Think you’ll save money by not making the move to a best-in-breed quality management solution? Think again. Although an investment in new software comes at an expense, the costs of inaction most often outweigh the move to a more modern solution.

If you’ve ever considered a new quality management solution, you are probably aware of its obvious benefits. Companies usually start the search for a new quality system when they are looking to reduce the number of nonconformances and corrective actions, maintain compliance, automate processes, or improve supplier quality. Undoubtedly, these are all strong cases for making the move to a new quality management solution. If you are faced with any of these issues you might just have an easy win on your hands, but let’s consider the scenario if management makes the decision to put quality aside and focus on something else in the proposed budget. Now what?

It’s important to consider the hidden costs of inaction. More of the same may not put you out of business tomorrow, but it’s certainly not going to advance your market position. After all, there was a reason you started the search for a new solution in the first place. Your quality is probably not as good as it could be and that’s a BIG deal. There are many inefficiencies that could be going on behind the scenes that take a real toll on company resources and negatively contribute to the bottom line.

Reputational Damage
The quality of a company’s product is a true differentiator. Inconsistent quality can be the death of a company’s reputation. This is one of the hardest things to overcome, especially when it presents risk to the customer.  Without an effective way to track supplier activity, poor quality components or counterfeit parts can enter the supply chain causing rework or irreparable harm.  Success relies on a strong company reputation, so it should be fiercely protected.

Inefficient Homegrown Solutions
Let’s face it – disparate systems cost a company money. Tracking information in two or more places is inefficient and prone to error. Home-grown solutions and spreadsheets are a drain on resources and lack the industry-leading capabilities a best-in-breed solution can provide. Consider the cost savings of eliminating redundant systems and replacing with a system that can synch manufacturing and quality for a true picture of the enterprise. A single source of the truth is worth its weight in gold.

Poor Document Management
Disorganized records and an inability to quickly locate documents can lead to failed audits. Failed audits cost a company valuable time or penalties for not meeting regulatory standards. Without effective document management, the risk of a product being built to prior standards increases and is a significant blow to manufacturing quality. A streamlined quality process eliminates paper documents, standardizes quality, and increases efficiencies on the shop floor.

Breakdown in Enterprise Communication
Quality should be a cross-functional effort. Without everyone on the same page, mistakes are made that cost the company money. Access to real-time quality metrics allows team personnel to work together to reduce costs.  Educated decisions based on inspection results, compliance status, complaint handling and supplier quality are only made possible through effective departmental collaboration.

Lack of Manufacturing Agility
For complex manufacturers, life moves pretty fast. The ability to adapt to a changing environment and new industry regulations requires an agile workplace. Manufacturing delays caused by a breakdown in process or noncompliance can result in missed delivery dates or sales opportunities. When quality processes are streamlined, a company is in a better position to adopt techniques like lean manufacturing or additive manufacturing that can significantly increase competitive advantage and profits.

At the end of the day you may decide it’s not the right time to buy – and that’s ok – but don’t make the mistake of neglecting to factor into your business case the cost of doing nothing. Deferring a decision only prolongs the need and exacerbates any issues that may be going on within the organization.

If you are searching for new quality management software, consider what a solution from TIP Technologies can do for your business. Contact us to schedule a demo of the TIPQA™ Quality Management Solution and begin your journey to better quality today.