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These data come from a chemical plant with annual sales of $100 million. Their operating budget is $34 million. Analyse the data given and

These data come from a chemical plant with annual sales of $100 million. Their operating budget is $34 million. Analyse the data given and find the possible cause of the major issue. QUALITY COST STUDY OF XYZ CHEMICAL PLANT-19XX 1. Quality planning 2 Vendor qualification (supplier certification) 3 Acceptance inspection and test planning (planning for inspection) 4 Process equipment design for quality 5. Quality task teams (special projects to rectify quality problems) 6. Turnaround planning Equipment (quality-related scheduled maintenance) Turnaround planning-Instruments (quality-related scheduled maintenance) Quality profiling (determining product specs to meet customer needs) 7. 8. 9. Quality statistics (collection of data and analysis) 10. Planning quality motivational programs 11. Production engineers on quality 12. Process control engineering QA department 13. Process control engineering Engineering department 14. Systems conformance (audit to verify system's conformance) 15. Design/development of quality measurement/control equipment Engineering department QA department $/MONTH 70 7150 100 370 1940 330 650 1000 420 170 70 27,050 12,500 70 740 900

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