This research paper will provide an overview of EQMS’s value and then drill down into how the Cost of Quality can be used to build an EQMS business case. Particular attention will be paid to helping companies with stalled EQMS projects build hard cost savings into business cases.
Enterprise Quality Management Software (EQMS) delivers significant benefits to quality, risk, and compliance. Unfortunately, many quality leaders are challenged in building a business case that effectively quantifies the benefits of these investments for colleagues outside of quality.
This challenge often stems from the approach being taken to communicate the investment’s return. Many leaders are building business cases based on soft savings EQMS delivers—i.e. process efficiency gains from automation. While this approach works for some companies, it can also fall short. For companies with stalled projects, there are more significant hard savings that can be realized from transitioning to a proactive quality management model and reducing failure costs, which can push those projects over the hump.