The 1-10-100 rule applied to the manufacturing supply chain states that costs increase by a factor of 10 if a quality issue is not detected at each stage of the chain. If manufacturing budgets and operations are outside your area of responsibility and you are more of a player in inventory or sales control in your business, here`s a different perspective. Translate the principle 1-10-100-1,000-10,000 dollars, for the benefit of the manufacturer, into finished units, for the benefit of the customer, and we can see why the cost of quality at an early stage is worth every penny. The 1-10-100 rule refers to the hidden costs of waste associated with poor quality. The 1-10-100 rule allows manufacturers to quickly estimate the impact of quality costs. It makes no tax sense to wait for a product to come out before a quality check is carried out. Detecting a quality problem during raw material inspection costs less than detecting a quality problem when the product arrives at the customer`s home. The rule implies that at each stage, the cost of errors increases exponentially. You can see how much easier – and much cheaper – these simple checks and balances are than a complete disaster. Make sure each of your employees is aware of the risk of error and the prevention process. If there is a larger group of people working on a single project, set up a group meeting. Gather them in one room and make sure everyone is on the same page. Give them the old 1-10-100 101.

[…] It sounds cooler than it actually is. I wish I could tell you that I spent the months between my decision to leave and now designing and perfecting my next business. Believe me, I tried. And to be fair, I wrote idea after idea with almost ruthless dedication and excellent results. The process went like this: something would cause a light bulb in my head to go out. “Oh man, I wish there was a way for me to make X better,” or “why does this thing have to work like this,” etc. We all have our own ways of coming up with new ideas for me – I love solving problems and taking advantage of lazy industries and businesses. I took some of these “ideas” and started writing plans around them – you know the process: What`s the big idea? Can it be distilled into a simple message? How does he make money? Is anyone already doing that? And so on. Yes – it`s called a business plan – but while writing a business plan has its merits, it`s such an asexual process. Some ideas couldn`t get through this phase, and that`s cool.

Even those who did still needed a lot of tweaking before I was ready to put real time and money behind them. So I sat there thinking about how I could quickly take these “big” ideas to the next phase, and my inner monologue began: “Outside in the stands and on the field.” This is the kind of thing I always say to the entrepreneurs I meet, but here I made the same tragic mistake. I tried to perfect my ideas in the lab instead of developing them outside. I know it`s a little scary at first, but here`s the honest truth: get it over it. Overcome your inhibitions. Just go out and do something. I think many of us are afraid of failure. And what could be worse than failure? Public failure! But at the end of the day, failure is failure, no matter how you cut it. The reality is that your chances of failing decrease if you test the product or idea early. Take a look at the 1-10-100 rule to see what I mean What is the 1-10-100 rule? “Total quality management.

[…] And not just reprints, extra delivery, overtime, and lost supplies cost and cost and cost and cost you. But all this could have been avoided in the first place. Because “quality is free,” as Phillip B. Crosby said in his groundbreaking guide, which (you can be honest) is gathering dust on the shelves of many businessmen. And if “quality is free,” why isn`t there more? At CMW, where quality is always a top priority, we believe that nothing better prevents a costly quality correction than understanding the 1-10-100 rule. To measure the impact of aging on a database, we can look at the 1-10-100 rule.