Company's survival in a changing business environment is depend on what kind of strategy will be used for facing this business competition society. For this, many companies continued to apply management techniques to improve the activities in this process has been running productivity-oriented activities to switch away from the quality has become a central activity. In other words, quality improvement activities (quality improvement activity) for the continuing businesses is an important strategic element. In this study, single-PPM (Single-PPM) the company's leading quality improvement activities will be used and browse to accommodate factors that affect a successful quality improvement activities, absolute requirement for companies to learn about the conditions to improve the quality of corporate tries to emphasize the importance of the activity.

The successful and sustainable growth of SMEs depends on their ability of strengthen their competitiveness in quality and cost and service more than anything else as a fundamental of operation. Among these key competitive factors of SMEs, quality is the most critical factor in manufacturing business fields. There are many different ways to improve the quality performance but it needs proper management decision to choose the best way what can maximize outputs with minimum inputs. And it needs effective measurement methods and some indicators to analysis the quality performance properly. The quality cost is one of the simplest key indicators to measure the quality performance and the effectiveness of quality related management decisions. In this study, through survey on local SMEs, we found that their average annual quality cost ratio versus turnover - total amount of annual quality cost divided by annual turnover - is around 3.69% excluded some SME's performances what have different quality control measures with others. And we found some results what corresponded with the early studies on the correlations between those categorized quality costs factors and some discrepancies between some of the literature model and the early case study results as follows. There were negative correlations between the Prevention costs and the External failure costs, and the Appraisal costs and the External failure costs, and there was positive correlation between the Appraisal costs and Internal failure costs same as early studies. But, we couldn't found any strong negative correlations between the Cost of control - Prevention costs & Appraisal costs - and the Cost of Failure of control - Internal & External failure costs -.

The purpose of this study is looking for the effects of innovation on business performance in Korean SMEs. We were able to obtain participations of 169 questionnaire, and derived statistics by means of SPSS/PC version 15.0 and AMOS. In this study we found that employee's quality mind and organizational supports for company innovation activities are significant to product innovation and process innovation. The reason is easy to adoption and participation in the innovation for all the members of the staff. As a statistical result, the research conduced that both product innovation and process innovation largely affects the business performances increase.