A hybrid quality costs model was applied in an upstream telecommunications supply chain and their quality cost checklists were developed to collect data from every department. Such collected data are both directly and indirectly related to the production of the particular product at a telecommunications manufacturing company. The bulk of analysis enabled to validate whether the quality costs model reflected the industry`s present situation. Both non production and production quality costs were then investigated to understand how they were distributed from the point of view of the overall organization, department and specific processes. A variety of quality cost factors were identified and classified according to the prevention, evaluation and failure. Some areas that need improving were also determined from this, and suggestions and discussion were given on how they could be improved.