Quality consistently ranks among organizations’ foremost competitive priorities and is a prerequisite for success in the global marketplace. Firms that want a competitive edge do it by delivering products that meet customer needs and function as intended. Despite the long-standing emphasis on the importance of quality in business, its actual contribution to business performance has been relatively unrealized. Quality is often the first department that gets de-prioritized in the midst of company financial stress. Oftentimes, it is viewed as an overhead expense that can be decentralized into other departments as an attempt to save money. Poor short-term decisions around quality lead to big financial, customer relationship, and work force morale issues down the road, leaving companies in a state of risk that infuses throughout the company and into the customer base. In fact, quality is the foundation for a competitive advantage, even when a firm’s immediate focus may shift towards concerns like speed-to-market, cost reduction, and other operational considerations.
“Quality in a product or service is not what the supplier puts in; it is what the customer gets out and is willing to pay for. What makes a 'quality' product is not based on how hard it is to make or whether or not it costs a lot of money, as manufacturers typically believe - this is incompetence. Customers pay only for what is of use to them and gives them value. Nothing else constitutes quality.” Peter F. Drucker