Abstract
Purpose
The purpose of the paper is to demonstrate how computer simulation methods can be used to help management make quality‐related decisions on costs and expenditure that reduce failures and eliminate wastage and activities which do not add value to the business.
Design/methodology/approach
Rival quality costing models are reviewed and the benefits of simulating quality costs, considered.
Findings
Contrasting case studies are used to differentiate between macro‐ and micro‐ simulation approaches to quality costing.
Originality/value
The paper confirms the potential that quality cost simulation offers for achieving significant efficiency gains in quality planning applications.