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PRESENTED BY :GARIMA PUNJ
SONALI GARWAL
Cost of Conformance▪ Prevention Cost
▪ Appraisal Cost
Cost of Non- Conformance▪ Internal Failure Cost
▪ External Failure Cost
▪ Intangible Cost
Quality planningVendor surveyCustomer researchQuality trainingProductDevelopment
Incoming InspectionTesting of EquipmentsQuality AuditsProduct EvaluationsField Testing
ReworkScrapRepairRe-testingCorrective actions
Returned GoodsWarranty CostComplaintHandling
These are costs of highest magnitude which are difficult to quantify like
Customer dissatisfactionCompany imageLoss of customerGoodwill
1. Identify opportunities for improvement.2. Form team and define project scope.3. Analyze the current process.4. Define desired outcomes for improved process.5. Identify root causes and propose solutions.6. Calculate the cost of quality.7. Prioritize, plan and test proposed solutions.8. Redefine and implement solutions.9. Measure progress and hold gains.10. Acknowledge tams and communicate results.