《Management Accounting 7th管理会计 Don R.Hansen》ch11.pptVIP

Chapter 1 - Examples of Quality Costs Measuring Quality Costs The Multiplier Method The multiplier method assumes that the total failure cost is simply some multiple of measured failure costs: Total external failure cost = k(Measured external failure costs) where k is the multiplier effect If k = 4, and the measured external failure costs are $2 million, then the actual external failure costs are estimated to be $8 million. The Market Research Method The market research method uses formal market research methods to assess the effect of poor quality on sales and market share. Customer surveys and interviews with members of a company’s sales force can provide significant insight into the magnitude of a company’s hidden costs. Market research results can be used to project future profit losses attributable to poor quality. The Taguchi Quality Loss Function The Taguchi loss function assumes any variation from the target value of a quality characteristic causes hidden quality costs. Furthermore, the hidden quality costs increase quadratically as the actual value deviates from the target value. Relative Distribution of Quality Costs Quality Cost Graph Contemporary Quality Cost Graph Trend Analysis Multiple-Period Trend Graph:Total Quality Costs Multiple-Trend Analysis for Individual Quality Costs Productivity: Measurement and Control Technical Efficiency Technical Efficiency is the condition where no more of any one input is used than necessary to produce a given output. Technical efficiency improvement is when less inputs are used to produce the same output or more output are produced using the same input. Partial Productivity Measurement: Measuring productivity for one input at a time. Partial Measure = Output/Input Operational Productivity Measure: Partial measure where both input and output are expressed in physical terms. Financial Productivity Measure: Partial measure where both input and output are expressed in dollars. Profile Productivity Measures Profit-L