In early 2024, ETQ surveyed 750 senior-level quality professionals across the U.S., U.K. and Germany were asked about their views on quality in the workplace. The goal was to collect real-world feedback on the trends, issues and challenges that affect quality professionals in those markets. Responses provided valuable insights into the current state of quality management and came from several industries, including heavy industry, electronics, medical devices, pharmaceuticals, food and beverage, chemicals, logistics, automotive and aerospace.
Product Recalls are on the Rise
Product recalls are increasing, affecting all aspects of an organization. According to survey respondents, 73% have experienced a product recall in the last five years, and 48% noted an increase in recalls in the last five years.
In the U.K., 50% of those surveyed say their most recent recall cost between £8 million and £39.9 million. In Germany, 41% reported costs between €10 million and €49.99 million, and in the U.S., 39% said each recall can cost between $10 million and $49.8 million.
Managing Suppliers is Critical for Quality
Supplier quality plays an important role in the overall quality of the final product. While 70% of respondents believe they have control over their suppliers, 52% attributed up to half of their product recalls to supplier issues. This discrepancy highlights the challenges organizations face in effectively managing supplier quality.
Organizations need a better way to have control over their suppliers to mitigate quality issues. A robust, automated quality management system (QMS) provides the necessary framework for selecting and managing suppliers, setting clear performance indicators and ensuring continuous improvement. By using a centralized QMS, organizations can track supplier performance, share real-time updates, and maintain detailed audit trails, enhancing transparency and compliance.
Quality Management: Perception vs. Reality
50% of those surveyed believe their organization is doing a good job managing quality, despite the increase in product recalls and supplier-related issues. This directly contrasts with the reality of increased recalls and safety incidents, suggesting a false sense of quality success.
For organizations looking to improve their quality management, they must treat quality as a strategic initiative to drive continuous improvement and invest in advanced tools and processes across teams and facilities. Quality should be integrated into the core business strategy, with clear goals, metrics and accountability at all levels.
Moving Forward: Strategic Quality Management
To address the challenges of product recalls, safety incidents and supplier quality issues, manufacturers should more closely examine and seek to improve their quality processes. Implementing an automated enterprise quality management system (EQMS) like ETQ Reliance® offers a comprehensive solution. ETQ Reliance helps companies mitigate risks, reduce the likelihood of recalls, improve supplier quality and is instrumental in building a culture of quality throughout an organization.
The Path to Quality Excellence
Additional research shows that quality is becoming more strategic amid rising product and operational complexity. Implementing an automated solution assists in breaking down silos between critical functions, enabling greater collaboration and insights. Frontline workers are becoming increasingly part of the decision-making process, further emphasizing the importance of a holistic approach to quality management.
Resolving the gap between the perception and reality of quality in manufacturing requires a strategic, data-driven approach. By prioritizing quality and encouraging collaboration, manufacturers can achieve optimal quality and drive continuous improvement, ultimately securing long-term success in an increasingly competitive market.
Conclusion
Product recalls, safety incidents and supplier issues continue to rise in manufacturing, highlighting the need for improved quality management. By adopting a strategic approach to quality and investing in an advanced eQMS solution like ETQ Reliance, organizations can enhance their quality processes, reduce costs and protect their brand reputation. The insights from the survey emphasize the importance of continuous improvement and the role of quality in driving continued business success.
For more actionable survey insights, download the full report to learn how an enterprise quality management system can help manufacturers examine their quality processes to ensure proper frontline training and effective quality processes, connect workflows, enhance training and build a quality-driven culture.
