Optimal costs of quality

• Published in: Journal of Engineering Management and Competitiveness (Online) Vol. 8; no. 1; pp. 37 - 46
• Main Author: Popović, Branko
• Format: Journal Article
• Language: English
• Published: University of Novi Sad, Technical faculty Mihajlo Pupin, Zrenjanin 2018
• Subjects: cost of quality; optimal cost of quality
• ISSN: 2334-9638; 2217-8147
• DOI: 10.5937/jemc1801037P

It can be noticed that our suppliers monitor the quality of their process results (semi-product, product, documentation, service) mainly through a percentage of malfunctions or a decrease in the index of accuracy and precision of the process. However, in the United States they claim that their users are not interested in it and that defect rates are not quality losses, but costs of suppliers. In addition, in the United States they claim that PPC (capability index) and PPP (accuracy index) are difficult to understand because 'what really is a quality improvement when the PPC changes from 0.9 to 1.2'. Therefore, the quality of their process results in the average cost of quality which includes all the costs of quality at all stages of the production process (market research, planning, design, production, control, packaging, sales, servicing and maintenance) and the work with one worker who performs five jobs: production, quality control, adjustment, release to accept correct, repaired or regrade and scrap incorrect process results, with preventive maintenance, instead of our four jobs (production, adjustment, quality inspector and maintenance worker. In this release, we briefly discussed possible ways of calculating optimal quality costs, which can also enable the organization of jobs in a new, American way.