Quality as a Term
The term quality is useful in reference to human beings and business commodities. In commerce, business commodities are commonly known as products. Therefore, quality refers to the features of a product. It can also be defined as the standard of a product as measured against the products of the same kind in the market. Products can be of high or low quality.
The level of customer satisfaction is directly proportional to the quality of the products. Various companies/business organizations can specialize in similar products while targeting a common market. The competitiveness of a business organization greatly relies on the quality of the product from that organization.
For example in manufacturing, the quality of a product is measured in terms of product excellence or freedom from defects, significant variations, and deficiencies. Apart from the desire to achieve a high competitive ability in the market, quality of products is a result of strict and consistent adherence to certain standards outlined by certain concerned governmental or non-governmental corporations. Such standards are set to achieve product uniformity in order to ensure specific user or customer requirements.
Additionally, quality standards are meant to maintain user safety, environmental sustainability, abidance by the law, intellectual property right protection and copyright protection. Sometimes, it is a challenge for production companies to change and adopt quality standards while maintaining their performance, but the positive side of such strategies is realized at the long run.
Quality Effect on Performance
To explain quality effect on performance let’s give an example;if an automobile company realizes that a certain percentage of their products have defects, they may decide to make a recall. This may lead to loss of trust in the product’s quality in the market.The overall result is a decrease in customer reliability and poor performance. However, the result will be positive in the long run.
In conclusion, quality is a factor of production that directly effects the performance and growth of an organization.Therefore organizations should consider this issue very serious and take necessary actions in order to maintain quality level consistant all the time.Otherwise companies do not have any chance to survive in the market.