The Real Cost of Quality

A new framework for calculating the cost of assembly line defects in the face of unpredictable outcomes.

How much does a defect actually cost?

Capturing the value of a defect is not simple. There are ripple effects that cost time and money throughout the organization as a result of a defect. Many of them are not obvious: 

  • Materials and Labor costs
    • Replacement materials
    • Rework time
    • Retraining time
    • Production down time
  • The cost to make it right
    • Warranties
    • Forced inspections
    • Investigations
  • The cost of an unhappy customer
    • Damaged reputation
    • Canceled and lost orders

Avoid indecision … and bad investments with a new framework

It’s hard to predict what problems can occur and what solution to invest in. This report provides a framework that provides a methodology to categorize and identify the risks result from defects.

The paper is a must-read for manufacturing operations, quality and supply chain leadership.

Download "The Real Cost of Quality" now