Topic 24 - Effective Operations - Quality Flashcards
What’s ISO9000
An award for a product having a quality assurance system.
To gain it, the firm must have quality targets and a back up system should the first one fail.
What’s TQM
Quality standards implied to all areas and functions of the business without fail
3 benefits of quality management
Customer satisfaction= repeat sales / free ads
Good publicity = retailers likely to stock
Competitors differentiation
Easier to establish new products with good rep
3 drawbacks of quality management
Costs: market research to find customer expectations, staff training to ensure TQM, material costs of rejecting poor quality products, equipment costs of checking at each stage.
Methods and definitions of checking quality
Quality control: checking product after its completion or a service as its being conveyed.
Quality assurance: each stage of production is checked for quality, self checking is motivating and reduces the firm’s waste and so costs.