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Total Quality Management, TQM, is a method by which management and employees can
become involved in the continuous improvement of the production of goods and services. It
is a combination of quality and management tools aimed at increasing business and
reducing losses due to wasteful practices.
An organization should be basically healthy before beginning TQM. You must know where
you are before you can set the direction to go.
If an organization has:
A track record of effective responsiveness to the environment, and if it has been able
to successfully change the way it operates when needed, TQM will be easier to implement
Has significant problems such as a very unstable funding base, weak administrative
systems, lack of managerial skill, or poor employee morale, TQM would not be
appropriate.
Principles of TQM
The key principles of TQM are as following:
Management Commitment
Employee Empowerment
Continuous Improvement
Customer Focus
To be effective, the TQM philosophy must begin at the top. From the board of directors to
the hourly line employees, TQM must be supported at all levels if the firm is to realize any
real improvements in quality. In addition to commitment from the top, the organization
must meet these requirements if TQM is to succeed:
Top management must accept the responsibility for commitment to a quality policy that
deals with the organization for quality and the satisfaction of customer needs. This
commitment to quality and leadership must be demonstrated by developing and
communicating the vision organization-wide. As evident from the findings from the in-
depth interviews, in the prelaunch stage, commitment of top management is achieved
when the rewards of implementing TQM are realized. That is, the tangible business and
operating benefits of TQM must be realized by top management as a prerequisite for their
serious commitment.
Training
Suggestion scheme
Measurement and recognition
Excellence teams
Practical assistance, training, recognition and participation should be given to ensure that
all employees, in order to attain the quality goals of the organization, acquire the relevant
knowledge and experience. The issue of employee commitment and involvement as a
critical quality factor for successful
Supplier partnership
Service relationship with internal customers
Never compromise quality
Customer driven standards
Managing by a quality management system will enable the objectives set out in the quality
policy to be achieved. In this regard, the ISO 9000:2000 series set out methods by which a
system can be implemented to ensure that the specified customer requirements are met.
The quality management system should apply to, and interact with, processes in the
organization. Therefore, managing by customer-driven systems and processes requires
deploying the human and other resources along the processes to add values for customer
satisfaction. This approach of managing by customer-driven systems and processes is
associated with the concept of the internal customer–supplier relationship. Throughout all
organizations there are a series of internal suppliers and customers. These form the
quality chain, which is considered as the core of company-wide improvement (Oakland,
2000). The internal customer–supplier relationships must be managed to add value to
customer satisfaction, which makes measurement of capability vital.
Systematic measurement
Excellence teams
Cross-functional process management
Attain, maintain, improve standards
Continuous, or never-ending, improvement is a powerful concept related to the pursuit of
never- ending improvement in meeting external and internal customer needs. This
concept must be firmly tied to a continuous assessment of customer needs and depends
on a flow of ideas on how to make improvements, reduce variation and generate greater
customer satisfaction. It also requires a high level of commitment and a sense of personal
responsibility
In those operating the processes
Conclusion
TQM encourages participation amongst shop floor workers and managers. There is no
single theoretical formalization of total quality, but Deming, Juran and Ishikawa provide
the core assumptions, as a "...discipline and philosophy of management which
institutionalizes planned and continuous... improvement ... and assumes that quality is the
outcome of all activities that take place within an organization; that all functions and all
employees have to participate in the improvement process; that organizations need both
quality systems and a quality culture.
Top management
commitment and
Involvement I
P C
Employee L H
commitment and
E E
Involvement
M C
E K Customer
N L Satisfaction
Customer driven T I
system and processes
A S
T T
Continuous system O
improvement and
N
culture