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Cost of Quality (COQ) - Coggle Diagram
Cost of Quality (COQ)
- Assesses costs to prevent, appraise, or fail in achieving quality standards.
- Identifies savings from improving processes.
- Cost of Conformance
(Money Spent to Avoid Failure)
- Preventive Costs: (To prevent Errors)
Quality planning, training, system maintenance.
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- Appraisal Costs: (Assess the quality)
Quality assessment via verification, audits, supplier rating.
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Examples: Inspections, testing equipment, quality audits, secret shopper hiring.
- Cost of Non-Conformance
(Money spent due to failure)
- Internal Failure Costs:
(Failures identified by project team)
Costs for defects found before customer delivery
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- External Failure Costs:
(Failures identified by customer)
Costs for defects found by customers.
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