JESUS REIGNS CHRISTIAN COLLEGE

TOTAL QUALITY MANAGEMENT

Midterm Exam
October 8, 2019

I. Read the following case and answer the questions following it.

Levin Manufacturing Company Ltd saved millions of shillings in operation cost in the last three years by
laying off staff reducing the number by 35%. This in turn resulted into trade union activities which
hampered smooth operations. The production department’s performance improved. The staff now takes
20 days to produce 10 tonnes of finished products as compared to 45 days previously. Employees are now
required to spend 120 hours yearly in training which includes learning to use technology and aspects of
problem solving. The employees are grouped in teams of ten and given projects to manage on their own.
Although the company has quality circles it encourages multifunctional teams that solve problems on
quality issues with the overall aim of achieving zero defects. To further enhance its quality, the
management has introduced a training programme to reduce leading, delivery of finished goods to
customers and to speed responses to customer complaints. Experts in the area are now handling customer
complaints unlike previous occasions. Customers can easily get what they require on-line and are happy
to be helped by courteous customer care experts. A recent survey shows that customers believe and trust
what the company communicates to them about its efforts. The company has not yet reached the 25
million investment target but reactions of customers on quality are encouraging. Management in
particular believe that “Quality begins with the customers and ends with the customer”.

Required:
(a)
Describe the dimensions of quality that are being practiced by Levin Company Ltd. (5 pts.)
(b)
Explain the challenges that Levin Company Ltd had to face in its efforts to deliver quality to customers.
(3 pts)
(c)
In relation to the case explain the difference between quality circles and quality functional teams used to
improved quality in the company. (6 pts)
(d)
‘Quality beings with the customer and ends with customer’. In relation to this define, and explain the
provisions of this principle of quality management. (6 pts)

II.
1. (10 pts) A customer survey for a pharmacy asks customers to rate the pharmacy according to the
following:
 Friendly pharmacist
 Knowledgeable pharmacist
 Friendly pharmacy technician
 Knowledgeable pharmacy technician
 Quick checkout
They use a 1-5 Likert scale ranging from Disappointed to Excellent. Comment on how actionable
this survey is to measure performance and enable the pharmacy to improve. Are there any other
things you can suggest to improve the survey?
2. (10pts) The training strategy that Xerox used is summarized as follows:
 a. The training is uniform – common tools and processes are taught across all of Xerox, to all
employees, creating a “common language within Xerox” that fosters cohesive team
functioning.
b. Training is conducted in family groups, with all members starting and finishing training at the
same time to facilitate the change process.
c. Training starts at the top of the organization with the CEO and cascades downward to all
employees.

What advantages does such strategy have? Do you see any possible disadvantages? Would this
approach work In any business?

3. (5pts) Define quality using the view of a producer.

4. (5pts) Cite two examples that will differentiate preventive from corrective action.

5. (7pts) List some of the common processes that you perform when you enroll as a student. How
can these processes be improved?

6. (5 pts) Cite an example that demonstrates internal and external customer.

7. (8 pts) Enumerate at most 3 quality control tools and give an example when these tools are best
used in problem solving.
8. (10 pts) For each of the following control charts, assume that the process has been
operating in statistical control for some time. What conclusions should the operators reach at
this point?

a.

b.

c.

d.

9. (5 pts) Differentiate repeatability from reproducibility. What is the acceptable measure for
both?

God bless!