Department of Industrial Management, South Tehran Branch, Islamic Azad University, Tehran, Iran
Online published on 5 January, 2015.
Today's win in competitive market requires several factors. An important factor is continuous improvement in quality issues. However, scientific studies and research has been done in the past show that increasing the level of quality alone cannot meet the needs of customers. Complementary factor of increasing the level of quality to meet customer needs is reducing the costs and prices of goods made or sold. Identifying the cost of quality is one of the new information systems in an organization; so that, every company is required to set up a quality cost systems to provide through it the possibility of identifying and determining the amount of costs over the entire life cycle of products. In this study, the PAF model is used for segmenting the quality cost indices. PAF quality costing model is the most common method for identifying the cost of quality. After collecting the data from Alborz Night Breaker Company, the Wilcoxon and Friedman two-sample tests were concluded. The results revealed that internal failure costs and external failure costs have same impacts on improving the quality of products. Also according to the Friedman test ranks first among the other cost factors of evaluating the quality of spending.
Quality Costs, Improving Quality, Evaluating the Performance
