COPQ (Cost Of Poor Quality) – Easy Explanation

COPQ (Cost Of Poor Quality) – Easy Explanation

COPQ = Cost Of Poor Quality

मतलब कंपनी को खराब quality की वजह से जो extra नुकसान / खर्च होता है, उसे COPQ कहते हैं।

Simple Definition

जब product सही quality में नहीं बनता, तो company को:

Rework

Rejection

Customer complaint

Warranty

Scrap

Delay

जैसे extra खर्च उठाने पड़ते हैं — यही COPQ है।

COPQ Formula

Types of COPQ

1. Internal Failure Cost

Company के अंदर defect मिलने पर होने वाला नुकसान।

Examples:

Rework

Scrap

Line rejection

Machine downtime

Sorting

Extra manpower

Example:

100 Back Plate reject हो गए → material + labor loss = COPQ

2. External Failure Cost

Customer तक defect पहुँचने के बाद होने वाला नुकसान।

Examples:

Customer complaint

Warranty claim

Return material

Penalty

Market reputation loss

Example:

Customer ने defective brake plate वापस भेजा → transport + replacement cost

Practical Example (Production Line)

Problem

COPQ Impact

Wrong packing

Customer complaint

Scratch on part

Rework cost

Hole mismatch

Rejection

Dispatch delay

Penalty

Extra inspection

Manpower cost

COPQ in Manufacturing

Production + Quality departments में COPQ reduce करना बहुत important KPI होता है।

Main Targets:

Zero Defect

Reduce Rework

Reduce Rejection

Improve Customer Satisfaction

Increase Profit

How to Reduce COPQ

Kaizen Activities

Root Cause Analysis

Poka Yoke

Standard Work

Operator Training

Skill Matrix

Layered Audit

5 Why Analysis

Check Sheet

Short Interview Answer

“COPQ means Cost Of Poor Quality. It is the total loss generated due to defects, rework, rejection, customer complaints, warranty, and other quality failures.”

Real Factory Example

Suppose:

Rejection Cost = ₹20,000

Rework Cost = ₹10,000

Customer Return = ₹15,000

Then:

Total COPQ = ₹45,000

That means company lost ₹45,000 due to poor quality.