Definition of TQM and Quality Cost

Total Quality Management (TQM) is a

method by which management and

employees can become involved in the
continuous improvement of the production of
increasing business and reducing losses due
to wasteful practices.
Quality cost is to quantify the total cost of
quality related to efforts and deficiencies.
Moreover, quality cost focus on the cost of
the quality of conformance.

ISO 9001-2008
Specifies
requirement for a
quality
management
system where and
organization needs
to demonstrate its
ability to
consistency
provide product
that meets
customer and
applicable
statutory and

Objective of
TQM

Firm will always do

the right things at
the right time
Increase
production and
reduce cost

Quality service

Features of TQM and Quality Cost

Features of TQM
organization-wide

customer-driven

empowerment

has a process
perspective

supported by
quality
continuous
management
improvement
system
Features of Quality Cost
Internal
failure
cost

Externa
l failure
cost

Apprais
al cost

Prevent
ion cost

Advantage and Disadvantage of TQM

lower costs
ADVANTAGE

improved
reputation
enhance
employees
teamwork

TQM

resistance to
change
DISADVANTAGE

higher cost of
times
discourage
creativity

Step

Through senior
implementing
managementTQM
consultancy

Feedback

Documentation

Establishment of
quality council
Carry out
organization wide
training session

Establishment of
quality circle