Quality and customer_expectationsjg
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Transcript of Quality and customer_expectationsjg
Quality
Learning objectives
• Candidates should have an understanding of customer expectations of quality.
• Work in pairs today
Starter. What are the consequences?
Does quality matter?
In your pairsWrite a list of productsThat as a customerYou would like to be able to trust the quality.
Be ready to share your list with the group
I Hope this is a quality
product!
Does quality matter?
• List of items
What is quality?
• Write down a definition in your notes:• Quality management is where a
business produces what customers need and want within budget and on time.
Can you rank quality?
• How does a business know what level of quality to produce?
• Watch the video on next slide
What is poor quality?
Discuss this in your pair and get ready with your answer...
Poor quality is ....
Examples of Poor Quality
• Product fails – e.g. a breakdown or unexpected wear and tear
• Product does not perform as promised• Product is delivered late• Poor instructions/directions for use• Customer service is hard to find (e.g.
telephone not answered)• Business employees appear rude or
uninterested in the customer
• Poor quality is when a product does not meet customer expectations
What are the costs of poor quality?
• In your pair discuss what the costs to a business might be of producing a poor quality product or service.
Costs of poor quality
– Lost customers (expensive to replace – and they may tell other people about their bad experience)
– Cost of reworking or remaking product– Costs of replacements or refunds–Wasted materials
Customer expectations
• Think about your needs and expectations as a customer when you buy a product or service. These may include:– Performance– Appearance– Availability– Delivery– Reliability– Price
• In your pair give an example of each. E.g. Performance (car)
Performance
• Your need as a customer may be to have 220 BHP and travel from A to B fast in style. You are looking for a performance car.
Appearance
Your needs as a customer may be to have a watch that looks good, the appearance of quality is important to you
Availability
delivery
You order a product on ebay and want it delivered on time, a fancy dress outfit for red nose day for example. But it doesn’t arrive on time.
Reliability
You start a job and its important to get to work. You get in your car in the morning and the car doesn’t start. A reliable vehicle may be critical in the future.
Price
Demand for petrol does not change even if the price rises, so people will drive miles to get to a cheaper petrol station.
Quality
• Quality is one of the key decisions in operations in today’s highly competitive global market.
• Vital to increase profits, reduce costs and improve customer satisfaction.
• Difficult term to define as it can mean different things to different people.
Quality from a customer viewpoint
• Customers want a quality product right for the price paid
• Customers judge quality on the extent to which it satisfies their needs and wants
With a watch as well as wanting it to tell the time customers may want a status symbol
What do customers want?
• Discuss in your pair – what do customers want...• From a car?• From a smartphone?• From a pair of trainers
Quality from a business viewpoint
• Want to meet customers needs• Want to satisfy customers• Don’t want customer complaints• Why?
• Interflora complaint
How does a business achieve quality?
• Producing products of the required quality does not happen by accident
• There has to be a production process which is properly managed
• Ensuring satisfactory quality is a vital part of the production process.
• Quality management is concerned with controlling activities with the aim of ensuring that products and services are fit for their purpose and meet the specifications
• There are two main parts to quality management– Quality assurance– Quality control
Quality Assurance
• Quality assurance is about how a business can design the way a product of service is produced or delivered to minimise the chances that output will be sub-standard
• The focus of quality assurance is, therefore on the product design/development stage
• Why focus on these stages?– If the production process is well controlled - then
quality will be "built-in“– If the production process is reliable - there is less
need to inspect production output (quality control)
Quality control
• Quality control is the traditional way of managing quality• Quality control is concerned with checking and reviewing
work that has already been done• For example, quality control includes:
– Inspection– Testing– Sampling.
• Quality control is mainly about "detecting" defective output - rather than preventing it
• Quality control can also be a very expensive process. Hence, in recent years, businesses have focused on quality management and quality assurance.
Quality control
• May involve sampling the product to see if quality is consistent
• May mean looking at data to see if quality is consistent
Total Quality Management (“TQM”)
• TQM is essentially an “attitude”• Whole business understands need for
quality and seeks to achieve it• Everyone in workforce s concerned
with quality at every stage of production process
• Quality is checked by workers and not inspectors
Get ready
• Read through your notes and get ready for a 10 question quiz...
Quiz
• 1 Does quality matter and why?• 2 What is quality?• 3 What are the costs of poor quality• 4 What are the 6 customer expectations?• 5 What is quality from a customers viewpoint?• 6 What is quality from a business viewpoint?• 7 How does a business achieve quality?• 8 What is quality control?• 9 What is Quality Assurance?• 10 What is TQM?