Loading...
 

definition-Price-of-Nonconformance

Definition:

The Price-of-Nonconformance (PONC) is “What it costs to do things wrong” [CROSBY85].


Alternative Names

Concept Number: *034
English Master: Price-of-Nonconformance
Synonyms, Variations & Acronyms: none

Detailing


PONC is the “cost to find and fix Defects” between two defined points in a Systems-Engineering development Process (See figure below for a list of what costs could be included).


Illustrations

none


Type

Metric.


Examples

none


Notes

Price-of-Nonconformance (What it costs to do things wrong)

• ReProcessing
• Expediting
• Warranty
• Unplanned Service
• Returns
• Overdue accounts receivable
• Rework
• Downtime
• Scrap
• Computer reruns
• Explanation time
• Excess inventory

1. In general, PONC increases the later in the implementation Process that a Defect is found. The relative costs can be expected to be 20:1 at the test stage (20) compared to the development stage (1); and 80:1 at a field-use stage (80) compared to development stage (1) [GILB93].


Keyed-Icons

none


Drawn-Icons

none


Process-Improvement *114
Rework *390


History-of-Concept

none









This Concept entered by Adore Shuko.

Created by system. Last Modification: Thursday 11 of July, 2019 19:28:59 CEST by Admin (Kai).

Concept Search