SlideShare a Scribd company logo
N T
O C
N U
IO OD
T R
C P
U
D ’S
O N
TR VI T Y
IN AR LI
G UA
Q
INTRODUCTION ON GRVIN’S
PRODUCT QUALITY
About the Author :
• A professor of business administration at Harvard Business
School.
• Researcher in general management and strategic change.
• An author of 10 books, articles and case studies.
• He was an economist for the Federal Trade Commission and
the Sloan Commission on Government and Higher Education.
He has served on the board of overseers of the Malcolm
Baldrige National Quality Award, the Manufacturing Studies
Board of the National Research Council, and the board of
directors of Emerson Hospital.
GARVIN’S “PRODUCT QUALITY”


Important competitive issue.



Academic literature on quality has not reviewed
extensively.



Philosophy, economics, marketing, and operation
management have considered the subject on their
own vantage points.



There are few key important facts to be consider in
his study, they are:
1. Five approaches to define quality
2. Eight dimensions of quality.
3. The strategic importance of quality.
4. Correlates of quality.
FIVE APPROACHES TO DEFINE
QUALITY

1.Transcendent Approach
 This means quality is achieved through experience
2.Product based Approach
 This is reflected by differences in product and its
ingredients or attributes.
3.User based Approach
 Based on personal views and idiosyncrasies. Durability is
the key factor.
4.Manufacturing based Approach
 This approach is focused on cost reduction, And concerned
with manufacturing and engineering.
5.Value based Approach
 This approach is based on cost and prices. Better
performance at lower cost is recognized as a quality
product.
DIMENSIONS OF QUALIT Y
The Basic Elements of a product quality
1.
2.
3.
4.
5.
6.
7.
8.

Performance
Features
Reliability
Conformance
Durability
Serviceability
Aesthetics
Perceived Quality
PERFORMANCE
•Refers to the primary operating characteristics
EX : Car -Acceleration , Braking, Handling
•The degree of the performance varies according
to the performance class

Toyota Prius

bugatti veyron
0-60 mph – 2.7sec

Acceleration

0-60 mph – 9sec
FEATURES

•Additional characteristics that enhance the
appeal.
•Secondary aspects of performance.
•Ex – Cruise control, Leather seats, Smart
parking
RELIABILITY
•The likelihood that the product will not fail
within a specific time period
•The common measure of reliability is the
failure rate per unit time
CONFORMANCE
•To what extent the product design and the
operating characteristics meet the preestablished standards.
• What is “tolerance stack-up” ?
•service businesses, measures of
conformance normally focus on accuracy
and frequent mistakes.
DURABILITY
The length of a product’s life.
But
Product can be repaired, estimating durability is
more complicated.
Durability can be defined as:
The amount of use one gets from a product before it
breaks down
Reliability and Durability are closely linked.
SERVICEABILITY
Serviceability means the consumer's ease of
obtaining repair service
This includes:
• Responsiveness of service
personnel
•Willingness of repair personnel
•Reliability of service
•Speed
AESTHETICS
•Aesthetics refers to how the product looks, feels,
sounds, tastes or smells.
•This is a matter of personal judgement
PERCEIVED QUALITY
•Reputation is the primary stuff of
perceived quality
•The perceived quality may be base on
images, advertising and brand names.
•Perception is not always reality.
•Defers from person to person.
CORRELATES OF QUALITY
Quality and Price
 The relationship between Quality and price runs in both
ways.
 It varies due to customer perceptions , information
available , brand name etc.
Quality and Advertising
 Two main types of goods : Search goods and Experienced
goods
 Experienced High quality products needs more advertising
than low quality products.
 Shows a positive relationship in many aspects.
CORRELATES OF QUALITY
Quality and Market Share
 This depends on how quality is defined
 When quality is defined by premium prices - Negative
relationship.
 When quality is defined by fitness for purpose -Positive
relationship.
QUALIT Y AND PROFITABILIT Y
• To improve quality, the performance, features and other
dimensions should be improved in order to gain large market
shares and higher profits.
• To minimize defects and failures which tends to lower reworks
and inspection costs, results in quality improvements and
increased profits.
• High improved quality brings in a high return on investment
(ROI) on any market share and tends to lower costs and
increase profits.
• High quality brings high reputation for the product, which a
premium price can be charged and this increases profits.
• High quality achieves economies of scale due to cost savings,
which results to increase in profits.
QUALITY AND COST
In the theoretical perspective, it is assumed that quality
and cost are positively related.
Another point which says that quality and cost is inversely
related, that when quality is improved, it reduces costs
such as reworks, scrap and warrants.
Quality costs are the cost of manufacturing and it should
only incurred one time if the product is made to its highest
quality at the first time and does not result in reworks.
Investing in new machinery and technology will reduce
costs and improve quality and experience economies of
scale.
Summary
Thank You !

More Related Content

What's hot

Customer Satisfaction-Total Quality Management (TQM)
Customer Satisfaction-Total Quality Management (TQM)Customer Satisfaction-Total Quality Management (TQM)
Customer Satisfaction-Total Quality Management (TQM)
Rehan Ehsan
 
Quality management gurus
Quality management  gurus  Quality management  gurus
Quality management gurus
abh123sek
 
Barriers to total quality management implementation By Mahr M.Haseeb Sultan
Barriers to total quality management implementation By Mahr M.Haseeb SultanBarriers to total quality management implementation By Mahr M.Haseeb Sultan
Barriers to total quality management implementation By Mahr M.Haseeb Sultan
Muhammad Haseeb Sultan
 
Product and service design
Product and service designProduct and service design
Product and service designGrace Falcis
 
Dimension of quality
Dimension of qualityDimension of quality
Dimension of quality
mona gado
 
Leadership & strategic Planning for Total Quality Management (TQM)
Leadership & strategic Planning for Total Quality Management (TQM)Leadership & strategic Planning for Total Quality Management (TQM)
Leadership & strategic Planning for Total Quality Management (TQM)
We Learn - A Continuous Learning Forum from Welingkar's Distance Learning Program.
 
Obstacles to TQM Implementation
Obstacles to TQM Implementation Obstacles to TQM Implementation
Obstacles to TQM Implementation
Dr.Raja R
 
Supplier partnership part 2
Supplier partnership part 2 Supplier partnership part 2
Supplier partnership part 2
Muddassar Awan
 
Product Quality
Product Quality Product Quality
Product Quality
Arpan Garg
 
Operation management intro
Operation management  introOperation management  intro
Operation management introStudsPlanet.com
 
Service quality management
Service quality managementService quality management
Service quality management
judith obi
 
total quality management and team management
total quality management and team management total quality management and team management
total quality management and team management
Jagriti Rohit
 
Quality Guru Philip B. Crosby’s Management Principles
Quality Guru Philip B. Crosby’sManagement PrinciplesQuality Guru Philip B. Crosby’sManagement Principles
Quality Guru Philip B. Crosby’s Management Principles
Harishankar Sahu
 
Operations - Managing Quality
Operations - Managing QualityOperations - Managing Quality
Operations - Managing Qualitytutor2u
 
3. consumer perception
3. consumer perception3. consumer perception
3. consumer perception
Suzana Vaidya
 
Total Quality Management - Introduction
Total Quality Management - IntroductionTotal Quality Management - Introduction
Total Quality Management - Introduction
Deborah Sharon
 
Total quality management report
Total quality management reportTotal quality management report
Total quality management reportKristian Nierves
 
Total Quality Management TQM
Total Quality Management TQMTotal Quality Management TQM
Total Quality Management TQM
Salman Mehmood
 
Importance of Leadership in Total Quality Mangement
Importance of Leadership in Total Quality MangementImportance of Leadership in Total Quality Mangement
Importance of Leadership in Total Quality Mangement
National College of Business Administration & Economics
 
Supplier selection
Supplier selectionSupplier selection
Supplier selectionjoecobe
 

What's hot (20)

Customer Satisfaction-Total Quality Management (TQM)
Customer Satisfaction-Total Quality Management (TQM)Customer Satisfaction-Total Quality Management (TQM)
Customer Satisfaction-Total Quality Management (TQM)
 
Quality management gurus
Quality management  gurus  Quality management  gurus
Quality management gurus
 
Barriers to total quality management implementation By Mahr M.Haseeb Sultan
Barriers to total quality management implementation By Mahr M.Haseeb SultanBarriers to total quality management implementation By Mahr M.Haseeb Sultan
Barriers to total quality management implementation By Mahr M.Haseeb Sultan
 
Product and service design
Product and service designProduct and service design
Product and service design
 
Dimension of quality
Dimension of qualityDimension of quality
Dimension of quality
 
Leadership & strategic Planning for Total Quality Management (TQM)
Leadership & strategic Planning for Total Quality Management (TQM)Leadership & strategic Planning for Total Quality Management (TQM)
Leadership & strategic Planning for Total Quality Management (TQM)
 
Obstacles to TQM Implementation
Obstacles to TQM Implementation Obstacles to TQM Implementation
Obstacles to TQM Implementation
 
Supplier partnership part 2
Supplier partnership part 2 Supplier partnership part 2
Supplier partnership part 2
 
Product Quality
Product Quality Product Quality
Product Quality
 
Operation management intro
Operation management  introOperation management  intro
Operation management intro
 
Service quality management
Service quality managementService quality management
Service quality management
 
total quality management and team management
total quality management and team management total quality management and team management
total quality management and team management
 
Quality Guru Philip B. Crosby’s Management Principles
Quality Guru Philip B. Crosby’sManagement PrinciplesQuality Guru Philip B. Crosby’sManagement Principles
Quality Guru Philip B. Crosby’s Management Principles
 
Operations - Managing Quality
Operations - Managing QualityOperations - Managing Quality
Operations - Managing Quality
 
3. consumer perception
3. consumer perception3. consumer perception
3. consumer perception
 
Total Quality Management - Introduction
Total Quality Management - IntroductionTotal Quality Management - Introduction
Total Quality Management - Introduction
 
Total quality management report
Total quality management reportTotal quality management report
Total quality management report
 
Total Quality Management TQM
Total Quality Management TQMTotal Quality Management TQM
Total Quality Management TQM
 
Importance of Leadership in Total Quality Mangement
Importance of Leadership in Total Quality MangementImportance of Leadership in Total Quality Mangement
Importance of Leadership in Total Quality Mangement
 
Supplier selection
Supplier selectionSupplier selection
Supplier selection
 

Similar to Product Quality

Quality Control.pptx
Quality Control.pptxQuality Control.pptx
Quality Control.pptx
SudanCanyon
 
Quality Management .pptx
Quality Management .pptxQuality Management .pptx
Quality Management .pptx
PrasadPatil250675
 
Quality control
Quality controlQuality control
Quality control
Nitin Shekapure
 
Quality Control Importance and Tools use for QC by Nitin Shekapure
Quality Control Importance and Tools use for QC by Nitin ShekapureQuality Control Importance and Tools use for QC by Nitin Shekapure
Quality Control Importance and Tools use for QC by Nitin Shekapure
Nitin Shekapure
 
Chapter 2 Quality as competitive advantage [autosaved]
Chapter 2  Quality as competitive advantage [autosaved]Chapter 2  Quality as competitive advantage [autosaved]
Chapter 2 Quality as competitive advantage [autosaved]
UiTM
 
Management of quality
Management of qualityManagement of quality
Management of quality
MDSharifulKhan1
 
An Introduction to Total Quality Management
An Introduction to Total Quality Management An Introduction to Total Quality Management
An Introduction to Total Quality Management
Nayana(TV) Shrinivas Desai
 
Understanding quality
Understanding qualityUnderstanding quality
Understanding quality
JingMalayaw
 
Quality Management and Statistical Process Control
Quality Management and Statistical Process ControlQuality Management and Statistical Process Control
Quality Management and Statistical Process Control
Mahmudul Hasan
 
Total quality management
Total quality managementTotal quality management
Total quality management
Muhammad Bilal
 
3. perkembangan terakhir konsep kualitas
3. perkembangan terakhir konsep kualitas3. perkembangan terakhir konsep kualitas
3. perkembangan terakhir konsep kualitas
Diery Sipayung
 
Lecture 1 (quality)
Lecture  1 (quality)Lecture  1 (quality)
Lecture 1 (quality)
RAJ BAIRWA
 
Quality Management
Quality Management Quality Management
Quality Management
Er. Vaibhav Agarwal
 
Maksym Vyshnivetskyi: PMO Quality Management (UA)
Maksym Vyshnivetskyi: PMO Quality Management (UA)Maksym Vyshnivetskyi: PMO Quality Management (UA)
Maksym Vyshnivetskyi: PMO Quality Management (UA)
Lviv Startup Club
 
customer relation management presentation roadmap what is known and
customer relation management presentation roadmap  what is known andcustomer relation management presentation roadmap  what is known and
customer relation management presentation roadmap what is known and
MohamadIbrahim86
 
total quality management
total quality managementtotal quality management
total quality management
Mandeep Khaira
 
Total Quality Management Ik
Total Quality Management IkTotal Quality Management Ik
Total Quality Management Ik
Karthikeyan I
 

Similar to Product Quality (20)

Quality Control.pptx
Quality Control.pptxQuality Control.pptx
Quality Control.pptx
 
Quality Management .pptx
Quality Management .pptxQuality Management .pptx
Quality Management .pptx
 
Quality control
Quality controlQuality control
Quality control
 
Quality Control Importance and Tools use for QC by Nitin Shekapure
Quality Control Importance and Tools use for QC by Nitin ShekapureQuality Control Importance and Tools use for QC by Nitin Shekapure
Quality Control Importance and Tools use for QC by Nitin Shekapure
 
Chapter 2 Quality as competitive advantage [autosaved]
Chapter 2  Quality as competitive advantage [autosaved]Chapter 2  Quality as competitive advantage [autosaved]
Chapter 2 Quality as competitive advantage [autosaved]
 
Management of quality
Management of qualityManagement of quality
Management of quality
 
An Introduction to Total Quality Management
An Introduction to Total Quality Management An Introduction to Total Quality Management
An Introduction to Total Quality Management
 
Understanding quality
Understanding qualityUnderstanding quality
Understanding quality
 
Quality Management and Statistical Process Control
Quality Management and Statistical Process ControlQuality Management and Statistical Process Control
Quality Management and Statistical Process Control
 
Total quality management
Total quality managementTotal quality management
Total quality management
 
Ptqm ppt
Ptqm pptPtqm ppt
Ptqm ppt
 
3. perkembangan terakhir konsep kualitas
3. perkembangan terakhir konsep kualitas3. perkembangan terakhir konsep kualitas
3. perkembangan terakhir konsep kualitas
 
Lecture 1 (quality)
Lecture  1 (quality)Lecture  1 (quality)
Lecture 1 (quality)
 
Quality Management
Quality Management Quality Management
Quality Management
 
Cost of quality
Cost of qualityCost of quality
Cost of quality
 
Maksym Vyshnivetskyi: PMO Quality Management (UA)
Maksym Vyshnivetskyi: PMO Quality Management (UA)Maksym Vyshnivetskyi: PMO Quality Management (UA)
Maksym Vyshnivetskyi: PMO Quality Management (UA)
 
customer relation management presentation roadmap what is known and
customer relation management presentation roadmap  what is known andcustomer relation management presentation roadmap  what is known and
customer relation management presentation roadmap what is known and
 
Tqm vtumba module 1
Tqm vtumba module 1Tqm vtumba module 1
Tqm vtumba module 1
 
total quality management
total quality managementtotal quality management
total quality management
 
Total Quality Management Ik
Total Quality Management IkTotal Quality Management Ik
Total Quality Management Ik
 

Recently uploaded

How to Make a Field invisible in Odoo 17
How to Make a Field invisible in Odoo 17How to Make a Field invisible in Odoo 17
How to Make a Field invisible in Odoo 17
Celine George
 
1.4 modern child centered education - mahatma gandhi-2.pptx
1.4 modern child centered education - mahatma gandhi-2.pptx1.4 modern child centered education - mahatma gandhi-2.pptx
1.4 modern child centered education - mahatma gandhi-2.pptx
JosvitaDsouza2
 
Digital Tools and AI for Teaching Learning and Research
Digital Tools and AI for Teaching Learning and ResearchDigital Tools and AI for Teaching Learning and Research
Digital Tools and AI for Teaching Learning and Research
Vikramjit Singh
 
Chapter 3 - Islamic Banking Products and Services.pptx
Chapter 3 - Islamic Banking Products and Services.pptxChapter 3 - Islamic Banking Products and Services.pptx
Chapter 3 - Islamic Banking Products and Services.pptx
Mohd Adib Abd Muin, Senior Lecturer at Universiti Utara Malaysia
 
MARUTI SUZUKI- A Successful Joint Venture in India.pptx
MARUTI SUZUKI- A Successful Joint Venture in India.pptxMARUTI SUZUKI- A Successful Joint Venture in India.pptx
MARUTI SUZUKI- A Successful Joint Venture in India.pptx
bennyroshan06
 
GIÁO ÁN DẠY THÊM (KẾ HOẠCH BÀI BUỔI 2) - TIẾNG ANH 8 GLOBAL SUCCESS (2 CỘT) N...
GIÁO ÁN DẠY THÊM (KẾ HOẠCH BÀI BUỔI 2) - TIẾNG ANH 8 GLOBAL SUCCESS (2 CỘT) N...GIÁO ÁN DẠY THÊM (KẾ HOẠCH BÀI BUỔI 2) - TIẾNG ANH 8 GLOBAL SUCCESS (2 CỘT) N...
GIÁO ÁN DẠY THÊM (KẾ HOẠCH BÀI BUỔI 2) - TIẾNG ANH 8 GLOBAL SUCCESS (2 CỘT) N...
Nguyen Thanh Tu Collection
 
How to Break the cycle of negative Thoughts
How to Break the cycle of negative ThoughtsHow to Break the cycle of negative Thoughts
How to Break the cycle of negative Thoughts
Col Mukteshwar Prasad
 
How libraries can support authors with open access requirements for UKRI fund...
How libraries can support authors with open access requirements for UKRI fund...How libraries can support authors with open access requirements for UKRI fund...
How libraries can support authors with open access requirements for UKRI fund...
Jisc
 
Sectors of the Indian Economy - Class 10 Study Notes pdf
Sectors of the Indian Economy - Class 10 Study Notes pdfSectors of the Indian Economy - Class 10 Study Notes pdf
Sectors of the Indian Economy - Class 10 Study Notes pdf
Vivekanand Anglo Vedic Academy
 
The French Revolution Class 9 Study Material pdf free download
The French Revolution Class 9 Study Material pdf free downloadThe French Revolution Class 9 Study Material pdf free download
The French Revolution Class 9 Study Material pdf free download
Vivekanand Anglo Vedic Academy
 
The Challenger.pdf DNHS Official Publication
The Challenger.pdf DNHS Official PublicationThe Challenger.pdf DNHS Official Publication
The Challenger.pdf DNHS Official Publication
Delapenabediema
 
Overview on Edible Vaccine: Pros & Cons with Mechanism
Overview on Edible Vaccine: Pros & Cons with MechanismOverview on Edible Vaccine: Pros & Cons with Mechanism
Overview on Edible Vaccine: Pros & Cons with Mechanism
DeeptiGupta154
 
The Roman Empire A Historical Colossus.pdf
The Roman Empire A Historical Colossus.pdfThe Roman Empire A Historical Colossus.pdf
The Roman Empire A Historical Colossus.pdf
kaushalkr1407
 
Basic phrases for greeting and assisting costumers
Basic phrases for greeting and assisting costumersBasic phrases for greeting and assisting costumers
Basic phrases for greeting and assisting costumers
PedroFerreira53928
 
TESDA TM1 REVIEWER FOR NATIONAL ASSESSMENT WRITTEN AND ORAL QUESTIONS WITH A...
TESDA TM1 REVIEWER  FOR NATIONAL ASSESSMENT WRITTEN AND ORAL QUESTIONS WITH A...TESDA TM1 REVIEWER  FOR NATIONAL ASSESSMENT WRITTEN AND ORAL QUESTIONS WITH A...
TESDA TM1 REVIEWER FOR NATIONAL ASSESSMENT WRITTEN AND ORAL QUESTIONS WITH A...
EugeneSaldivar
 
Unit 2- Research Aptitude (UGC NET Paper I).pdf
Unit 2- Research Aptitude (UGC NET Paper I).pdfUnit 2- Research Aptitude (UGC NET Paper I).pdf
Unit 2- Research Aptitude (UGC NET Paper I).pdf
Thiyagu K
 
Ethnobotany and Ethnopharmacology ......
Ethnobotany and Ethnopharmacology ......Ethnobotany and Ethnopharmacology ......
Ethnobotany and Ethnopharmacology ......
Ashokrao Mane college of Pharmacy Peth-Vadgaon
 
Supporting (UKRI) OA monographs at Salford.pptx
Supporting (UKRI) OA monographs at Salford.pptxSupporting (UKRI) OA monographs at Salford.pptx
Supporting (UKRI) OA monographs at Salford.pptx
Jisc
 
aaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaa
aaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaa
aaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaa
siemaillard
 
Phrasal Verbs.XXXXXXXXXXXXXXXXXXXXXXXXXX
Phrasal Verbs.XXXXXXXXXXXXXXXXXXXXXXXXXXPhrasal Verbs.XXXXXXXXXXXXXXXXXXXXXXXXXX
Phrasal Verbs.XXXXXXXXXXXXXXXXXXXXXXXXXX
MIRIAMSALINAS13
 

Recently uploaded (20)

How to Make a Field invisible in Odoo 17
How to Make a Field invisible in Odoo 17How to Make a Field invisible in Odoo 17
How to Make a Field invisible in Odoo 17
 
1.4 modern child centered education - mahatma gandhi-2.pptx
1.4 modern child centered education - mahatma gandhi-2.pptx1.4 modern child centered education - mahatma gandhi-2.pptx
1.4 modern child centered education - mahatma gandhi-2.pptx
 
Digital Tools and AI for Teaching Learning and Research
Digital Tools and AI for Teaching Learning and ResearchDigital Tools and AI for Teaching Learning and Research
Digital Tools and AI for Teaching Learning and Research
 
Chapter 3 - Islamic Banking Products and Services.pptx
Chapter 3 - Islamic Banking Products and Services.pptxChapter 3 - Islamic Banking Products and Services.pptx
Chapter 3 - Islamic Banking Products and Services.pptx
 
MARUTI SUZUKI- A Successful Joint Venture in India.pptx
MARUTI SUZUKI- A Successful Joint Venture in India.pptxMARUTI SUZUKI- A Successful Joint Venture in India.pptx
MARUTI SUZUKI- A Successful Joint Venture in India.pptx
 
GIÁO ÁN DẠY THÊM (KẾ HOẠCH BÀI BUỔI 2) - TIẾNG ANH 8 GLOBAL SUCCESS (2 CỘT) N...
GIÁO ÁN DẠY THÊM (KẾ HOẠCH BÀI BUỔI 2) - TIẾNG ANH 8 GLOBAL SUCCESS (2 CỘT) N...GIÁO ÁN DẠY THÊM (KẾ HOẠCH BÀI BUỔI 2) - TIẾNG ANH 8 GLOBAL SUCCESS (2 CỘT) N...
GIÁO ÁN DẠY THÊM (KẾ HOẠCH BÀI BUỔI 2) - TIẾNG ANH 8 GLOBAL SUCCESS (2 CỘT) N...
 
How to Break the cycle of negative Thoughts
How to Break the cycle of negative ThoughtsHow to Break the cycle of negative Thoughts
How to Break the cycle of negative Thoughts
 
How libraries can support authors with open access requirements for UKRI fund...
How libraries can support authors with open access requirements for UKRI fund...How libraries can support authors with open access requirements for UKRI fund...
How libraries can support authors with open access requirements for UKRI fund...
 
Sectors of the Indian Economy - Class 10 Study Notes pdf
Sectors of the Indian Economy - Class 10 Study Notes pdfSectors of the Indian Economy - Class 10 Study Notes pdf
Sectors of the Indian Economy - Class 10 Study Notes pdf
 
The French Revolution Class 9 Study Material pdf free download
The French Revolution Class 9 Study Material pdf free downloadThe French Revolution Class 9 Study Material pdf free download
The French Revolution Class 9 Study Material pdf free download
 
The Challenger.pdf DNHS Official Publication
The Challenger.pdf DNHS Official PublicationThe Challenger.pdf DNHS Official Publication
The Challenger.pdf DNHS Official Publication
 
Overview on Edible Vaccine: Pros & Cons with Mechanism
Overview on Edible Vaccine: Pros & Cons with MechanismOverview on Edible Vaccine: Pros & Cons with Mechanism
Overview on Edible Vaccine: Pros & Cons with Mechanism
 
The Roman Empire A Historical Colossus.pdf
The Roman Empire A Historical Colossus.pdfThe Roman Empire A Historical Colossus.pdf
The Roman Empire A Historical Colossus.pdf
 
Basic phrases for greeting and assisting costumers
Basic phrases for greeting and assisting costumersBasic phrases for greeting and assisting costumers
Basic phrases for greeting and assisting costumers
 
TESDA TM1 REVIEWER FOR NATIONAL ASSESSMENT WRITTEN AND ORAL QUESTIONS WITH A...
TESDA TM1 REVIEWER  FOR NATIONAL ASSESSMENT WRITTEN AND ORAL QUESTIONS WITH A...TESDA TM1 REVIEWER  FOR NATIONAL ASSESSMENT WRITTEN AND ORAL QUESTIONS WITH A...
TESDA TM1 REVIEWER FOR NATIONAL ASSESSMENT WRITTEN AND ORAL QUESTIONS WITH A...
 
Unit 2- Research Aptitude (UGC NET Paper I).pdf
Unit 2- Research Aptitude (UGC NET Paper I).pdfUnit 2- Research Aptitude (UGC NET Paper I).pdf
Unit 2- Research Aptitude (UGC NET Paper I).pdf
 
Ethnobotany and Ethnopharmacology ......
Ethnobotany and Ethnopharmacology ......Ethnobotany and Ethnopharmacology ......
Ethnobotany and Ethnopharmacology ......
 
Supporting (UKRI) OA monographs at Salford.pptx
Supporting (UKRI) OA monographs at Salford.pptxSupporting (UKRI) OA monographs at Salford.pptx
Supporting (UKRI) OA monographs at Salford.pptx
 
aaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaa
aaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaa
aaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaa
 
Phrasal Verbs.XXXXXXXXXXXXXXXXXXXXXXXXXX
Phrasal Verbs.XXXXXXXXXXXXXXXXXXXXXXXXXXPhrasal Verbs.XXXXXXXXXXXXXXXXXXXXXXXXXX
Phrasal Verbs.XXXXXXXXXXXXXXXXXXXXXXXXXX
 

Product Quality

  • 1. N T O C N U IO OD T R C P U D ’S O N TR VI T Y IN AR LI G UA Q
  • 2. INTRODUCTION ON GRVIN’S PRODUCT QUALITY About the Author : • A professor of business administration at Harvard Business School. • Researcher in general management and strategic change. • An author of 10 books, articles and case studies. • He was an economist for the Federal Trade Commission and the Sloan Commission on Government and Higher Education. He has served on the board of overseers of the Malcolm Baldrige National Quality Award, the Manufacturing Studies Board of the National Research Council, and the board of directors of Emerson Hospital.
  • 3. GARVIN’S “PRODUCT QUALITY”  Important competitive issue.  Academic literature on quality has not reviewed extensively.  Philosophy, economics, marketing, and operation management have considered the subject on their own vantage points.  There are few key important facts to be consider in his study, they are: 1. Five approaches to define quality 2. Eight dimensions of quality. 3. The strategic importance of quality. 4. Correlates of quality.
  • 4. FIVE APPROACHES TO DEFINE QUALITY 1.Transcendent Approach  This means quality is achieved through experience 2.Product based Approach  This is reflected by differences in product and its ingredients or attributes. 3.User based Approach  Based on personal views and idiosyncrasies. Durability is the key factor. 4.Manufacturing based Approach  This approach is focused on cost reduction, And concerned with manufacturing and engineering. 5.Value based Approach  This approach is based on cost and prices. Better performance at lower cost is recognized as a quality product.
  • 5. DIMENSIONS OF QUALIT Y The Basic Elements of a product quality 1. 2. 3. 4. 5. 6. 7. 8. Performance Features Reliability Conformance Durability Serviceability Aesthetics Perceived Quality
  • 6. PERFORMANCE •Refers to the primary operating characteristics EX : Car -Acceleration , Braking, Handling •The degree of the performance varies according to the performance class Toyota Prius bugatti veyron 0-60 mph – 2.7sec Acceleration 0-60 mph – 9sec
  • 7. FEATURES •Additional characteristics that enhance the appeal. •Secondary aspects of performance. •Ex – Cruise control, Leather seats, Smart parking
  • 8. RELIABILITY •The likelihood that the product will not fail within a specific time period •The common measure of reliability is the failure rate per unit time
  • 9. CONFORMANCE •To what extent the product design and the operating characteristics meet the preestablished standards. • What is “tolerance stack-up” ? •service businesses, measures of conformance normally focus on accuracy and frequent mistakes.
  • 10. DURABILITY The length of a product’s life. But Product can be repaired, estimating durability is more complicated. Durability can be defined as: The amount of use one gets from a product before it breaks down Reliability and Durability are closely linked.
  • 11. SERVICEABILITY Serviceability means the consumer's ease of obtaining repair service This includes: • Responsiveness of service personnel •Willingness of repair personnel •Reliability of service •Speed
  • 12. AESTHETICS •Aesthetics refers to how the product looks, feels, sounds, tastes or smells. •This is a matter of personal judgement
  • 13. PERCEIVED QUALITY •Reputation is the primary stuff of perceived quality •The perceived quality may be base on images, advertising and brand names. •Perception is not always reality. •Defers from person to person.
  • 14. CORRELATES OF QUALITY Quality and Price  The relationship between Quality and price runs in both ways.  It varies due to customer perceptions , information available , brand name etc. Quality and Advertising  Two main types of goods : Search goods and Experienced goods  Experienced High quality products needs more advertising than low quality products.  Shows a positive relationship in many aspects.
  • 15. CORRELATES OF QUALITY Quality and Market Share  This depends on how quality is defined  When quality is defined by premium prices - Negative relationship.  When quality is defined by fitness for purpose -Positive relationship.
  • 16. QUALIT Y AND PROFITABILIT Y • To improve quality, the performance, features and other dimensions should be improved in order to gain large market shares and higher profits. • To minimize defects and failures which tends to lower reworks and inspection costs, results in quality improvements and increased profits. • High improved quality brings in a high return on investment (ROI) on any market share and tends to lower costs and increase profits. • High quality brings high reputation for the product, which a premium price can be charged and this increases profits. • High quality achieves economies of scale due to cost savings, which results to increase in profits.
  • 17. QUALITY AND COST In the theoretical perspective, it is assumed that quality and cost are positively related. Another point which says that quality and cost is inversely related, that when quality is improved, it reduces costs such as reworks, scrap and warrants. Quality costs are the cost of manufacturing and it should only incurred one time if the product is made to its highest quality at the first time and does not result in reworks. Investing in new machinery and technology will reduce costs and improve quality and experience economies of scale.