Regardless of the crucial role of quality in business competitiveness and globalization, quality is typically assessed from the customer perspective, with limited emphasis on quality during production and its impact on achieving operational excellence.This research addresses the existing knowledge gap by examining Taguchi Tool which is known as: Quality loss function (QLF) in manufacturing companies, with the objective of attaining operational excellence and optimizing production efficiency levels.
The study investigated QLF within the Refrigerators Production Division at a leading Electronic Appliances Company in Egypt. This sector holds considerable significance for the Egyptian economy due to its capacity to absorb employment and its anticipated role in import substitution and export contribution.
The Taguchi Function was employed to validate the implementation of the QLF, focusing on elucidating and predicting the strength and direction of the correlation between quality and its parameters. This approach facilitates the quantification of design quality and the identification of its tolerances.
A random sample was utilized over a fifteen-days production period, with data reported and analyzed using appropriate charts that illustrate the distribution of actual values relative to target values. Additionally, calculations were made for the average, range, and standard deviation of the sample under consideration.
The findings indicate a significant positive relationship between deviations from the target quality level and the cost of quality loss. These results possess both practical and academic relevance.