Tag Archives: costs

Service expenses

Definition:
Costs of services that has been given to a certain customer or a section of customers.

Calculation:
Sum of specified costs

This KPI is measured as: Financial Value (e.g. €, $)

Interpretation of results: Lower Is Better

Strategic objective:
Efficient operations

Cost of quality correction

Definition:
Cost of quality correction—rework, rejects, warrantees, returns and allowances, inspection labor, and equipment, complaint processing costs

Calculation:
Sum of costs of quality correction

This KPI is measured as: Financial Value (e.g. €, $)

Interpretation of results: Lower Is Better

Strategic objective:
Efficient operations