3121QualityNotesPart1b4

3121QualityNotesPart1b4 - (Cont’d • Appraisal Costs...

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Slide 7.18 Costs of Quality Internal Failure Costs - costs associated with failures detected before they leave the ownership of the firm, such as scrap, rework, reinspection, and low production yields. External Failure Costs - costs associated with failures detected by the consumer, such a warranty claims, repairs, and service costs.
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Slide 7.19 Costs of Quality
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Unformatted text preview: (Cont’d) • Appraisal Costs- costs of inspection of incoming material, during manufacturing, in laboratory tests, and by outside inspectors. • Prevention Costs - costs associated with the prevention of non-conformities, such as the design of new quality equipment, training and education, and data gathering and analysis....
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This note was uploaded on 04/22/2011 for the course MGMT 3121 taught by Professor Das during the Spring '11 term at CUNY Baruch.

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3121QualityNotesPart1b4 - (Cont’d • Appraisal Costs...

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