Impact of order Size on quality Cost of 100% Inspection: A simulation approach

Abstract

In manufacturing companies, Cost of Quality (COQ) is in!uenced by inspection strategies. "e determination of CoQ, may involve in complex analitycal models. "e paper’s objective is to assess, through a simulation approach, the impact of order size in CoQ per unit when adopting 100% inspection, considering inspection errors and that some defects are repairable. "e proposed approach is developed in SIMIO to determine quality costs, and the number of compliant units delivered. Results show that, in four scenarios representing di#erent lot sizes, the average CoQ per unit and the proportion of delivered units is similar, but the variability of these indicators increases with the reduction of order size. "us, the de$nition of small order sizes increases the risk for production managers in meeting targets.