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Quality is defined as the ability of a product or service to consistently meet or exceed customer expectations.
Quality dimensions of a product, for example, an automobile include
1. Performance: Everything works
2. Aesthetics: Interior and exterior design
3. Special features: Convenience: placement of gauges
4. Conformance: Car matches manufacturer's specifications
5. Reliability: Infrequency need for repairs
6. Durability: Useful life in miles, resistance to rust
7. Perceived quality: Top rated car
8. Serviceability
Quality dimensions of service, for instance car repairing can comprise of
1. Tangibles: Were the facilities clean, personnel neat?
2. Convenience: Was the service center conveniently located?
3. Reliability: Was the problem fixed?
4. Responsiveness: Were customer service personnel willing and able to answer questions?
5. Time: How long did the customer wait?
6. Assurance: Did the customer service personnel seem knowledgeable about the repair?
7. Courtesy: Were customer service personnel and the cashier friendly and courteous?
Usually, superior quality on a consistent basis will increase return on investment and market share.
The costs of total quality management are grouped according to appraisal costs, prevention costs and failure costs. Failure costs represent costs related to poor quality. On the other hand, appraisal and prevention costs represent investments for achieving good quality.
Appraisal costs are product and/or service inspection costs. Prevention costs are costs of preventing defects from occurring and it can include total quality planning, total quality training, working with vendors, quality control procedure and extra attention in both the design and production phases to decrease the probability of defective workmanship.
Failure costs are cost caused by defective products or faulty services. They are sub-divided into internal and external failure. The former are failures discovered during production, leading to rework, scrap, downtime, material and product losses while the latter are failures discovered after delivery to the customer. External failure results in returns, recalls, liability, warranty costs, damage to reputation. Typically, per unit external failure cost is typically greater than internal cost.
Total quality management more often than not involves either Quality Assurance or Strategic Approach. Quality Assurance emphasizes on finding and correcting defects before reaching
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The basics of total quality management
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