An experimental cost model for the analysis of quality cost in a manufacturing enterprise

The intent of the study was to construct a quality cost model for manufacturing enterprises. A quality cost model provides a manufacturing enterprise with a cost structure which enables it to gauge and measure the efficiency and effectiveness of its management and processes. The quality cost model was specifically constructed to aid a manufacturing enterprise in establishing a quality cost system for its operations and activities and contains three distinct initial implementation or decision areas; the quality cost management decisions area, the quality cost system applications area, and the quality cost system utilization area. The quality cost model was evaluated by a panel composed of quality practitioners from a wide variety of manufacturing enterprises after the panel had received an explanation of the quality cost model's functions and operation and the panel had utilized the quality cost model during demonstration exercises. Study results indicated that the quality cost model is very adoptable and adaptable across a wide variety of industries and is potentially effective in enabling a manufacturing enterprise to structure and develop a preliminary quality cost system. Reproduced with permission of the copyright owner. Further reproduction prohibited without permission.