Saturday 19 May 2012

Is quality in business important?


Producing a quality product is the main reason why some companies thrive throughout generations of family ownership, while others quickly plunge into bankruptcy.

It's not hard to run a business badly. Some manufacturers will use substandard materials and an unskilled labor force to turn out a product which looks all right on the surface. It might even sell for what appears to be a bargain price. However, after several uses, the item falls apart.


Will the customer replace his loss with another product from the same company? Of course not. Oh, he'll certainly remember the company name, but only as reminder of which products to avoid at all costs the next time he goes shopping!

More damaging yet, he'll complain loudly and at great length to friends and neighbors about the junk this company produces. Potential customers will be warned away before even examining the company's wares for themselves.

How many times have you called a serviceman to repair an appliance, and paid a hefty fee just for having him step through your front door? This is sometimes laughingly known as a "service call". The technician may do no more than adjust a setting, but the fee remains the same.

The repair, if required, may be accomplished by inserting a used part harvested from a discarded machine, or by using a part intended for a different make of appliance. It will work, for awhile.

Most of us are so technologically challenged, we would never even be suspicious until the next breakdown occurred within a short time. Unscrupulous repairmen have a treasury of reasons why their repairs have been ineffective.

Perhaps the floor is crooked, or the temperature in the kitchen is too hot or too cold, or the owner is not plugging the appliance in properly. After several expensive, but unproductive "service calls" most people give up, and either buy a new appliance or call a different service company.

However, these customers also will share their frustration at the poor quality of service they have received, with anyone who will listen. Potential future customers will scared away before they even consider phoning to request a service call.

Apart from a few initial fees received from quickly unsatisfied customers, the company's revenue will soon fall into a deficit position. Another business will fail, likely before it has a chance to pay the first year's taxes.

Is quality important in business? For a business to prosper and be successful in the long term, quality in products and services is essential. Many customers today may be technologically challenged but they are financially discerning and astute. They know and appreciate companies where they are treated well and where they can be assured of getting their money's worth.

Satisfied customers are the best advertising agents. Treat them fairly, keep them happy and they'll return, bringing friends, neighbors and acquaintances again and again and again...

A business absolutely devoted to service will have only one worry about profits. They will be embarrassingly large." Henry Ford ( 1863-1947 ).


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