Problem:
In your response, you are to interpret the following graph:
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Quality Costs in Millions of Dollars
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2007
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2008
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10
|
|
|
|
|
9
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External Failure
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|
|
|
8
|
|
|
External Failure
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|
7
|
|
|
Internal Failure
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6
|
|
|
|
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5
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Internal Failure
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|
|
|
4
|
|
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Appraisal
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3
|
|
|
|
|
2
|
Appraisal
|
|
|
|
1
|
|
|
Prevention
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|
0
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Preventtion
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|
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Demonstrate in your response that you understand the implications of the quality costs identified in the graph. What will a company learn from this graph, and what types of decision-making would that information support?