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Example KPI

The document compares the current and target cost of quality for a company. Currently, the total cost of poor quality is $31,947.74, including $21,155.42 for failure costs and $10,792.32 for appraisal and prevention activities. The target is to reduce total cost of poor quality to $19,155.00 by decreasing failure costs to $6,535.00 while slightly increasing spending on prevention and detection activities.

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esivaks2000
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61 views

Example KPI

The document compares the current and target cost of quality for a company. Currently, the total cost of poor quality is $31,947.74, including $21,155.42 for failure costs and $10,792.32 for appraisal and prevention activities. The target is to reduce total cost of poor quality to $19,155.00 by decreasing failure costs to $6,535.00 while slightly increasing spending on prevention and detection activities.

Uploaded by

esivaks2000
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as XLSX, PDF, TXT or read online on Scribd
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Current Target

Total Cost of Poor


Cos
Quality (failure cost X $35,000.00
occurance) $ 21,155.42 $ 6,535.00
Prevention activity cost $ 9,358.00 $ 10,600.00 $30,000.00
Detection (appraisal)
activity cost $ 1,434.32 $ 2,020.00
$25,000.00
Total CoQ for Appraisal
and Prevention $ 10,792.32 $ 12,620.00
$20,000.00
Total Overall COQ $ 31,947.74 $ 19,155.00

$15,000.00

$10,000.00

$5,000.00

$-
Tota l Cost of Poor Qua l ity (fai l ure cost X occurance) Dete
C

Current COQ

Tota l Cost of Poor Qual i ty (fa i l ure cost X


occura nce)
Prevention a ctivi ty cost
Detection (appra i s al ) activi ty cost
Cost of Quality

e cost X occurance) Detection (apprai s al ) activi ty cost Total Overa l l COQ


Current Ta rget

Target COQ

Poor Qual i ty (fa i l ure cost X Tota l Cost of Poor Qua l ity (fai l
occura nce)
ctivi ty cost Prevention activi ty cost
ppra i s al ) activi ty cost Detection (a pprai s a l ) activi ty
Tota l Cost of Poor Qua l ity (fai l ure cost X
occura nce)
Prevention activi ty cost
Detection (a pprai s a l ) activi ty cost

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