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The XYZ Company is a semiconductor company that manufactures electronic chips for computers. The company was established in 1 9 9 8 and located at
The XYZ Company is a semiconductor company that manufactures electronic chips for computers. The company was established in and located at New South Wales, Australia. The designs of chips are normally supplied by the customers. Operations are relatively complex and geared to high volume production to meet customer demands if required.The company is analysing its cost of quality in order to design most appropriate corrective actions. Now as a manager in quality control department, the following information has been provided to you:Costs of Quality Amount AUDRepair of customer returns warrantyMaterial review and corrective action costs including disposition costsRework due to design changes Vendor systems auditIncoming and final inspectionOperator SPC process control Employee training Product development research Reinspection and retestRetrofit cost Scrap Marketing Research You are requested to discuss your approach to the solution and input thepercentageof Internal Failure Costs, External Failure Costs, Prevention Costs and Appraisal Costs on Total Quality Costs.
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