Finding Support for Innovations in Quality Improvement Initiatives: Hidden Costs and Benefits
10 Pages Posted: 4 Nov 2009 Last revised: 29 Jul 2014
Date Written: November 3, 2009
Abstract
As it is often the case, innovations may originate as a by-product of quality initiatives. In the presented paper, our goal was to design a concept for cost benefit analysis (CBA) with regard to quality improvement projects. The creation of this concept was a response to a need for proving economical feasibility of a technological innovation and creation of a new product in an automotive supplier company in Central Europe, running a quality improvement initiative. The designed concept's contribution is twofold: first, it theoretically enhances the concepts of CBA in quality improvement projects and secondly, practitioners may use it as a guide to conduct a CBA.
Keywords: hidden costs, innovations, cost benefit analysis, cost of quality, Six Sigma
JEL Classification: M11, M2, O31, O32
Suggested Citation: Suggested Citation