Slide 3
The Cost of Quality (COQ) is a management tool used to measure the financial
impact of the quality of a company's products or services. By measuring the
costs associated with quality control and quality assurance, a company i.e
Desantis Pharamcutetical Inc. can identify areas where improvements can be
made to reduce costs and improve customer satisfaction. Here are some of the
benefits of using the COQ for a company:
1. Identifying quality-related costs: The COQ helps a Desanti’s company
identify the costs associated with quality control and quality assurance,
such as inspection costs, rework costs, and warranty costs. By identifying
these costs, a company can determine where to focus its efforts to
reduce costs and improve quality.
2. Improving customer satisfaction: By improving the quality of its
products or services, a company can increase customer satisfaction,
which can lead to increased sales and repeat business.
3. Reducing costs: By identifying and reducing the costs associated with
quality control and quality assurance, a company can reduce overall
costs and improve profitability.
4. Improving efficiency: By reducing defects and rework, a Desantis
company can improve its efficiency and productivity, which can lead to
increased profitability.
5. Competitive advantage: By improving the quality of its products or
services, a company can gain a competitive advantage in the
marketplace, which can lead to increased sales and market share.