Professional Documents
Culture Documents
Quality
2
MEASURES OF CUSTOMER
SATISFACTION
Customer Complaints
(Delivery/Quantity/Rudeness etc.)
Customer Returns
Customer Churn (Conversions)
Customer Referrals / Ratings
Customer Court Cases against the Company
Sales (Repeated Purchase)
3
METHODS TO DETERMINE
CUSTOMER SATISFACTION
4
(ADVERSE) % (1-10)
Defects
Scraps
Downgrades
Rework
Rejects
Cost of Quality
Reject Ratio
Rework Ratio
Scrap Ratio
Major Non-conformities
Minor Non-conformities
% Failure Cost to Total Quality Cost
10
Criteria's to Measure Quality of Conformance.
• Quality Attributes
• Quality Variables
11
Measuring the Quality Variables
12
COST OF QUALITY
1. Internal Failure Cost -Costs attributable to errors and
defects in production in-house.
Examples
Loss Of Sales Due To Rejects
Loss Of Sales Due To Downgrades And Scraps
Cost Of Rework
Examples
Cost Of Inspection
Cost Of Quality Rating
Cost Of Equipment Used For Quality Appraisal
Examples
Cost Of Quality Planning
Cost Of Training & Development
Cost Of Vendor Evaluation (Supplier Analysis)
Cost Of Conducting Quality Audits
14
Demings Fourteen Principles For Total Quality Improvement
1. Create and publish to all employees a statement of the aims and purposes
of the company or other organization. The management must
demonstrate constantly their commitment to this statement.
4. End the practice of awarding business on the basis of price tag alone.
6. Institute training.
16