The document discusses quality and quality assurance. It defines quality as conformance to requirements and notes that quality assurance aims to demonstrate that a product can satisfy users. Quality assurance, when implemented well, should improve usability, performance, and reduce defect rates. The document also discusses quality costs, including prevention, appraisal, internal failure, and external failure costs. It provides examples of large recalls that resulted from quality issues and their significant financial costs. Finally, it notes that poor quality can negatively impact an organization's finances, customer loyalty, reputation, and competitive positioning.

1. QUALITY
Prepared By: Apu Sen

2. “Quality means conformance
to requirements”.
- Philip Crosby. 'Quality Is Free’
Quality is the ability of
your product to be able to
satisfy your users
What is Quality ?

3. Quality Assurance is the process that
demonstrates your product is able to
satisfy your users
What is Quality Assurance ?

4. When good
Quality Assurance
is implemented,
there should be
improvement in
usability and
performance and
reducing rates of
defects
What is the Aim of Quality Assuranc
When good
Quality Assurance
is implemented,
there should be
improvement in
usability and
performance and
reducing rates of
defects

5. Quality policy

8. Cost of Poor Quality

9. Categories of Quality Cost

10. Cost of Poor Quality
PREVENTION COST
The cost of any action taken to
investigate, prevent or reduce
the risk of a non - conformity.
Internal Failure COST
Cost incurred when products and
services do not conform to
specifications.
APPRAISAL COST
The costs associated with
measuring, checking, or
evaluating products or services to
assure conformance to quality
requirements.
External Failure COST
The costs arising after delivery of
product or service to the
customer due to non-
conformities or defects.
Cost of Conformance Cost of non-Conformance

11. Cost of Poor Quality
Cost of Conformance Cost of non-Conformance

12. Cost of Poor Quality Examples
The world's largest manufacturer of
personal computers, Dell, is to recall 4.1
million of its notebook computer
batteries because of a fire risk.
Mattel recalls 18m more
toys 2007
US toymaker Mattel has recalled more than
18 million toys worldwide, the second such
recall in two weeks because their paint
contains lead.

13. Cost of Poor Quality Examples
• Largest environment disaster in US.
• Reason is weak cement use around the
well.
• Process approach Brocken.
• 10 billion dollar loss
Space Shuttle Disaster 1986
The American space shuttle, Challenger, has
exploded killing all seven astronauts on
board due to O-ring seal breakdown.
1 billion dollar loss

14. Cost effectiveness along the process
The later in the Value Stream we find a problem, the higher the cost

15. Financial costs
Lost customer loyalty
Damage business reputation
Need for greater control & checks
Competitive take advantage
How Poor Quality Effect Us

16. focusing on process rather than
outcome is a much better strategy.