What does poor quality goods lead to?
Customer dissatisfaction
Bad reputation
What does producing high quality goods allow a business to do?
Charge higher prices
Gain customer loyalty
What are 2 ways a company checks the quality of its goods?
Quality control and quality assurance.
What is quality control?
When quality inspectors check products to see if they are good enough to sell.
What are facts about quality control?
Assumes errors are unavoidable
Detects and corrects errors
What is quality assurance?
Making sure products are made properly from the start, so there are no problems later.
What are facts about quality assurance?
Assumes errors are avoidable
Prevents errors and tries to get things right first time
Why is quality assurance better than quality control?
It motivates employees as they are responsible for their own work.
What is total quality management?
When the whole workforce is involved in quality improvements.
What are advantages of total quality management?
Better reputation
Higher customer satisfaction
What are disadvantages of total quality management?
Resistance to change
Can be overwhelming
What is another method businesses can use to improve quality?
Kaizen where small incremental changes are made to improve the business.