Question:
Feedback control theory and product quality measurement companies have introduced detailed 'quality cost' measurement schemes.
In others, the philosophy has been that no measurement procedures should be devoted especially to the measurement of quality costs: quality cost schemes designed to measure performance in this area are considered to add to administrative burdens; in reality 'quality' should be the expected achievement of the required product specification.
(i) set out a classification of quality costs which would be useful for reporting purposes. Give examples of actual costs which would be represented in each classification;
(ii) discuss the reality of the differences of philosophy expressed in the opening statement. Do they represent fundamental differences or may they be reconciled?