Quality Perception: A Comparison Between the Navy and the Commercial Environment

Abstract

ABSTRACTThis paper reports on an aspect of an empirical study of the Navy procurement process which identifies, ranks, and evaluates quality measures for their potential use by Navy contracting officers in making contract source selection decisions. The subject of quality perception is one of three major sections of the main study.As a first step in dealing with the perception of quality, it is important to establish an operational definition of quality. After reviewing the works of the principal authors in the study of quality, an approach suggested by David Garvin was selected. This approach breaks quality into characteristics or components and thus provides a framework to define quality and a basis to develop objective quality criteria.Since the Navy purchase environment is impacted by many factors outside the control of the individual contracting officer, part of the research effort explored how major characteristics of Navy procurement can influence the contracting officer's contract source selection decision.The study itself used two similar questionnaires testing seven hypotheses. The first was directed to the seventy‐seven designated Navy program managers. The second was sent to Navy contracting officers and commercial/industrial purchasing officials.Nonparametric and exploratory data analysis statistical tools were used to test several hypotheses related to quality. The results confirmed a difference in the approach to quality between the Navy and commercial environment and showed potential for practical application of an objective measurement system which was the major objective of the research.