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Although there are many quality measurement theories and models, all are imperfect; that is, each has its own advantages and disadvantages. Particularly, some models cannot indicate accurate improvement priorities. The purpose of this study is to develop an integrated performance model that improves service quality and acquires accurate improvement priorities that promote customer satisfaction and eliminate resource wastage.

This study applied a performance matrix and quality loss function (QLF) theory to determine priority items needing improvement. A questionnaire was designed to determine the priority of improvement objectives derived from certain questionnaire items that do not fall into the appropriate performance zone (APZ) of the performance matrix. Finally, the QLF was adopted to rank the improvement objectives in terms of priority. A large QLF area indicates customer satisfaction needs improvement.

This study utilized an employee satisfaction survey to demonstrate this matrix, and found that it reflects the improvement priorities of different items and avoids the shortcomings of other models. In this case study, 11 items must be improved; furthermore, five items with the greatest QLF areas became the priority items for improvement.

This performance matrix also considers the items of surplus resource investment, which can be included in improvements, thereby avoiding resource wastage.

Facing keen worldwide competition, it is not enough for companies to pursue customer satisfaction; they must actively pursue customer delight. This paper seeks to design a work‐in‐process (WIP) exception handling system (WIPEHS) not simply measuring on‐time delivery performance for managers to take necessary improvement activities. It helps managers detect abnormal WIP levels in advance, trigger rectifying actions and finally notify pertinent people to coordinate roots causes and preventive means.

The structure of WIPEHS is proposed and then constructed with a soft package, Vigilance. A typical semiconductor factory is built and production data are simulated to evaluate the effectiveness of WIPEHS.

Collecting and analyzing results from the simulated typical semiconductor factory, the paper finds that the proposed system can effectively improve on‐time delivery performance; and that durations from a WIP exception detected a WIP exception back to normal and durations between two successive WIP exceptions significantly.

It helps factories outperform due dates, achieving significantly higher performance than prior performance without the production exception handling system, which should greatly please customers.

The proposed WIPEHS provide a total solution for undesirable production variations potentially harmful to due‐date performance. It anticipates WIP exception, notifies pertinent recipients, tracks the progress of exception resolution, and provides a forum for discussion of the root causes.

This paper establishes an objective‐orientation driven supplier customer satisfaction performance rating system. The purpose is to provide a methodology for “integrating supplier and manufacturer capabilities and applying different strategies for quality improvement”. This study was undertaken to specify the interaction and mutual movement among three groups in the supply chain “Supplier‐Manufacturer‐Customer” and integrate the results from four factors: incoming inspection, line reject performance, supplier service quality and product reliability. These factors are transformed into measurable, quantitative, Just‐in‐time (JIT) parameters, utilized in planning and establishing a supplier performance rating system focused on satisfying both internal and external customers.