Product Quality and Accountability

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Presentation transcript:

Product Quality and Accountability

Why is it Important? Product quality and accountability is a key component in the operations of every company. Whether a company is providing a product or a service, it is important that the quality of the final product is fit for use or consumption. Assurance of product quality protects consumers and investors, holds organizations and individuals accountable for the products that result from their operations, and also protects the environment in many cases. It is especially important when defected products or services could have drastic consequences such as sickness, injury, or death. There have many instances in which companies send defective products off to the consumer or the design or function of the product put the consumer at risk. Firestone Tire Company, Tylenol, and Phusion Projects (the maker of Four Loko) have all dealt with the repercussions of poor product quality or design an so did many investors with those companies. The environment is also another reason in which product operations must be sound. Operations that require waste removal have taken a huge toll on the environment and we must, as a society, solve this problem.

Protecting Consumers and Investors As a company that provides goods or services, customer satisfaction and investor confidence are the two easiest ways to sustain operations and resulting profits. It is important for regulations to keep up with the changing marketplace. With so many new products being introduced and manufactured the demand for quality inspection is going up. Organizations such as the Food and Drug Administration, the U.S. Department of Agriculture, and JD Power & Associates have all big players in increased quality inspection and assurance. Either through regulations and laws or awards and product/company accolades which boost business.

Food & Drug Administration and the U.S.D.A Referred to as one of the oldest “consumer protection agencies” in the U.S. Originated in the late 1800’s and has evolved over time to fulfill the changing needs of consumers as the marketplace moved into the industrial age. Regulate agriculture, foods, drugs, and personal hygiene products along with others products which must be regulated in order to ensure consumer safety.

Accountability Operations managers must place a great deal of energy into ensuring that their’ operations are effective, monitored, and safe. Short-cuts to reduce production costs may increase short-term profits, however this likely will lead to lower product quality, thus exposing the firm to longer-term and more significant losses. State and Federal are in place which hold individuals and firms accountable for the products coming out of their’ factories However the modern fast pace marketplace stemming from e-commerce has made it easier for companies to side-step quality

The Environment There is no question that the environment has suffered as a result of the industrialized world we live in More attention has been paid to this fact than in the future, however the matter is still urgent. Waste removal and bi-products are still a necessary process for many manufacturing process The health of our environment is too often overlooked by the business sector. It is often to cheapest to dispose of waste by dumping into water systems or releasing chemicals into the atmosphere Unfortunately this has had dire consequences in many parts of the world Organizations such as the Environmental Protection Agency (EPA) have set out protect the world we live in and force regulations that disallow corporations to use the earth and waste dump. Forcing people to think of better strategies on how to deal with waste

Conclusion Managers who are responsible for product quality and operations need to understand they are accountable for the products they manufacture and the services they provide. It is necessary to maintain continued quality assessment measures in the market. We believe that there should be a larger focus on the quality measurements of new products. Stiffer penalties should be installed for companies who fail to ensure the safety of their consumers. This includes poor operations control, poor monitoring of production processes, and products that have not been tested thoroughly for safety. We believe that business needs to move in a direction that upholds those firms that provide quality and safety. That means safety for the consumer, safety for the investor, and safety for the environment. The system needs to be structured in a way that allows companies ensuring quality to rise to the top.