CONSIDERATIONS ON QUALITY COST MANAGEMENT

Marius-Gabriel Patrascan

Proceedings of the INTERNATIONAL MANAGEMENT CONFERENCE, 2013, vol. 7, issue 1, 426-433

Abstract: Quality costs alone do nothing to illustrate what is spent in various areas related to quality and showing opportunities for improvement. Using quality costs requires supporting the processing the costs for an analysis. One method is the presentation of quality costs as a percentage known to costs. This can show the value of quality costs in relation to expenses. Next, this data must be assembled and examined over time. The analysis may be carried out long-term and short-term. Learning is inherently repetitive of work processes. Both the quantity and quality of the repetitional work influence in a good way the effects of the learning process. As we produce more products identical or similar, the experience and performance in achieving them will increase. The learning rate is higher if the quality of the product is higher.The learning process through specific effects has an influence on all costs, both on procedural costs and the additional costs that were intentionally made and we do not have any negative or unwanted results. Apply effects of the learning process in quality cost model or the quality of the relative costs lead to the same result, namely that the optimal quantity in the model is the same as the experience gained from the model Lundvall - Juran. The effect of learning must lead to improving the quality and lower profit rate leads to the highest optimum quality

Date: 2013
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Persistent link: https://EconPapers.repec.org/RePEc:rom:mancon:v:7:y:2013:i:1:p:426-433

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