Question

In: Operations Management

Which of the following is not considered a quality cost category when discussing outsourcing?

 
Which of the following is not considered a quality cost category when discussing outsourcing? 
Preventative cost 
Return cost 
Internal failure cost 
Appraisal cost

Solutions

Expert Solution

B. Return cost . return cost is not a part of quality cost category but its external failure cost. The term refers to the costs that are incurred to prevent, detect and remove defects from products. Quality costs are categorized into four main types. Theses are-------1. Prevention costs

2. Appraisal costs

3. Internal failure costs

4. External failure costs


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