4 Reasons Quality Management is Vital

Editor's note: this transcript was generated by AI and has been lightly edited for clarity and relevance — some sections have been shortened or removed, and minor transcription errors corrected.

Full transcript

00:00:07Employee

The rest of my business doesn't place much importance on quality management — maybe it's a bit of a nuisance and a lot of a cost.

00:00:14Host

Is this something you feel? If so, this video will help you present a case as to why quality is so important to your organisation. The quality profession has a bit of an image problem — this is odd, since what could be more important to an organisation than the quality of its goods or services? Expenditure on quality is often viewed as a negative: the costs very much noted, the benefits discounted.

00:00:50Host

So let's dispel the myths. The benefits can largely be summarised as: quality management reduces the risk of quality failure, quality management enhances the business brand, quality management supports new business, and quality management can reduce costs. Which argument you lead with will depend on the strategic objectives of your organisation.

00:01:38Host

One: quality management reduces the risk of quality failure. This is a really powerful argument, and yet quality failures in companies large and small are still way too common. The cost of a serious quality failure can be truly eye-watering — covering not only the cost of fixing the problem, but potentially fines, compensation, and reduced ongoing revenue from lost customers.

00:02:35Host

Two: quality management enhances the business brand. What every director absolutely wants is their business name synonymous with quality. There are expectations of a quality level that need to be both set and met.

00:03:18Host

Three: quality management supports new business. Reputation is key to attracting new business, now more than ever. Most business comes via referrals because people trust that you deliver a quality product. A quality product is the best way of attracting new customers.

00:04:05Host

Four: quality management can reduce costs. There has to be an initial investment, but once an effective quality management system has been established, costs can be substantially reduced. A quality management system is a way of capturing your current processes and presenting a model for future improvement — enabling users to quickly find what they should be doing and the documents and forms to support them, as well as enabling the model to be interrogated for ways to make efficiency savings.