Module 5 - Chapter 3 - Defining Quality

These occur within a company, relating to defective work, and are usually easier to fix.

Costs incurred due to defects or errors that reach the customer.

Activities related to fixing defects or errors in a process or product, including rework, scrap, and warranty claims.

Costs associated with preventing defects or errors in the first place. They include activities like quality planning, training, and inspections.

Costs of activities associated with assessing the quality of products or services, such as inspections, testing, and audits.

The costs of managing or reacting to customer dissatisfaction, including complaints, returns, and warranty repairs.

The ability to consistently meet customer expectations for a product or service.

The cost of poor quality can be calculated by multiplying the total cost of resources used for an activity by the percentage of resources used for activities related to poor quality.

A client's perception of a product or service based on their total experience with features they deem important.

A strategy where quality is built into the process from the start, minimizing the need for inspection later.

A strategy where quality is inspected after the fact, relying on external checks to catch errors.

Individuals or teams within a company who receive or interact with the output of another team's work.

Individuals who are outside the company and purchase or use the company's products or services.

A service, product or process that meets all the requirements of a defined standard.

A service, product or process that deviates from any requirement of a defined standard.

The state of being in agreement with specified requirements or standards. This means meeting all requirements of a defined standard.

The cost associated with not meeting client requirements, not providing services on time or reworking services to meet client needs.

Costs directly related to identifying and preventing defects, like inspection and testing.

Costs incurred when defects are found before delivery to the client, like rework and scrap.

Costs incurred when defects are found after delivery to the client, like returns, warranties, and complaints.

Visible costs that can be easily tracked, like waste, returns, and rework.

Hidden costs that are less obvious but can be significant, like overtime, client allowances, and lost capacity.

A category of costs that includes activities like inspecting, testing, and reviewing to ensure quality standards are met.

A category of costs that includes activities like verifying, analyzing, and evaluating to detect non-conformance.