Quality costing is similar in service and manufacturing organizations. Nevertheless, the differences between these organizations have certain implications for quality management. Thus,
A. Direct labor costs are usually a higher percentage of total costs in manufacturing organizations.
B. External failure costs are relatively greater in service organizations.
C. Quality improvements resulting in more efficient use of labor time are more likely to be accepted by employees in service organizations.
D. Poor service is less likely to result in loss of customers than a faulty product.
|
Download Printable PDF. VALID exam to help you PASS. |
 |