After an internal deliverable review session with the team, the project manager identifies some issues that need to be fixed before submitting the deliverable for formal approval. The project…

The correct answer is A. Appraisal costs. Appraisal costs are a subcategory of the Cost of Conformance and represent the costs incurred to evaluate, inspect, test, audit, or review work products to ensure they meet quality requirements before delivery or formal approval. The internal deliverable review session…

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Question

After an internal deliverable review session with the team, the project manager identifies some issues that need to be fixed before submitting the deliverable for formal approval. The project manager will need to manage the additional costs and time for the required rework. How would the project manager define these extra costs?

Options

AAppraisal costs
BManagement reserves
CCost of nonconformance
DCost of conformance

How the community answered

(53 responses)

A
83% (44)
B
2% (1)
C
9% (5)
D
6% (3)

Explanation

Appraisal costs are a subcategory of the Cost of Conformance and represent the costs incurred to evaluate, inspect, test, audit, or review work products to ensure they meet quality requirements before delivery or formal approval. The internal deliverable review session - including the time and effort spent identifying defects and managing the process before formal submission - falls under appraisal. These are proactive quality evaluation activities. Cost of Nonconformance (Option C) refers to internal/external failure costs such as scrap or warranty claims. Management reserves (Option B) are budget contingencies for unknown unknowns. Cost of Conformance (Option D) is the broader category that includes both prevention and appraisal costs, but appraisal is the specific subcategory applicable here.

Topics

#Quality Management#Cost of Quality#Appraisal Costs#Rework

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