Textile Value Chain
GARMENT QUALITY COSTS ESSENTIAL QUALITY TOOLS IN GARMENT MANUFACTURING Kalyan Roy, Assistant Professor, Textile Engineering Department, Punjab Technical University-Giani Zail Singh Campus, Bathinda, Punjab.
Quality Costs system is an extremely vital tool for quality management in a garment manufacturing unit since it establishes a systematic approach to pinpoint the failures in quality in monetary terms and, therefore, suitable corrective measures can be adopted to reduce failures and total cost. Obviously, enhancements in quality and customer satisfaction are the outcomes, besides, the accurate measurement of the efficacy of the Quality Control Department. INTRODUCTION Today it is universally accepted that 'Quality' is an embodiment of design and properties of a product or service or both which guarantees customer satisfaction. In the present business scenario of barrierâ€“free global markets, elements of excellence are a necessity for any product or service those will ensure properties, services and prices. The concept of total quality management, which encompasses almost all activities of an organization, has become part and parcel of any business and garment manufacturing is no exception to it. With the advent of modern information technology customers are well aware about the design, quality and price aspects of garments. It is no wonder that only those organizations in garment business are surviving and flourishing who can satisfy their customers with these features. In this era of competitive business, price is a major issue for a mass-manufactured product like garment and in this issue 'Quality Cost' goes hand-in-hand with satisfactory product and service cost. One of the major obstacles to the establishment of stronger quality programme in earlier days was the wrong notion that the achievement of better quality required much higher costs. REASONS FOR APPLYING QUALITY COSTS CONCEPT Unsatisfactory quality means unsatisfactory
July - September 2012
resource utilization. This involves wastes of material, labour, equipment time and consequently higher costs. In contrast, satisfactory quality means satisfactory resource utilization and consequently lower costs. A major reason for this mistaken concept about cost was unavailability of relevant data. Today, the scenario has changed and any scientific accounting procedure recognizes that cost of quality is measurable. In fact, quality cost is the basis through which investments in quality programmes can be evaluated in terms of cost of improvement, profit enhancement and price reduction for an organization. Quality Costs â€“ meaning, scope and segmentation Quality costs in garment manufacturing encompass two principal areas: i) The cost of control and ii) The cost of failure of control. The first includes those costs associated with the definition, creation and the control of quality as well as the evaluation and feedback of conformance with quality, reliability and safety requirements. The second includes those costs associated with the consequences of failure to meet requirements both within the factory and in the hands of customers. Both can be measured in two segments has shown in the flow chart.
PREVENTION COST COSTS OF CONTROL APPRAISAL COST COSTS OF FAILURE OF CONTROL
INTERNAL FAILURE COST EXTERNAL FAILURE COST
Fig. 1: Segments of quality costs
REDUCTION OF QUALITY COSTS By universal experience, in a garment manufacturing unit, a typical ratio in the break-up of the Quality Costs may be given as:Segment of Quality Costs % of Quality Costs Internal & External Failure Costs 65% Appraisal Costs 30% Prevention Costs 5% This break-up suggests that the largest portion of the quality rupees is spent in the wrong way because of failures of products. Another big sum is spent on appraisal to screen the bad products from the good