Saturday, January 27, 2007

Cost of Quality

Cost of Quality (COQ) includes all costs incurred in the pursuit of quality or in performing quality related activities. Cost of quality studies are conducted to know the current COQ and to find out the opportunities for reducing the costs of quality and to provide a basis for comparison.

Types of COQ

Quality costs may be divided into:

1. Preventive Cost
2. Appraisal Cost
3. Failure Cost

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