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Total Quality Management (TQM) for Japanese Companies

and Their Implementation in Companies in Indonesia
การจัดการคุณภาพการบริการสาหรับบริษัทสัญชาติญี่ปุ่น และกระบวนการต่าง ๆ
ที่เกี่ยวข้องในประเทศอินโดนีเซีย

Tubagus Achmad Darojat * and Puji Isyanto **

Abstract
The forerunner of Total Quality Management (TQM) in Japanese
companies and their implementation in companies in Indonesia, using analysis of
critical factors that support and hinder the effectiveness of these
implementations. This research method uses descriptive analysis with survey
approaches, observation techniques and literature studies. Total Quality
Management that binds to Japanese companies is inseparable from Kaizen
culture, so that Japan applies the principle of customer satisfaction, Quality
Function Development (QFD), employee empowerment, continuous improvement
in its company. Continuous improvement in various fields, respect and teamwork
is the key to the success of Total Quality Management in Japanese companies.
Keywords: Total quality management / Kaizen / Continuous improvement

Background
Economic development in the world today is very rapid considering how
many new companies are starting to grow and develop not only in the country,
but also have flapped their wings into the international arena. From these
economic developments there is certainly economic competition in the world and
between companies to become the first company and get the attention of
consumers in the world. This inevitably requires workers who are in a company to
develop or develop their ideas to become a growing company. The work
demands most of the management in anticipating the development of the world
economy.

*
University of Technology Krungthep, Thailand
**
Universitas Buana Perjuangan Karawang, Indonesia
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Many world markets are attracted by companies in various parts of the

world who see the opportunity of the sector is very large and can change
consumer behavior in the products they offer and also become actors in the
world economy. It should also be noted about the quality of the products offered
to consumers. The company is an organization run by people who are in it to
achieve the goals of the company. In a company it is necessary to have an
appropriate management and be able to provide improvements as well as in a
management capable of directing the direction of the company's progress in its
economic activities.
To produce the best quality requires continuous improvement in the
capabilities of employees, processes and the environment. The best way to
improve these components continuously is to implement Total Quality
Management. To increase sales can occur if the company correctly implements
Total Quality Management in all aspects of the company's operations. It is needed
continuously on all parts to be implemented to complement the best
implementation of the company to get the quality of products and services as
needed, and this will affect the company's sales.
Horngren, et al (2000 : 8-9) states that the key to success that can
encourage companies to have competitiveness in competition is determined by
four factors, namely cost, quality, time, and innovation. The management
accounting system appears to maintain the performance of the company in
changing economic environments that bring a major tendency to consumer
orientation, the application of Total Quality Management (TQM), time as a
competitive element, advances in information technology, progress in the
production environment, service industry growth, and global competition (Hansen
and Mowen, 2000 : 248).
The emergence of Total Quality Management (TQM) has become one of
the main developments in management practices. TQM was introduced in the US
around 1980, especially in response to competitive challenges from Japanese
companies. TQM's recognition as a competitive advantage has expanded
throughout the world. Implementation of TQM within the company is very
important to support the achievement of quality standards and maintain
consistency in product quality and product service. Make these things to gain
customer growth, profit stability and accelerated business growth. In an effort to
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grow and maintain the company's image, full attention to quality will have a
positive impact on increasing the company's sales.
Japan is a country that proposes the TQM concept which is then accepted
and used in various parts of the world. The TQM concept has been widely
adopted by companies in various countries, including Indonesia. William Edwards
Deming is a name that has a very high reputation in Japan. Its contribution is very
significant in the progress of the Japanese economy. The industrial and business
world in Japan has succeeded globally, because of its teachings about total
quality control. The lessons taught by Deming are:
a. Creating constant goals in improving the quality of competitive
products, excelling in competition
b. Dare to change to take responsibility in leading and facing challenges
c. Reducing dependence on supervision by building high-quality
production systems
d. Minimize overall costs and build trusted relationships with suppliers
e. Creating an education system for employee self-development, job
training and leadership
f. Encourage supervision that helps people and machines work better
g. Eliminate worries and anxieties so that people work effectively
h. Eliminating barriers between departments so that all employees work
together with each other well.
This study seeks to describe the forerunner of Total Quality Management
(TQM) in Japanese companies and their implementation in companies in
Indonesia, by analyzing the critical factors that support and hinder the
effectiveness of these implementations.

Methods
This research method uses description analysis with a survey approach.
This research is a qualitative research that uses observation and literature study
techniques. Observation is a way of collecting data by direct observation and
systematic recording of the object to be studied. Observations were carried out by
researchers by observing and recording the implementation of HR management
practices in Japanese-based multinational companies in Jakarta and Bekasi,
especially those related to Total Quality Management (TQM). While the literature
study is any effort made by researchers to gather information that is relevant to
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the topic or problem that will or is being studied. That information can be
obtained from scientific books, research reports, scientific essays, theses and
dissertations, regulations, provisions, yearbooks, encyclopedias, and written
sources both printed and other electronics.
Literature study is an activity that cannot be separated from a study. The
theories underlying the problem and the fields to be studied can be found by
conducting library studies. In addition, a researcher can obtain information about
similar studies or those that have to do with his research. And studies that have
been done before. By conducting library studies, researchers can utilize all
information and thoughts that are relevant to their research. To conduct a library
study, the library is an appropriate place to obtain relevant materials and
information to be collected, read and studied, recorded and utilized (Roth, 1986).

Results
TQM Is an Implementation of Spiritual Guidelines for Japanese
Companies Based on the Teachings of Buddhism
Some authors argue that Japan uniquely adopted TQM because of the
influence of its cultural values and industrial history (Boje & Winsor, 1993; Ishikawa,
1985). To reinforce this argument, first of all, the role of Japanese spirituality in
Japanese culture will be explained. Despite radical changes in the country in the
last 200 years, Japan has maintained a respect for its religious foundation, so that
Buddhism, Confucianism and Shinto remain central to Japanese religious practice.
Most modern Japanese companies are usually two or even three of these beliefs,
and are more expressed in participation in ritual rather than philosophy / theology
and doctrine (Reader et al., 1993 : 33).
Original belief from Japan, Shinto, remains a belief for the Kingdom of
Japan. The main characteristic of Shinto is the animism belief in our spirit which
fills the world, which inhabits all life such as mountains, rocks, rivers, etc. (Reader,
et al., 1993 : 6). This belief dominates Shinto practices, leading to strong attention
to pollution and purification rituals (Reader, et al., 1993 : 34). Chinese philosophy,
known in the West as Confucianism into Japan in the sixth century and a
hierarchical understanding of social order is still the main influence on social
ethics and relations norms and daily behavior (Varley, 1974 : 39). Buddhism, also
dating to Japan in the sixth century, but did not become a popular religion until
the Kamakura Period (1185-1333), when it was later popularized as a religion
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leading to salvation. Japanese Buddhism places more emphasis on teaching

everything to gain enlightenment or Buddhism, not only the resources and
character to attend special rituals. Another reincarnation of Japanese Buddhism is
its emphasis on mercy as a savings for future life, through reincarnation or avoiding
suffering. The Buddhist version in Japan was called Zen, which became one of the
dominant forms of Buddhism in Japan (Reader, et al. 1993 : 35-37).
At the surface level, there is a very clear parallel relationship between
how Buddhist thought and TQM are presented. The core thinking of Buddhism is
contained in the four noble beliefs played through eight levels, where Deming
says it is "a deep system of knowledge", made of four components (Deming, 1994)
and a wider collection of actions known as fourteen points (Deming , 1986). The
general emphasis of the discipline is on four basic principles that are made
through a list of practices that present similar forms of teaching. However, the use
of this simple list is a method commonly used by teachers throughout history to
help remember. Of course, Deming was not the first to use the list, although
Deming's thoughts were greatly influenced by the Japanese approach in presenting
his ideas. For example, in his first few years in Japan Deming tried to find a
presentation method that made it easier for Japanese people to understand and
adopt a quality mindset, as he understood it. When this was done, Deming's 14
points were not presented in Japan but were purely developed for American
managers (Noguchi, 1995). Consequently, the formal resemblance of Deming's
quality presentation to the practice of teaching Buddhism appeals to many
people, but it is not surprising. Other similar surface similarities between Buddhism
and TQM include the recognition of the teacher or the Enlightenment (Buddha-
Deming / Juran), the sense that there are underlying laws, rules or teachings that
are followed (Dharma / Beliefs-Variations, etc.), and encourage a collective
response and cooperation (Sangha / Community - Quality Circles, etc.).
TQM shares the same base, characteristics that cannot be underestimated
by Buddhism. To begin with, TQM is an empirical management philosophy, which
encourages managers to focus on direct evidence rather than assumed knowledge
(Kujala & Lillrank, 2004). The point as a whole is consistent with Zen Buddhism,
which is expressed again in all forms of dogmatic (or intellectual) mediation
between experience and knowledge. Thus, the basic philosophical position of Zen
Buddhism and TQM has a basis similar to how one comes to know the naturalness
of something, and who doubts a dogmatic position. In Japanese culture, the
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imperfection of life, the view that nothing can satisfy is a basic assumption. This
was implied by the first nobel of the four Buddhist nobles - endless suffering. The
acceptance of this belief is not seen as nihilistic, but rather is seen as evidence to
fertilize someone. Other related activities are continuous improvement, which is
directly related to Zen Buddhism. Zen in Kaizen refers to the practice of good
things or benefits in an impersonal way, while kai refers to efforts to create
change. Thus, Kaizen talks about improvement, but it usually means the effort
being made to achieve impersonal benefits (Lincoln, 1989). In pursuing an
impersonal virtue, according to Zen emphasizes continuous hard work to achieve
enlightenment (Stupak, 1999: 428), but still remains consistent with the emphasis
of TQM. The main characteristics of Kaizen management include paying more
attention to the production process and not results, cross functional management
and using quality circles and other tools to support continuous improvement
(Cane, 1998: 27).
Kaizen is always in line with Total Quality Management (TQM). Even before
the Total Quality Management philosophy is implemented or before the quality
system can be implemented within a company, this philosophy will not be
implemented so that the continuous improvement (Just In Time) is an effort that
is inherent in the philosophy of Total Quality Managment itself.
The key to the superiority of Japanese companies is that they are very
superior in competition, one of its capabilities is eliminating waste and avoiding
various difficulties, while the US has difficulty in saving natural resources which is
very abundant compared to Japan so that the term "in-time" does not apply. for
American management but more likely to be just in case.
TQM Mindset on Japanese Companies
a. Quality No.1
Quality is a top priority, without quality there are no buyers. Without
buyers the company will not profit. Without profit the company will go bankrupt,
so quality must be the main concern
b. Management cycle (PDCA, SDCA)
Plan-Do-Check-Action is used as a means of improving product quality.
By rotating the PDCA cycle, there will be lots of Kaizen that can be produced.
When quality has been achieved at a certain level, a standardization system is
carried out to prevent setbacks with the Standard-Do-Check-Action cycle.
c. Management based on facts.
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Management must use facts or real data, not on the basis of mere
opinions or opinions.
d. Process management.
Quality is made in the process, there must be process management,
quality is not made by inspection, quality is made when the product is being
made. A good process will produce good goods and if a bad process will produce
bad items too.
e. Market in orientation.
Market-in considers quality at market demand. What the market wants
will be fulfilled, with a small number of products in a large number of product
variations.
f. Orientation on priority.
Recognizing that there are many major problems and problems that
focus on improvement. With priority oriented, all corrective actions will be more
useful and right on target.
g. Customer
Companies don't make customers disappointed, they don't want to
bother other people. By instilling the mindset that the next process is the
customer, then it will be very regretful if there are problems in the production
process. There are three main processes in production within the company,
namely the process before the process, the process during the process, the
process after the process is complete. With this stage, there will actually be many
double inspection processes between processes, so that quality can be
immediately known if there are problems.
h. Standardization
Standardization is used to prevent deterioration in the quality level.
Standardization is finally used as a new culture for company people so that
quality is truly maintained, even though the company used to cover themselves
up to more, the anxiety of the company's success will be copied by other
companies.
An important step in Total Quality Management Japan
1. Kaizen
Continuous Improvement Process. Companies always try to improve
the effectiveness, efficiency and productivity of their work. In accordance with the
meaning, the philosophy of Kaizen is to carry out continuous improvement or
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improvement. The realization in a company Every employee at all levels in his

organization can participate in Kaizen, starting from Top Management to the lower
level, this aims to develop the company in a better direction. The Kaizen format
can be in the form of individuals, suggestion systems, small groups, or large
groups. to subordinates or the term way of life company.
Some important points in the process of implementing Kaizen are:
a. The concepts of 3M (Young, Mura, and Muri) in Japanese terms. This
concept was formed to reduce fatigue, improve quality, shorten time and reduce
or efficiency costs. Young is interpreted as reducing waste, Mura is interpreted as
reducing differences and Muri is interpreted as reducing tension.
b. Move 5S (Seiri, Seiton, Seiso, Seiketsu and Shitsuke) or 5R. Seiri
means clearing the workplace. Seiton means storing regularly. Seiso means
keeping the workplace clean. Seiketsu means personal cleanliness. Seiketsu
means discipline, by always following the procedures at work. In Indonesia 5S is
translated into 5R, which is Concise, Neat, Resik, Rawat and Diligent
c. The PDCA concept in KAIZEN. Every business activity that we do
needs to be done with the right procedures to achieve the goals we expect. Then
PDCA (Plan, Do, Check and Action) must be done continuously.
d. The concept of 5W + 1H. One of the mindset tools for running the
PDCA wheel in KAIZEN activities is by asking questions with basic questions 5W +
1H (What, Who, Why, Where, When and How).
2. Atarimae Hinshitsu
Value function (so that everything works as it should). Every object that
is created has a certain function so as to give maximum usefulness. For example, a
motorcycle serves to deliver the rider from one place to another. If the engine
cannot be turned on, the motorcycle is not working.
3. Kansei
Observation of consumer behavior to improve product quality. In the
business world, companies observe how consumers behave in using their products
or services. Every consumer has a different tendency. But they always tend to
continue to use products or services that are effective and efficient than those
that don't.
4. Miryokuteki Hinshitsu
Beauty value (beside function value). Having a function is not enough
for a product to have more value. If it doesn't work, the product is useless or
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damaged. Function has become a standard. The motorcycle is actually enough to

be a means of transportation as long as he can move his engine and transport his
passengers.
Customer Satisfaction, Quality Function Development (QFD),
Employee Empowerment, Continuous Improvement in Japanese TQM
Companies
1. Customer Satisfaction
Customer satisfaction can be interpreted as the difference between
expectations and performance or perceived results. Customer satisfaction will be
created if the customer feels the output or work results are in line with
expectations, or even exceeds customer expectations. All internal management
efforts basically have a purpose, namely to satisfy customers. Customer
satisfaction is expected by the company because it will provide benefits, including
the establishment of a close relationship between the company and the customer
so as to provide opportunities for repurchase. With customer satisfaction, the
company's reputation is good and can shape public opinion that will make the
company bigger. Customers are those who can determine quality. To find out
whether the product selected by a company can be in accordance with the
quality expected by the customer, it is necessary to monitor and measure
customer satisfaction.
2. Quality Function Develoyment (QFD)
Quality Function Development (QFD) is a structured product planning
and development method, which enables the product development team to
clearly define consumer wants and needs and then systematically evaluate their
ability to produce products to satisfy consumers. The purpose of developing the
QFD concept is to ensure that the products that have been produced by the
company provide satisfaction for customers, by improving the level of quality and
maximum suitability at each stage of product development. Because basically a
product that has been produced perfectly does not mean it has given satisfaction
to the customer. The most important thing is whether the customer needs the
product according to his wishes. The benefits of the Quality Function
Develoyment include the following:
a. Focus on customers. QFD requires input and feedback from
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customers. Information in the form of input and feedback is specific customer

requirements. From this information the data is known how far the company has
met the needs of its competitors, as well as information about its competitors.
b. Time efficiency. Having identified QFD customer requirements can
reduce time in product development.
c. Oriented teamwork. Because decisions in the process are based on
consensus and through discussion, each individual understands his position in the
team. That can strengthen teamwork.
d. Documentation oriented. Documents regarding all data relating to
all processes and comparison of customer requirements are the results of the
QFD process. Documents can change every time there is new information.
3. Employee Empowerment
Labor issues that are often forgotten by management are employee
empowerment. Some business people are of the opinion that after obtaining
workers with adequate levels of education and skills, then conducting training and
providing decent wages / salaries will automatically obtain satisfactory results. It
turns out that such views are incorrect. Not always someone who is paid quite
high will be satisfied with his work. There are many factors that cause employees
to feel satisfied and happy to work for an organization. It is very important that
management know and adjust between the desires of employees and the goals of
the company. One of the desires of employees in an organization is to involve
and empower them at all levels of the organization in the problem solving
process.
a. Empowerment can be interpreted as employee involvement in a
process of decision making and problem solving. Empowerment does not only
provide input or feedback but is also involved in considering and following up on
the input. TQM itself is a concept of employee involvement and empowerment.
In contrast to participatory management where managers only ask for employee
assistance in the form of inputs that will be used in decision making and problem
solving, employee empowerment directs employees to help themselves, fellow
employees and the company. By empowering employees, employees feel valued
and needed not as robots or machines, but as humans who have the mind and
abilities to work well.
b. Industrial relations in Japanese companies tend to prioritize the
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existence of unions, and this is very welcomed enthusiastically by its employees.

The discussion between management and employees called Roushi Kyougi was
also carried out to express opinions, wisdom, and ties within the company. In
addition, there is also a collective bargaining (forum) that is conducted every year,
called Dantai Koushou, which can foster a sense of belonging, social relations, and
social order.
c. 1. Continuous improvement
d. One of the most fundamental elements of TQM is continuous
improvement, or in Japanese terms known as Kaizen. The main strategy for Kaizen
is to realize that management must strive to satisfy customers and meet customer
needs if they want to stay alive and make a profit. Improvements in the fields of
quality, cost, and scheduling (to meet the need for volume of goods and
production) are very important. The starting point for improvement is to be aware
of a problem. If you are not aware of a problem, you will not be aware of the
need for improvement. The feeling of being satisfied with what has been achieved
is a big enemy of this improvement.
e. The Japanese did not begin their revival with a sophisticated system
and did not want to achieve anything with shortcuts. They build wealth in a
simple way, such as with the 5S system, which is to maintain a stable condition
and maintain the habits needed to do a good job. The original Japanese values
which until now are still applied to Japanese MNC companies are 5S, namely Seiri,
Seiton, Seiso, Seiketsu, and Shitsuke, which will be explained as follows:
1. SEIRI
(Meaning: Organize / Organize; conversion in English: Sort or
Sorting)
The office environment in super-busy Japan is very vulnerable to
the buildup of documents, papers, and other working media. A serious problem
that can occur when documents accumulate is the amount of work, submissions,
or pending approvals. Over time, it will be difficult to separate documents that
require further action, and which are not needed and must be discarded. This
stack will prevent employees from working efficiently.
The basic principle of seiri is to ensure that such a stack does not
occur. It is very important to sort from the start, which ones are needed to be
saved and which are not. Japanese companies carry out SEIRI by giving a sign (can
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be a color label, container box, etc.) that will give instructions, what documents /
items should be stored and which ones should be disposed of.
2. SEITON
(Meaning: Neatness / neatness; conversion in English: Set in Order
or Simplify)
After all documents and objects have been sorted (which ones
are stored and which are discarded), then it is time to move to the seiton stage.
Whether we realize it or not, we waste a lot of productive hours in the office to
find or reach various different items needed for work. To avoid this, Japanese
companies ensure the goods and documents in their offices must be arranged in
such a way, based on the importance / frequency of their use. They put items
that are often used in a place close to the workstation so that it is easily
accessible, and items that are rarely used are placed in a further storage area.
In addition to placing goods based on the frequency of their use,
Japanese companies also ensure that the preparation of goods and documents
must be carried out in such a way that they are easily removed / taken; no extra
effort is needed to move / issue other items that are not needed and then return
them again. They really ensure the efficiency of time and energy. The ideal
position of storage is a place that is still between the eyes and hips of humans;
not too high or low.
3. SEISO
(Meaning: Cleaning / Cleaning; conversion in English: Shine or
Sweep)
In Japan, people have the principle that it will be more difficult
to return something to prime condition after a long time has been neglected,
compared to maintaining the condition of the goods remain excellent. Keeping
everything in their best condition will extend the time spent on these items and
can even facilitate other work. Japanese companies do seiso; ensure every object
is in its best condition wherever possible. They do this by combining cleaning and
maintenance routines.
4. SEIKETSU
(Meaning: Standardization; conversion of English: Standardize)
Without a structure, maybe not a lot of the results that have
been obtained from every initiative that has been done will be able to survive.
They realized that without the structure and process, the positive results that had
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been obtained would be eroded quickly, while a lot of confusion had occurred,
which would stall the 5S initiative. For this reason, they standardize and document
processes that will ensure the running of SEIRI, SEITON, and SEISO consistently
with the SOP.
5. SHITSUKE
(Meaning: Discipline; English language conversion: Self-discipline)
Starting positive initiatives can be an easy matter, but maintaining
consistency and results from these initiatives can be the most difficult aspect. To
achieve SHITSUKE, Japanese companies integrate 5S activities and structuring into
business processes to monitor compliance of each department and joint
organization of 5S.
Many Japanese companies use rewarding strategies, namely giving
awards to people who have played a role in the implementation of 5S as a daily
activity, in addition to doing their own activities and work. Organizations must find
ways to attract 5S integration to ensure the involvement of all stakeholders.
TQM Implementation in Companies in Indonesia
Critical Factors that Contribute to the Success of TQM in Indonesia Putri
and Yusof (2008) proposed important factors that contributed to the success of
quality engineering for the automotive industry in Malaysia and Indonesia, namely:
1. Management Responsibility
Strategic quality planning (clarity and orientation of vision / quality
policy), which means the solidarity of the senior management team that is
committed to providing customer satisfaction and communicating the vision in a
way that can mobilize all employees towards organizational goals. The initial
responsibility is to develop company quality policies, which integrate mission /
vision statements, strategic objectives and company policies.
2. Management of resources
Organizations must identify and provide all the resources needed to
achieve a quality plan. These resources, including personnel who are trained and
meet the qualifications, facilities, equipment, and work environment that meets
consumer needs. Putri and Yusof (2008) view resource management as one of the
important factors that will influence the successful implementation of quality
engineering (QE). This important factor is separated into three sub-factors, namely:
a. Resources related to technology and production (for example:
facilities and equipment);
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b. Resources related to capital / finance; and

c. Resources related to information and communication.
3. People Management
Engagement and empowerment refer to the commitment and
leadership of management itself, although it is very fundamental but not enough
for the success of QE. This requires employee involvement in all functions, and at
all levels. Employee involvement and participation is proven to work in many
organizations as a means to improve and achieve quality. When employees are
increasingly committed and involved in the realization of vision, values, and
quality goals, empowerment will become increasingly necessary. Employee
involvement specifically relates to how employees encourage and enable
themselves to increase work beyond their routine job responsibilities.
Teamwork is one of the important features of engagement, and without
this, difficulties will be found in obtaining employee commitment and
participation throughout the organization (Dale, 2003). Juran and Gyrna (1980)
provide examples of teamwork practices, called Quality Control Circle (QCC).
4. Quality in Design and Process
Management of processes / operating procedures is a sub-factor that
emphasizes added value to the process, increases the level of quality and
increases productivity per employee. Motwani (2001) argues that there are various
types of tactics that emphasize the achievement of these sub-factors such as
improving the work center method and installing a process that is controlled by
the operator resulting in lower unit costs, achieving continuous improvement,
reducing material handling costs , promoting design for manufacturing programs,
and achieving a short process flow.
5. Measurement, Analysis and Repair
The company must include strong acceptance and maintenance of
total quality measurements and benchmarking plans. Quality programs must
measure the percentage of deviant parts that are acceptable to prevent
recurrence of damage / errors. Measurement techniques must also be able to
monitor supplier quality levels by using statistical process control (SPC) processes
to reduce process variability and calculate quality costs (Motwani, 2001). According
to Yusof and Aspinwall (1999, 2000) in Putri & Yusof (2008), different
measurements are collected, for example the number of rejects, parts per million
and quality costs, for monitoring and improving the quality of performance. Most
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of the data is presented in the form of bar charts, line graphs, and pareto
diagrams. Various kinds of quality tools and techniques are used in different
processes. For example, failure mode and effect analysis (FMEA) and experimental
design are mainly used in design and development processes.
6. Supplier Management (Supplier)
Many researchers argue that companies must build a supply chain
partnership to motivate suppliers to provide the material needed to meet
customer expectations (Lau & Idris, 2001; Thiagarajan, et al. 2000) in Putri & Yusof
(2008). Moreover, having an effective supply chain management can contribute to
quality performance in many ways. Online supplier evaluation can help
organizations share information and improve mutual understanding. Long-term
partnerships / relationships with suppliers also help the parties involved to solve
problems with suppliers and also help the parties involved to solve quality
problems and invest in quality improvement efforts. Supplier partnerships are a
way to develop relationships with suppliers to ensure that they understand the
customer's specific needs and requirements. Motwani (2001) argues that supplier /
vendor partnerships should be based on quality programs and acceptable
progress documentation on continuous improvement in quality.
7. Focus on Customers
This factor looks at information that can be useful for increasing
customer satisfaction and how it performs compared to similar organizations. This
information can be used for further improvement to build an understanding of the
environment in which the company operates (Lau and Idris, 2001) in Putri & Yusof
(2008). Motwani (2001) argues that customer service should serve two main areas:
internal customer service and external customer assurance. The components of
the internal customer service plan include providing timely and reliable work
completion, presenting improvements or cost savings suggestions for management
and giving employees the authority to implement their own solutions, cross-
training employees for mastering jobs, and providing technical adequate training.
Factors Inhibiting the Effectiveness of TQM Implementation in
Indonesia
Amar & Zain (2001) conducted research on 364 selected manufacturing
companies from the Indonesian Manufacturing Industry Directory (BPS, 1999),
which according to its classification consisted of food, beverages and cigarettes;
textiles, clothing & leather; wood & wood products; paper, printing, and publishing;
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chemicals, lubricants, coal, rubber & plastic products; non-metallic mineral

products; steel; manufacturing steel products, machinery & equipment; and other
manufacturing industries. The data analysis revealed 11 factors that contributed to
eroding the efforts of TQM implementation in the company. The factors in
question are HR issues, attitudes toward quality, culture, relationships between
departments, materials, machinery and equipment, information relating to quality,
methods, training, and financing.
In Indonesia, the level of education, skills and understanding of quality
management and assimilation of a quality work culture are still low. Besides these
points, there are problems such as conformational procedures, low employee
morale, industrial action, high employee turnover and absenteeism, making the
implementation of TQM in Indonesia unable to run smoothly. Continuing from the
response above, there is a small debate as to why the quality of performance of
workers in Indonesia still lags behind Asian countries, especially Japan. Studies
conducted by Tamimi & Sebastianelli (1998) and Salegna & Fazel (2000) also place
the HR problem as the single contributing factor that determines the effectiveness
of TQM implementation in Indonesia.
Aanother important resource factor in the sample surveyed by Amar &
Zain (2001) is the poor engine conditions used in the production process.
Problems such as high downtime, obsolete and improper use of machines, and
coordination of the procurement of poor equipment parts make maintenance
programs which in turn affect the production process to be inefficient.
Management itself, found to be able to hinder the implementation of
TQM so that it leads to failure (Amar & Zain, 2001). This comes from the lack of
commitment of leaders to implement TQM, where in Indonesia the leader figure is
still made an important role model / example emulated by his subordinates.
Leaders are drivers of quality initiatives, so unstable leadership can lead to
undesirable results. Another thing is the attitude of employees towards quality
which is one of the biggest challenges, because it is very difficult to change the
employee mindset with regard to quality. They say that quality means an increase
in costs, so that it cannot be accepted as an integral part of work.

Conclusion
Japan is one of the developed countries in Asia with no death and
characteristic of Japan's nationalism itself, even though Japanese people make
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companies and run businesses and economies in other countries, but the values
of Japanese nationalism remain firm and remain in all the field they do. In terms
of the implementation of the economy and business, Japanese people put more
emphasis on human resources in companies and organizations they form and run.
Total Quality Management that binds to Japanese companies is inseparable from
Kaizen culture, so that Japan applies the principles of Customer Satisfaction,
Quality Function Development (QFD), Employee Empowerment, Continuous
Improvement in its company.
Product development carried out by Japanese companies is to meet
market segments with international standards and on the quality side of the
product. Failure to do so can result in large fines and poor press images that will
damage the company's reputation. Continuous improvement in various fields,
respect and teamwork is the key to the success of Total Quality Management in
Japanese companies. Japanese companies are identified as having long-term time
horizons.

Recommendation
Companies in Indonesia can learn from success stories and best practices
found in Japanese companies and companies in other countries that have
successfully adopted TQM. In addition, after knowing the important factors that
can support success and failure in the effectiveness of TQM implementation, it
will be useful if companies in Indonesia can maximize these supporting factors.
Conversely, continuous improvement must always be carried out to minimize the
obstacles that occur.

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