BUS 430 BUS430 Week 3 Quiz 2 Answers

BUS 430 BUS430 Week 3 Quiz 2 Answers


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BUS 430 Week 3 Quiz 2



        1.     Having a large number of performance measures is much better than having a selected few.

        2.     Measuring and reporting performance results can be a motivator for many workers.

        3.     The only important measurement category in business is financial.

        4.     Return on assets would normally be classified as a productivity measure.

        5.     Good customer satisfaction measurement systems are designed to provide information about future buying behavior.

        6.     Quality measures the degree to which the output of a process conforms to management's expectations and requirements.

        7.     Service quality measures are generally based on data collected from observing front-line operations.

        8.     Reliability is the ability to perform a service dependably and accurately.

        9.     Assurance is the willingness to help customers and provide prompt recovery to service upsets.

      10.     Empathy is the caring attitude and individualized attention provided to customers.

      11.     Measures and indicators of product and service performance that have a strong correlation with customer satisfaction are appropriate to monitor.

      12.     Most of the five dimensions of service quality pertain to behavioral characteristics, which makes them easier to measure.

      13.     Errors in service creation and delivery are sometimes called service upsets.

      14.     Speed is usually measured in clock time, whereas reliability of a time-based measure is usually measured in quantifying the variances in average performances or targets.

      15.     Queue time is a fancy term for service time variance.

      16.     Having intensive care nurses on call in case of a dramatic increase in patient demand is an example of design flexibility.

      17.     Design flexibility is the ability to respond quickly to changes in the volume and type of demand.

      18.     Productivity is more closely related to effectiveness than efficiency.

      19.     As output decreases for a constant level of input, productivity also decreases.

      20.     It costs 3 to 5 times more to keep an existing customer than to acquire a new customer.

      21.     The "value of a loyal customer" links customer satisfaction and loyalty to a firm's profitability measures.

      22.     Any measure a firm chooses to use should provide the basis for making executive-level strategic decisions.

      23.     Health care and educational organizations were eligible for the Malcolm Baldrige National Quality Award since its inception in 1987.

      24.     Although the award from the Malcolm Baldrige National Quality Award Framework receives the most attention, the primary purpose of the program is to provide a framework for performance excellence through self-assessment to understand an organization's strengths and weaknesses, thereby setting priorities for improvement.

      25.     In the Baldrige Award criteria, the Business Results category focuses on how an organization selects, gathers, analyzes, manages, and improves its data, information, and knowledge assets.

      26.     The Leadership category of the Baldrige criteria includes how an organization addresses its public and community responsibilities.

      27.     Employee satisfaction might be considered as a lagging indicator of employee turnover.

      28.     The balanced scorecard is designed to be linked to an organization's strategy.

      29.     The balanced scorecard model uses the same categories as the Baldrige Award.

      30.     The value chain model is probably the dominant model for operations managers.

      31.     The service-profit chain model is based on understanding cause-and-effect linkages among performance measures.

      32.     The quote "Happy employees create happy customers" best characterizes the Service-Profit Chain (SPC) model.





  1. 1.  Using the information provided in the table below, determine the percentage change in productivity from 2009 to 2010.
  2.  Using the information below, determine the productivity (measured as output per dollar input) for the each quarter and calculate the percentage change in productivity.

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