What are the costs of quality (prevention, appraisal, external failure, internal failure)? Calculate each of the four. A
Posted: Thu May 05, 2022 9:16 am
What are the costs of quality (prevention, appraisal, external
failure, internal failure)? Calculate each of the four.
After completing your calculations, construct a Pareto diagram
of the costs of quality.
Finally, write an interpretation of the situation and make a
recommendation to management.
Cost Category
Cost
Incoming inspection of materials
$ 20,000
Testing laboratory
$ 10,000
Warranty costs
$ 60,000
Scrap
$ 35,000
Re-work
$ 30,000
Continuous Improvement Projects
$ 10,000
Quality training
$ 50,000
Process design
$ 20,000
failure, internal failure)? Calculate each of the four.
After completing your calculations, construct a Pareto diagram
of the costs of quality.
Finally, write an interpretation of the situation and make a
recommendation to management.
Cost Category
Cost
Incoming inspection of materials
$ 20,000
Testing laboratory
$ 10,000
Warranty costs
$ 60,000
Scrap
$ 35,000
Re-work
$ 30,000
Continuous Improvement Projects
$ 10,000
Quality training
$ 50,000
Process design
$ 20,000