What is the Real Cost of Complaints?

Search:

What is the Real Cost of Complaints?

No product or installation is perfect. In the real world – a good manufacturer or supplier does everything possible to achieve perfection, but it doesn’t always happen. “Making it right” is a major focus of every good company. The thing that keeps company managers awake at night is the possibility that something didn’t go right and the customer just became frustrated and angry and didn’t say anything, but just decided to never call or use that source again !

This is where quality control, inspection and attractive and adequate packaging come to the forefront. Consider the following example of quality inspection and its’ real cost to the company as provided and printed with the permission of Smiths-Heiman Product Inspection Division and Tellico Harbor Consulting. Assuming a high volume product sale and distribution:

· For every “nuisance” or “irritant” complaint received, there may be 50,000 similar incidents out in the marketplace.

· For every health concern complaint received, there may be 1,000 more out there.

· For every actual injury complaint, there may be 2 more unreported.

Based on the seriousness of the complaint, a customer is not likely to buy your product again in the following estimated percentage of probability:

· Perceived poor value – 2% loss.
· Health Concern – 10% loss
· Injury concern – 25% loss
· Actual injury reported – 50% loss.

So – what is the solution to this potential problem ? Perhaps an answer is in the equipment used to inspect your product before shipping. The steps may be:

· Analyze where complaints are coming from.
· Calculate what the cost may be to the company in potential lost sales.
· Choose a technology that can solve the most identified problems.

X-ray systems may be the answer since this technology is :

· Estimated to reduce complaints by 33 to 50%
· Able to improve packaging system uptime by 1 to 5%
· Able to inspect for previously undetectable contaminants
· Estimated to reduce capital costs by replacing check weighers and metal detectors previously used in production lines.*

Contact us for further evaluation assistance and information about Smiths Detection X-ray equipment configurations.

Article Source: http://articlenexus.com

George Van Lieu is a manager for Belcorp, Inc., an automated packaging equipment supplier located in Cincinnati, Ohio.

Please Rate this Article

Not yet Rated

Click the XML Icon Above to Receive Management Articles Via RSS!

Additional Articles From - Home | Business | Management

An Experienced Debt Collection Works! - By : harminder.basi
Presensoft’s Business Instant Messaging Boosts Business Productiv - By : monika abbi
Modern Management And Computerization. - By : amansharma881
Strategy for Commercial Collection Agency! - By : Hema Mittal
Micro-Managing CEOs - Doomed for Corporate Failure - By : Yoshiko Choy
The Factors Which Give Birth to Strategic Human Resource Manageme - By : Gurinder Sobti
Reach with corporate Instant Messaging! - By : HARISH KUMAR
What is Effective Management of Budget? - By : mukesh9
Checkout various strategies to promote your restaurant - By : Ena Taylor
A Guide to the National Incentive Show Exhibition - By : Catherine Gliddon

STOP Paying for Your Ads! FREE Pay Per Click!

$8,132.26 Per Month on Craigslist

CraigsList Blackhat System

Everything you need for your website and home business.
	Adsense Site Builder
	Adsense Analyzer Software
	Clip Art
	Domain Names
	Header Graphics
	Make Money Online
	Photo Art
	Resell Products & Free Stuff
	SEO Software
	Web Hosting $4.95/mo
	Website Templates
	Web Site Promotion Tools
AdvancedWebsiteTools.com

	Print This Article
	Add To Favorites
	Email to Friends
	Ezine Ready

Submit Articles
Member Login
Top Authors
Most Popular Articles
Submission Guidelines
Ezine Notifications
Article RSS Feeds

(Your 160x160 ad here)
Only $50 a month-click here

Link Exchange
Blog by WordPress
Privacy Policy
Terms of Service
About Us
Contact Us
Banner Advertisements

Have you Victimized by a Business or the Government? File your consumer complaints or business complaints at BusinessReporter.net!

Structured Settlement?
Free information to help you learn more about structured settlements, your rights, and how to select the best company for you.

Affordable Discount Dental Plans
Choose from over 30 top-quality national and regional discount dental plans. Save 10% to 60% on most dental procedures

Remove Bad Credit
Legally Erase Bad Credit and Improve Your Credit Rating
with Self Help Credit Repair
Do It Yourself Credit Repair

Classic Autos
Replica Kit Cars

Staffing Resources
Online Recruiting

Links

Electronic Bargins

Hair Loss Remedies

Steiff Bears, Antique Bears

Model Railroading | Model Trains

McCain Sucks

Free Diabetic Supplies

Antique Radios | Ham Radios