A cost of quality analysis of the Repair Division, Marine Corps Logistics Base, Albany, Georgia
Gray, James A.
San Miguel, Joseph G.
Wargo, Linda E.
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The pursuit of quality through quality assurance/control programs has been augmented in the recent past by implementing an organization-wide Total Quality Leadership (TQL) program at the Repair Division, Marine Corps Logistics Base, Albany, Georgia. Most TQL concepts have been successfully integrated into the culture of the Repair Division. One concept yet to be integrated deals with capturing the costs related to achieving quality. This TQL concept known as "Cost of Quality" is the subject of this thesis. This study evaluates the TQL program, quality control program,, and the cost accounting systems to determine if implementing a quality cost measurement system would provide benefits for better managing quality related costs. From this evaluation, a model of the Repair Division's cost of quality was derived. Also outlined in the study were procedures which guide the implementation of a quality cost measurement system. The analysis revealed that the implementation of a quality cost measurement system would be a beneficial tool for management. This system would allow management to plan and control the allocation of funds used to achieve goals related to quality. The need to improve the cost accounting systems and better tracking of detailed production costs are recommended.
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