Review of purchase orders for quality requirements falls into which quality cost segment?

Review of purchase orders for quality requirements falls into which quality cost segment?

• A. Prevention
• B. Appraisal
• C. Internal Failure Costs
• D. External Failure Costs

Answer: (A)

Reviewing purchase orders to ensure quality requirements are clear and enforceable is a prevention activity. Prevention costs are the efforts put in to stop defects from occurring in the first place, such as planning quality into the supplier relationship, setting quality specifications, and qualifying suppliers. By specifying quality expectations in the PO, you reduce the chance of receiving nonconforming materials and avoid downstream rework or failures. This differs from appraisal costs, which are about detecting defects through inspection or testing after production, and from internal or external failure costs, which arise from defects found before or after delivery to customers. So, this action helps prevent quality problems before they happen, fitting the prevention category.

Reviewing purchase orders to ensure quality requirements are clear and enforceable is a prevention activity. Prevention costs are the efforts put in to stop defects from occurring in the first place, such as planning quality into the supplier relationship, setting quality specifications, and qualifying suppliers. By specifying quality expectations in the PO, you reduce the chance of receiving nonconforming materials and avoid downstream rework or failures. This differs from appraisal costs, which are about detecting defects through inspection or testing after production, and from internal or external failure costs, which arise from defects found before or after delivery to customers. So, this action helps prevent quality problems before they happen, fitting the prevention category.