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Quality Management

Cost of Quality and Non Quality

Measure prevention, appraisal and failure costs to improve quality investment.

Intermediate2 daysEnglish or ArabicISO Systems

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Course overview

The cost of poor quality often amounts to 15–25% of sales, yet it is rarely measured. This course shows managers how to identify, measure and reduce the costs of prevention, appraisal and internal and external failure.

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Learners build a cost-of-quality model for their own organisation and use it to make the business case for quality improvement in the language of finance.

Key takeaways

  1. 01Explain the prevention, appraisal and failure (PAF) model
  2. 02Identify hidden costs of non-quality across the organisation
  3. 03Collect and report cost-of-quality data with finance
  4. 04Prioritise improvement using cost-of-quality analysis
  5. 05Build a business case for quality investment

Course outline

  1. Day 1
    Understanding cost of quality
    • The PAF model and its categories
    • Hidden costs and the iceberg effect
    • Cost of quality in manufacturing and services
  2. Day 2
    Measuring and improving
    • Data sources and working with finance
    • Cost-of-quality reporting and KPIs
    • Workshop: building your cost-of-quality model

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Frequently asked questions

Should finance staff attend?

Yes. The best results come when quality and finance build the model together.

Do you provide templates?

Yes. You will receive an Excel cost-of-quality model to adapt.

How do I choose the right course?

Compare your professional goals, experience and preferred format, or ask an adviser to help.

Are courses available online?

Yes. Live virtual and in-house options are available depending on the programme.

Will I receive a certificate?

Certificate requirements depend on the programme and awarding organisation.

Where this course runs

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