How to Improve Production-Quality Processes in Manufacturing

Think of the disappointment when you’ve bought something from a favorite brand, only for it to quickly break. Remember the last headlines you read about a food recall for listeria, salmonella, or other bacteria. Or consider the chaos caused if a supplier to all the major automakers halts deliveries due to a quality problem that makes its components unsafe.

Incidents like these can endanger lives, tarnish brand reputations, and cause public relations nightmares. In many cases, product defects can be traced back to issues in the manufacturing process, including factor such as flawed sourcing of raw materials, poorly monitored assembly lines, or rushed production schedules and lax quality checks. To help improve product safety—and to meet customer expectations and succeed long term—businesses must pay close attention to the quality controls in their manufacturing processes to support production of high-quality, long-lasting products for customers.

What Is Production Quality?

Production quality refers to how consistently and reliably a company creates its products to fulfill design specifications and meet business goals. Before producing goods, manufacturers typically develop a clear plan, outlining how items should look, feel, and function, for example, by creating standards for the measurements, color schemes, and durability of products. And they create a plan for delivering against those standards.

Product quality is influenced by a variety of factors, including the raw materials and equipment used, the production process applied, and the combination of staff and software enlisted to monitor manufacturing processes. A company with a strong production process is more likely to manufacture high-quality products that meet customer expectations, adhere to industry regulations, and perform well in the market. When production quality standards slip, however, errors can occur, and the consequences can be severe—from product recalls that cost millions to losing the trust of consumers.

Key Takeaways

• Many manufacturing firms are reporting an increase in product recalls over the past five years.
• When production is paused, manufacturers can lose dozens of hours per week to downtime.
• Common manufacturing problems include redundant activities that increase costs, bottlenecks where work piles up, and waste in materials, labor, and machine time.
• The top ways to improve product quality include implementing additional quality checks in the workflow and investing in technology to monitor each step of the manufacturing process.

Why Is Production Quality Important in Manufacturing?

Ultimately, customers who spend their hard-earned money on purchases of course want to receive acceptable goods, yet a growing number of companies are struggling to deliver the high-quality products customers expect. A 2024 survey by ETQ of 750 quality professionals and manufacturing firms found that 73% have had a product recall in the past five years, and 48% say they have experienced more recalls than they did five years ago. Many of the recalls cost companies millions of dollars to rectify, according to respondents.

Production quality directly affects a company’s reputation and relationships with customers. Selling any product that is less than stellar can hurt the company’s top and bottom lines, leading to layoffs and even threatening its existence. By following strict quality protocols, businesses can help protect their output—and their long-term viability—and thrive in a competitive market. Making quality a top priority can also improve efficiency in the manufacturing process, resulting in less waste, fewer mistakes, and reduced rework. Improving quality can also help ensure that products adhere to industry standards and regulatory requirements.

The Benefits of Improving Production-Quality Processes

Manufacturers that focus on quality at every step in the manufacturing process can improve their operations, reduce costs, and increase their output while maintaining high standards that not only please customers, but also build greater job satisfaction for employees creating the products. With a smoother workflow and fewer disruptions to production lines, workers can focus on innovations and other strategies for business efficiency and growth. Companies that are dedicated to improving production quality often see the following results.

• Fewer production halts:

  When manufacturing equipment wears down, product quality can suffer, and the resulting defects, contaminations, and other inconsistencies can bring production to a halt. Manufacturers say they lose up to 25 hours per week due to downtime, according to Quickbase’s State of Manufacturing 2025 report. In addition to machine breakdowns, several other factors can impact product quality, such as material shortages, supply chain delays, and human errors. To avoid stoppages, manufacturers should adopt a proactive approach to increasing uptime. Predictive maintenance technology can monitor the health of production equipment and alert staff to potential issues before they become full-blown breakdowns. By focusing on improving quality controls, companies can create a more stable and predictable production environment that prevents miscommunication and mistakes.

• Better resource optimization:

  Companies that spend time and money correcting recurring production problems and faulty products are doomed to a competitive disadvantage to better run companies. By proactively identifying areas where raw materials, labor, and technology can be used more effectively to improve production quality, companies can minimize product defects that waste resources. Spotting and correcting pain points in the manufacturing process can free up capital for investments that help improve product quality and efficiency. A company that manufactures automotive seat covers, for example, might be able to purchase higher-quality stitching and leather materials, as well as automated stitching machinery that reduces manual errors and minimizes having to replace defective covers, saving the business money in the long run.

• Improved profit margins:

  Improving the production process lessens the costs associated with defects and can drive more efficient operations. Of course, there’s no guarantee that steps to improve quality will boost profit margins, since such steps could also add costs. However, a streamlined, well-maintained production process can result in fewer wasted materials and thus reduced labor expenses. Plus, when a company consistently focuses on production excellence, it may be able to command higher prices for its products, particularly if the improvements translate into superior reliability and longevity. Indeed, nearly half of all consumers surveyed by EY in 2023 said they are willing to pay a premium for high-quality products.

• Fewer returns and recalls:

  The cost to correct just one recall ranged from $10 million to $50 million for more than one-third of the ETQ survey respondents. And, in 2023, retail merchandise returned in the United States totaled nearly $744 billion, according to Statista. Returns of defective products post-sale not only dent a company’s revenue and increase its costs due to increased handling but also damages its reputation over the long term. High returns and recalls can also bring higher customer attrition, which means a company must spend more on marketing to replace lost repeat business.

• Reduced risk:

  Improving production quality helps a company avoid a host of risks. With greater quality control, businesses can:

  • Catch issues early: By implementing quality-control measures and adopting a risk-based approach to quality management, businesses can identify and mitigate potential issues before they escalate into bigger problems.
  • Reduce costs: Enhanced production quality means fewer product defects and failures—and therefore, fewer costly returns and recalls. In addition, improving production quality helps companies reduce inefficiencies, delays, and wasted resources from equipment breakdowns, labor shortages, and other issues.
  • Help with regulatory compliance: When companies improve their production quality processes, they can more easily comply with regulatory requirements and meet industry standards. This helps shrink the risk of penalties and other legal liabilities.

• Improved brand reputation:

  Top-notch product quality is essential to building customer trust and satisfaction. Glowing reviews and word-of-mouth recommendations can amplify a brand’s credibility, attract new customers, and encourage repeat purchases. Protecting a brand’s reputation is especially critical when safety and consumer trust are paramount, such as in the automotive and pharmaceutical industries. In addition, when a company in any industry commits to excellence, it can build a reputation for integrity and dependability, leading customers to feel the company cares not only about profits but also about their well-being.

Tips for Improving Production Quality Processes in Manufacturing

Defective materials. Machine malfunctions. Insufficient inspections. All of these problems—and more—can taint the production process and contribute to the development of subpar products. Companies that take the following steps to improve their production quality can get a better handle on controlling the quality of their products and reduce the risk of costly complications.

1. Set Measurable Quality Standards

Without measurable standards, quality can become subjective, causing confusion and inconsistencies in production environments that create variability in outcomes. Setting and monitoring quality metrics provides clear, objective benchmarks for everyone in the production chain to follow and helps ensure that products are consistently crafted to predefined specifications. For example, a bicycle manufacturer could aim for a defect rate of less than 1% per batch, meaning that for every 100 bicycle frames produced, no more than one can have defective parts. Then they can work back from that goal to determine what process, equipment, or training changes are needed to achieve such a standard. Companies can also implement strict inspection protocols, making sure products meet the required standards at each stage of production before advancing to the next step.

2. Analyze Your Current Workflow for Redundancies, Waste, and Bottlenecks

As companies look to improve their manufacturing processes, they must first identify recurring problems that affect product quality. Consider these three strategies to analyze your current workflow:

• Statistical process control (SPC) tools help manufacturers monitor defect rates, cycle times, and other key performance indicators (KPIs) to recognize processes in need of improvement. For example, a food processing company could use a proportion control chart to track the number of canned goods with dents or damaged seals in a particular batch. If the proportion of cans with defects exceeds a predetermined limit, the business must adjust its processes to improve quality and reduce waste.
• Value stream mapping (VSM) allows companies to visualize the production process from start to finish, identifying areas where value is added and where waste occurs. A company that manufactures smartphone cases, for example, may discover from VSM that the painting department is backed up due to long drying times, spurring the business to purchase faster-drying paint or better drying equipment to tighten production schedules.
• Root cause analysis (RCA) digs deep to determine the underlying reasons for recurring problems. For example, a furniture manufacturer that discovers uneven staining and scratches on its wooden chairs would use RCA not just to investigate the finish process, but to determine whether the materials used were defective, the equipment involved was wearing out, or the staff was trained improperly.

3. Inspect Product Quality on a Regular Basis

If a company fails to conduct regular, thorough inspections, defects can creep in and even go undetected until products hit the market. Effective inspections can identify issues early in the production process, preventing costly corrections and reducing the need to toss out subpar products. Inspections also can spark companies to do root cause analysis of what caused those failures. Plus, catching issues before products reach customers prevents the likelihood of returns. A 2023 Federal Drug Administration report shows that after the agency increased drug-quality insurance inspections from 548 in 2022 to 776 in 2023, the number of drug products that were recalled dropped by 26%. Companies can use automated systems, such as vision inspection technology, to detect defects and measurement inaccuracies in real time. In addition, trained quality-control personnel can look for inconsistencies in color, shape, and size; test the flexibility of materials; and verify that a product is functioning correctly.

4. Review Your Suppliers and Manufacturers

Without question, the quality of a final product depends on the quality of the raw materials a company uses. 61% of quality leaders and project managers in the 2024 ETQ survey said that up to half of their product recalls resulted from supplier-related issues, including defective parts and supply chain disruptions. To lessen these problems, companies should take steps to find the right suppliers by assessing their financial stability, reputation, operational capacity, and compliance with industry regulations. This evaluation should include inspections of their facilities to identify potential red flags. After forming partnerships, companies should conduct regular audits of their suppliers, tracking delivery reliability, material defect rates, and adherence to the company’s specifications, among other factors. If a problem does arise, it’s essential to maintain open communication and enforce quality standards as needed to keep all parties accountable and drive mutual success.

5. Standardize Quality Controls and Error Reporting

Resource constraints may convince some companies they can’t take the time to standardize their quality controls and error reporting. However, if recurring issues go undetected and give rise to defects that cause higher rates of product recalls and returns, companies could end up wasting even more resources in the long run.

Creating a standardized process for quality controls and error reporting is imperative because it provides staff with guidelines for measuring, monitoring, and addressing production quality. Businesses should start by clearly defining their quality standards for all stages of production and establishing metrics for product dimensions, performance, and appearance. They can implement automated monitoring systems, including sensors and cameras, to assist with real-time quality checks. Error-tracking software can help by continuously retrieving quality-related data, and comprehensive staff training is indispensable to help employees understand what is considered acceptable quality. Companies should also encourage a culture of transparency, where all employees feel empowered to report errors or defects without fearing they will be blamed for a problem.

6. Add Quality Checks Into Your Workflow

Rather than relying on a single final inspection, the business should incorporate quality checks into the workflow by embedding both automated and manual checks into multiple stages of production. For instance, a camera company would implement quality-control checks at the material intake phase, using lab equipment and sensors to test metals and plastics for strength and durability. Suppliers would be asked to provide certification that verifies the quality of parts; any materials failing to meet predetermined standards would be rejected. During the assembly phase, the company might use automated vision systems and manual inspections at critical points, such as verifying that parts are fitting properly and functioning correctly. And the company would again conduct an inspection prior to packaging the cameras, scrutinizing the devices to be sure they are cosmetically in good shape and that they pass certain tests of their functions and battery life.

7. Make Sure Employees Know Standard Operating Procedures

Developing detailed standard operating procedures (SOPs) provides staff with the guidelines they need to execute every step in the manufacturing process correctly, with mistakes minimized and safety protocols followed. Companies can give employees a thorough understanding of the SOPs they must follow by implementing comprehensive training programs, including classroom-style instruction and hands-on practice.

Companies should also confirm that procedures are documented clearly and that SOPs are easily accessible to all employees at relevant workstations. Ongoing refresher training helps reinforce the rules and keeps employees updated on procedure changes. Companies should also conduct regular audits to check that employees are adhering to SOPs, and they should welcome feedback from workers to help improve guidelines.

8. Thoroughly Follow Up on Reported Defects

U.S. product recalls increased nearly 11% year over year in 2023, with a total of 3,301 recall events, marking a seven-year high, according to Sedgwick’s 2024 State of the Nation Recall Index report. Returns as well as recalls give companies precious data about product failures or shortcomings. Managers need a diligent approach to documenting and following up on reported defects and the corrective actions needed to avoid future failures. They need to monitor manufacturing KPIs that track standards, such as first-pass yield (the number of nondefective products built correctly the first time without requiring rework), rate of return (the percentage of products returned due to defects), supplier’s quality incoming (the number of quality raw materials received), and more.

9. Invest in Employee Upskilling and Cross-Training

When employees are cross-trained in multiple tasks, they can assist with various parts of the production process, helping reduce the risk that production quality suffers if, for example, workers need to fill in for absent employees. Plus, training is important for another reason: Manufacturers often grapple with high employee turnover rates. Attracting and retaining a quality workforce was a top challenge for about 60% of manufacturers surveyed by the National Association of Manufacturers in 2024. And high employee churn can sacrifice production quality. When a company invests in ongoing upskilling and cross-training, it sends the message that it supports employees in advancing their careers, which can go a long way toward encouraging employees to stick around. Internal training academies and online learning platforms can keep employees engaged and boost excitement about their roles. Sending employees to industry workshops and conferences also helps keep their product knowledge and skills up to date.

10. Leverage Software

Companies can use advanced software to streamline their production-quality processes and monitor performance in real time. For instance, manufacturing execution systems that track production processes allow manufacturers to follow each step of the production cycle, helping them to meet quality standards consistently. More broadly speaking, enterprise resource planning (ERP) systems integrate various aspects of business operations, including quality management, in one platform. ERPs provide a holistic view of production factors such as supply chain activities, inventory levels, and production and distribution timelines, helping companies identify inefficiencies and make better resource allocation decisions.

SPC software helps companies analyze data to detect subtle shifts in production quality in order to prevent costly rework. And maintenance management systems help monitor equipment maintenance schedules, reducing the chance that machine-related issues will lead to product defects. All told, these software solutions help companies closely monitor quality control measures at every stage of the production process.

Improve Production Standards With NetSuite for Manufacturing

Monitoring production quality is a complex undertaking that requires careful oversight of multiple manufacturing touchpoints. Manufacturers can reduce the need for tedious manual inspections, reduce the risk of product quality issues, and replace disconnected monitoring systems by employing NetSuite for Manufacturing. This integrated cloud solution helps manufacturers of all sizes manage everything from their supplier relationships and financial reporting to inventory levels and outstanding orders, all while helping them to reduce operating costs and manage quality. Business leaders can get real-time updates from the shop floor through NetSuite’s interactive tablet application, which records each step of the manufacturing process. The software also helps companies define and maintain their inspection plans, develop pass-fail criteria, collect inspection results, and immediately report any processes that aren’t conforming with predefined standards—supporting a smooth-running production schedule that culminates in product excellence.

NetSuite for Manufacturing

Continuously improving production quality is essential in manufacturing. By setting measurable quality standards, integrating quality checks, and investing in employee training, manufacturers can increase their ability to consistently deliver high-quality products that satisfy customers. Software tools can help automate production processes and allow for real-time monitoring of quality controls. Ultimately, companies find that when they commit to improving production quality, they are making a strong investment in the future of the business.

Production Quality FAQs

What are the four components of quality improvement?

Creating a comprehensive approach to improving product quality in manufacturing involves four components:

1. Quality planning: Companies need to set clear quality standards and develop goals, identify the necessary resources, and plan the steps needed to boost production quality.
2. Quality control: Quality control measures, including regular inspections, involve monitoring product quality throughout the manufacturing process.
3. Quality assurance: Businesses need to put systems and processes in place to make sure standardized procedures are implemented, audits are conducted, and performance is regularly reviewed.
4. Quality improvement: Enhancing the quality of products and processes requires ongoing efforts to analyze defects and inefficiencies, apply corrective measures, and reduce waste.

Why have customers grown to expect better-quality products?

Rapid advancements in technology have raised the standards of what can be efficiently produced and delivered, prompting today’s customers to expect better-quality products. Also, with the rise of global competition, customers have access to a wider variety of products than ever before, making them more discerning when purchasing goods.

Which key performance indicators (KPIs) measure product quality?

Some important KPIs that track product quality include:

• Defect rate: The number of defective units produced relative to the total number of units manufactured.
• First-pass yield: The percentage of products that are manufactured correctly the first time, without requiring rework or repair.
• Customer returns and complaints: The number of products returned by customers or complaints filed due to defects.
• Overall equipment effectiveness: The efficiency of production equipment in terms of its performance and the quality of its output.
• Cost of poor quality: The costs incurred due to defects. This may include expenses related to rework, warranty claims, and customer returns.
• Supplier quality index: The quality of materials and components sourced from suppliers.