Page 162 - The Handbook for Quality Management a Complete Guide to Operational Excellence

148 I n t e g r a t e d P l a n n i n g O r g a n i z a t i o n a l A s s e s s m e n t 149

Some examples of cost of quality bases are (Campanella, 1990):
• Internal failure costs as a percent of total production costs
• External failure costs as an average percent of net sales
• Procurement appraisal costs as a percent of total purchased
material cost
• Operations appraisal costs as a percent of total productions costs
• Total quality costs as a percent of production costs

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