3.3 Concept of quality

Question 1

Consequences of quality issues

Answer 1

• Losing customers
• Lower productivity (work is less valued; company not commuted to quality)
• Increased costs
• Damaged reputation

Question 2

TQM

Answer 2

Management process that emphasises the continuous and consistent improvement of quality in all aspects of production (aka maintaining consistent quality).

Question 3

Advantages of maintaining quality.

Answer 3

• Additional/more sales
• Better image/reputation
• Ability to increase price
• Less refunds

Question 4

Disadvantages of maintaining quality.

Answer 4

• Inspection costs for quality control.
• Requires staff training.
• More product recalls
• Provision of services

Question 5

Situations in which quality management is hard.

Answer 5

• Growing business (e.g. franchising/outsourcing) can find it hard to maintain quality.