Question
Analyze the quality cost data for assignment #1 posted on a pdf file separately. What implications do this data suggests to management? Quality has been
- Analyze the quality cost data for assignment #1 posted on a pdf file separately. What implications do this data suggests to management?
- Quality has been defined as customer satisfaction (or fitness for use). Quality may also be defined as conformance to specifications . In theory, creating the proper specifications and then manufacturing product that conforms to those specifications should lead to customer satisfaction. Alas, life isnt that simple.
Consider these four situations for a product:
a. Conforms to specifications; is competitive on fitness.
b. Conforms to specifications; is not competitive on fitness.
c. Does not conform to specification; is competitive on fitness.
d. Does not conform to specifications; is not competitive on fitness.
Which two of these four situations are theoretically not possible, but in practice do occur and may cause much confusion and concern? --------------------?
Give an example for each of those two situation(hint; think about your own experiences with various services or products)
TABLE 2.2 Quality cost statement by product line Product A Product B Product C Prevention, $ Appraisal, $ Internal failures, $ External failures, $ Grant total, $ 5,698 37,676 119,107 133,168 295,649 8,165,000 3.62 71 4,165 1,569 10,384 60,876 12,625 85,454 1,750,000 4.88 14 6,104 1,908 9,206 63,523 15,755 90,392 840,000 10.76 - 14 6,456 Shipments, $ Ratio-quality cost to shipments, % Number of machines, Total quality cost per machine, $ TABLE 2.2 Quality cost statement by product line Product A Product B Product C Prevention, $ Appraisal, $ Internal failures, $ External failures, $ Grant total, $ 5,698 37,676 119,107 133,168 295,649 8,165,000 3.62 71 4,165 1,569 10,384 60,876 12,625 85,454 1,750,000 4.88 14 6,104 1,908 9,206 63,523 15,755 90,392 840,000 10.76 - 14 6,456 Shipments, $ Ratio-quality cost to shipments, % Number of machines, Total quality cost per machine, $
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