Business operations (unit 3) Flashcards
What is quality?
how well a product performs or the standard to which a service is provided
What does it mean if a quality is of good service?
if a product or service is of good quality, it generally means that it is of high standard
Where can quality come from?
how well a product is made
the use of high quality raw materials
ensuring products will last a long time and work well
Customer expectations when it comes to quality
customers often have high expectations about the quality of goods and services they receive
- customers expect to receive a product or service that performs as described
- many customers also expect products to be produced in an ethical sustainable way
2 ways of managing quality
quality control
TQM
What is quality control?
the process of inspecting products or services to ensure that customers receive them at a high standard
This can be done by feedback or factor inspectors
Feedback in quality control
can be physical at point of sales or electronically to ask about the service customers received
Factory inspectors in quality control
often used at the end of production to ensure that products are of the required standard before they reach customers
What do quality control methods do?
these methods reduce the number of faults or sub standard products that reach customers
Disadvantage of quality control
these methods identify faults at the end of production which is more expensive to fix as the whole product may have to be replaced
What is TQM?
a process of carrying out checks at specific stages during the production process. Faults are found sooner rather than later
TQM makes quality the responsibility of all employees
Advantages of TQM
cost reduction as faults found early
reduced waste
increased customer satisfaction
Disadvantages of TQM
cost of training
can be time consuming to introduce
all employees must belive in TQM
Benefits of maintaining quality
Helps build strong brand image
gain good rep
customer satisfaction
gain competitive advantage when can offer low prices high quality
Costs of maintaining quality
mistakes are expensive
inspection costs
staff training costs
3 methods of good customer service
good product knowledge – every staff member should know all the features and benefits of the product
Customer experience – employees should try to build relationship relationships with customers like being polite and friendly or fitting rooms to make customer experience more enjoyable
post sales services – after a product has been purchased the business may need to provide an ongoing service e.g. use our training – showing how to use the product, helpline – can call line for help, servicing – some products require regular services to keep them running correctly
