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ETS Business Major Field Test: Operations Management

Total Quality Management (TQM)

Total Quality Management (TQM) is continuous improvement of quality in all aspects of the organizations.  The Malcolm Baldridge Award measures a list of factors in terms of points. 

Specifications of an Effective Control System

1.  What is controlled?

2.  How much information is needed by the user?

3.  What is measured and when?

4.  How is the quality of the information measured (validity, consistency, quantity, accuracy, as well as frequency and form?

5. What is the impact on the organization?

6. What is the cost and gain to the company?


CPM (Critical Path Method) is a tool to analyze projects and determine duration, bases on identification of  "critical path" through an activity network.  Activities are represented as nodes or circles. 

PERT (Project Evaluation and Review Technique) A variation of the GANTT chart which demonstrates:

  • when activities are scheduled to start
  • when they should be finished
  • where extra time is available
  • the precedence relationships between activities

Activities are represented by arrowed lines between nodes or circles.  

Materials Requirement Planning (MRP)

Materials Requirement Planning (MRP) is a productional planning and inventory control system.