The Importance of Quality Control for The Success of A Company

Abstract

Quality control is an important part of the company’s production process, especially for manufacturing companies. Quality control itself is a comprehensive process that needs to be upheld by the company to make sure it has quality products. This article aims to provide enrichment about quality management, quality control, the process, the approach, as well as the tools gathered from diverse sources. Information from journals, books, and others was first gathered and combined to produce a comprehensive and full understanding of the topic. This article helps to provide a better understanding of quality control, however, it is necessary to explore the examples that have been applied by various companies.

Full text

Asian Journal of Logistics Management
Vol. 1, No. 2, November 2022, pg. 99-106
Published by Department of Business and Finance,
Diponegoro University
The Importance of Quality Control for The Success of A Company
Maria V. V. Zacharias1*
1*Business Administration, Faculty of Social and Political Sciences, University of Nusa Cendana, Indonesia,
mayangzacharias2001@gmail.com
*(Correspondent author): mayangzacharias2001@gmail.com
Abstract
Quality control is an important part of the company’s production process,
especially for manufacturing companies. Quality control itself is a
comprehensive process that needs to be upheld by the company to make
sure it has quality products. This article aims to provide enrichment about
quality management, quality control, the process, the approach, as well
as the tools gathered from diverse sources. Information from journals,
books, and others was first gathered and combined to produce a
comprehensive and full understanding of the topic. This article helps to
provide a better understanding of quality control, however, it is necessary
to explore the examples that have been applied by various companies.
Keywords
Defect; production management; quality; quality control;
INTRODUCTION
Quality is one of the most important parts of the company in carrying out its operational strategy.
Quality is a dimension of the ability of a product to meet customer satisfaction and therefore the
product that must be produced must comply with predetermined quality standards (Webber &
Wallace, 2007). Quality is a combination of the properties of goods and services that demonstrate
their ability to meet customer needs. The higher the quality, the higher the customer satisfaction.
Every company must be able to control the quality of a product in accordance with quality
standards or quality set by the government. Products produced must also refer to these
standards. By implementing this on an ongoing basis the company will be able to attract market
attention which will ultimately bring high profits for the company. If the company does not pay
attention to the quality of its products, it will fail in competition with other companies. Therefore,
every company must pay attention to the quality of its products by carrying out quality control in
accordance with the Indonesian National Standard (SNI) in order to meet market demands and
excel in competition.
Setting and achieving these quality standards is the key to the company's success against
competitors in a competitive manner. Production results with quality below the standard set by
the company can eliminate customer trust so it is possible to lose customers. Companies must

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produce products that produce products with good quality so that customers feel satisfied and
cannot easily switch to other companies that produce the same product. Efforts to maintain trust
can have an impact on increasing sales volume which will increase company profits.
Even though the production process is running well, discrepancies are often found
between the products produced and what is expected. This is due to deviations from various
factors, both originating from raw materials, labor, and the performance of the machine facilities
used in the production process. In order for the products produced to have quality in accordance
with the standards set by the company and in accordance with consumer expectations, the
company must carry out activities that have an impact on the quality produced and avoid any
damaged or defective products being sold to the market.
Quality control needs to be carried out by large companies and small companies to
maintain the quality of their products. Controlling means assuring the standard procedure, and
evaluating and correcting the production process so it conforms with the plan (Ayuni, Siswandaru,
& Nupikso, 2012). There are various ways to control product quality, one of which is Statistical
Quality Control (SQC), which is a quality control tool using statistical methods to solve problems
that exist within the company. The product manufacturing process must follow market or
consumer quality standards, but in the implementation of manufacturing, there are still many
products that do not meet established standards. Therefore, quality control tools such as
Statistical Quality Control (SQC) are needed as product quality control tools that can help
companies know whether the products produced are within control limits or not, starting from
the initial process to the final product. Statistical quality control is a technique used to control
and manage processes either in manufacturing or services through statistics method (Bakhtiar,
Tahir, & Hasni, 2013).
In the quality control process, defects will be found, namely products produced that are
damaged or do not meet predetermined quality standards, but these products can still be
economically good products, in the sense that the cost of repairing defective products is lower
than the increase in the value obtained with the improvement. Defective products are products
that the manufacturer does not want. But sometimes the existence of a defective product itself
is unavoidable and even always exists in the production process. The existence of a defective
product within the company may not be used by the company, but it can. Types of defects will
vary in each industry.
METHODS
This article mainly discusses the review of the literature on quality control over the years. The
articles were gathered and organized into a comprehensive literature review that will give a broad
understanding of the definition of quality control, its function, its relation to production process
management, the quality control approach, and its tools.

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RESULT AND DISCUSSION
Quality Management
Quality management is a way to improve performance continuously (Continuous Performance
Improvement) at every level of operation or process, in every functional area of an organization
by using available human resources and capital (Gaspersz, 2005). Quality management as all
activities of the overall management function that determines quality policies, objectives and
responsibilities, and implements them through tools such as quality planning, quality control,
quality assurance, and quality improvement.
The definitions of quality planning, quality control, quality assurance, and quality
improvement according to ISO 8042 (Quality Vocabulary) are as follows:
1. Quality Planning (Quality Planning) is the establishment and development of goals and
requirements for quality and the implementation of a quality system.
2. Quality Control is the techniques and operational activities used to meet quality requirements.
3. Quality Assurance is all planned and systematic actions implemented and demonstrated to
provide sufficient confidence that the product will satisfy the need for a certain quality.
4. Quality Improvement are actions taken to increase product value for customers through
increasing the effectiveness and efficiency of processes and activities through the organizational
structure.
Production Management and Production Process
Production management is an activity to organize and coordinate the use of human resources,
tool resources, and financial, and material resources effectively and efficiently in order to create
and increase the use of goods or services (Assauri, 2004). Others argue that production
management is an activity or process that transforms input into output. The main activity
concerned with production management is the production process. The production process is a
method and technique for creating or adding to the use of an item or service by using sources
including labor, materials, funds, and other resources needed (Assauri, 2002). In other words, the
production process is the activity of how the product is finished from raw materials involving
machinery, energy, technical knowledge, and others (Baroto, 2022), and some other see if from
the perspective of methods and techniques used by people to transform raw material into
products (Nasution, 2003).
A production process will result in products. A product is anything that can be offered to
a market for attention, purchase, use, or consumption that can satisfy a want or need (Kotler &
Armstrong, 2001). Conceptually, the product is the subjective understanding of the manufacturer
of something that can be offered as an effort to achieve organizational goals through fulfilling
consumer needs and activities, in accordance with organizational competence and capacity as
well as market purchasing power. The product is the central point of marketing activities because
the product is the result of a company that can be offered to the market for consumption and is

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a tool for a company to achieve its goals of the company. A product must have advantages over
other products in terms of quality, design, shape, size, packaging, service, warranty, and taste in
order to attract consumers to try and buy the product.
Defects in Quality Control
Damaged products are products that have a finished product form, but are in conditions that are
not in accordance with the standards set by the company. There may be damaged products that
can be sold, but there are also those that cannot be sold. Depending on the condition of the item,
whether the damage is within normal or abnormal limits. Damaged products that occur during
the production process refer to products that are unacceptable to consumers and cannot be
reworked. A defect is a damage that prevents your products from being accepted by customers
(Webber & Wallace, 2007). A defect may cause the products to show their full working potential
or simply a nonconformance in appearance.
Quality is a very important thing in today's modern era. Because consumers really want a
quality product to meet their needs, so companies are required to create a quality product for
survival of the company. Therefore, today's companies must know and understand the ins and
outs of customers by paying attention to the quality of a product produced. Quality is the totality
of the characteristics of a product or service that supports its ability to meet specified needs
(Gaspersz, 2022). When we measure quality statistically, we look if there is any variation in
measurement between what the customer asks for and what the company produces (Webber &
Wallace, 2007). There are some factors that influence the quality control carried out by
companies (Montgomery, 2001), and they are:
1. Process capability
The limits to be achieved must be adjusted to the capabilities of the existing process. There
is no point in controlling a process within limits that exceed the capabilities or capabilities
of the existing process.
2. Applicable specifications
The specifications for the production results to be achieved must be applicable, when
viewed in terms of process capability and the desires or needs of the consumers to be
achieved from these production results. In this case, it must be ascertained beforehand
whether the specifications can apply from the two aspects mentioned above before
quality control in the process can begin.
3. Acceptable level of non-conformity
The purpose of controlling a process is to reduce substandard products to a minimum. The
level of control applied depends on the amount of product that is below an acceptable
standard.

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4. Cost of quality
Quality costs greatly affect the level of quality control in producing products where quality
costs have a positive relationship with the creation of quality products.
5. Material
Due to production costs and quality requirements, experts plan and select materials
according to the expected specifications. The types of materials used will greatly affect
the quality of the products produced.
6. Machines and Mechanisms
The use of machines and mechanisms can affect the expected quality. The type of machine
and its maintenance are also very influential on product quality. The method used in the
mechanism process also influences the results.
7. Modern Information Methods
The development of increasingly modern information technology has made it possible to
collect, analyze and manipulate information in a modern way. This sophisticated method
of processing data and receiving information can affect the development of the quality of
a product that is made. Information through computerization that is getting faster and
more accurate in managing data and analyzing it also contributes to the success of product
quality.
Quality Control Purpose and Approach
Quality control is an important activity in the company to find out the damage that occurs to the
product so that the company can maintain the quality of the products produced in accordance
with the standards set by the company. The purpose of quality control is to control the quality of
products or services that can satisfy consumers. The objectives of quality control are to reduce
errors and improve quality, inspire good teamwork, encourage involvement in the task, increase
motivation in employees, create the ability to solve problems, improve communication and
develop relationships between managers and employees, develop high-security awareness, and
promote employees and develop products properly (Handoko, 2000).
Quality has very broad activities because all quality controls must be considered. Quality
control can be broadly grouped into 3 levels:
1. Raw materials approach
The raw material balance approach is a very important factor for the continuity of the
production process which is very dependent on the availability of raw materials and the
quality of the raw materials themselves, so the company should also pay attention to
quality control of raw materials. The company produces a product where the
characteristics of raw materials greatly affect the characteristics of the products
produced.

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2. Production Process Approach
In some companies, the production process determines the quality of the final product
and not the raw materials. Such a company would be better off using a production process
approach for quality control. Due to the nature and types of production processes that
exist in companies generally consisting of several types, carrying out quality control
through this approach will not produce adequate results if the type of production process
to be monitored is not known. This is due to the type of production process being carried
out, a different way of controlling the quality of the process is required. In relation to
process quality control, the production process within the company will generally be
separated into five types, namely process types A, B, C, D, and E where each type of
production process has its own specificity, especially in relation to the implementation of
existing production process control in each of these companies.
3. Final Product Approach
The product approach in company quality control is the company's effort to maintain the
quality of the products it produces by looking at the quality of the final product.
Implementation of quality control with the final product approach can be carried out by
checking the whole final project, checking samples of the final product, providing usage
instructions, and providing after-sales services.
Quality Control Stages
To obtain effective quality control results, the control of the quality of a product can be carried
out using quality control techniques, because not all production results are in accordance with
established standards. There are several quality standards that can be determined by companies
in an effort to maintain the output of manufactured goods including standard quality of raw
materials to be used, standards for the quality of the production process, standard quality of
semi-finished goods, finished goods quality standard, and standard administration, packing, and
delivery of the final product to the consumer (Prawirosentono, 2007).
Statistical Quality Control
Statistical quality control is a tool that plays an important role in making products according to
specifications in the process from start to finish. There will always be unintentional interruptions
in many production processes. Unexpected disturbances are considered problems that can still
be tolerated if the disturbances that occur in this process are relatively small. Likewise,
disturbances can be said to be disturbances that are outside the tolerance limit if the disturbance
in this process is cumulatively large enough (Yamit, 2001). Statistical quality control is a system
developed to maintain uniform standards of production control, at a minimum cost level and is
an aid to achieving factory company efficiency. Statistical quality control using SQC (Statistical
Quality Control), has 7 (seven) main statistical tools that can be used as tools for controlling

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control, including Check Sheets, Scatter Diagrams, Histograms, Pareto Diagrams, Cause and Effect
Diagrams, Process Flow Charts, Control Charts.
The Pareto chart was first introduced by an Italian economist named Vilfredo Pareto
Which states that 80% of the consequences originate or are produced by 20% of the causes or it
can also be translated as 80% of business results are the fruit of 20% of productive and optimal
efforts. Pareto diagrams are made to find problems or causes that are key in solving problems
and comparisons to the whole. Pareto analysis is a technique for focusing attention on the most
important problem areas (Stevenson & Choung, 2015). The Pareto chart is a method for managing
errors, problems, or defects to help focus attention on efforts to solve the problem (Heizer &
Render) and is a proper tool for increasing strong control (Ginting, 2007). The use of Pareto
diagrams is as follows:
1. Helps a team focus on the causes that will have the greatest impact if resolved.
2. Displays the relative importance of the problem in a visual format that is simple and can
be interpreted quickly
3. Helps prevent diversion of the problem where the solution eliminates some causes but
exacerbates others
4. Progress is measured in a highly visible format that provides incentives to drive more
improvement
5. Pareto analysis can be used in the application of increased manufacturing or non-
manufacturing control.
Another tool that can help in quality control is Cause Effect Diagram. The cause and effect diagram
is an approach that allows more detailed analysis to be carried out to find the causes of a problem,
discrepancies, and existing gaps. This diagram can be used in situations where there is a discussion
meeting using brainstorming to identify why a problem occurs; the problems require more
detailed analysis, and there is difficulty separating causes from effects (Gasperz, 2005). In general,
a cause-and-effect diagram is a graphical representation that displays data regarding the
causative factors of a failure or non-conformity, to analyze it to the deepest sub of the factors
that cause problems. The form of analysis in the causal diagram is in the form of data that is
predominantly collected subjectively using quantitative or qualitative data (Tannady, 2015).
The uses of the cause and effect diagrams are as follows: Help identify the root cause of
the problem, analyze the actual conditions that aim to improve quality improvement, help
generate ideas for a solution to a problem, assist in further fact-finding, reduce conditions that
cause product discrepancies with consumer complaints, determine the standardization of
operations that are currently running or that will be implemented, means of decision making in
determining workforce training, and planning corrective actions.

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CONCLUSION
Quality is a combination of the properties of goods and services that demonstrate their ability to
meet customer needs. In the production process, products are meant to be produced according
to the specification required and set by the company. However, some defects may be found in
the process, whether they were caused by the production process, raw materials, etc. Therefore,
quality control is an essential aspect of production. Quality control can be done by using several
tools and each tool can help the company to maintain its quality.
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