Investigating the Relationship between Quality Costs and Quality in Pegah Khuzestan Dairy Industry

This research aims to study the relationship between the components of quality costs and quality in company. The relationship between the components of quality costs and quality in company has been studied separately for materials, manpower, machinery, and whole of company. In this study, traditional method was used to collect quality costs and PAF model was used to determine the components of quality costs. Research hypotheses were examined based on a statistical sample for a production company with ISO for a three-year period from 2011 to 2013 using correlation coefficient model. Results obtained from the study shows that there is a significant diverse relationship between sum of prevention and appraisal costs, and material failure, human resources and overall costs. But there is not a significant inverse relationship for machinery costs. As well, there exists a direct and significant relationship between sum of prevention and appraisal costs, and the quality level of manufactured product, and an inverse and significant relationship between failure costs and the quality level of manufactured product.