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Quality (business)

Quality (business) is a science topic covered in the lgStudy science library. This page brings together a partial reference excerpt, illustrations, worked examples, real-world applications and a short study plan, so you can understand Quality (business) rather than just read about it. In short: In business, engineering, and manufacturing, quality has a pragmatic interpretation as the conformity of something (goods or services); it is defined as being suitable for the intended purpose (fitness for purpose) while satisfying customer expectations. Quality may be a perceptual, conditional, and somewhat subjective attribute and may be understood differently by different people.

Key takeaways

  • Quality (business) belongs to science; place it in that map before memorising details.
  • Learn the definition first, then one example that makes the definition concrete.
  • Connect Quality (business) to a quantity you can measure, compute or draw — that is where exam questions come from.
  • Reproduce the core statement of Quality (business) from memory before moving on to harder problems.

Reference excerpt

In business, engineering, and manufacturing, quality has a pragmatic interpretation as the conformity of something (goods or services); it is defined as being suitable for the intended purpose (fitness for purpose) while satisfying customer expectations. Quality may be a perceptual, conditional, and somewhat subjective attribute and may be understood differently by different people. Consumers may focus on the specification quality of a product/service, or how it compares to competitors in the marketplace. Producers might measure the conformance quality, or degree to which the product/service was produced correctly. Support personnel may measure quality in the degree that a product is reliable, maintainable, or sustainable. In such ways, the subjectivity of quality is rendered objective via operational definitions and measured with metrics such as proxy measures. In a general manner, quality in business consists of "producing a good or service that conforms [to the specification of the client] the first time, in the right quantity, and at the right time". The product or service should not be lower or higher than the specification (under or overquality).

Description There are many aspects of quality in a business context, though primary is the idea the business produces something, whether it be a physical good or a particular service. These goods and/or services and how they are produced involve many types of processes, procedures, equipment, personnel, and investments, which all fall under the quality umbrella. Key aspects of quality and how it's diffused throughout the business are rooted in the concept of quality management:

Quality planning is implemented as a means of "developing the products, systems, and processes needed to meet or exceed customer expectations." This includes defining who the customers are, determining their needs, and developing the tools (systems, processes, etc.) needed to meet those needs. Quality assurance is implemented as a means of providing enough confidence that business requirements and goals (as outlined in quality planning) for a product and/or service will be fulfilled. This error prevention is done through systematic measurement, comparison with a standard, and monitoring of processes. Quality control (QC) is implemented as a means of fulfilling quality requirements, reviewing all factors involved in production. The business confirms that the good or service produced meets organizational goals, often using tools such as operational auditing and inspection. QC is focused on process output. Quality improvement is implemented as a means of providing mechanisms for the evaluation and improvement of processes, etc. in the light of their efficiency, effectiveness, and flexibility. This may be done with noticeably significant changes or incrementally via continual improvement. While quality management and its tenets are relatively recent phenomena, the idea of quality in business is not new. In the early 1900s, pioneers such as Frederick Winslow Taylor and Henry Ford recognized the limitations of the methods being used in mass production at the time and the subsequent varying quality of output, implementing quality control, inspection, and standardization procedures in their work. Later in the twentieth century, the likes of William Edwards Deming and Joseph M. Juran helped take quality to new heights, initially in Japan and later (in the late '70s and early '80s) globally. Customers recognize that quality is an important attribute in products and services, and suppliers recognize that quality can be an important differentiator between their own offerings and those of competitors (the quality gap). In the past two decades this quality gap has been gradually decreasing between competitive products and services. This is partly due to the contracting (also called outsourcing) of manufacturing to countries like China and India, as well internationalization of trade and competition. These countries, among many others, have raised their own standards of quality in order to meet international standards and customer demands. The ISO 9000 series of standards are probably the best known international standards for quality management, though specialized standards such as ISO 15189 (for medical laboratories) and ISO 14001 (for environmental management) also exist. The business meanings of quality have developed over time. Various interpretations are given below:

… excerpt ends here. Continue reading the full article.

Worked examples

Example 1 — a first encounter with Quality (business)

Start with the simplest possible case. Write down what Quality (business) claims or describes in one sentence, then invent the smallest concrete situation in which that sentence is true. In science, the smallest case is usually a single object, a single equation or a single measurement. Check that every symbol or term in your sentence has a meaning in that case.

Example 2 — changing one variable

Take the situation from Example 1 and change exactly one quantity: double it, halve it, or set it to zero. Predict what should happen to Quality (business) before you calculate. Comparing your prediction with the result is the fastest way to find out whether you understand the idea or only the words.

Example 3 — an exam-style question

Typical questions about Quality (business) ask you to (a) state it precisely, (b) apply it to given data, and (c) explain a limitation. Practise writing all three answers in under five minutes; the third part is what separates a full-mark answer from an average one.

Applications of Quality (business)

In research
Quality (business) appears in science research whenever the underlying quantities have to be modelled precisely. Papers usually cite it as a starting assumption and then explore where it breaks down.
In technology and industry
Engineering practice reuses Quality (business) in design rules, simulations and safety margins. Knowing the idea lets you read a specification sheet and understand why the numbers look the way they do.
In the classroom
Quality (business) is common in secondary-school and first-year university syllabi. It links to neighbouring topics Product management, Quality, Quality management, so understanding it makes those chapters shorter.
In everyday life
Look for Quality (business) outside the textbook — in sport, cooking, traffic, electronics or the sky above you. An example you found yourself is remembered far longer than one you were given.
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How to study Quality (business) in 20 minutes

  1. Read the reference excerpt below once, without taking notes.
  2. Close the page and write down what Quality (business) means in your own words.
  3. Compare your version with the excerpt and mark what you missed.
  4. Work through the three examples above with pen and paper.
  5. Explain Quality (business) out loud to somebody else — or to Teacher Smith in the lgStudy chat.

Frequently asked questions

What is Quality (business) in simple terms?

In business, engineering, and manufacturing, quality has a pragmatic interpretation as the conformity of something (goods or services); it is defined as being suitable for the intended purpose (fitness for purpose) while satisfying customer expectations. Quality may be a perceptual, conditional, an…

Why does Quality (business) matter?

Because it connects several science ideas at once: it gives you a definition you can apply, a quantity you can calculate, and a way to check whether a result is plausible.

How should I study Quality (business)?

Read the excerpt, restate it from memory, then work through the examples and applications listed on this page. The five-step study plan above takes about twenty minutes.

What does this page cover?

It gives you a compact reference excerpt plus original lgStudy explanations, examples, applications and study material on Quality (business).

Tags

  • Product management
  • Quality
  • Quality management

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