If You Were Looking for a Service Organisation in Which

question 21

Multiple Choice

If you were looking for a service organisation in which to invest your money, which of the following parts of the customer profit chain would most influence your decision?

• A)Service climate
• B)Branch profitability
• C)Customer satisfaction
• D)Revenue growth
• E)b and d

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Definitions:

Quality Costs

Expenses associated with preventing, detecting, and correcting defective work, including costs of inspections, tests, and warranties.

Prevention

Measures or actions taken to reduce the risk of errors, defects, or damages in a production process or operation.

Appraisal

An evaluation, usually by an expert, to determine the value of a property or asset.

Quality Cost Report

A report that details prevention costs, appraisal costs, and the costs of internal and external failures.