Showing posts with label Failure cost. Show all posts
Showing posts with label Failure cost. Show all posts

Wednesday, March 25, 2009

What are prevention, appraisal and failure costs?

We can describe these costs as follows

Prevention cost:
•Quality planning
•Formal technical reviews
•Testing equipment
•Training
Appraisal cost:
•In-process and inter-process inspection
•Equipment calibration and maintenance
•Testing
Failure cost:
Internal failure cost: rework, repair, and failure mode analysis
External failure cost: complaint resolution, product return and replacement, help line support, warranty work

What is cost of quality?

Cost of Quality includes:

  • Includes all costs incurred in the pursuit of quality or perform quality related work.
  • It is more than 50% of the total project cost
There are three types of cost
Prevention cost: It is  incurred to prevent defects from occurring.
Appraisal cost: It is  incurred for reviewing and testing the work product.
Failure cost:It is the cost  incurred in correcting the defects found during appraisals or reported by the customer.