UNIT 5: CONTROLLING

Question 1

sets the organization on course; checks if the achievement of goals is successful, and if there is a need to re-route the road map.

Answer 1

Controlling

Question 2

Refers to the systematic process of regulating
organizational activities to make them consistent
with the expectations established in plans, targets,
and standards of performance

Answer 2

Organization Control

Question 3

T/F: Effectively controlling an organization requires information about performance standards and actual performance, as well as actions taken to correct any deviations from the standards

Answer 3

T

Question 4

One of the core elements to measure
performance and correct deviations is root cause analysis via

Answer 4

OSIR Approach (Objectives Status Issues and Resolutions)

Question 5

Involves measuring, restraining and correcting
performance to accomplish an objective as it was planned

Answer 5

Controlling

Question 6

It involves the measurement of certain elements
such as time, quality, quantity and cost against
standards or models which have been established, and the evaluation of the work or performance of various personnel in the organization

Answer 6

Controlling

Question 7

Should be flexible and encourage employees to exercise self-control

Answer 7

Control System

Question 8

Types of Control

Answer 8

ICO

Input Stage
Conversion Stage
Output Stage

Question 9

Stage: Feedforward control (Anticipate problems before they occur)

Answer 9

Input Stage

Question 10

Stage: Concurrent stage or real-time control (Manage problems as they occur)

Answer 10

Conversion Stage

Question 11

Stage: Feedback control (Manage problems
after they have arisen)

Answer 11

Output Stage

Question 12

Four Steps of Feedback Control

Answer 12

1. Establish standards of performance
2. Measure actual performance
3. Compare performance to stand
4. Take corrective action

Question 13

involves using feedback to determine whether performance meets established standards

Answer 13

Feedback Control

Question 14

Performance Standards must be expressed in ________ (quanti/quali) terms whenever possible

Answer 14

quantitative

Question 15

address how well the work is performed
and/or how accurate or how effective the final
product is

Answer 15

Quality

Question 16

addresses how quickly, when or by what
date the work is produced

Answer 16

Timeliness

Question 17

involves monitoring and influencing employee behavior through extensive use of rules, policies, hierarchy of authority, written
documentation, reward systems, and other formal mechanisms

Answer 17

Hierarchical control

Question 18

foster compliance with organizational goals through the use of organizational culture, group norms, and a focus on goals rather than rules and procedures

Answer 18

Decentralized control

Question 19

A decentralized control approach that focuses on teamwork, increasing customer satisfaction, and lowering costs

Answer 19

Total Quality Management

Question 20

T/F: Each quality improvement is a step toward
perfection and meeting a goal of zero defects.

Answer 20

T

Question 21

becomes part of the day-to-day
business of every employee rather than being
assigned to specialized departments

Answer 21

Quality control

Question 22

offer one technique for implementing
TQM and include groups of six to 12 volunteer
employees who meet regularly to discuss and solve problems affecting the quality of their work.

Answer 22

Quality circles

Question 23

TQM technique; continuous process of measuring products, services, and practices against major competitors or industry leaders

Answer 23

Benchmarking

Question 24

is a quality control approach that
emphasizes a relentless pursuit of higher quality and lower costs

Answer 24

Six Sigma

Question 25

involves assigning dedicated personnel within a particular functional area of the business to identify opportunities for improvement throughout the work process

Answer 25

Quality partnerning

Question 26

implementation of a large number of small, incremental improvements in all areas of the organization on an ongoing basis

Answer 26

Continuous improvement

Question 27

can be applied to processes in manufacturing, service, or administrative areas

Answer 27

Six Sigma approach

Question 28

Six Sigma: Meaning of DMAIC

Answer 28

Define Measure Analyze Improve Control

Question 29

In the DMAIC roadmap, once a process is selected for improvement, a ___________ team is formed since most processes cut across functional lines

Answer 29

cross-functional

Question 30

A full-time trained process improvement specialist chosen to lead the improvement team

Answer 30

black-belt six sigma trainee

Question 31

Basic principles and "cookbook style" implementation based on accepted practices

Answer 31

LEAN

Question 32

Describe the flow of work and the relationships among steps in the process and reveal any unnecessary steps and waste that can be eliminated

Answer 32

Flowcharts

Question 33

Identify possible problems that need to be investigated via further data collection and analysis

Answer 33

Flowcharts

Question 34

Shows the relationship of factors and variables that might have led to the occurrence of issues

Answer 34

Cause and Effect Diagram (Fishbone)

Question 35

Identifies the problem itself, the effect, which is placed on the right side of the diagram

Answer 35

Cause and Effect Diagram (Fishbone)

Question 36

Fleshes out the various potential causes of the problem that are shown along the spine of the diagram and categorized, for example, as materials, workers, inspection, and tools

Answer 36

Cause and Effect Diagram (Fishbone)

Question 37

data put in a tabular list representing collected data about the process

Answer 37

Check Sheets

Question 38

Contain critical process measurements taken at periodic intervals during the day and tabulated by the time taken

Answer 38

Check Sheets

Question 39

Used to tabulate the frequency of certain defects or other quality-related events

Answer 39

Check Sheets

Question 40

Show the relationship between two variables

Answer 40

Scatter Diagram

Question 41

If a particular cause and effect are suspected to be related, the relationship will be apparent as a linear or curved pattern on the scatter diagram

Answer 41

Scatter Diagram

Question 42

Example of a control chart

Answer 42

Levey-Jennings

Question 43

T/F: The original control chart from before process improvement, will no longer be appropriate following the improvements

Answer 43

T

Question 44

New charts with new center lines and upper and lower limits can be created, based on data from the improved process

Answer 44

Control Chart

Question 45

Is a frequency count using data from the check sheet to show the form and shape of the distribution of the data

Answer 45

Histogram

Question 46

Indicates that some data points are outliers, or there may be odd shapes to the distribution that indicate skewness or possibly more than one mode or peak in the distribution.

Answer 46

Pareto Diagram

Question 47

includes prevention, appraisal, internal failure, and external failure categories *T/F: All these, except prevention, are costs of not doing things right the first time

Answer 47

Cost of Quality T

Question 48

T/F: When a cost is assigned to poor quality, it can be managed and controlled like any other cost.

Answer 48

T

Question 49

one of the most commonly used forms of managerial control

Answer 49

Budgetary Control

Question 50

process of setting targets for an organization’s expenditures, monitoring results and comparing them to the budget, and making changes as needed

Answer 50

Budgetary Control

Question 51

reports that list planned and actual expenditures for cash, assets, raw materials, salaries, and other resources

Answer 51

Budgets

Question 52

Budget reports usually list the ________ between the budgeted and actual amounts for each item

Answer 52

variance

Question 53

is defined as any organizational department or unit under the supervision of a single person who is responsible for its activity

Answer 53

Responsibility Center

Question 54

outlines the anticipated and actual expenses for a responsibility center

Answer 54

Expense Budget

Question 55

lists forecasted and actual revenues of the organization

Answer 55

Revenue Budget

Question 56

estimates receipts and expenditures of money on a daily or weekly basis to ensure that an organization has sufficient cash to meet its obligation

Answer 56

Cash Budget

Question 57

A budget that plans and reports investments in major assets to be depreciated over several years

Answer 57

Capital Budget

Question 58

has been expanded to refer to the framework of systems, rules, and practices by which an organization ensures accountability, fairness, and transparency in its relationships with all stakeholders, including investors, employees, customers, and the general public

Answer 58

Corporate Governance

Question 59

comprehensive management control system that balances traditional financial measures with measures of customer service, internal business processes, and the organization’s capacity for learning and growth

Answer 59

Balanced Scorecard

Question 60

effective tool for managing and improving performance, but only if it is clearly linked to a well-defined organizational strategy and goals

Answer 60

Balanced Score Card

Question 61

Four Perspectives in a Balanced Score Card

Answer 61

Financial Performance Customer Service Internal Business Processes Potential for Learning and Growth

Question 62

reflects a concern that the organization’s activities contribute to improving short- and long-term performance regarding money

Answer 62

Financial Performance

Question 63

includes traditional measures such as net income and return on investment

Answer 63

Financial Performance

Question 64

measure information such as how customers view the organization and customer retention and satisfaction

Answer 64

Customer Service

Question 65

These data may be collected in many forms, including testimonials from customers describing superlative service or from customer surveys

Answer 65

Customer service

Question 66

Business process indicators focus on production and operating statistics

Answer 66

Internal Business Processes

Question 67

may include fast turn-around-time in releasing results, the use of fully-automated systems to accommodate high-volume samples, and adherence to safety guidelines

Answer 67

Internal Business Processes

Question 68

focuses on how well resources and human capital are being managed for the company’s future

Answer 68

Potential for Learning and Growth

Question 69

Metrics may include things such as employee retention and the introduction of new products

Answer 69

Potential for Learning and Growth