Sunday, July 15, 2012

Quality Thinking

I was reading one of my favorite magazines the other day when I came across an article on the Cost of Quality.  This intrigued me and as I was reading the author made the statement that quality cost can be 20%-30% of sales.  These costs are the costs not only of implementing quality programs, but the costs associated with diagnosing and fixing the errors of your day to day production.  I really have to agree with this 100%.  I have seen our company fix product and even scrap poor products and that just really hurts.  We as managers/owners really get a pain in our side when we have to do things like this.  Not only does hurt the pocket book, but the morale.  It is so easy and so cheap to implement quality thoughts in to your production staff.  It’s the retention that is hard.   We are going through that right now.  We have a younger work staff and we struggle to retain the quality trains of thought sometimes. We are actively reinforcing over and over again the teachings.  That is where the implementation costs really come into play.  But I would rather spend money teaching and reinforcing than patching and scrapping.  A perfectly delivered product speaks volumes for who you are and what your company is about.  I really am starting to see the tides turning as guys are more about how to progress than feel sorry about themselves.  The other day we had an issue with a form that was not caught in time and we had to patch a product.  This was a setback, but what I saw for the first time was immediate discussion about what we can do to correct this in the future.  There was no finger pointing, no complaining, just instant brainstorming and evaluation.  That is quality thinking in my mind and this making me very proud that the retention is happening.  Good things are happening! 

1 comment:

  1. See if this applies in your process: when a defect is not caught, the cost of the defect multiplies about 10 times at the next process. If missed again, the cost to fix may be 100 times and so on. I have used this analogy to reinforce why we have so many redundant inspection processes. Inspection is only about 90% accurate. So two sets of eyes catch 99%, and three sets catch 99.9%. Always put on the glasses of the customer when performing inspection.

    Thanks Aaron. I always enjoy you perspective in your blogs. Well done, and continue the outstanding work.