Why Would Belinda, Owner of GC Micro, a $70 Million

question 89

Multiple Choice

Why would Belinda, owner of GC Micro, a $70 million company that manufactures customized IT equipment and software for Fortune 1000 companies and defense contractors, decide to invest in a total quality management (TQM) program?

• A)because a TQM program deals exclusively with procedures to achieve defect-free manufacturing and assembly
• B)because a TQM program nearly always contributes more to the achievement of operating excellence than either business process reengineering or Six Sigma quality control techniques
• C)because a TQM program entails creating a corporate culture bent on continuously improving the performance of every task and every value chain activity
• D)because TQM programs are considerably more effective in improving manufacturing and assembly activities than they are in improving such value chain activities as R&D, human resources management, supply chain management, information technology, sales, and marketing and finance
• E)because TQM programs are generally considered the best tool for reengineering strategy-critical business processes

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Definitions:

Null Hypothesis

A hypothesis in statistical analysis that assumes no significant difference or effect exists between certain characteristics, conditions, or variables.

Significance Level

The significance level, also known as alpha, is a pre-determined threshold for statistical significance, used to decide whether an observed effect is not due to chance.

P-values

A numerical measure that helps in determining the significance of results obtained in statistical hypothesis testing, indicating the probability of obtaining test results at least as extreme as the ones observed during the test, assuming that the null hypothesis is true.

Z-score

A numerical metric indicating how a value compares to the average of a set of values, shown by the number of standard deviations it is from the average.