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Signal Detection Theory (SDT) has recently been used to evaluate the performance of imperfect inspectors. SDT model is based on a priori probabilities and perceived payoffs and penalties to study inspectors′ behaviour. In this article, Bayes′ theorem is used to compute posterior probabilities of the two types of inspection error. These posterior probabilities give rise to the definition of Receiver Analysis Curves (RAC), which depict the “after the facts” consequences of inspection error. A cost model is also developed that reflects the true benefits and costs of inspection accuracy to the organisation.

Most companies with incoming raw materials in bulk form receive test results from the vendor. The receiving department either does not test the material for acceptance at all, or duplicates the testing done by the vendor. A joint quality programme is presented between the vendor and the buyer that will reduce inspection costs and improve the quality and consistency. The vendor in this plan will practise process control and forward the results to the receiving department of the buyer. The buyer will exercise a multi‐level skip‐lot sampling plan to accept or reject incoming lots, based on the comparison of the vendor′s test data with its own test results. Detailed information for full implementation of this plan is provided.

A methodology demonstration using Quality Function Deployment (QFD) as a tool to explore some key elements of higher education. QFD is most commonly applied in industrial settings where products are manufactured. This research applies QFD to a service, specifically engineering education. The goal of this research is, therefore, twofold. While exploring the quality of engineering education in a university setting, a new application of QFD was tried and tested. Considering the university students as the primary customers, the results of a nominal group technique session, along with interviews of faculty members and administrators were used to define “the voice of the customer”. QFD procedures and forms were used to analyse and scrutinize the specific areas of advising and teaching within the university. Recommendations were devised which range from a comprehensive instructor‐training programme to self‐help and mentor programmes by student groups.

In a pursuit of excellence, it is increasingly important to identify customer values and demands. Service quality has been identified as one such demand. The purpose of this paper is to develop the model for service quality in higher education.

The proposed model is based on a current conceptualization of service quality, which suggests that service quality is a multidimensional and hierarchical construct.

In the proposed model, service quality consists of two primary dimensions which are defined by several corresponding sub‐dimensions: program quality: curriculum, industry interaction, input quality, academic facilities; and quality of life: non‐academic processes, support facilities, campus and interaction quality.

The paper has value for the institutes seeking to improve the quality of services they provide.