H1516 Westfall CH07
PDF · 26 Apr 2024
Chapter 7 explains methodologies for organizational quality management (QMS), covering Cost of Quality (COQ) categories and trade-offs, Return on Investment (ROI) calculations and limitations, process improvement techniques (benchmarking, PDCA, DMAIC/DMADV Six Sigma, Lean), corrective and preventive action processes, and defect-prevention practices for software. The chapter emphasizes measuring CTx characteristics, balancing prevention/appraisal vs failure costs, and institutionalizing improvements.
Questions this document answers
ROI = (Cumulative Income / Cumulative Cost) × 100%; ROI = ((Cumulative Income − Cumulative Cost) / Cumulative Cost) × 100%.
Near-perfection goal of no more than 3.4 defects per million opportunities (≈ six sigma).