Quality is a way of a businesses ensuring that their customers receive the highest standard products
If a product isn't of good quality then....
It can lead to customers returning the product leading to a loss in sales
Extremely low products will receive bad PR and create a bad reputation
High quality products can result in a good reputation
Customers will pay higher prices for the goods, therefore increasing profits
High quality will attract high quality staff
Slide 2
There are 8 methods to ensure quality
Quality Control
Quality Assurance
Quality Improvement
Quality Circles
Quality standards and symbols
Benchmarking
Quality Management
Mystery Shoppers
Slide 3
Quality Control
Quality Control is the method of inspecting the quality of raw materials at the end of the production stage.
Slide 4
Quality Assurance
Is the method of prevention. The quality of the product is checked at every stage in production rather than at the end.Advantages
Less wastage, therefore decreasing costs
It is easy to identify where there is a fault in the production line
Disadvantages
It is a timely process as each stage needs to be inspected adding time to production
Increases the production cost as managers need to be paid wages.
Slide 5
Quality Improvement
Is the process of continuing to improve the quality even if the objectives have been met. Everyone needs to be committed to continually improving.Advantages
Stay ahead of competitors
React quickly to changing external factors
Disadvantages
Staff feel under pressure to be continually improving
High staff development costs
Slide 6
Quality Circles
Is a group of employees who meet with a line manager to discuss the problems with the production line and how these problems can be solved. Feedback is returned to senior management and may be implemented.Advantages
Employees are motivated as they feel as if they are involved in decision making
Senior managers get good quality feedback as the employees spend a lot of time and will know it well.
Disadvantages
Happens during paid company time, therefore production time is lost.
Employees encouraged to join from training, costing the business even more money
Slide 7
Quality Standards and Symbols
A method of proving that a product meets an agreed industry standard.Advantages
Customers can feel confident in their purchase
Used a promotional tool to give a competitive edge
Higher prices can be charged as product is of high quality