Productivity can be slowed when there are defects and

This preview shows page 12 - 15 out of 26 pages.

and then damage control will need to be done to repair the company image and reputation. Productivity can be slowed when there are defects and poor quality because time must be spent to redo and fix these issues. Costs can be reduced by up to five times if problems are caught early on in the process, compared to later in the production stages. The following section provides further detail on costs associated with quality. 3.7 The Costs of Quality Good quality has its own costs, including prevention, appraisal, and failure. A recent and more effective approach is discovering ways to prevent problems, instead of trying to fix them once they occur. This will ultimately decrease the cost of good quality in the long run. There are several costs associated with quality. Those costs can be classified into four categories: Appraisal Costs- Costs of activities designed to ensure quality or uncover defects Prevention Costs- All total quality training, total quality planning, customer assessment, process control, and quality improvement costs to prevent defects from occurring
MMN/CUZ/13 Failure Costs- costs incurred by defective parts/products or faulty services. oInternal Costs-Costs incurred to fix problems that are detected before the product/service is delivered to the customer. oExternal Failure Costs- All costs incurred to fix problems that are detected after the product/service is delivered to the customer Return on quality (ROQ)- is an approach that evaluates the financial return of investments in quality. 3.8 Ethics and Quality All members of an organisation have an obligation to perform their duties in an ethical manner. Ethical behaviour comes into play in many situations that involve quality. One major category is substandard work, including defective products and substandard service, poor designs, shoddy workmanship, and substandard parts and raw materials. A related issue is how an organisation chooses to deal with information about quality problems in products that are already in service, automobiles, tyres. 4. QUALITY GURUS A core of quality experts has shaped modern quality practices. Among the most famous of this core of 'gurus' are Deming, Juran, Feigenbaum, Ishikawa, Taguchi and Crosby. Together, these great thinkers have had a tremendous impact on the management and control of quality and the way companies operate. W. Edwards DemingSpecial vs. common cause variation The 14 points -- Deming Prize- Prize established by the Japanese and awarded annually to firms that distinguish themselves with quality management programs. Joseph JuranQuality Control Handbook, 1951 Viewed quality as fitness-for-use Quality trilogyquality planning, quality control, quality improvement Armand FeigenbaumQuality is a “total field”The customer defines quality Philip B. CrosbyZero defects Quality is Free, 1979 Kaoru IshikawaCause-and-effect diagram also called Ishikawa diagram or Fish bone diagram Quality circles Recognized the internal customer
MMN/CUZ/14 Genichi TaguchiTaguchi loss function

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture