CQI-22 training is a hands-on programme built on AIAG‘s Cost of Poor Quality Guideline, for teams that will apply it.
CQI-22 is a guideline developed to calculate the real cost of poor quality to the organization and to base improvement priorities on that data.
Why does it matter?
Quality improvement projects often struggle to find resources, because their benefit cannot be expressed in numbers. Cost of poor quality solves this problem: it expresses the cost of quality problems in financial language.
The visible costs consist of scrap, rework and warranty claims. The hidden costs are far larger: extra inventory, delayed shipments, overtime, sorting and containment labour, engineering time, lost customer confidence.
In organizations that make this calculation, quality is no longer seen as a cost item but as a source of savings. It is also the most effective way of getting top management’s attention.
Who should attend?
- Quality managers
- Finance and cost accounting teams
- Production managers
- Continuous improvement teams
- Senior executives
There are no prerequisites.
Training Content
Fundamentals
- The cost of poor quality concept and its scope
- Prevention, appraisal, internal failure and external failure costs
- Visible and hidden costs
Calculation
- Identifying the data sources
- Defining and classifying the cost items
- Integration with the accounting system
- Calculation methods and points to watch
Using the results
- Setting the improvement priorities
- Calculating project returns
- Reporting to top management
- Trend monitoring and target setting
- Correlating with warranty data
Practical exercises
Participants apply the method using sample scenarios. In in-house programmes the exercises are run on your own processes and data.
Learning Outcomes
- Calculating the cost of poor quality
- Making hidden costs visible
- Basing improvement priorities on data
- Expressing project returns in financial language
- Reporting effectively to top management
Duration and Participation Options
Duration: 1–2 days in open-enrolment programmes. In in-house programmes, set according to the scope and depth of the practical work.
Participation type: Open enrolment or in-house.
Training method: In person (at your organization or in our training room), live online, on-demand recording.
Obtaining the manuals: AIAG publications are copyright-protected and are not provided as part of the training. Participants need access to the current edition.
Dates: Set according to demand.
Certificate of Attendance
Participants who complete the training receive a certificate of attendance. The certificate includes the participant’s name, training scope, date and duration. It can be used as evidence of competence in your assessor competence records and in customer audits.
- CQI-20 Training — effective problem solving
- CQI-14 Training — warranty management
- CQI-18 Training — error proofing
- CQI Trainings — all CQI guidelines
Beyond Training: Implementation Support
- Deploying the method at your organization
- Preparing the templates and checklists
- Shop-floor implementation and effectiveness verification
- Review of your existing practice
- Preparation before the customer audit
You can make use of our consulting services in every area where support is needed.
Frequently Asked Questions About CQI-22 Training
What does the cost of poor quality cover?
It covers prevention, appraisal, internal failure and external failure costs. Scrap and rework are the visible part; hidden costs such as extra inventory, delayed shipments, overtime, sorting labour and engineering time are usually larger.
Why is making this calculation important?
Quality improvement projects struggle to find resources because their benefit cannot be expressed in numbers. Cost of poor quality solves this problem by expressing quality problems in financial language.
Should we work together with the finance team?
Yes, it is recommended. Aligning the calculation with the accounting system makes it easier for top management to accept the results.
Where should we start?
With the largest and most easily measurable items. Trying to capture all hidden costs in the first round stalls the project; expanding the scope over time is more effective.
How long does CQI-22 training take?
Open-enrolment programmes take 1 day. In in-house programmes, 2 days are recommended if a model will be built on your own data.
Do you provide the guideline?
No. AIAG publications are copyright-protected and are not provided as part of the training.