Cost of Quality: External Failures

Defects found (and reported) by customers and the impact of those failures.

When an External Failure occurs, a chain reaction is often triggered that involves many unanticipated tasks and related cost.

Cost of Quality inputs for External Failures can be summarized under the following 4 categories

• Technical support
• Returns and/or replacements
• Defect investigation
• Warranty and liability claims, recalls

External Failures include:

• Customer complaints
• Returns Warranty issues
• Recalls
• Product liability