DIFFICULTIES IN MEASURING THE COST OF POOR OUALITY

Abstract

Reducing a company's non‐value creating costs — the cost of poor quality — is one of the best ways of increasing profitability and competitiveness. The potential is considerable. The cost of poor quality usually corresponds to between 10% and 30% of total turnover. But to realize the benefits requires detailed information about the magnitude and distribution of these costs that is often difficult to obtain.

Citation

Sörqvist, L. (1997), "DIFFICULTIES IN MEASURING THE COST OF POOR OUALITY", Measuring Business Excellence, Vol. 1 No. 1, pp. 38-40. https://doi.org/10.1108/eb025467