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The relative importance of quality costs in Jordanian pharmaceutical manufacturing sector and their deficiencies

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  • Sanaa Maswadeh

    (Jadara Private University, Irbid, Jordan)

Abstract

The aim of study is to determine the relative importance of each of the elements of quality costs, classified to prevention costs, appraisal costs, internal failure costs, and external failure costs, and deficiencies related to these elements, in Jordanian pharmaceutical manufacturing sector. The sample was selected using simple random sampling with a sample size of 9 Jordanian pharmaceutical companies from population consisting of 24 companies at the end of 2015. A total of 50 questionnaires were distributed to quality and production managers in sample study; out of 50 questionnaires, only 40 were fit for analysis, one sample t-test was used to test the hypotheses of the study. The most important results of study were: awareness among the responses of study members about the importance of the elements of four dimensions of quality costs. The most deficiencies in the prevention cost elements related to failure of existing quality reference manual to match production specifications on continuous basis. And the most deficiencies in the appraisal cost elements involved in developing agreed standards for classifying products into good and defective or damaged according to the level of their quality. And showed the deficiencies in internal failure cost elements involved in estimating lost time costs on the rehabilitation products. And deficiencies in the external failure cost elements related to estimating costs of losing customers and decrease in market share because of customers’ dissatisfaction of product quality. Finally, the study recommended Jordanian pharmaceutical manufacturing management increased their attention to quality system planning costs on continuous and permanent basis.

Suggested Citation

  • Sanaa Maswadeh, 2017. "The relative importance of quality costs in Jordanian pharmaceutical manufacturing sector and their deficiencies," Journal of Administrative and Business Studies, Professor Dr. Usman Raja, vol. 3(1), pages 10-20.
    • Handle: RePEc:apb:jabsss:2017:p:10-20
    DOI: 10.20474/jabs-3.1.2
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    References listed on IDEAS

    as
    1. Freiesleben, Johannes, 2008. "A proposal for an economic quality loss function," International Journal of Production Economics, Elsevier, vol. 113(2), pages 1012-1024, June.
    2. Nila Krisnawati & Loina K Perangin-angin & Munawaroh Zainal & Imelda Suardi, 2016. "Brand equity analysis and its impact on the loyal customer of local batik to develop its competitiveness (an empirical study of batik Banten in south tangerang)," Journal of Administrative and Business Studies, Professor Dr. Usman Raja, vol. 2(4), pages 189-207.
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