Journal of Korean Society of Industrial and Systems Engineering (산업경영시스템학회지)

Society of Korea Industrial and System Engineering (한국산업경영시스템학회)
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Mobile Device NDF(No Defect Found) Cost Estimation

모바일 디바이스의 원인불명고장에 관한 비용 추정

  • Lee, Jewang (School of Management Consulting, Hanyang University) ;
  • Lee, Jungwoo (Financial Research Institute, Nonghyup Financial Group) ;
  • Han, Chang Hee (School of Business Administration, Hanyang University)
  • 이제왕 (한양대학교 일반대학원 경영컨설팅학과) ;
  • 이정우 (NH농협금융지주 NH금융연구소) ;
  • 한창희 (한양대학교 경상대학 경영학부)
  • Received : 2021.05.25
  • Accepted : 2021.06.21
  • Published : 2021.06.30
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Abstract

NDF (No Defect Found) is a phenomenon in which defects have been found in the manufacturing, operation and use of a product or facility, but phenomenon of defects is not reproduced in the subsequent investigation system or the cause of the defects cannot be identified. Recently, with the development of the fourth industrial revolution, convergence of hardware and software technologies in various fields is spreading to products such as aircraft, home appliances, and mobile devices, and the number of parts is increasing due to functional convergence. The application of such convergence technologies and the increase in the number of parts are major factors that lead to an increase in NDF phenomena. NDF phenomena have a significant negative impact on cost, reliability, and reliability for both manufacturers, service providers and operators. On the other hand, due to the nature of NDF phenomena such as difficult and intermittent cause identification and ambiguity in judgment, it is common to underestimate the cost of NDF or fail to take appropriate countermeasures in corporate management. Therefore, in this paper, we propose a methodology for estimating NDF costs by the PAF model which is a quality cost analysis model and ABC (Activity Based Costing) technique. The methodology of this study suggests a detailed procedure and the concept to accurately estimate the NDF costs, using ABC analysis, accounting system information, and IT system data. In addition case studies have validated the methodology. We think this could be a valid methodology to refer to when estimating the cost of other parts. And, it is meaningful to provide important judgment information in the decision-making process based on quality management and ultimately reduce NDF costs by visualizing them separately by major variable factors.

Keywords

Acknowledgement

This work was supported by the Ministry of Education of the Republic of Korea and the National Research Foundation of Korea (NRF-2019S1A5C2A04083153).

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