A project manager arranges for project specific training for the new team members. Under which category does this cost fall?

Question

Options

• AAppraisal
• BInternal failure
• CExternal failure
• DPrevention

• A
  3% (1)
• B
  7% (2)
• C
  17% (5)
• D
  72% (21)

Explanation

Training new team members falls under Prevention costs because it's a proactive investment made before work begins, specifically to avoid defects and quality problems from arising in the first place. Prevention costs include anything done to reduce the likelihood of poor quality - training, process documentation, and quality planning all fit here.

Why the distractors are wrong:

• A (Appraisal): Appraisal costs involve measuring or inspecting work to find defects - think audits, reviews, and testing. Training doesn't evaluate anything; it equips people to do quality work.
• B (Internal failure): Internal failure costs arise when defects are found and fixed before the customer sees them - rework, scrap, re-testing. No defect has occurred yet during training.
• C (External failure): External failure costs occur when defects reach the customer - warranty claims, returns, reputation damage. Again, training happens long before any product is delivered.

Memory tip: Use the phrase "Prevention = Before the work begins." If the activity is proactive and aimed at stopping problems before they occur (training, planning, process design), it's Prevention. If it's reactive (fixing or detecting something that already went wrong), it's one of the failure or appraisal categories.

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