The Costs of Quality: An Important Decision Tool

Victoria Firescu, Jenica Popescu
International Journal of Economics and Business Administration, Volume III, Issue 4, 44-52, 2015
DOI: 10.35808/ijeba/84


At present many company leaders of assimilate the insurance of quality with a rule imposed from the outside and with an administrative act, which is an error. The biggest impediment in implementing the systems of quality insurance is the fact that producers do not acknowledge its economic advantages. Quality is seen as a desired social objective but its contributions to the profit of the company are considered to be marginal.This paper aims to putting into emphasis the total interdependence between the concept regarding the quality insurance and the commercial success, redefining in economic terms the objectives and the actions necessary for the implementation of the system of quality insurance. The production of quality products is not something sufficient. The costs of realizing the objectives must be carefully observed, so that the long term effect of the quality costs within the company be the desired one.That is why it is important that the efficiency of a system of quality be measured in economic terms. The costs of quality do not distinguish themselves from the other types of costs. Just as the costs for maintenance, projection, production, sale and other activities, they can be measured and analyzed in the stages of the product’s life cycle, as well as in all the operational levels of the company.

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