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BUS140 MIDTERM #2 Cheat Sheet (DRAFT) by

This is a draft cheat sheet. It is a work in progress and is not finished yet.

Quality and Notable Names

- Quality: Ability of a produc­t/s­ervice to consis­tently meet or exceed cust. Expect­ations
- Sony promotes contin­uous, decisive efforts to enhance product quality and to reinforce its quality management system
- Walter Shewart- “Father of statis­tical quality control”
- Edwards Deming- The 14 points of quality management
- Joseph Juran- Quality trilogy: quality planning, quality control, quality improv­ement
- Taiichi Ohno & Shigeo Shingo - Toyota Execut­ives- Developed philosophy and methods of kaizen

Perfor­mance Quality Dimens­ions:

o Perfor­mance- Main Features/ charac­ter­istics
o Aesthe­tics- appear­ance, feel, smell, etc
o Confor­mance- conforms to design specif­ica­tions
o Reliab­ility
o Durability
o Perceived Quality- Indirect evaluation of quality
o Servic­eab­ility- Handling of complaints or repairs
o Consis­tency- Quality

Who is Respon­sible for quality?

Top Management
Quality Assurance
Packaging and Shipping
Marketing and Sales
Cust. Service

Costs of Quality

Appraisal Costs- Costs of act. design to ensure quality or uncover defects
Prevention Costs- TQ training, planning, cust assess­ment, process ctrl, quality improv­ement costs to prevent defects
Failure Costs- incurred by defective parts/­pro­ducts or faulty services
Internal- Costs to fix problems that are detected before the produc­t/s­ervice is delivered
External- '' '' detected after service/ product is delivered

Conseq­uence of Poor Quality

Loss of Bus