Volume 5, Issue 2 (February 2018), Pages: 8-13

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 Original Research Paper

 Title: Costs of quality or quality costs

 Author(s): Petr Rehacek *

 Affiliation(s):

 Department of Systems Engineering, Faculty of Economics, VSB – Technical University, Ostrava, Czech Republic

 https://doi.org/10.21833/ijaas.2018.02.002

 Full Text - PDF          XML

 Abstract:

Costs of quality or quality costs do not mean the use of expensive or very highly quality materials to manufacture a product. The term refers to the costs that are incurred to prevent, detect and remove defects from products. There are four categories: internal failure costs (costs associated with defects found before the customer receives the product or service), external failure costs (costs associated with defects found after the customer receives the product or service), appraisal costs (costs incurred to determine the degree of conformance to quality requirements) and prevention costs (costs incurred to keep failure and appraisal costs to a minimum). Cost of quality is a methodology that allows an organization to determine the extent to which its resources are used for activities that prevent poor quality, that appraise the quality of the organization’s products or services, and that result from internal and external failures. Having such information allows an organization to determine the potential savings to be gained by implementing process improvements. 

 © 2017 The Authors. Published by IASE.

 This is an open access article under the CC BY-NC-ND license (http://creativecommons.org/licenses/by-nc-nd/4.0/).

 Keywords: Analysis, Calculation, Cost, Management, Quality

 Article History: Received 12 September 2017, Received in revised form 23 November 2017, Accepted 2 December 2017

 Digital Object Identifier: 

 https://doi.org/10.21833/ijaas.2018.02.002

 Citation:

 Rehacek P (2018). Costs of quality or quality costs. International Journal of Advanced and Applied Sciences, 5(2): 8-13

 Permanent Link:

 http://www.science-gate.com/IJAAS/2018/V5I2/Rehacek.html

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 References (3)

1. Crosby PB (1979). Quality is free: The art of making quality certain. McGraw-Hill, New York, USA. PMCid:PMC353581 
2. Dale BG and Plunkett JJ (1999). Quality costing. Gower Publishing, Ltd., Farnham, UK. 
3. Rehacek P (2017). Risk management standards for project management. International Journal of Advanced and Applied Sciences, 4(6): 1-13. https://doi.org/10.21833/ijaas.2017.06.001