B. external failure costs

Loss of business, liability, productivity and costs are consequences of _______.

A. Labor Unions

B. Globalization

C. Poor Quality

D. Robotics

E. Micro-factories

C. Poor Quality

Poor quality increases these costs.

Quality planning and administration, quality training, and quality control procedures are examples of
_______.

A. internal failure costs

B. external failure costs

C. appraisal costs

D. prevention costs

E. replacement costs

D. prevention costs

These are prevention costs.

The purpose of the Malcolm Baldrige National Quality Award is to _______.

A. stimulate efforts to improve quality

B. recognize quality achievements of U.S. companies

C. publicize successful quality programs

D. all of the above

E. distribute the grant money available for improved quality

D. all of the above

All of these are goals of the Baldrige award.

A. just before shipping our product to the customer

B. immediately after we complete the last operation

C. during the design phase

D. just before we begin the first production operation

E. regardless of when you fix the problem, costs are about the same

C. during the design phase

Fixing a problem during the design phase prevents a failure from ever occurring.

Deciding how much to invest in the prevention of defects can be analyzed using ________.

A. EVPI

B. Net Present Value

C. Weighted Factor Analysis

D. Return on Quality

E. Breakeven Analysis

D. Return on Quality

ROQ focuses on the economics of quality efforts.

The Baldrige award is based on seven categories. Which is not one of those?

A. Relative profitability

B. Strategic planning

C. Human resource focus

D. Information and Analysis

E. Leadership

A. Relative profitability

Relative profitability is not a Baldrige category.

ISO 9000 standards do not have a requirement for ________.

B. remedial

C. systems

D. training

E. management

D. training

Training isn't a part of ISO 9000 standards.

A quality circle is ________.

A. responsible for quality

B. total quality control

C. an inspection stamp found on meat

D. a voluntary group of employees

E. none of the above

D. a voluntary group of employees

Quality circles are composed of volunteers.

ISO 9000 currently requires _____ of a certified organization.

A. Quarterly reporting

B. Product diversity

C. Annual audits

D. A minimum of four supervisory levels

E. Continuous improvement

E. Continuous improvement

Continuous improvement is emphasized in ISO certification.

The quality control improvement tool which distinguishes between the "important few" and the "trivial
many" is __________.

A. brainstorming
B. check sheets

C. Pareto analysis

D. cause-and-effect diagrams

E. fail-safe methods

C. Pareto analysis

Pareto analysis focused on the 80/20 phenomenon.

The quality control improvement tool that resembles a "fishbone" is ________.

A. brainstorming

B. check sheets

C. Pareto analysis

D. cause-and-effect diagrams

E. fail-safe methods

D. cause-and-effect diagrams

These are also known as Ishikawa diagrams.

TQM stands for:

A. Taguchie Quality Methods

B. Tactical Quality Measurements

C. The Quality Matrix

D. Total Quality Management

E. Total Quantity Measurement

D. Total Quality Management

TQM stands for Total Quality Management.

Which of the following is an element of TQM?

A. continuous improvement

B. competitive benchmarking
C. employee empowerment

D. team approach

E. all of the above

E. all of the above

All of these are elements of TQM.

Management behaviors supporting an organizational culture that encourages continuous improvement

(I) develop a vision statement for the organization

(II) develop a reward system that promotes the philosophy

(III) institute continuous training programs

(IV) make decisions that adhere to the philosophy

A. I, II, and IV

B. I, II, III, and IV

C. I and III

D. II, III, and IV

E. II and IV

B. I, II, III, and IV

All of these would reflect management focused on continuous improvement.

The tool that is useful in documenting the current process is:

A. a control chart

B. a Pareto chart

C. a check sheet

D. a flow chart

E. a simo chart

D. a flow chart

The flow chart graphically depicts how a process works.

A. a control chart

B. a Pareto chart

C. a check sheet

D. a flow chart

E. none of the above

C. a check sheet

Check sheets help in the collection and organization of data.

A quality improvement technique that involves the sharing of thoughts and ideas in a way that
encourages unrestrained collective thinking is:

A. Pareto analysis

B. benchmarking

C. brainstorming

D. a control chart

E. a check sheet

C. brainstorming

Brainstorming involves the sharing of thoughts and ideas in a way that encourages unrestrained
collective thinking.

In order for TQM to be successful, it is essential that most of the organization be _________.

A. members of quality circles

B. under contract

C. ISO certified

D. trained in error detection techniques

E. in agreement with the philosophy and its goals

E. in agreement with the philosophy and its goals

TQM won't work without substantial buy-in.

A. currency fluctuations

B. outsourcing to less-developed countries

C. empowering employees

D. benchmarking

E. streamlining the supplier base

B. outsourcing to less-developed countries

Quality risks increase when outsourcing to less-developed countries.

Focusing attention on the most important problem areas is referred to as:

A. quality circles

B. quality assurance

C. brainstorming

D. Pareto analysis

E. cause-and-effect analysis

D. Pareto analysis

Pareto analysis directs attention to the most important areas.

A chart showing the number of occurrences by category would be used in:

A. Pareto analysis

B. interviewing

C. cause-and-effect diagrams

D. benchmarking

E. none of the above

A. Pareto analysis

We would look for root causes to the most frequently occurring quality failures.

Cause-and-effect diagrams are sometimes called:

B. fishbone (Ishikawa) diagrams

C. run charts

D. control charts

E. none of the above

B. fishbone (Ishikawa) diagrams

These help in thinking through what might be causing a quality program.

The process of identifying other organizations that are best at some facet of your operations, and then
modeling your organization after them is known as:

A. continuous improvement

B. employee empowerment

C. benchmarking

D. copycatting

E. industrial espionage

C. benchmarking

It is important to benchmark against best-in-class processes.

Giving workers responsibility for quality improvements and authority to make changes is known as:

A. continuous improvement

B. passing the buck

C. benchmarking

D. employee empowerment

E. employee involvement

D. employee empowerment

Empowered employees are often very effective in improving quality.

The typical difference between "quality circles" and "continuous improvement teams" is ________.

A. Quality circles work on product design only

C. Continuous improvement teams use only engineers while quality circles use just the workers doing
the work

D. the amount of employee empowerment

E. There is no difference-they are just the same

D. the amount of employee empowerment

Quality circles often work with processes over which they have little authority.

Which of the following is not a goal of process improvement?

A. increasing customer satisfaction

B. reducing waste

C. achieving higher quality

D. identifying the cause of a problem

E. All are the goals.

D. identifying the cause of a problem

Identifying the cause of a problem is an input into the effort to improve the process.

Managers have obligations to a wide variety of stakeholders such as shareholders, employees and
customers. When considering outsourcing production to offshore suppliers, managers have to weigh __.

I) Cost benefits that might make shareholders wealthier

II) Quality issues that might make firms less productive and/or products riskier

III) The investments already tied up in relationships with existing suppliers

A. I

B. II

C. III

D. I and II only

E. I, II and III

E. I, II and III
All of these are considerations that must be taken into account.

Focusing a supply chain on ________________ is a modern way of ensuring high quality inputs and a
ready supply of process-improvement ideas.

A. lowest cost-per unit sourced

B. close, collaborative ties with suppliers

C. suppliers that emphasized continuous-flow production

D. ISO 14000 customers

E. partners pursuing similar strategies

B. close, collaborative ties with suppliers

Collaborative relationships with suppliers often lead to higher quality.

As regards quality risks, which of the following would be least likely to involve outsourcing to less-
developed countries?

A. rubber processing

B. repetitive assembly

C. packaging

D. pharmaceuticals

E. steel manufacturing

D. pharmaceuticals

Pharmaceutical firms incur substantial quality risks when they outsource to less-developed countries.

If customer satisfaction doesn't always lead to customer loyalty, firms may need to focus additional
effort on __________ strategies.

A. remediation

B. retention

C. rework

D. repatriation

E. reprocessing

B. retention
Increasing customer satisfaction doesn't necessarily increase customer loyalty.

Before a dimension of quality can be made operationally useful, it must be restated in some
___________ form.

A. qualitative

B. manipulative

C. certifiable

D. measurable

E. marketable

D. measurable

Dimensions of quality have to be translated into measurable characteristics.

The expression "quality at the source" refers primarily to the practice of requiring each of our vendors to
provide quality parts and materials.

True

False

Your benchmark organization must be chosen from your industry in order for its methods to be
applicable to your business.

True

False

f
Juran describes quality management as a trilogy that consists of quality planning, control of quality costs,
and quality improvement.

True

False

ISO certification is similar to the Baldrige Award in its emphasis on:

services.

outsourcing.

self-appraisal.

statistical tools.

teamwork.

self-appraisal.

Among the guiding principles of six sigma are:

(I) Reduction of variation is an important goal.

(II) Valid measurement is critical.

(III) Outputs determine inputs.

(IV) We should focus on those critical few influences on our quality.

I, II, and IV only

The "Control" phase of DMAIC is intended to ensure that:

data analysis is overseen.

inputs are closely monitored.

improvements are sustained.

the proper subset of process inputs are monitored.

variability reduction is pursued.

improvements are sustained.

A. occasionally

B. consistently

B. consistently

Low prices ______ considered to be a dimension of quality.

A. are

B. are not

B. are not

In market research, a group of consumers who express their opinions about a product or service is called
a ____________.

A. steering committee

B. focus group

B. focus group

Product design choices are usually the result of inputs from _____________.

A. accounting and human resources

B. marketing and engineering

B. marketing and engineering

Medical malpractice claims are an example of how poor quality can affect an organization through
________.

A. liability

B. sustainability
A. liability

Cost of inspectors, testing, test equipment, and labs are examples of ______ costs.

A. prevention

B. appraisal

B. appraisal

There is a ______ link between quality and productivity.

A. positive

B. negative

A. positive

The expression "quality at the source" refers primarily to _________.

A. the practice of requiring each of our vendors to provide quality parts and materials

B. each worker being responsible for the quality of his or her work

B. each worker being responsible for the quality of his or her work

In addition to correcting substandard work, employees have an ethical obligation to __________

A. prevent

B. offset

C. report
D. standardize

E. redesign

C. report

The quality certification that deals primarily with conformance to customer requirements is ISO
__________; ISO __________ is concerned primarily with the organization's effect on the environment.

A. 9000; 14000

B. 24700; 9000

C. 14000; 9000

D. 9000; 24700

E. 14000; 24700

A. 9000; 14000

Which one of these is a framework for problem solving and improvement activities?

A) ISO

B) PDSA

C) ROQ

D) SERVQUAL

B) PDSA

Which one of these is not considered a determinant of quality?

A) customer surveys
B) ease of use

C) service after delivery

D) design

E) conformance to design

A) customer surveys

The name associated with the fishbone diagram is:

A) Deming.

B) Crosby.

C) Juran.

D) Ishikawa.

E) Taguchi.

D) Ishikawa.

The letters ROQ relate to:

A) assessing the financial return of investments in quality.

B) evaluating defect rates in manufacturing processes.

C) evaluating rates of improvement in service quality.

D) quantifying improved quality's effects on reliability.

A) assessing the financial return of investments in quality.

Which person is credited with the development of control charts for quality?

A) Deming

B) Crosby

C) Juran

D) Ishikawa

E) Shewhart

E) Shewhart
The name associated with the 14 points is:

A) Deming.

B) Crosby.

C) Juran.

D) Ishikawa.

E) Taguchi.

A) Deming.

The name associated with the phrase "Quality is Free" is:

A) Deming.

B) Crosby.

C) Juran.

D) Ishikawa.

E) Taguchi.

B) Crosby.

Which name is associated with saying that quality is management's responsibility?

A) Deming

B) Crosby

C) Juran

D) Ishikawa

E) Feigenbaum

A) Deming

ISO 24700 is most closely related to:

A) carbon dioxide emissions.

B) vendor-managed inventory.

C) reused office equipment.

C) reused office equipment.

Although closely associated with quality, this name is not on the list of quality gurus:

A) Deming

B) Shingo

C) Juran

D) Baldrige

E) Shewhart

D) Baldrige

The quality tool that plots the number of quality problems over time is the:

A) Pareto diagram.

B) cause-and-effect diagram.

C) fishbone diagram.

D) run chart.

E) control chart.

D) run chart.

The term "continuous improvement" is most closely associated with:

A) quality at the source.

B) total quality management.

C) Baldrige core values and concepts.

D) six sigma philosophy.

B) total quality management.

Which of the following quality gurus primarily viewed quality as a "fitness for use" issue?

A) Deming

B) Ishikawa
C) Baldrige

D) Juran

D) Juran

A diagram that arranges quality problems from highest to lowest frequency of occurrence is a:

A) control limit.

B) Pareto chart.

C) Deming diagram.

D) Ishikawa diagram.

B) Pareto chart.

Identifying an organization that excels at some process, then observing that organization in order to
learn how to improve, is known as:

A) quality control.

B) SWOT.

C) benchmarking.

D) competitive analysis.

E) quality function deployment.

C) benchmarking.

Which of the following processing systems would be least likely to have special-purpose equipment?

A) continuous

B) batch

C) job shop

D) repetitive

C) job shop

Two key factors in service layout design are __________ and __________.

A) capital intensity; labor intensity

B) customer contact; capital intensity

D) customer contact; customization

D) customer contact; customization

A malfunctioning cable television converter would most likely be repaired in this type of layout:

A) fixed position

B) hybrid

C) product

D) process

D) process

Which system has the least flexibility?

A) job shop

B) batch

C) assembly

D) continuous

D) continuous

Which type of operation would be most closely associated with division of labor?

A) job shop

B) batch

C) assembly

D) continuous

C) assembly

The type of layout that would be used to build a submarine is:

A) fixed-position.

B) product.

C) process.
D) aquatic.

A) fixed-position.

Which processing system would be the least efficient choice for producing a standard pair of shoes?

A) assembly

B) batch

C) continuous

D) job shop

D) job shop

Which type of processing system would most likely be used to produce smartphones?

A) assembly

B) batch

C) job shop

D) project

A) assembly

Product or service profiling links key product or service requirements to:

A) market conditions.

B) pricing strategies.

C) process capabilities.

D) schedule changes.

E) order sizes.

C) process capabilities.

Which of these does not relate to designing process layouts?

A) minimizing transportation costs

B) minimizing distance traveled

C) focusing on closeness ratings

D) equalizing times of workstations

In a Muther closeness grid, which symbol is used for a location if closeness is not important?

A) A

B) E

C) I

D) O

E) U

E) U

In a Muther closeness grid, which symbol reflects the greatest importance for closeness?

A) A

B) E

C) I

D) O

E) U

A) A

Which one of the following involves a group of machines that involve supervisory computer control and
automatic material handling?

A) N/C machines

B) computer-aided manufacturing

C) cellular manufacturing

D) group technology

E) flexible manufacturing system

E) flexible manufacturing system

Group technology is often related to which one of the following?

A) cellular manufacturing
B) product layout

C) combination layouts

D) self-directed teams

A) cellular manufacturing

An assembly line consists of four stations and has a cycle time of one minute. Idle times (per cycle) for
these stations are 10 seconds, 5 seconds, 2 seconds and 13 seconds. What is the balance delay?

A) 7.5 percent

B) 10 percent

C) 12.5 percent

D) 25 percent

C) 12.5 percent

To minimize quality risks, which of the following would be least likely to be outsourced to less-
developed countries?

packaging

rubber processing

pharmaceuticals

steel manufacturing

repetitive assembly

pharmaceuticals

( Pharmaceutical firms incur substantial quality risks when they outsource to less-developed countries. )

ISO certification differs substantially from the Baldrige Award in that it:

emphasizes self-appraisal.

is an ongoing process.
is customer-driven.

is national rather than international.

focuses primarily on quality teams.

is an ongoing process.

( Unlike the Baldrige Award, ISO registered companies face an ongoing series of audits, and they must be
reregistered every three years. )

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