Cost of Poor Quality (COPQ): Meaning, Formula & Examples
The Cost of Poor Quality (COPQ) is the total financial loss a company suffers because of defects, scrap, rework, customer complaints, warranty claims, poor processes, and inefficiencies. COPQ directly affects profitability, customer satisfaction, and brand reputation. Many organizations also refer to cost of quality (COQ) when analyzing their total quality costs, but COPQ specifically focuses … Read more