iSixSigma

Cost of Quality in IT

Six Sigma – iSixSigma Forums Old Forums General Cost of Quality in IT

Viewing 35 posts - 1 through 35 (of 35 total)
  • Author
    Posts
  • #26994

    Ai Lin
    Participant

    What is cost of quality in IT? What is the concept behind and how do we measure that?

    0
    #65657

    V.V.Murthy
    Member

    Cost of Quality in IT means proportion of cost(effort) spent on Appraisal, Failure and Prevention Cost to Production Cost.
    Appraisal cost is cost spent on reviews and testing
    Failure cost is rework cost (rework on reviews, retesting, fixing bugs based on customer complaints)
    Prevention cost is cost spent on Project Management, CM, defect analysis and prevention activities.

    A figure of around 30% is advocated to be industry average.(I guess in US)

    Your further browse for Krasners model on COQ

    0
    #65660

    Ray Daines
    Participant

    We have done some research for information on the cost of defects so we can use decreasing defects in products as our business case. Initially these would all be soft dollars since we do not have an establish baseline to work against. Our source for this is Robert Grady, Practical Software Metrics for Project Management and Process Improvement.

    In his book, he stated that his team at HP found the hours to fix defects found in test were as follows

    Coding defects that are not found until testing are 2.5 times their cost when they are found during coding.
    Design defects are 6.25 times
    Specification/Requirement defects are 14.25 times

    The text normalized the data (because they didn’t have fix time metrics either) to be that a coding defect found during code/unit test would take 1 hour to fix. With this assumption, the above numbers then become the hours to fix. Again this would be fix time if the defect is found during test.

    0
    #67597

    Gerlon Joseph R. Magpantay
    Participant

    To whom it may concern,
    Good day!
    I would like to have an idea on the definitions (and further explanations) on the recent addition to the classification of costs: appraisal, quality, prevention, and failure costs.
    I will appreciate very much whatever information you could provide me.Β  I jsut need them for my report (oral and written) on my MBA class.
    Thank you very much!
    Hoping to hear from you soon!
    Sincerely yours,
    Gerlon Joseph R. Magpantay
    Β 

    0
    #67605

    Anonymous
    Participant

    There are two British Standards
    BS 6143-1:1992 Guide to the economics of quality. Process cost model
    BS 6143-2:1990 Guide to the economics of quality. Prevention, appraisal and failure model

    0
    #81055

    Nadia Ben Ammar
    Participant

    Hi!
    I’m consultant for UN in Geneva and I need information about cost of quality (cost of achieving good quality : prevention – appraisal) and cost of poor quality (internal failure costs and external failure cost)
    Thanks!
    Nadia Ben-Ammar

    0
    #81057

    mcintosh
    Participant
    #81066

    Ron
    Member

    What is your deliverable to the customer? How do you measure it? Cost of poor quality is how many times do you meet the needs of the customer? How many times do you have to rewrite code? How many times does it pass first time ?
    Seems like these measure are quantifiable.

    0
    #83522

    Votre chΓ©ri
    Member

    Ben bonjour vous!
    J’espΓ¨re qu’une personee moins tebΓ© que moi a pu te rΓ©pondre bΓ©bΓ©!
    Je passais par lΓ , j’ai vu ton nom alors j’ai dΓ©cidΓ© de m’arrΓͺter et de te faire un calin comme Γ§a, en passant…

    0
    #83523

    A.B
    Participant

    Nadia ,
    Tu cliques en haut sur l’hyperlien “Dictionary”. T’auras ainsi acces a la page des termes ou tu trouveras ce que tu recherches ” Cost of Quality ” ainsi que ” Cost of Poor Quality “.
    Bonne Chance.
    A.B

    0
    #83524

    Marc Richardson
    Participant

    ead about it Juran’s Quality Handbook. Check to see if your local library has it. Here is the Amazon link:http://www.amazon.com/exec/obidos/tg/detail/-/007034003X/qid=1046878265/sr=2-2/002-8661933-3584859?v=glance&s=booksMarc W.RichardsonSr. Q.A. Engineer

    0
    #90397

    Shiv Sarda
    Member

    Cost of Quality :
    Cost of quality in general isΒ the sum total of the following :
    1. Appraisal Cost spent for reviews and testing
    2. Failure Cost spent in the rework, in case of errors – both internal and external
    3. Prevention Cost spent on Project management, defect analysis and prevention activities
    Β 

    0
    #92848

    roydaisy
    Member

    i consulted some accounting+Β manufacturingΒ references. it won’t be enough but will give you aΒ good idea.
    royΒ mabuhay kaΒ 

    0
    #93563

    roy galang
    Member

    Kabayan,
    we have the same problem. what i did was i called some organization that doing six sigma and i asked them about my problem and i used that feedbackΒ as my additional literatureΒ 

    0
    #98719

    Mambry
    Participant

    I want u to explain to me in detail on costs of quality, such as, Failure costs, Appraisal costs and Prevention costs. Can you please respond to me as soon as Monday if possible, THANK YOU!

    0
    #98723

    Mike Carnell
    Participant

    Mambry,
    There is this big blue stripe on the left. Lots of stuff in there to help you.
    You are asking for the traditional catagories. This isn’t complicated and has been around for years. There is lots of information available and you have all weekend.
    You also may want to check out the Etiquette Guidelines for the site. I think there is a message in there for you.
    Good luck

    0
    #98737

    mman
    Participant

    Nadia:It depends how much information you want,either you go to the adviced link,or to a special quality book,or you would be satisfiedΒ  by a summary??Β Β  MMAN

    0
    #100757

    Sanjay Naran
    Member

    I am currently engaged in Quality Assurance studies through City& Guilds.I am also involved with quality and inspections at COLBRO TRANSPORT. I wish to know more about the PAF and PC models and understand their uses, advantages, and disadvantages.
    I am in possession of “R. Caplen’s” Practical Guide To Quality Assurance.
    Thanks/Regards
    Sanjay Naran

    0
    #103691

    Joseph Thomas
    Participant

    Please mail the details with an enginnering example.
    Joseph.T

    0
    #108266

    Singh
    Participant

    Can Six sigma can be corelated with defect formula index i.e. throuh sigma calculator we get to know process sigma.in the same manner can one get a weighted avg. for different kind of defect.

    0
    #116758

    Rakesh
    Participant

    Murthi,
    Project Management effort can not be considered in Prevention Cost.
    Rakesh
    Β 
    Β 

    0
    #116759

    Ron
    Member

    Ai Lin,
    Don’t go down that Rat Hole. Taking the text book approach of prevention appraisal etc is the wrong path.Β  Focus on the cost of Poor Quality to address the issues.
    I have been in organizations that have religiously tracked the cost of quality right to adding in cost of floor space, the cost of 401 K contributions , the cost of benefits for QA personnel.. Solution get rid of the quality department.
    When you track the cost of poor quality you will be addressing root cause issues (rework, engineering evaluation time, testing and finding defects that must be reworked, the time it takes to write bad cose is the cost of poor quality in IT just as in manufacturing)
    Think alongthese lines when pursuing actionable metrcis. Remember, “The Metric Drives The Action”.
    Β 

    0
    #130284

    Karine MichΓ©e
    Participant

    Bonjour Nadia,
    Je me demandais ce que tu Γ©tais devenue et en allant faire un tour sur Internet je suis tombΓ©e sur ce message.
     J´espère que tu te rappelles de moi. J´étais à l´IUP une année en moins que toi et j´ai fait un stage dans le domaine de la lingérie .
    Comment vas-tu? Pour ma part je trvaille depuis peu dansΒ une entreprise de cosmΓ©tique en Allemagne, en tant quΒ΄assistante du directeur de filiale.
    Cela me ferait plaisir dΒ΄avoir de tes nouvelles soit Γ  lΒ΄adresse suivante: [email protected] ou au numΓ©ro suivant 0049 4241 921 06 00
    A très bientot, si tu le souhaites sinon je te souhaite une très bonne continuation
    Karine Β 

    0
    #140436

    hongbin
    Participant

    Does anyone have any idea on the limiation for the Cost of Quality Concept?
    A link or sumting that would enlight me???
    Please assist need the information of my Bac exams.. +D

    0
    #140438

    Mike Carnell
    Participant

    Jurans Quality Control Handbook

    0
    #140521

    hongbin
    Participant

    Hi Mike,
    Thanks for the valuable input but unfortunately i am not able to get my hand on the books due to the time contrainst. i have 3 more days to passing it up..
    actually i have a tutorial qns on the Limitations of the Cost of Quality Concept. I have tried all possible means via google and yahoo but could find no such information..
    Do you have that particular book?
    If you would kindly scanned the page on the limitations for me??
    you can reach me personally at [email protected].
    thanks a lot ! =D

    0
    #140529

    Orang_Utan
    Participant

    You may still believe that you can download free pirated English books in this forum or internet as you have enjoyed in the lawless Chinese six sigma forums.

    0
    #141547

    zahid hussain
    Member

    o dear i have the same problem. I am doing masters in total quality management and got the project on cost of quality. I am also collecting literature for this. Do you have any literature. I you got it please mail me for study.
    Regards
    Zahid from University of Punjab Lahore Pakistan

    0
    #141562

    Mike Carnell
    Participant

    Zahid,
    You are asking someone who posted 5 years ago.
    There is a ton of literature on COQ. If you examin the traditional buckets you are going to miss most of it. Look at the 7 forms of waste from Lean and you will get closer.
    Just my opinion.
    Good luck

    0
    #141570

    Marlon Brando
    Participant

    Agree

    0
    #166566

    C.MeignanasampathS.U.Narayana
    Participant

    Sir,
    We are die casting manufacturing .we need methodology to calculate the cost of poor quality

    0
    #177318

    ebtihal mohammad
    Participant

    i didn’t understant….what is the cost of poor quality???????
    plz…help me…i’m dying here:(

    0
    #177319

    ebtihal mohammad
    Participant

    hey nadia…..can i ask u a question
    did u find any answers????????????? i wanna an answers about every question u asked before me…soo…can i get any answer from u…….i really need it

    0
    #184039

    iravikumar
    Participant

    pl send info on the cost of quality

    0
    #185649

    Sarvesh
    Member

    1. State advantages and disadvantages of the following cost model
    (i)PAF, including the economic balance concept
    (ii)Process costing
    2. Allocate quality cost to the following catagories
    (i) Failure ( internal and external ); prevention;appraisal
    (ii) Conformance and non- conformance
    3. Construst graphs of quality cost plotted against
    (i) quality of conformance
    (ii) time during a quality -improvement programme
    4. Understand the need for and use of quality cost data
    (i) in budgeting, including an awareness mof the concepts of direct and indirect costs and contribution to profit
    (ii) in investment appraisal, including the concepts of payback periond and net present value
    5. Formulate presentation relating to quality cost including calculation of
    (i) minimun total quality cost ( PAF system )
    (ii) discounted rates of return for capital investement relating to quality investment.

    0
Viewing 35 posts - 1 through 35 (of 35 total)

The forum ‘General’ is closed to new topics and replies.