This document discusses quality from the perspectives of customers and businesses. It defines quality as meeting customer needs and expectations within budget and on time. Poor quality can result in lost customers, wasted materials and costs of fixing or replacing defective products. Businesses aim to achieve quality through assurance and control methods across their production processes in order to satisfy customers and avoid complaints. This helps increase profits, reduce costs and improve customer satisfaction.
4. Does quality matter?
I Hope
this is a
quality
product!
In your pairs
Write a list of products
That as a customer
You would like to be able
to trust the quality.
Be ready to share your list
with the group
6. What is quality?
• Write down a definition in your
notes:
• Quality management is where a
business produces what
customers need and want within
budget and on time.
7. Can you rank quality?
•
•
How does a business
know what level of
quality to produce?
Watch the video on
next slide
8. What is poor quality?
Discuss this in your pair and get
ready with your answer...
Poor quality is ....
9. Examples of Poor Quality
• Product fails – e.g. a breakdown or
unexpected wear and tear
• Product does not perform as
promised
• Product is delivered late
• Poor instructions/directions for use
• Customer service is hard to find
(e.g. telephone not answered)
• Business employees appear rude or
uninterested in the customer
• Poor quality is when a product does
not meet customer expectations
10. What are the costs of poor
quality?
• In your pair discuss what the
costs to a business might be of
producing a poor quality product
or service.
11. Costs of poor quality
– Lost customers (expensive to
replace – and they may tell other
people about their bad experience)
– Cost of reworking or remaking
product
– Costs of replacements or refunds
– Wasted materials
12. Customer expectations
• Think about your needs and
expectations as a customer when
you buy a product or service. These
may include:
–
–
–
–
–
–
Performance
Appearance
Availability
Delivery
Reliability
Price
• In your pair give an example of each.
E.g. Performance (car)
13. Performance
• Your need as a
customer may
be to have 220
BHP and travel
from A to B fast
in style. You are
looking for a
performance
car.
14. Appearance
Your needs as a customer may be to have a watch that
looks good, the appearance of quality is important to
you
16. delivery
You order a product on ebay
and want it delivered on
time, a fancy dress outfit for
red nose day for example.
But it doesn’t arrive on time.
17. Reliability
You start a job and its important to get
to work. You get in your car in the
morning and the car doesn’t start. A
reliable vehicle may be critical in the
future.
18. Price
Demand for petrol does not change even if the price rises, so people will drive
miles to get to a cheaper petrol station.
19. Quality
• Quality is one of the key decisions in
operations in today’s highly
competitive global market.
• Vital to increase profits, reduce
costs and improve customer
satisfaction.
• Difficult term to define as it can
mean different things to different
people.
20. Quality from a customer
viewpoint
• Customers want a
quality product right
for the price paid
• Customers judge
quality on the extent
to which it satisfies
their needs and wants
With a watch as well as wanting it to tell the time customers may want a status symbol
21. What do customers want?
• Discuss in your pair – what do customers
want...
• From a car?
• From a smartphone?
• From a pair of trainers
22.
23.
24. Quality from a business
viewpoint
•
•
•
•
Want to meet customers needs
Want to satisfy customers
Don’t want customer complaints
Why?
• Interflora complaint
25.
26. How does a business
achieve quality?
• Producing products of the required quality does
not happen by accident
• There has to be a production process which is
properly managed
• Ensuring satisfactory quality is a vital part of the
production process.
• Quality management is concerned with
controlling activities with the aim of ensuring that
products and services are fit for their purpose
and meet the specifications
• There are two main parts to quality management
– Quality assurance
– Quality control
27. Quality Assurance
• Quality assurance is about how a business
can design the way a product of service is
produced or delivered to minimise the
chances that output will be sub-standard
• The focus of quality assurance is, therefore
on the product design/development stage
• Why focus on these stages?
– If the production process is well controlled then quality will be "built-in“
– If the production process is reliable - there is
less need to inspect production output (quality
control)
28. Quality control
• Quality control is the traditional way of managing
quality
• Quality control is concerned with checking and
reviewing work that has already been done
• For example, quality control includes:
– Inspection
– Testing
– Sampling.
• Quality control is mainly about "detecting" defective
output - rather than preventing it
• Quality control can also be a very expensive process.
Hence, in recent years, businesses have focused on
quality management and quality assurance.
29. Quality control
• May involve
sampling the
product to see if
quality is
consistent
• May mean
looking at data to
see if quality is
consistent
30. Total Quality Management
(“TQM”)
• TQM is essentially an “attitude”
• Whole business understands need
for quality and seeks to achieve it
• Everyone in workforce s
concerned with quality at every
stage of production process
• Quality is checked by workers and
not inspectors
31.
32. Get ready
• Read through your notes and get
ready for a 10 question quiz...
33. Quiz
•
•
•
•
•
•
•
•
•
•
1 Does quality matter and why?
2 What is quality?
3 What are the costs of poor quality
4 What are the 6 customer expectations?
5 What is quality from a customers
viewpoint?
6 What is quality from a business viewpoint?
7 How does a business achieve quality?
8 What is quality control?
9 What is Quality Assurance?
10 What is TQM?