International Conference on Science and Engineering for Sustainable Development (ICSESD-2017) (www.jit.org.in) International Journal of Advanced Engineering, Management and Science (IJAEMS) Special Issue-3 https://dx.doi.org/10.24001/ijaems.icsesd2017.138 ISSN : 2454-1311 www.ijaems.com Page | 158 A Model for estimation of Cost of Quality A. B. Ganorkar 1 , Amar Kawale 2 , Safal Shambharkar 2 , Chetan Choudhari 2 1 Department Mechanical Engineering, Smt. Bhagwati Chaturvedi College of Engineering, Nagpur. 440009, India E-mail: ash_ganorkar16@yahoo.com 2 Department of Mechanical Engineering, Jhulelal Institute of Technology, Nagpur-441 111, India Email: amarwkawale@gmail.com Abstract— A model has been developed for cost of quality. This model classifies activities for cost of quality into prevention activity, appraisal activity, internal failure activity, external failure activity. Aggregate cost rate are developed for each activity. The concepts and model developed are general in nature and can be applied to most of the fabrication industry. Keywords— Cost of quality, Activity, coat estimation. I. INTRODUCTION In today’s competitive world many companies promote quality as central value and consider it to be a critical success factor. Customers are not willing to pay more than certain amount of money for certain product. Consequently, the achievable profit is dependent on product cost. Cost of quality is the important factor for a product cost. Cost of quality (COQ) was first described by Armand V. Feigenbaum in a (1956) Harvard Business Review article. The concept of cost of quality is a means to quantify the total cost of quality-related efforts and deficiencies. According to Dale and Plunkett (1995), the costs incurred in the design, implementation, operation and maintenance of a quality management Feigenbaum (1956) has classified quality cost as prevention, appraisal, internal failure and external failure system. II. LITERATURE SURVEY J. M. Gilbert, I.M. Bell, D.R. Johnson [1] have described the adaptation of the conformability analysis technique to the assessment of functional, manufacturing and test capability of PCB level electronic circuits. They have combined process capability indices and failure modes and effects analysis (FMEA) with cost mapping to allow the quality costs associated with design and manufacture induced faults to be estimated and the effectiveness of test strategies in reducing these costs to be determined. S. B. Jaju, and R. R. Lakhe [2] have carried out a case study in luggage manufacturing industry for quality cost. Suhansa Rodchua [3] has identified important factors and measured contributing to a successful quality cost program implementation and developed an empirically based model for quality costs in the manufacturing environment. Ali Uyar [4] has investigated the extent to which Turkish manufacturing companies implement a COQ system, to evaluate how company performance has changed after COQ system implementation, and to identify the objectives behind COQ measuring and reporting III. MODEL DEVELOPMENT Activities for quality can be classified into prevention activity, appraisal activity, internal failure activity and external failure activity. A. Prevention activity Activities that keep failure from happening, and keep appraisal costs to a minimum are called as prevention activities. Examples of prevention activities are Quality Planning, Training programs, written procedures, Analysis of quality information, and Quality improvement projects. In general, the cost of a prevention activity is given as cum c a ij i t ij i L ij i um ij ui a ij i uM ij ui a ij i ij C C t b t L t L t m t m t M t M C Cij is the total cost of machine-activity i on job j, Mi the periodic rate for main machines used for activity i, Mui the utility rate for main machines used for activity i, mi the periodic rate for complimentary tools and equipment for activity i, mui the utility rate for complimentary tools and equipment for activity i, Li the labour rate activity i, bi the building space rate for machine activity i, Cc the cost of consultancy for activity i, Ccum the cost of consumable product for activity i, uM ij t the machine time for job j on activity i, a ij t the time for activity i, um ij t the complimentary tools time for job j on activity i, L ij t the labour time for job j on activity i, t ij t the labour training time for activity i,