S
Sean Kelley
What is the difference between the COQ (Cost of Quality) vs COPQ (Cost of Poor Quality)? I have received mixed opinions as to whther they are different or the same.
What is the difference between the COQ (Cost of Quality) vs COPQ (Cost of Poor Quality)? I have received mixed opinions as to whther they are different or the same.
What is the difference between the COQ (Cost of Quality) vs COPQ (Cost of Poor Quality)? I have received mixed opinions as to whther they are different or the same.
I'm interested to know why there is such emphasis on the cost of quality on this forum. Whats the reason for it??
Deming said, but common sense says it anyway, that we should focus on building good quality in, not inspecting poor quality out. For sure, there are costs associated with building good quality in, so what, there are costs associated with running a business too.
Is there some inference here that perhaps it cheaper to inspect poor quality out instead of building good quality in??
Measuring Cost of Quality is precisely HOW you calculate the ROI of prevention (reviews, FMEAs, Poke-Yoke, Training, Automation, etc.).Speaking only for myself...not the forum...it is not about quality, it is about profit.
These things can be extremely closely related, but they are not the same thing.
Having the best quality in the world may end up losing business for you, since the cost of the best quality in the world may increase your price beyond your competitors who simply have "good enough" quality.
Most times, "good enough" is good enough. "Better" may or may not be better.
Quality is one of the foundational elements to surviving in business...but treating it as the goal instead of as a tool to reach the goal is damaging to business.
{Ignoring the tool of quality and not caring about quality is even more damaging}
Paying attention to the ROI of quality improvements requires attention to be paid to the cost of quality...if it costs too much, it may not be the best choice.
Thus many folks pay a lot of attention to the cost of quality.
Being hard to measure accurately and/or precisely, and having to show numbers to those responsible for deciding how money is spent, leads to much discussion on "How do I calculate this?"
You are 100% right. It's simple.The reality is, in my opinion, that there really is no cost associated with "quality." It's already built into the cost of doing what you do (product or service) right the first time.
With poor quality, however, you start to incur additional costs associated with having to improve/repair/rework/scrap, and making changes to avoid repeating the errors.
Oversimplified? Probably, but that's how my brain works.