Cost of quality

Name – saswati biswal

Roll no- USCBB20125
BBM-HR
The Cost associated with avoiding poor quality or those
incurred as a result of poor quality .this can be
computed using:-

1. cost of Appraisal
2. cost of prevention
3. cost of failures
-internal failure costs
-external failure costs
3. Cost of failures-

In spite of prevention and appraisals, there will

still be losses due to rejects, rework, spoilage, etc.

There will be costs of attending to customer

complaints and providing product service.

There will also be a cost towards maintaining

guarantees and warranties.
The cost of failure can be classified into

1. Internal failure costs: incurred as a result of

unsatisfactory quality that is found before the
delivery of a good or service

2. External failure costs: incurred after poor-

quality goods or services reach the customer
THANK YOU