Cost of Poor Quality Reference Guide

COPQ is a symptom measured in loss of profit (financial quantification) that results from errors (defects) and other inefficiencies in our processes

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Description

This 13-page reference guide focuses on understanding the concept of Cost of Poor Quality and the various approaches to its calculation.

COPQ is a symptom measured in loss-of-profit (financial quantification) that results from errors (defects) and other inefficiencies in our processes. Validation of the success of your Lean Six Sigma project will be obtained through the proper definition, calculation and acceptance of your reduction in COPQ.

COPQ topics covered in the reference guide include:

  • The essence of COPQ
  • COPQ sources and their typical impact
  • COPQ Iceberg
  • COPQ and the hidden operation
  • COPQ and the Lean
  • Hard and soft savings
  • Capital investment requirements
  • Lost revenue/market opportunities
  • COPQ savings examples

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Additional information

Format

PDF

Pages

13

Publisher

Open Source Six Sigma

File Size (MB)

.31

Minimum Software & Version

Adobe Acrobat Reader

License

Individual Use Only

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