Cost of Quality in Construction

The cost of quality while a well-established measure in the manufacturing and other industries, has shown to have limited data available within the construction industry. This case study research article seeks to establish within the construction industry the cost of quality throughout the project lifecycle. The Lean Six Sigma methodology of Design, Measure, Analyse, Improve and Control was used to develop a framework to raise awareness and track the cost of quality both good and bad. The Prevention Appraisal Failure model was used to determine the cost of quality across a portfolio of construction projects completed. The research found that cost of failure was in excess of the cost of appraisal and prevention and thus was leading to non- value add effects waste. During the internal audit process a lack of adherence to documented processes within the quality system was identified as directly contributing to the cost of poor quality in a number of projects. An improvement in the tracking of costs was delivered due to the implementation of a structured framework for data capture and a training presentation to raise awareness. The framework is to be a robust structure and framework that could be adapted in other construction companies and possibly other industries.