When one studies the literature around the Cost of Quality, the traditional breakdown of the costs is presented as follows: Source: ASQ TR2:2018. ISO 10014 and ASQ TR 2, two standards that provide guidelines (in other words, advice, rather than a set of requirements like ISO 9001), follow this logic. The problem is, it leaves a lot of extra costs unaccounted for. What makes up the cost of poor quality, in the traditional view? If something cannot be … [Read more...]
Tips For Buyers On A Budget Who Want To Start Manufacturing In China [Podcast]
![Tips For Buyers On A Budget Who Want To Start Manufacturing In China [Podcast]](https://qualityinspection.org/wp-content/uploads/2021/07/TipsForBuyersOnABudgetWhoWantToStartManufacturingInChinaPodcast-1140x445.jpeg)
In this episode... You'll love this episode as it contains loads of helpful tips for buyers from China who're operating on a smaller budget from Sofeast's CEO Renaud and this week's guest, sourcing expert, Rico Ngoma from Source Find Asia. They talk you through what you really need to do and some ways to lower costs where possible, so, hopefully, you can start budgeting for what's essential and handle some things yourself. For instance, it's possible to do some due diligence on potential … [Read more...]
Rising Raw Material Prices: What Strategy To Follow? (6 Approaches)
In March (2021), we noted that the raw material prices of some commodities (silicone, some papers & cartons, some batteries...) went up a lot. And some analysts predict a multi-year increase in raw material prices. Bloomberg came up with an interesting article on this topic -- When Does a Commodities Boom Turn Into a Supercycle?: A surge in commodity prices has Wall Street banks gearing up for the arrival of what may be a new supercycle -- an extended period during which demand drives … [Read more...]
Why Improving Quality Leads to Lower Manufacturing Costs
I am tired of repeating certain things over and over when I am in Chinese factories. One of them is this: If you work on improving quality, you will cut your costs at the same time if you follow the right approach. This is nothing new. As Deming wrote: Management in some companies in Japan observed in 1948 and 1949 that improvement of quality begets naturally and inevitably improvement of productivity. So, how can better quality lead to lower costs? What is the "right approach"? I listed 6 … [Read more...]