To minimize its total quality costs, a company should usually try to redistribute its quality costs more toward prevention and appraisal.

Question

Quizplus · Accepted Answer

Prevention and appraisal costs are incurred to prevent defects and to detect and correct defects before they reach the customer. These costs are usually much lower than the costs of internal and external failures, which occur when defects are found after a product has been shipped or after it has been used by the customer. By increasing prevention and appraisal costs, a company can reduce its total costs by preventing defects from occurring or by detecting and correcting them early.

To Minimize Its Total Quality Costs, a Company Should Usually