BIÑAS, MIRAFLOR S.

BSA 3

SOUTHERN PHILIPPINES INSTITUTE OF SCIENCE AND TECHNOLOGY PRELIMS

EXAMINATION. 2nd Semester 2021 – 2022

TOTAL QUALITY MANAGEMENT

I – ANSWER THE FOLLOWING.

1. Complete the table below. (10 points)

Flowchart

Portrays possible cause of the problem, and it helps determine the root
cause.

Control Chart

Histogram

Check Sheet

Portray problems and causes in order of frequency and severity, it also

helps determine if what problem or cause we should tackle first.
2. Define
Scatter Diagram

It shows trends and variations with the time, it provides baseline data
and it helps to determine if the process is improving or not improving.
Process Management and state its advantages (10 points)
 Process Management is to achieve high quality in business processes and to identify also the
opportunities to improve the quality and of course the performance also of the operations.
The advantages of the process management are:
 It is an ongoing process and it helps the company to keep pace with the demand and market
change.
 The processes are defined as quality parameters and has defined SOP.
 Its defects are minimized, the cost and revenue are optimized and the customer satisfaction are
maximized.

3. Define the following terms (10 points)

a. JIT (Just in Time) – It is to identify and eliminate or minimize all kinds of waste through JIT
production and involvement of the workforce. It is a set up time reduction and pull system production.

b. TPM (Total Productive Maintenance) – It is designed to maximize the effectiveness of the equipment
throughout its entire life and through the participation and the motivation of the workforce.

c. TQM (Total Quality Management) – It always put the end result aimed at the customers and it is the
ongoing process of identifying and minimizing or eliminating production faults, optimizing supply chain
management, enhancing the customer satisfaction, and assuring that staff are trained to the highest
standards.

4. Identify the following Quality Gurus (complete name and correct spelling). (10 points)

a. NORIAKI KANO He is a Professor Emeritus, lecturer and keynote speaker. He is also a TQM guru and
consultant in the field of quality management. He is the creator of a customer satisfaction model also
known as the Kano model, which is a simple diagram that distinguishes between essential and
differentiating factors with respect to concepts of customer quality.
b. DR. JOSEPH M. JURAN He is widely regarded as the founding father of many of the key quality
management programs used by organizations today. He is widely regarded as the founding father of many
of the key quality management programs used by organizations today.
c. KAORU ISHIKAWA He is considered the Father of Japanese Quality. He invented the Fishbone
BIÑAS, MIRAFLOR S.
BSA 3

diagram (aka 4M/5M or cause and effect diagram) and CWQC – Company Wide Quality Control. He also
sponsored the concept of “next operation (process step) as the client” to avoid workplace politics.
d. WILLIAM EDWARDS DEMING is widely acknowledged as the leading management thinker in the field of
quality. He was a statistician and business consultant whose methods helped hasten Japan’s recovery after
the Second World War and beyond. He derived the first philosophy and method that allowed individuals and
organizations to plan and continually improve themselves, their relationships, processes, products and
services.
e. GEORGE DEFOREST EDWARDS He is the first president of ASQ (1946-48), served in both the
creation and preservation functions. His reputation in quality control had been established by his work as
head of the inspection engineering department of Bell Telephone Laboratories and as Bell’s director of
quality assurance, a term he coined. During World War II, he served as a consultant to the Army Ordnance
Department, and later to the War Production Board.

5. Identify the following Standard Organizations and determine its contribution to Total Quality
Management (10 points)

ISO – It entails going through the principles to guarantee that the

proper approach is used when giving service with less effort to
focus more on the final output.
COPC – (Customer Operations Performance Centre) A quality
standard created expressly for the procedures which are
transferred to a call center as well as the call center itself.
ITIL –(Information Technology Infrastructure Library) It is simple a
set of standards for quality.
SIX SIGMA - It is employed when there is a flaw in the present
process or when we want the process to function at a higher level.

6. What is meant by Cost of Quality? Why is Cost of Quality being very important
measuring tool on the implementation of TQM? (10 points)
 Cost of Quality is a method of calculating the entire cost of deficiencies and quality-
related efforts.
 It gives a single measure for measuring project progress and may be used to
identify candidates for quality improvement. It may also give cost information for
motivating purposes.

7. CRITICAL THINKING QUESTIONS. Here is the example below of an Ishikawa Diagram that
identifies the main problem of a certain manufacturing plant that produces too many defects.
Interpret the diagram below from the root causes of the problem and state your opinion /
recommendations to address issues to minimize defects. (10 points)

 The diagram shows the too much defects of the company, they are lacking in all terms of method,
manpower, material and machinery. So the effect will be, they have too many defects, they can’t satisfy
the customers because of their defects. So my recommendation or opinion is, in term of machinery,
they should do the manufacturing program which is the TPM or total productive maintenance, it is
designed to maximize the equipment effectiveness through its entire life, and use the cost of quality to
quantify the total cost of deficiencies and the quality-related efforts.
BIÑAS, MIRAFLOR S.
BSA 3

8. CRITICAL THINKING QUESTIONS. Here is the example below of a Quality Cost Report – Trend
Chart that compares the Preventive Cost, Appraisal Cost, Internal Failure Cost and External Failure
Cost. Interpret the graph below and explain the importance of Prevention Cost for improving the
operations and sales of a certain industry. (10 points)

 The trend of each quality in 2020, the external failure is too high, they spend so much cost for external
failure but they didn’t spend that much in prevention cost. It’s simple, if you didn’t focus to spend that
much cost in prevention then the external failure will truly have a higher costs other than any costs.
Prevention Costs is very important among the other costs, because it is designed to prevent poor
quality in services or even in products. You’re providing a budget in prevention costs so that you can
prevent any failures in your company, it can be external or internal failures.

9. (ESSAY WRITING) Hypothetically, you are hired in a certain Company as: •

Accounting Executive (for BSA students)
• Operations Analyst (for BSBA-OM students)
• Marketing & Advertising Research Personnel (for BSBA-MM students)
• Hotel & Restaurant Manager (for BSHM students)
On your respective careers, how will you implement Total Quality Management tools in order to
further improve not only the process and operations on your respective companies, but also in
terms on minimizing costs. (20 points)

 Inside the company every service is "client" on one side and "supplier" for other services on the other
side. The final consumer is the essential client and the seller is a client as well. As accounting has the
purpose to offer useful information for decision-making, it has to provide valuable ones. Assuming a
TQM is wanted in bookkeeping, helpful data for every one of the clients should be given. As of now, the
monetary bookkeeping doesn't give helpful data about and to the representatives. TQM, when
implemented consistently over time, has the potential to minimize costs throughout an organization,
particularly in the areas of scrap, rework, field service, and warranty costs. Because these cost savings
pass directly down to bottom-line earnings without incurring any new charges, there can be a stunning
boost in profitability.