(CONC.) The element of the *Cost Of Quality* representing the total cost to the organization of failure to achieve a good *Quality* product.
CONC includes both in-process costs generated by quality failures, particularly the cost of *Rework*; and post-delivery costs including further *Rework*, re-performance of lost work (for products used internally), possible loss of business, possible legal redress, and other potential costs.
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I did publish an article a couple of days ago on the cost of quality and the cost of conformance. The article defines, in layman's terms the two terms:
Cost of Quality: Is the extra expenses incurred to deliver quality in the final product. The cost of Quality includes training, union compliance, etc...
Cost of Non-Conformance: Is simply the cost incurred when quality is not implemented, the cost of non-conformance can, at worst cases, be the money that is refunded to the client or for redoing the work.
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