MNO2602 PORTFOLIO 2026
DUE DATE : 28 May 2026
more information or assistance DM : 0810710492
MNO2602 Quality Management and Techniques Portfolio
May/June 2026
Question 1: Learning units 1 to 6 [42 marks]
1.1 Social environment of a globalising organisation (2 marks)
The social environment of a globalising organisation refers to cultural factors that
significantly impact business operations. This includes language differences,
business customs and practices, customer preferences that vary across cultures,
and communication patterns unique to different regions (Foster & Gardner, 2023).
For example, a company expanding from the United States to Spain must
, understand that Spanish business culture involves later working hours, which would
affect breakfast meeting scheduling. These cultural elements directly influence how
quality management systems are implemented and perceived across different
markets.
1.2 Difference between prevention, appraisal and failure (PAF) costs (3 marks)
The PAF paradigm categorises quality costs into three distinct areas:
Prevention costs are expenses associated with preventing defects before they
occur, including training, quality planning, and process engineering activities.
Appraisal costs relate to direct measurement and inspection activities, such as
laboratory testing, equipment calibration, and quality audits.
Failure costs are divided into internal failure costs (occurring during production, like
scrap and rework) and external failure costs (occurring after customer delivery, such
as warranty claims and field repairs). External failure costs are typically the most
expensive category (Foster & Gardner, 2023).
1.3 Forms of power in leadership (5 marks)
Leadership involves power sharing, and for followers to have power, leadership must
distribute authority. The various forms of power include:
Power of expertise exists when leaders possess special knowledge or are
perceived as having superior knowledge in specific areas.
Reward power occurs when leaders can bestow incentives, promotions,
recognition, or other benefits for desirable performance.
Coercive power involves the ability to punish or penalise followers for non-
compliance with rules or guidelines.
Referent power emerges when leaders are charismatic or well-liked, causing
people to follow them based on admiration or respect.
DUE DATE : 28 May 2026
more information or assistance DM : 0810710492
MNO2602 Quality Management and Techniques Portfolio
May/June 2026
Question 1: Learning units 1 to 6 [42 marks]
1.1 Social environment of a globalising organisation (2 marks)
The social environment of a globalising organisation refers to cultural factors that
significantly impact business operations. This includes language differences,
business customs and practices, customer preferences that vary across cultures,
and communication patterns unique to different regions (Foster & Gardner, 2023).
For example, a company expanding from the United States to Spain must
, understand that Spanish business culture involves later working hours, which would
affect breakfast meeting scheduling. These cultural elements directly influence how
quality management systems are implemented and perceived across different
markets.
1.2 Difference between prevention, appraisal and failure (PAF) costs (3 marks)
The PAF paradigm categorises quality costs into three distinct areas:
Prevention costs are expenses associated with preventing defects before they
occur, including training, quality planning, and process engineering activities.
Appraisal costs relate to direct measurement and inspection activities, such as
laboratory testing, equipment calibration, and quality audits.
Failure costs are divided into internal failure costs (occurring during production, like
scrap and rework) and external failure costs (occurring after customer delivery, such
as warranty claims and field repairs). External failure costs are typically the most
expensive category (Foster & Gardner, 2023).
1.3 Forms of power in leadership (5 marks)
Leadership involves power sharing, and for followers to have power, leadership must
distribute authority. The various forms of power include:
Power of expertise exists when leaders possess special knowledge or are
perceived as having superior knowledge in specific areas.
Reward power occurs when leaders can bestow incentives, promotions,
recognition, or other benefits for desirable performance.
Coercive power involves the ability to punish or penalise followers for non-
compliance with rules or guidelines.
Referent power emerges when leaders are charismatic or well-liked, causing
people to follow them based on admiration or respect.
