Exam code: 8132
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Define quality product.
A quality product is one whose characteristics and features satisfy the needs of customers.

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What features of a product make customers see it as good quality?
Customers see a product as good quality if it looks good, is reliable and durable, and is safe and fit for purpose.
Customers are more likely to see a product as good quality if it is sold by a _______ business or brand.
Customers are more likely to see a product as good quality if it is sold by a reputable business or brand.
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Define quality product.
A quality product is one whose characteristics and features satisfy the needs of customers.
What features of a product make customers see it as good quality?
Customers see a product as good quality if it looks good, is reliable and durable, and is safe and fit for purpose.
Customers are more likely to see a product as good quality if it is sold by a _______ business or brand.
Customers are more likely to see a product as good quality if it is sold by a reputable business or brand.
True or False?
Customer service, including after-sales service, affects how customers judge the quality of a product.
True.
Customers judge quality on the service they receive, not just the product itself, so good after-sales service improves perceptions of quality.
Why do many businesses set quality targets?
Businesses set quality targets to focus staff and resources on meeting customer expectations.
How can high quality give a business a competitive advantage?
High quality can be used in promotional activity and can give a business a unique selling point in a competitive market.
A positive reputation for quality can make _______ into new markets easier.
A positive reputation for quality can make expansion into new markets easier.
True or False?
High-quality products usually have to be sold at a discount to persuade customers to buy them.
False.
High-quality products can usually command a high price. It is lower-quality products that may need to be sold at a discount.
Define reject rate.
The reject rate is the percentage of output that is considered not fit for sale.
What do product returns measure?
Product returns measure the percentage of items returned by unsatisfied customers.
Define product recall.
A product recall is an incident where products are brought back to be corrected.
True or False?
An increase in market share can show that customers are satisfied with a business's quality.
True.
A rising market share may show that customers prefer the business's quality to that of rival products or services.
Why does failing to meet quality expectations increase business costs?
The business must pay to recall, replace or refund faulty goods. Poor-quality products also create waste that has to be disposed of.
If poor-quality products cause harm to customers, the business may face ___ issues that damage its reputation.
If poor-quality products cause harm to customers, the business may face legal issues that damage its reputation.
How can a business find out customers' views on quality?
A business can use customer satisfaction surveys, review the complaints it receives and use findings from online survey tools.
What is a mystery shopper used for?
A mystery shopper tests and reviews areas such as customer service, the appearance of premises and the product range, giving detailed feedback against quality targets.
Define quality control.
Quality control involves inspecting the quality of output at the end of the production process.
What is a benefit of quality control?
Quality control is an inexpensive and simple way to check that output is fit for purpose.
True or False?
Quality control focuses on finding the cause of defects.
False.
Quality control has little focus on the cause of defects. Products that do not meet standards are simply rejected, which wastes resources.
Define quality assurance.
Quality assurance involves inspecting the quality of production throughout the process, with workers checking their own work.
Under quality assurance, problems are spotted early, so products may be ______ rather than rejected.
Under quality assurance, problems are spotted early, so products may be reworked rather than rejected.
What is a drawback of quality assurance?
Quality assurance needs staff training and a skilled workforce, so labour costs may increase.
Define total quality management (TQM).
Total quality management (TQM) is a whole-business approach to ensuring quality, with the aim of eliminating problems before they occur.
True or False?
In TQM, quality is only the responsibility of production workers.
False.
In TQM, all employees are involved, and waste and inefficiency are removed from every business activity, including those not directly linked to production.
The TQM culture of "getting it right first time" is known as __________.
The TQM culture of "getting it right first time" is known as zero defects.
What is a disadvantage of TQM?
TQM needs committed workers who are willing to take part in significant continued training, as well as careful monitoring and control by managers.
Define consistent quality.
Consistent quality means that products always meet expected standards.
Why is maintaining consistent quality harder as a business grows?
As a business grows, it may franchise its brand or use subcontractors to complete tasks on its behalf, which makes consistency harder to maintain.
How can staff training improve the consistency of quality?
Training improves working practices and teaches staff ways to correct errors, which reduces quality issues.
How can working with suppliers improve the consistency of quality?
Sharing quality standards with trusted suppliers and raising quality issues promptly reduces the number of defective materials entering production.
True or False?
Using IT systems with sensors can identify defects that humans cannot detect.
True.
Closely calibrated sensors carry out very precise checks, and automation reduces the chance of human error.
When a business has zero tolerance for defects, employees focus on the ____ of quality issues rather than managing the effects.
When a business has zero tolerance for defects, employees focus on the causes of quality issues rather than managing the effects.
Why can high quality lead to higher profit margins?
Businesses known for quality can often charge high prices, and lower wastage reduces costs, so profit margins rise.
Employees take pride in working for a high-quality brand, which can boost their ____ and productivity.
Employees take pride in working for a high-quality brand, which can boost their morale and productivity.
True or False?
Improving quality always reduces waste levels straight away.
False.
Waste levels may rise in the short term as previously undetected quality issues are identified.
Why can improving quality increase supply costs?
Higher quality often needs better raw materials and components, which are usually more expensive.
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