MANUEL S.

ENVERGA UNIVERSITY FOUNDATION - LUCENA CITY, PHILIPPINES

Granted Autonomous Status
CHED CEB Res. 076-2009
COLLEGE OF BUSINESS AND ACCOUNTANCY
Bachelor of Science in Business Administration
Level IV Re-Accredited Status

ERIKA JOY L. AQUINO August 22, 2019

BSA-II Prof. Raisa Marizka R. Ver

Prelim Requirement #2 : Summarize Deming’s 14 points and explain Deming Chain

Reaction (20pts)
Covered Topic : 14 Universal Quality Points of Deming and Crosby
Learner’s Output : Concept Mapping and Descriptive Essay

Deming’s Chain Reaction

Prosperity is vital to every company. Being successful for an establishment

means there is a highly devoted and productive workers enabling the business owners
to achieve goals. Good management is also involved in an organization with employees
and staffs with their resources to accomplish particular tasks aiming to make a profit
and profit making a further profit. But how can it maintain a continual improvement on
workers that would also help other companies improve quality?

Dr. Deming introduced chain reaction that can affect an organization’s outlook
and improve manpower in that organization. Many companies were able to make their
businesses prosper while cutting its costs that would improve profits due to the effective
proposal that some companies used in, which is the chain reaction. Deming’s chain
reaction enables businesses to have rising of stock prices and rewarding employees
and workers at the same time by focusing on the improvement of the productivity and
product effectiveness while eliminating errors and delays. Those kind of positive
impacts were the effects that quality improvement of Deming’s chain reaction can
create. Improvements of productivity are the result of doing what are the best while
working the things effectively and efficiently, without spending so much costs from
reworking and wasting time that causes loss to a business. Enhanced productivity
entails lesser production costs and produce more economically. Reduction of costs
allow businesses to decrease prices having a good effect as an advantage in
competitive world. It able to increase sales hence gaining market shares and widening
the company’s presence in markets. Deming emphasizes that long-term survival and
sustainability with long term profitability presence in the market are the goals of every
organization.

Deming’s chain reaction was sometimes not applicable to the organization where
competition among companies is not their activity and aiming for profits are not their
goals. However, in the case where companies does not have competitors, the chain
reaction is somehow continue to work. Quality improvements that produce cost
reductions will always be addressed that automatically implies improving productivity. In
addition, if a specific company is the only one in the market, it can increase its market
shares. Even without competitions, reducing prices has its advantages by having an
accessible to the part of the market that will produce growth and long-term presence in
the market.

Application of Deming’s chain reaction allows company to improve quality which

results to staying in business ending up with more jobs and lower costs resulting to
 MANUEL S. ENVERGA UNIVERSITY FOUNDATION - LUCENA CITY, PHILIPPINES
Granted Autonomous Status
CHED CEB Res. 076-2009
COLLEGE OF BUSINESS AND ACCOUNTANCY
Bachelor of Science in Business Administration
Level IV Re-Accredited Status

higher profit; Reducing costs as the result of process improvement in effective

management.

ERIKA JOY L. AQUINO August 22, 2019

BSA-II Prof. Raisa Marizka R. Ver

Prelim Requirement #2 : Summarize Deming’s 14 points and explain Deming Chain

Reaction (20pts)
Covered Topic : 14 Universal Quality Points of Deming and Crosby
Learner’s Output : Concept Mapping and Descriptive Essay
 MANUEL S. ENVERGA UNIVERSITY FOUNDATION - LUCENA CITY, PHILIPPINES
Granted Autonomous Status
CHED CEB Res. 076-2009
COLLEGE OF BUSINESS AND ACCOUNTANCY
Bachelor of Science in Business Administration
Level IV Re-Accredited Status

ERIKA JOY L. AQUINO August 22, 2019

BSA-II Prof. Raisa Marizka R. Ver

Prelim Requirement #2 : Summarize Deming’s 14 points and explain Deming Chain

Reaction (20pts)
Covered Topic : 14 Universal Quality Points of Deming and Crosby
Learner’s Output : Concept Mapping and Descriptive Essay