MOI UNIVERSITY

NAME: CAROLINE KATHULU

ADM NO: BBM/2068/18

COURSE: TOTAL QUALITY IN SUPPLY CHAIN MANAGEMENT

COURSE CODE: BBM 445

LECTURER: DR. TONNY LUKOSE

DATE OF SUBMISSION: 16TH JULY 2021

CAT

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QUESTION ONE
Quality management systems (QMS) is usually envisaged as a wedge that holds the gains
achieved along the quality journey and prevents good practices from slipping. Briefly
explain the benefits of having QMS in small scale business (6marks)

Benefits of having QMS in small scale business

 Quick Response to Issues - In a small business, a small issue can cause things to go very
wrong. A quality management system is built in such a way that you are looking for risks
even before they arise to fix and possibly prevent them in a timely manner. Keeping these
issues in order and making sure they don't occur again means your business will be more
productive and successful.
 Evidence of Progress - A quality management system comes with certain requirements
to keep up with how your business is performing. Once you have everything set in place,
it will be much easier to see where your business is excelling and where it might need
improvements. This clear evidence is a major perk to a quality management system, as it
helps you see what's working and what isn't so you can make changes.
 Constant Improvement - Keeping up with the times is essential for small businesses
that want to stay in the game. A quality management system is a perfect way to continue
to improve your business practices so that you see more and more success. An
environment of constant improvement keeps your business at its highest level.
 Everyone is Involved - With a small business, it's more likely that a majority of your
employees will be involved in the implementation process. Having everyone included
means that you have a set of agreed-upon ways of doing things that each and every
employee is aware of. A quality management system provides support in everyday
procedures and ensures your business is run smoothly and consistently.
 Clear Roles - Implementing a quality management system sets up a framework in which
every employee plays a part. With this sort of system, everyone has a role that is well
defined. Having such a structure in place helps to keep everything in line.
 As problems are recorded as a result of the system, the team has the ability to
collectively consider actions to correct and prevent recurrence. Should another
problem arise there is a processes in place that the team can use to identify and
resolve the problem more speedily.
 Through the improvement in business control and reporting you will have a clearer
view of how the business is doing and any aspects that should be looked at in more
detail.

 Certification enables you to tender potential new customers and increase business.
This is possible as the certificate gives them confidence in your business.
 Through the process of continuing to review and improve systems, the standard can
positively help your business to ensure a high level of customer satisfaction and
increase the effectiveness of your operations. This will in turn provide opportunities
for orders, increased profitability and stability in the business.

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QUESTION TWO

Examine the various types of benchmarking that today’s organization should undertake so
as to remain competitive (6marks)

Benchmarking is the process through which a company measures its products, services, and
practices against its toughest competitors, or those companies recognized as leaders in its
industry. Benchmarking is one of a manager's best tools for determining whether the company is
performing particular functions and activities efficiently, whether its costs are in line with those
of competitors, and whether its internal activities and business processes need improvement. The
idea behind benchmarking is to measure internal processes against an external standard.

Types of Benchmarking

Strategic benchmarking

Strategic benchmarking is typically external and specifically analyzes how other companies got
to be successful. Benchmarking the way you strategize can help you learn from what has worked
for winning businesses in and out of your industry. This is especially helpful for new businesses
or startups.

Practice benchmarking

This form of internal benchmarking relates to the practices and processes of your business. This
requires you to have procedures in place to gather and analyze business data, like how employees
and teams are completing their tasks or using certain technologies.

Process mapping is one way to start practice benchmarking, and you can quickly identify and
address any performance gaps in the company.

Internal benchmarking

Internal benchmarking is pretty straightforward. You compare a process or task to a similar

process or task within the company. This requires the ability to track metrics for these two
comparable systems or departments.

This type of benchmarking is effective because it helps set and meet standards across the board,
establishing consistency and ensuring that each department is as efficient as possible.

External benchmarking

External benchmarking is comparing an internal process to that of a competitor or even several

other organizations. This approach can be a little trickier because it requires access to industry

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data or specific company data, which may not be available unless the other organization has
agreed to share it with you.

External benchmarking is extremely valuable. This leads to better understanding of where your
business fits into the wider market and identify areas of weakness that you should be focusing
on.

Performance benchmarking

Another important form of benchmarking is related to business performance. By tracking metrics

within the business, teams can continue to compare past outcomes to current standards,
continuously updating the standard for improved performance.

This type of benchmarking is focused on improving key business functions over time, since the
idea is that benchmarks will continue to be raised and strengthened.

Competitive benchmarking

Competitive benchmarking is a type of external benchmarking that solely focuses on comparing

your own processes and metrics to those of direct competitors. This form of benchmarking is
significant because you can identify exactly why a competitor is succeeding or what drives
customer satisfaction in your industry.

QUESTION THREE

African countries view quality issues in organizations differently as compared to Japanese,

Americans and European nations. With Kenya as a case study, critically analyze the
milestone Kenya has made in quality management and discuss the challenges to successful
Total Quality Implementation in Kenyan firms today (8marks)

The milestone Kenya has made in quality management

Enabled customer focus

Kenya has enabled paying keen attention to improving customer satisfaction aiming at customer
retention, increasing customer loyalty, and at the same time increasing profits in the business,
company or organization.

Improving relationship management

Quality of products and services is supported by the relationships that organizations develop with
customers, partners, suppliers, and other parties. Kenya has helped in providing the feedback
needed to improve your processes and enhance your quality management system. Better
relations with our suppliers

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Improved Leadership

The role of leadership in quality management forms the backbone of any improvement strategy.
Kenya developed a good leadership in order to improve quality across the organization, as the
leading force that sets objectives and assists employees to implement these objectives.

Led to evidence-based Decision Making

Kenya used this principle to relate to the idea that effective decisions are based on the analysis of
data and information, rather than guess-work or instinct. It also proved that applying this
principle to quality management involves collecting data and information relevant to the
objective which can be used in an organization.

Challenges to successful Total Quality Implementation in Kenyan firms today

Lack of management commitment

In Kenya, poor management can affect the company's budget, employee turnover and overall
profits. Decrease in productivity and morale are signs employees may be struggling with the
leadership being given.

Lack of funding and resources

In Kenya, lack of funding and resources can cause legal problems, including the seizure and
closure of your business.

Poor and ineffective planning

In Kenya, lack of planning is certain to result in shortages or delays of necessary materials.

Without an analysis of how often resources need to be replenished, these necessities will not be
found where and when needed. A business cannot flourish if the management of its resources is
not being monitored and planned for.

Poor and ineffective leadership

In Kenya, employees can lose motivation when working under a poor leader, which translates to
low productivity. Poor leaders also do not fully maximize their staff members.

Lack of proper training

In Kenya, lack of training can lead to more frustration, wasted time, and unhappy employees.
Having employees who feel as though they are not developing and are becoming frustrated with
their work, often leads to those employees leaving an organization and affecting your employee
retention rates.

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REFERENCES

Greene, Charles B. Benchmarking the Information Technology Function. New York: The
Conference Board, 1993.

Mard, Michael J., et al. Driving Your Company's Value: Strategic Benchmarking for Value. New
Jersey: John Wiley, 2004.

McNair, C.J., and Kathleen H.J. Leibfried. Benchmarking: A Tool for Continuous Improvement.
Harper Business, 1992.

J.C Pinho. “TQM and performance in small medium enterprises: the mediating effect of
customer orientation and innovation”, International Journal of Quality and
ReliabilityManagement, 25(3):256-275, 2008.

C.A. Yauch, and H.J. Steudel, “Cellular manufacturing for small businesses: key cultural factors
that impact the conversion process”, Journal of Operations Management, 20(5):593-617, 2002.

H. Kaynak, “The relationship between total quality management practices and their effects on
firm performance”, Journal of Operations Management, 21(4):405-435, 2003.

Jamaa, S.A. (2010). The effectiveness of applying total quality management in Public Senior
High School Kasihan 1 Bantul, Yogyakarta Indonesia. Journal of Education, 3 (1), 25-35
Kaufman, R. (1992). The challenge of Total Quality Management in education. International
Journal of Education Reform, 1(2), 149-65.
Karani, S.R and Okibo, B.W. (2012). Effects of Total Quality Management implementation on
business performance in service institutions: A case of Kenya Wildlife Services. International
Journal of Research Studies in Management, 1 (1), 59-76.

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