“Cost of quality is a methodology that allows an organization to determine the extent to which its resources are used for activities that prevent poor quality, that appraise the quality of the organization’s products or services, and that result from internal and external failures. Having such information allows an organization to determine the potential savings to be gained by implementing process improvements.”
Excerpted from The ASQ Quality Improvement Pocket Guide: Basic History, Concepts, Tools, and Relationships, Grace L. Duffy, ASQ Quality Press, 2013, pages 62–65.
Learn more about the Cost of Quality, including videos, training, books, and case studies by visiting the ASQ website. Or for an instructor-led workshop or training, contact ASQ Philly or the Education Chair for potential training opportunities for both individuals or on-site at your place of business for your group.