Category: General  /  Created: 11/03/2015 17:29:09  /  Modified: 12/03/2015 08:25:09

Cost of Quality (CoQ)

Cost of Quality

Cost of Conformance (The good)

Prevention—business plans, meeting agendas, training, Standards (COPC, ISO)

Inspection / Appraisals—reviews of plans, QA, QC, TM, CRE evals

  

Cost of Non-Conformance (The bad)

Internal Failures—“re’s”—re-work, re-hire, re-write, re-train, re-do

External Failures—customer (client & end-user) dissatisfaction, end-user returns

Exceeding Customer Requirements—excessive work, not required to meet customer sat (not value-added)

 

Cost of Lost Opportunity (The ugly)

Customers who leave

Customer who we do not get because of our reputation or performance