Preview

Assessing Quality: Cost of Getting Wrong or the Benefits of Getting It Right

Powerful Essays
Open Document
Open Document
1991 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Assessing Quality: Cost of Getting Wrong or the Benefits of Getting It Right
Student No: 1031650 BS2582 – Operations Management Assignment

Assessing Quality: Cost of getting wrong or the benefits of getting it right

Executive Summary:
This report has been written with the intention of improving Euro-Recycling Ltd’s quality management and therefore the quality of service provided. This will be essential in the future of the company as it looks to branch out in the market while also maintaining its established relationships with current customers. The first part of the report will focus on what quality means to a business and also what customers expect from businesses operating in certain markets. The consequences of bad quality and the benefits of high quality will also be examined in order to express the importance of quality management. Using these measures the current quality management methods of Euro-Recycling Ltd can be assessed and recommendations on improving these methods can be made.

Introduction:
Euro-Recycling ltd started up around 7 years ago and operates in the IT recycling and destruction industry. The business offers two main services; a collection and safe removal of unwanted IT equipment and secure onsite destruction of top secret hard drives. In all of the jobs the business has to complete the workforce will be in full view of the customer it is therefore a necessity for the quality of the job to be immaculate. Hewlett Packard are one of the businesses main customers and they define quality as (J.Golding, 1991) ‘Meeting or exceeding the needs and expectations of the customer’ and continue to define total quality management as ‘A management philosophy and an operating methodology that is completely committed to quality’. A company want to do things right; that is, they would not want to make mistakes, and would want to satisfy their customers by providing error-free goods and services which are fit for their purpose. This is giving a quality advantage to the customers. Nigel Slack states in his



Bibliography: * http://www.1000advices.com/guru/quality_tqm_14points_deming.html * (John Golding – TQC improvement project cycle workbook 1991) * (Nigel Slack – Operations Management 2004) * (Peter Finney – Euro Recycling Business Operating Systems Report, 2012)

You May Also Find These Documents Helpful

  • Good Essays

    Our firm is the producer of tangible products. We, as a company, must ensure that we are delivering the highest quality products to our customers to maintain a quality reputation and in order to earn repeat and referral business. We have identified the three types of costs associated with the implementation of quality considerations. We believe that if we are mindful of the following costs our quality will improve, our customer satisfaction will improve and our business will prosper. The three types of costs associated with quality considerations are prevention costs, appraisal costs, internal and external failure costs. Prevention costs are the most effective way to avoid unnecessary problems with production and sales quality. These costs are defined as any steps we as a company can take to pre-emptively avoid any future defects by providing our employees with things such as, proper tools to complete their assigned work, safe and proper working conditions, proper and effective training of all new employees and continual training and education for all existing employees, and by implementing quality control systems to ensure all products produced are up to the company’s and customer’s quality standards. Appraisal costs are the costs associated with the testing and inspection of purchased materials used in the productions process, inspection of the items the company is producing, checking items produced for conformance, quality control audits and field testing of items produced and the cost of the labor associated with all of these items. These costs are ultimately the quality costs resulting from quality control and while they may be high in numbers but are imperative during the manufacturing and production processes. Internal failure costs are the costs that we would incur should we fail to meet the quality standards of the…

    • 865 Words
    • 25 Pages
    Good Essays
  • Better Essays

    It301 Unit 5

    • 1300 Words
    • 6 Pages

    In the world of quality, there are three great contributors that helped revolutionize and evolve the quality movement. These three gentlemen were W. Edwards Deming, Joseph Juran, and Philip Bayard Crosby. All three of them concentrated on quality in the manufacturing and industrial businesses, yet each of their philosophies are dissimilar. Their contributions to the quality movement can also be applied to other business sectors, such as the information technology field. In order to discuss quality, we will need to explore each of their philosophies and how they relate to one another and additionally, how they contrast with one another. While there are indeed three great contributors, this paper will focus primarily on Philip B. Crosby 's philosophies, and thus, be biased towards him.…

    • 1300 Words
    • 6 Pages
    Better Essays
  • Satisfactory Essays

    Quality Assessment

    • 721 Words
    • 3 Pages

    This statement represents a negative conclusion about the absence of medical service near a neighborhood. It pushes the people to think in a negative way. The question could be, for example “how far from the community health clinic do you live”, or “Do you live near the community health clinic in your area?”…

    • 721 Words
    • 3 Pages
    Satisfactory Essays
  • Powerful Essays

    Companies and Management professionals now know that quality needs to be built into every level of a company, and it needs to be a part of everything the organization does. From answering the phone to assembling products and serving the end customer, quality is vital for the success of organizations.…

    • 1879 Words
    • 8 Pages
    Powerful Essays
  • Powerful Essays

    There are many researches showing that total quality management is the predominant factor to remain business organizations’ sustainable competitiveness and generate the best result (e.g., Easton & Jarrell, 1998; Hendricks & Singhal, 1997; Lemak et al., 1997; Samson & Terziovski, 1999; Shetty, 1993). What is quality? How could a good total quality management dedicate to organization? Are they the same in any organizations? Understanding the importance of quality, many organizations have appointed a Quality Manager to manage quality operation as a whole. In order to study the contributions of TQM, take a medium-size manufacturing as an example, what should a quality manager do to improve the overall performance? In this article, playing a role of Quality Manager, I will propose my recommendations based on three main points: understand quality and improvement, understand the system and draw up a total quality management strategy.…

    • 1691 Words
    • 7 Pages
    Powerful Essays
  • Powerful Essays

    Swot Analysis for Air China

    • 5375 Words
    • 22 Pages

    The European Centre for Total Quality Management, University of Bradford School of Management, Bradford, UK…

    • 5375 Words
    • 22 Pages
    Powerful Essays
  • Powerful Essays

    Many organizations worldwide are focusing today on quality to restore their competitive edge. They know now that an emphasis on quality improves overall productivity and reduces costs.…

    • 3494 Words
    • 14 Pages
    Powerful Essays
  • Better Essays

    Ethics in Quality

    • 1997 Words
    • 8 Pages

    Total Quality Management is a method focusing on the optimization of industrial processes under economic aspects. When compared with Ethics Quality Management there are certainly many differences in these two types of methods. Under Total Quality Management customer satisfaction is a central value with absolute priority and assumes that achieving customer satisfaction automatically implies optimal economic results. When breaking down this method there are is a three level approach; total management, quality management, and management (Julliard, 2004).…

    • 1997 Words
    • 8 Pages
    Better Essays
  • Good Essays

    Until 1990 there was not a clear definition of what Total Quality Management (TQM) truly meant. In an effort to provide a single definition that would include the entire process of TQM the SEMATECH (Semiconductor Manufacturing Technology Consortium), developed a definition that cannot be challenged. The definition is represented as, "Total Quality Management is a business management methodology that aligns the activities of all employees in an organization with the common focus of customer satisfaction through continuous improvement in the quality of all activities, goods, and services", (Burrill & Ledolter, 1999).…

    • 1024 Words
    • 5 Pages
    Good Essays
  • Better Essays

    Cost of Quality

    • 1279 Words
    • 6 Pages

    Assuming an agreement is made between a supplier and a customer such that the supplier must ensure that all parts are within tolerance before shipment to the customer, what is the effect on the cost of quality to the customer?…

    • 1279 Words
    • 6 Pages
    Better Essays
  • Good Essays

    McMillan (2011) defines quality assessment as gathering evidence that demonstrates the knowledge and skills that students comprehend. Pre-assessment, formative assessment and summative assessment is how the evidence is gathered, teachers analyse the assessment results and make decisions about any potential learning deficit. McMillan (2011) outlines five areas of quality assessment as integrating instructions and assessment, purpose, measurement, feedback and recent trends in classroom assessment. This paper analyses McMillan (2011) five ideas of quality assessment and how assessment impacts learning.…

    • 668 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    Cost of Quality

    • 2316 Words
    • 10 Pages

    For every industry or business, to get increased sales and better name amongst consumers and fellow companies it is important to maintain a level of quality. Especially for the businesses engaged in export business has to sustain a high level of quality to ensure better business globally. Generally quality control standards for export are set strictly, as this business is also holds the prestige of the country, whose company is doing the export. Export houses earn foreign exchange for the country, so it becomes mandatory to have good quality control of their products. In the garment industry quality control is practiced right from the initial stage of sourcing raw materials to the stage of final finished garment. For textile and apparel industry product quality is calculated in terms of quality and standard of fibres, yarns, fabric construction, colour fastness, surface designs and the final finished garment products. However quality expectations for export are related to the type of customer segments and the retail outlets.…

    • 2316 Words
    • 10 Pages
    Powerful Essays
  • Good Essays

    Case Study on Quality

    • 460 Words
    • 2 Pages

    In the fast- paced personal computer industry, it would be very tempting for a computer company to rush ha new product to market without taking the time to solicit customer input and feedback during the customer input and feedback during the product development cycle. To avoid this temptation and to highlight its commitment to customer satisfaction, Apple computer has developed a program called Customer Quality Feedback (CQF). CQF is a hands-on program providing Apple engineers with the ability to communicate with potential end users during the entire development cycle of an Apple product. The program integrates many of the features of a focus group but is sustained on an ongoing basis. It is also a very substantive and useful tool for Apple because it keeps the company attuned to the needs, preferences, and desires of its end users.…

    • 460 Words
    • 2 Pages
    Good Essays
  • Best Essays

    Quality Management

    • 2686 Words
    • 11 Pages

    This assessment analyzed and discussed the quality system to improve and contributes Mercedes-Benz organization’s mission and strategic. Mercedes-Benz human resource system is an important role in the quality management. The cost of quality is an important concept to a business. Quality-related costs directly impact a firm's bottom line profit. Article also discussed customer requirement and company needs improve activities in its quality system.…

    • 2686 Words
    • 11 Pages
    Best Essays
  • Good Essays

    cost of quality

    • 1540 Words
    • 7 Pages

    In short, any cost that would not have been expended if quality were perfect contributes to the cost of quality.…

    • 1540 Words
    • 7 Pages
    Good Essays