Managing Quality

• Quality control


  putting measures in place to check that the customer receives an acceptable level of quality
• Quality assurance 


  a system based on preventing quality problems by involving all staff within the production team to understand their role in maintaining highest quality standards.
• Warranty 


  the guarantee by a producer that it will repair any faults in a product for a specific period of time.
• quality control

  • finished goods are inspected
  • checks for defects rather than preventing them
  • costly as it can lead to a high level of wastage
  • workers are less involved in process so may be less motivated
• quality assurance

  • quality is checked at every stage in the production process - more time consuming, but defective products are dismissed before being completed
  • aims to prevent defects
  • staff need training - costly in short term; more motivating in long term
• importance

  • lower costs through less wastage
  • as production costs lower, profit margins increase
  • quality can improve reputation and build brand loyalty leading to a competitive advantage
• benefits of good quality

  • good quality allows for a premium price to be charged
  • good quality builds a strong brand image
  • meet customer needs and provide competitive advantage
  • quality is a way of differentiating a product
• quality assurance requires a business to

  • have quality as the focus of every process
  • involve customers and suppliers at design stage
  • aim for zero defects
  • quality as the responsibility of every employee
  • have managers who ensure systems in place to assure quality
  • meet a quality standard
  • good quality part of business culture so everyone aims for it