4.4 Improving quality

Question 1

What factors determine quality?

Answer 1

• Quality of materials used
• Quality of production process
• Style of product
• Durability, speed and quality of a service

Question 2

Ways to measure quality

Answer 2

• Customer feedback
• Customer surveys

Question 3

Ways to identify quality

Answer 3

• Check quality in production process
• Customer feedback and surveys

Question 4

How can checking quality in production process help to identify quality?

Answer 4

• checking the raw materials from suppliers, take random samples of products that are in the middle of being produced and take random samples of finished products
  HOWEVER: expensive - but defects are spotted before they reach customers.
  It may also stop a business bearing the costs involved in processing returns

Question 5

How does customer service and complaints help to identify quality

Answer 5

• Helps businesses to correct an issue that the business hasn’t yet identified
• there are monetary costs and reputation costs from having dissatisfied customers

Question 6

What is TQM

Answer 6

Total Quality Management:
is a culture of quality that ensures quality in production, sales and after-sales customer service

Question 7

Disadvantage of TQM

Answer 7

• Expensive: training employees in the principles and making sure they embrace the culture

Question 8

How can TQM improve the product

Answer 8

By valuing customer feedback:
The organisation aims to keep improving and producing products of the highest standard to give customers the best experience possible

Question 9

Benefits of maintaining high quality

Answer 9

• Image / reputation (more customers and charger higher prices)
• Higher price (customers willing to pay a premium for a good product) = more profit
• Avoids product recalls

Question 10

What are the costs involved of maintaining high quality

Answer 10

• Inspection Costs
• Provision of services
• Staff training