Quality control basic concepts

In this article I explain three fundamentals concepts that every buyer should be familiar with when it comes to quality inspections: 1. Inspection levels 2. The AQ !. "hen to inspect# After 1$ minutes% you will be able to &1' understand the reliability of an inspector(s findin)s and &2' ta*e more informed decisions based on an inspection report. If you have not started doin) professional quality control% you will need to understand these ! concepts to ma*e sure the inspection plan meets your needs+ without bein) too ambitious &and too expensive'.

1. Inspection levels
A word about applicable standards
,ilitari -tandard 1$. was created by the /- 0epartment of 0efense to control their procurements more efficiently. In 1112 they decided to rely on non3)overnmental or)ani4ations to maintain this type of standard. The A5-I% I-6% and other institutes all created their own standard% but in essence they are similar to the latest version of ,lt3-td 1$.. All third3party Q7 firms use the same standards and the same statistical tables.

Why use random sampling?

-hipments often represent thousands of products. 7hec*in) 1$$8 of the quantity would be lon) and expensive. A solution is to select samples at random and inspect them% instead of chec*in) the whole lot. 9ut how many samples to select# 6n the one hand% chec*in) only a few pieces mi)ht prevent the inspector from noticin) quality issues: on the other hand% the ob;ective is to *eep the inspection short by reducin) the number of samples to chec*. The relevant standards propose a standard severity% called <normal level= or <level II=. It is desi)ned to balance these two imperatives in the most efficient manner% and it is used for more than 1$8 of inspections. >or example% for an order of ?%$$$ products% only 2$$ samples are chec*ed.

When to switch to tightened or reduced levels

-uppose you source a product from a factory that often ships substandard quality. @ou *now that the ris* is hi)her than avera)e. Aow to increase the discriminatin) power of the inspection# @ou can opt for the <ti)htened level= &level III' and more samples are chec*ed.

-imilarly% if a supplier has consistently delivered acceptable products in the past and *eeps usin) the same wor*shop% you can choose the <reduced level= &level I'. As fewer samples have to be chec*ed% the inspection mi)ht ta*e less time and be cheaper. In practice% the relevant standards )ive very precise )uidelines about when to switch% but most importers rely on their gut feeling. If you want to respect these )uidelines strictly% as* your Q7 mana)er or your external inspection provider.

The special levels

Inspectors frequently have to perform some special tests on the products they are chec*in). In some cases the tests can only be performed on very few samples% for two reasons: 1. They mi)ht ta*e a lon) time &e.). doin) a full function test as per claims on the retail box'. 2. They end up in product destruction. &e.). unstitchin) a ;ac*et to chec* the linin) fabric'. >or these situations only% the inspector can choose a <special level=. -o we have three <)eneral= inspection levels% and four <special levels=. >or a )iven order quantity% each level )ives a different number of samples to chec*. et(s see how it plays in two examples.

!ample 1" you order #$%$$$ products

The number of samples to draw varies from ? to ?$$. 0ependin) on the level you choose% the inspection mi)ht ta*e only one inspector for one day% or up to 2 or . days of wor*.

!ample &" you order '%$$$ products

&. The AQ( )Acceptance Quality (imit*

In part 1% we explained the different inspection levels that can be used. Another basic concept rin)s familiar to many importers% but is often not clearly understood: the AQ &Acceptance Quality imit'.

There is no such thing as +ero de,ect

>irst% as a buyer% you have to *now what proportion of defects is tolerated on your mar*et. If you are in the aviation business% any defective part mi)ht cause a disaster% so your tolerance will be very% very low. 9ut you will have to accept a hi)her percenta)e of defects if you source consumer products that are assembled by hand in 7hina.

An ob-ective limit is necessary

-o% how many defects are too many# It is up to you% as a buyer% to ma*e this decision. There are two reasons why you should not leave this to the inspector(s ;ud)ment: 1. "hen it comes to )ivin) instructions to an inspector% you should never leave )ray areasBas they mi)ht open the door to corruption. 2. @our supplier should have clear criteria for acceptability% or they will see re;ections as unfair. The AQ is the proportion of defects allowed by the buyer. It should be communicated to the supplier in advance.

The three categories o, de,ects

-ome defects are much worse than others. Three cate)ories are typically distin)uished:

7ritical defects mi)ht harm a user or cause a whole shipment to be bloc*ed by the customs. ,a;or defects are not accepted by most consumers% who decide not to buy the product. ,inor defects also represent a departure from specifications% but some consumers would still buy the product.

For most consumer products, critical defects are not allowed, and the AQL for major defects and minor defects are 2.5 and !." respecti#ely. -ome important remar*s:

A professional inspector will notice defects and evaluate their cate)ory by himself. 9ut it is better if the buyer himself describes the most frequent defects and assi)ns cate)ories to each one. 0efects can be on the product itself% on the labelin) or on the pac*a)in). If one sample presents several defects% only the most severe one is counted.

.ow to read the AQ( tables

The master tables included in the relevant standards are commonly called AQ tables. et(s ta*e an example. @ou buy ?%$$$ wid)ets from a factory% and you choose the normal inspection level. In the table below% you see that the correspondin) letter is .

AQ( table 1"

5ow let(s turn to the next table. &It is only appropriate for normal3level inspections'. The letter )ives you the number of samples to draw at random: 2$$ pcs. And what about the AQ # et(s say you follow the usual practice of toleratin) $8 of critical defects% 2..8 of ma;or defects% and 2.$8 of minor defects. The maximum acceptable number of defects is C ma;or and 1$ minor. In other words% the inspection is failed if you find at least 1 critical defect andDor at least ? ma;or defects andDor at least 11 minor defects. AQ( table &"

$ote% you can use our automatic tool for calculating a sampling plan for a Q& inspection.

Additional notes% ,or accuracy

The number of defects is not the only cause for acceptance of refusal. The products can be refused because they are not conform to the buyer(s specifications% even thou)h their wor*manship is very )ood. If you have two different products &made with different processes or in different factories'% you should do two separate inspections. If you inspect them to)ether% one product mi)ht be accepted even thou)h it presents too many defects. "hy# 9ecause the better wor*manship of the other product mi)ht <compensate= for its poor quality.

'. When to inspect?

The first two parts focused on the different inspection levels and on the AQ tables. -o you *now how to set the number of samples to chec* and how many defects have to be accepted. "ith these settin)s and your detailed product specifications% a Q7 inspector can chec* your products and reach a conclusion &passed or failed'. 9ut importers face one more question: when should the products be inspected# This is an extremely important issue for buyers willin) to secure their supply chain. -pendin) a few hundreds of dollars to chec* and fix issues early can be an excellent investment: if mi)ht save you wee*s of delay% shipments by air% andDor lower quality products that you have to accept and deliver to your own customers.

/our types o, inspections

et(s picture the simplified model where one factory turns raw materials into finished products. &If you also have to mana)e the quality of sub3suppliers( products% the same model can be applied to them'

0re1production inspection
This type of inspection is necessary if you want to chec* the raw materials or components that will be used in production. 9uyin) cheaper materials can increase a factory(s mar)in considerably% so you should *eep an eye on this ris*. It can also be used to monitor the processes followed by the operators.

2uring production inspection

This inspection allows you to )et a )ood idea of avera)e product quality% and to as* for corrections if problems are found. It can ta*e place as soon as the first finished products )et off the line% but these samples mi)ht not be representative of the whole order. -o usually an inspection durin) production is done after 1$3!$8 of the products are finished.

/inal )pre1shipment* inspection

Inspectin) the )oods after they are made and pac*ed is the standard Q7 solution of most importers. The inspector can really chec* every detail% includin) countin) the total quantity and confirmin) the pac*a)in). >inal inspections are usually performed in a hurry% ;ust before shipment. To avoid creatin) delays% inspectors can usually start after all products are finished and ?$8E of the shipment quantity is pac*ed.

(oading supervision
In some cases% a buyer wants to ma*e sure the factory ships the ri)ht products% in the ri)ht quantity% and with the ri)ht loadin) plan. Further reading a'out the different types of inspections% quality inspection services.

#. 0utting it all together

!ample 1" 3%$$$ widgets ,rom a new supplier
@ou have no information about the factory% so you should adopt the normal level &a.*.a. level II'. The order quantity is comprised between !%2$1 and 1$%$$$pcs. In the first AQ table &hi)her in this document'% you see the code letter is . And in the second AQ table you see that 2$$ samples have to be chec*ed by the inspector. If you opt for the standard AQ limits &$ 7. D 2..8 ,. D 2.$8 m.'% the inspection is failed if at least one of these conditions comes true:

6ne or more critical defects are found Fi)ht or more ma;or defects are found Fleven or more minor defects are found

And let(s say you want the inspector to chec* all the product functions on a few samples. This test ta*es some time. @ou can choose special level -32. @ou see this test will be done on ? samples. The 2$$ samples can be chec*ed by one person in one day% so a third3party Q7 firm would quote you one man3day.

"hen to inspect# If this is a standard product and you have flexibility with timin)% a final &pre3shipment' inspection should be enou)h.

!ample &" '$%$$$ watches ,rom un4nown ,actory)ies*

@ou suspect that your supplier )ave orders to several wor*shops to produce your )oods% but he won(t tell you. And these items are rather valuable. A level3III inspection is probably the most appropriate. If we read the AQ tables as we did above% we have to inspect .$$ samples% and the maximum number of defects is: $ critical% 1? ma;or% 1? minor. If a visual chec* on all samples and a functionDaccuracy chec* on a few pieces is enou)h% it probably ta*es two or three man3days. "hen to inspect# If the supplier refuses to disclose the factory information% you have to )o for a final &pre3shipment' inspection.

!ample '" ,our di,,erent styles o, garments ,rom a good ,actory

@ou *now that this factory(s wor*manship is quite )ood. 9ut you want an inspector to chec* all the conformity elements% and in particular the measurements. evel I should be enou)h. @ou sell these products in boutiques at a hi)h price% so you can only accept 1..8 ma;or defects &,' and 2.$8 minor defects &m'. 5ote: for )arments% there are )enerally no critical defects. The fittin) is quite important% especially for the brassiere and the brief% so ! to . samples should be measured in each si4e. There are 2 different types of products% so there has to be 2 inspections:

The total number of samples to chec* is only 12C pieces. 9ut this order cannot be chec*ed in one man3day% for two reasons:

There are 2 different inspections to carry out. >or each product% the inspector has to chec* all the conformity elements &fabrics% colors% accessories% stitchin)+'. And there are 2 reports to prepare. There are G! samples to measure% across 2 different products and many si4es.

-o it will probably ta*e 2 inspectors &maybe !% dependin) on the products complexity' for one day. "hen to inspect# The best is clearly durin) production% after enou)h finished products have come off the lines. As the 2 products mi)ht not all be processed at exactly the same time% it mi)ht be preferable to send an inspector at different times. And if an inspection is failed% a re3inspection can probably be performed at the supplier(s char)e.

H 2 trac*bac*s I Q7 inspections: basic concepts 0ecember 1.% 2$$1 at 1$:.. pm Aow to do Q7 inspections by yourself >ebruary 12% 2$1$ at 11:.? pm Aow to do Q7 inspections by yourself J ,anufacturer 7hina >ebruary 1.% 2$1$ at !:!C pm Inspection of fabric rolls in 7hina April 21% 2$1$ at 11:2G pm