Print 6. Creighton Inc. manutactures door panels. Suppose Creighton is considenng spending the following amounts on a new total quality management (TQM) program Click the icon to view the information.) Creighton expects the new program would save costs through the following 2(Click the icon to view the information.) Read the requirements Requirement 1. Classify each cost as a preverilion cost an appraisal cost, an internal failure cost of an external failure cust. Type of Quality Cost (1) (2) Cost Strength testing one item from each batch of panels Training employees in TQM Training suppliers in TOM Identifying suppliers who commit to on-time delivery of perfect quality matenals Lost profils from lost sales due to disappointed customers (3) (4) (5) (6) Rework and spolage Inspection of raw materials (7) Warranty costs (8) Requirement 2. Should Creighton implement the now quality program? Give your reason Creighton (9)implement the new quality program. The cost of implementing the new program is (10) than the costs of failing to implement the new program 1: Data Table $ 52 XXI 20XX) Strength-testing one item from each batch of panels Training employees in TOM Training suppliers in TOM Identifying suppliers who commit to on-time delivery of perfect-quality materials 38,000 58 XXI 2: Data Table S 92.000 83,000 Avoid lost profits from lost sales due to disappointed customers Avoid rework and spoilage Avoid inspection of raw materials Avoid warranty costs Activate Windows Go to Settings to activate Windows 52 000 16,000 Print Inspection of raw materials (7) Warranty costs 18) Requirement 2. Should Creighton implement the new quality program? Give your reason. Creighton (10) (9) implement the new quality program. The cost of implementing the new program is than the costs of failing to implement the new program 1: Data Table Strength-testing one item from each batch of panels Training employees in TQM Training suppliers in TOM Identifying suppliers who commit to on-time delivery of perfect quality materials $ 62,000 20,000 38 000 58,000 2: Data Table Avoid lost profits from lost sales due to disappointed customers Avold rowork and spollage Avoid inspection of raw materials Avold warranty costs $ 92,000 63,000 52,000 16,000 3: Requirements 1. Classify each cost as a prevention cost an appraisal cost, an internal failure cost, or an extemal failure cost 2. Should Creighton implement the new quality program? Give your reason. Prevention O Prevention O Prevention Prevention Prevention (1) O O Appraisal O External failure Internal failure (2) O Appraisal O External failure Internal failure (3) O Appraisal O External failure Internal failure O Appraisal O External failure O Internal failure (5) O O Appraisal O External failure Internal failure O Prevention O Prevention O Prevention (6) O O Appraisal O Extemal failure Internal failure (7) O Appraisal O Extemal failure Internal failure (8) O O Appraisal External failure Internal failure (9) O O should O should not (10) O O greater O less Activate Windows Go to Settings to activate Windows
