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Conditions for an effective implementation of Total Quality Management (TQM)

The Quality Concept


Everyone has had experiences of poor quality when dealing with business organizations. These experiences might involve,
An airline that has lost a passengers luggage A dry cleaner that has left clothes wrinkled or stained Poor course offerings and scheduling at your college A purchased product that is damaged or broken A pizza delivery service that is often late or delivers the wrong order

defining quality is not as easy as it may seem different people have different ideas of what constitutes high quality Most consumers have a difficult time defining quality, but they know it

when they see it. Thus the definition of quality depends on the role of the people defining it. For example, athletic shoes

Although you probably have an opinion as to which manufacturer of provides the highest quality, friends may have different opinions regarding which athletic shoes are of highest quality. 2 The difficulty in defining quality exists regardless of product, and this is true for both manufacturing and service organizations.

Think about how difficult it may be to define quality for products such as airline services, child day-care facilities, college classes.2

The consequences of giving bad quality product or services are, lost customers more opportunities for competitors to take advantage of the market need. The successful companies, understand the powerful impact of high quality product/Services to customers continually increasing their quality making quality a priority putting customer needs first (customer-defined quality )

Customer-defined quality, It means meeting and exceeding customer expectations by involving everyone in the organization through an integrated effort. 2

THE EVOLUTION OF TOTAL QUALITY MANAGEMENT (TQM)


The concept of quality has existed for many years, though its meaning has changed and evolved over time. In the early twentieth century in the manufacturing arena, quality management meant inspecting products to ensure that they met specifications. 2

In the 1940s, during World War II, quality became more statistical in nature. Statistical sampling techniques were used to evaluate quality, and quality control charts were used to monitor the production process. 2
In the 1960s, with the help of so-called quality gurus, the concept took on a broader meaning. Quality began to be viewed as something that encompassed the entire organization, not only the production process. 2 Since the 1970s, competition based on quality has grown in importance and has generated tremendous interest, concern, and enthusiasm. Companies in every line of business are focusing on improving quality in order to be more competitive. Companies that do not meet this standard simply will not survive. 2 Additionally, the concept of quality has more recently been applied to the services area and more specifically to the public sector. 4

Timeline showing the difference between old an new concepts of quality: The old concept is reactive, designed to correct quality problems after they occur. The new concept is proactive, designed to build quality into the product and process design.2 The term used for todays new concept of quality is total quality management or TQM.

TQM can be defined in different way. No consensus on what actually constitutes TQM

Total Quality Management is a comprehensive and structured approach to organizational management that achieves best quality of products and services through using effectively refinements in response to continuous feedback, and through using them effectively in order to deliver best value for the customer, while achieving long term objectives of the organization.

TQM attempts to embed quality in every aspect of the organization. It is concerned with technical aspects of quality the involvement of people in quality, such as customers, company employees, and suppliers.

Concept of the TQM philosophy: What characterizes TQM is the focus on identifying root causes of quality problems and correcting them at the source, as opposed to inspecting the product after it has been made.

Guideline for Total Quality Management: Total quality management, transcends the product quality approach, involves everyone in the organization, encompasses its every function: administration, communications, distribution, manufacturing, marketing, planning, training, etc. There are many guidelines of total quality management around to create the TQM diagrams. Though the different organization has the different total quality management criterion, In general guideline of total quality management should contain the following items:

TQM is a customer focused approach It is companywide strategy and involves everyone in the organization Aims at satisfying the customer or delighting them Provides best quality product and satisfy them in a cost effective manner Fundamental changes in basic beliefs and practices Prevention of defects is the way and the target is zero defects Total quality management is methodical Provides meaningful measures of performance that guide the self-improvement efforts of everyone involved

Total Quality Management Model: The simplest model of TQM is shown in this TQM diagram.

Customer Focus

TQM organizations have processes that continuously collect, analyze, and act on customer information

TQM organizations understand that all work is performed through people. This begins with leadership.

Total Participation

TQM Model
Process Improvement Planning management

Planning process

Orchestrate action throughout the organization to manage day to day activities and achieve future goals.

TQM organizations also understand that exceptional performance today may be unacceptable performance in the future so they use the concepts of process improvement to achieve both breakthrough gains and incremental continuous

TQM organizations use the techniques of process management to develop costcontrolled processes that are stable and capable of meeting customer expectations.

TQM Gurus:
There are different authors who influenced the TQM They made major difference between TQM and past managerial waves. The quality of gurus whether American or Japanese have been

advising industries throughout the world on how they should manage quality.1
Martin (1993) notes that all of the above mentioned TQM theorists

developed their quality management approaches while working in the manufacturing or production side of the business.

Quality Gurus Walter A, Shewhart

Main contribution
Contributed to understanding of variability Developed concept of statistical control chart Stressed managements responsibility for quality Developed 14 points to guide companies in quality improvement Defined quality as fitness for use Developed concept of cost quality Introduced concept of total quality control Coined raise quality is free Introduced the concept of zero effect Developed cause and effect diagram Identified concept of internal customer Focused on product design quality Developed Taguchi loss function

W. Edward Deming

Joseph M. Juran

Armand V. Faugenbaum

Philip B.Crosby

Karou Ishikawa

Genchi Taguchi

Although each theory is unique in the kind of processes and procedures reports, the common is the concept of continuous improvement central to TQM as a never-ending process through commitment and enthusiasm from the workforce at all levels.1 There is, however, a great deal of confusion about what TQM actually comprises, and each writers version reflects their management background. As Motwani (2001) argues, frameworks for attaining competitive advantages through quality management have been developed via, Crosbys 14 steps, Demings 14 prescriptive points, and Jurans trilogy. 1

Although each of these gurus identifies a set of key variables that they claim are essential to achieving superior quality outcomes, Table 1 lists the major TQM features prompted by some of the leading theorists of quality management.

Popular perspectives on TQM Demings 14 points 1. Consistency of purpose 2. Adopt the philosophy 3. Do not rely on mass inspection 4. Do not award business on price 5. Constant improvement 6. Training 7. Leadership 8. Drive out fear 9. Break down barriers 10. Eliminate slogans and exhortations 11. Eliminate quotas 12. Pride of workmanship 13. Education and retraining 14. Plan of action

The Juran TRILOGY I. Quality Planning -Set goals -Identify customers and their needs -Develop products and processes

II. Quality control -Evaluate performance -Compare to goals and Adapt


III. Quality improvement -Establish infrastructure -Identify projects and teams -Provide resources and Training -Establish controls

Crosbys 14 quality steps


1. Management commitment 2. Quality improvement teams 3. Quality measurement 4. Cost of quality evaluation 5. Quality awareness 6. Corrective action 7. Zero-defects committee 8. Supervisor training 9. Zero-defects day 10. Goal-setting 11. Error cause removal 12. Recognition 13. Quality councils 14. Do it over again

Conways 6 tools for quality improvement 1. Human relation skills 2. Statistical surveys 3. Simple statistical techniques 4. Statistical Process Control 5. Imagineering 6. Industrial engineering Oaklands 13 quality steps 1. Understanding of quality 2. Commitment to quality 3. Policy on quality 4. Organisation for quality 5. Measurement cost of quality 6. Planning for quality 7. Design for quality 8. System for quality 9. Control of quality 10. Teamwork for quality 11. Capability for quality 12. Training for quality 13. Implementation of quality

TQM in Service VS Manufacturing:


Based on the above-mentioned theorists, it is questionable whether TQM is applicable to service industries and government agencies. 4 Defining quality in manufacturing organizations is often different from that of services.2 According to Gronroos (1990), in contrast to the production of goods, Services are more or less intangible. Because of the intangibility of a service, it is often difficult for a customer to evaluate a service.4

Manufacturing organizations:

Manufacturing organizations produce a tangible product that can be seen, touched, and directly measured. Examples include cars, CD players, clothes, computers, and food items. Therefore, quality definitions in manufacturing usually focus on tangible product features.

The relative importance of these definitions is based on the preferences of each individual customer. It is easy to see how different customers can have different definitions in mind when they speak of high product quality.2

Service organizations:

In contrast to manufacturing, service organizations produce a product that is intangible.2


The complete product cannot be seen or touched. Rather, it is experienced. Examples include delivery of health care, experience of staying at a vacation resort, and learning at a university. The intangible nature of the product makes defining quality difficult.
Because a service is not a thing, but a series of activities or processes which, moreover, are produced and consumed simultaneously (this is also called the inseparability characteristic), it is difficult to manage quality control.

Dimension of quality for manufacturing versus service organizations:


conformance, the degree to which a product characteristic meets preset standards. performancesuch as acceleration of a vehicle; reliabilitythat the product will function as expected without failure; featuresthe extras that are included beyond the basic characteristics; durabilityexpected operational life of the product; serviceabilityhow readily a product can be repaired. 2

Factors of TQM
Leadership
Employee involvement and empowerment Communication

Managing supplier
Benchmarking Continuous improvement Customer satisfaction

leadership
Leadership is defined in the context of TQM as

providing and driving the vision In a TQM process leadership should develop a clear mission statement and build up a suitable strategies in order to support the mission Leadership requires a keen understanding of human nature Leadership must be well educated and committed for TQM implementation

leadership
Leaders must make sure that the objectives,

policies and improvement initiatives are aligned with the companys business goals.
And make sure that the employees are

individually trained in the use of tools and techniques.


(Shahin & Dabestani, 2011)

Employee involvement and empowerment


Employees are the strength of the organization

Teamwork Employee involvement optimize by the use of teams. Training Training also is essential in order to increase the abilities and skills of employees to use of new technology.
(Shahin & Dabestani, 2011)

Employee involvement and empowerment


Empowerment is an environment in which people have the ability , the confidence, and the commitment to take the responsibility and ownership to improve the process and initiate the necessary step to satisfy customer requirement in order to achieve organizational goals

conditions to create empowered environment


Everyone must understand the need for change

People fear change. The effective communication of why the organization needs to change is critical to success.in addition, people must understand the role they will play in the change process.
The organization must enable its employees

Enablement means providing information, education, and skill. To ask people to change work habits without providing them with the tools for change only increase to the change process
(Besterfield, Besterfield-Michna, Besterfield & Besterfield-Sacre, 2003)

Communication is defined as the exchange of ideas,

Communication

messages, or information by speech, signals, or writing. When communication is accurate, and timely, the organization tends to be vibrant and effective This involves seeking and listening carefully to the views of employees and acting upon their suggestion

(Shahin & Dabestani, 2011)

Benchmarking
Benchmarking is a systematic method by which organizations can measure themselves against the best industry practices.

(Besterfield, Besterfield-Michna, Besterfield & Besterfield-Sacre, 2003)

Most important asset of any organization is its

Measuring customers want and satisfaction


customer

The success of an organization depends on how

many customer it has


TQM is customer oriented and that the goal is to

satisfy the customer

Continuous improvement
Organizations must strive to achieve perfection by

continuous improvement Process improvement is a key aspect in TQM programs A reduction in process variation leads to benefits

(Besterfield, Besterfield-Michna, Besterfield & Besterfield-Sacre, 2003)

Cont.

Repair

Improvement strategies

Anything broken must be fixed-if a customer receives a damaged product, a quick fix is required. Refinement This strategy involves activities that continually improve the process that is not broken.-improvement to process , products, and services. Renovation Innovation and technological advancements are key factors-the process of drilling the hole was originally done by hand replace with electric drill. Reinvention Reinvention is the most demanding improvement strategy. It is proceeded by feeling that the current approach will not never satisfy customer requirement- the process of drilling holes with laser or water jets is a reinvention.
(Besterfield, Besterfield-Michna, Besterfield & Besterfield-Sacre, 2003)

Supplier partnership
One of the keys to obtaining high-quality

products and services is for the customer to work with suppliers in a partnering atmosphere to achieve the same quality
Because a close relationship between supplier and customer enhance the ability of both to create value, improve quality, Increase efficiency, lower cost, increase opportunity for innovation and continuous improvement of products and services.

(Shahin & Dabestani 2011)

Total Quality Management in Some Saudi Public Sector Organizations.

Cont
Since TQM promise to help organization to improve

quality and to respond effectively to the public demands through continuous changes, some Saudi public sector organizations with less certainty tried in different ways to adapt different TQM programs.

(Qahtani & Methheb, 1999)

Major problems that faced the application of TQM in Saudi Pubic sector:

lack of strong leadership incapability of managing quality process unempowered employees Less concern about customer satisfaction and quality results

added that some of the other problems facing the application of TQM in Saudi public organizations were, leadership frequent change different customers with different needs the long period of time needed for the application of TQM.

There are some differences between the organizations with regard to their degree of TQM factors. TQM factors that were used as evaluation tools were as follows: Leadership Employees Training and Recognition Customer Focus Empowerment and Teamwork

(Qahtani & Methheb, 1999)

Post, Telegraphs, and Telephones Ministry (PTT):

The Ministry of Health (MOH)


Saudi Arabian Petrochemicals Company (SAPC) Saudi Airlines (Saudia)

The Institute of Banking (IOB)

(Qahtani & Methheb, 1999)

Leadership: All organizations were committed to TQM application TQM awareness training programs Short seminars and medium training courses for leaders Moving toward new TQM concepts

Employees Training and Recognition: SAPC,IOB Comprehensive detailed Clear

(Qahtani & Methheb, 1999)

Customer Focus: Different mechanisms are used by the organizations to anticipate internal and external customers' needs. (IOB and SAPC) internal customers need and satisfaction (PTT, MOH) external customers need and satisfaction.

(Qahtani & Methheb, 1999)

Empowerment and Teamwork: frequently conduct an assessment of employees satisfaction. encourage services innovations. involve employees in quality initiatives and create a formalized improvement process.

(Qahtani & Methheb, 1999)

Results: all organizations seem to look for the improvement of processes However, appears that TQM application in the Saudi public sector dose not show a great success Are not using of benchmarking change of leadership organizations have tried to adopt TQM, each one in its own way, without any kind of education or coordination from an experienced organization locally. They could not, as a result, achieve any progress toward achieving TQM goals. most employees were driven without being convinced to participate in the TQM

Ihsan Yousaf Textile Ltd

Background of IYT:
Ihsan Yousaf Textile Ltd, located in Faisalabad, Pakistan.
It is one of the leading manufacturers of textile finished goods. Of the 225 employees working in company, 18 are management level. 10 people are employed in quality department which is about 4% of the total workforce Organizational structure is still very much triangular in shape, where chairman heads the company, assisted by General Manager.

The second layer of structure comprises of departmental manager including


Grey Fabric Department, CAD CAM Studio (Designing Studio), Laser Engraving/ Exposing, Bleaching Plant, Printing, Quality Control department, Finishing, Panel Printing, Jigger Dyeing, Continues Thermo-sole Dyeing, Calendaring, Raising Machines, Rolling Department, Stitching Department, Research & Development Department.

A series of awards, recognition and certifications are testimonies of this companys effort towards becoming a TQ company. They gained BS EN ISO 9001 certification in 1996, The certificate of Confidence In Textiles Tested for harmful substances according to Oeko-Tex Standard 100- Germany.

IYT s perception and practices towards TQM: Top management believes in customer satisfaction through a continuous improvement culture. Good management practices such as improving communication taking care of employees and customers team working having clear vision and mission statement regarding the business act as a key driver in continuous improvement. Several measures have been taken to ensure their customer satisfaction. The company has a customer relation manager who gathers information from customers and acts as central contact person. The company has conducted customer surveys, and has a formal customer complaints process to take immediate actions against customer queries

Numerous measures are collected for quality performance and improvement such as scrap percentage, number of rejection or misprinting per day. Having good management practices that promote human resource development (HRD) differentiates between a TQM and non-TQM company. Numerous practices to promote job satisfaction and continuous improvement have been practiced in the company. They include a system for job advancement, a reward system, provide education and training for employees. Some of the communication methods were established since implementation of TQM such as open door and monthly meetings.

TQM process implementation IYT:


The main reason for adopting a TQ as top management had realized that it was necessary for business survival, and demand of their customers.

Since IYT work with large businesses globally which want their suppliers to continuously improve quality, IYT fully understand that only continuous improvement will result in a higher quality of products and services, improved employees satisfaction which result in satisfying their customers.
The steps taken to implement TQM and continuous improvement were training and education of staff, team development, quality committee to assure the quality and developing business management systems.

In addition the company has an annual plan which sets out the agenda for improvement to achieve in upcoming year. ( workplace layout, and waste reduction up to 12 percent)

Outcomes from TQM practices at IYT :

The types of positive intangible outcomes ranged from employees who realized the importance of quality improvement, to feel pride in work quality improvement became the part of their organizational culture improved communication. improved teamwork (they feel that everyone was important, and everyone was acknowledged for his contribution) During the second visit to plant, a quality inspector was asked how he liked working in IYT, and he immediately replied that he was proud to be part of this company.

In response to whether a quality culture should be developed prior to TQM implementation or develop as TQM progresses, the quality department manager agreed with the authors that it was an outcome of the whole TQM process and not something to be changed. Through the development of proper system and measure that improve and promote quality as seen in the case of IYT, one would easily expect to see a productive change in the organizational culture. However, the company has achieved tangible outcomes such as improved product or service quality, an increase in number of employees in improved activities, increased sales, and improved both customer and employees satisfaction.

Problems and obstacles faced by IYT-TQM implementation :


Lack of human resources: This companys quality department with 10 employees has the overall responsibility for quality assurance, product testing, ISO 9001 and Confidence In Textiles Tested for harmful substances according to Oeko-Tex Standard 100- Germany. Compliance and dealing with customers feedback etc. Lack of involvement form non-production functions: Since companys core business is textile manufacturing, majority of improvement would come from manufacturing areas. Non-production areas such as marketing, purchasing, accounts and maintenance, comprised of small percentage of total employees and do not justify being involved in quality improvement activities. A company must understand that everyone in organization have to contribute directly or indirectly to achieve the quality of its product or service. (Goetsch & Davis,1994).

Success factors: 1) systematic approach 2) selective training 3) establishing a good communication system 4) having a continuous improvement system 5) human resource development 6) teamwork development 7) effective and simple implementation framework The process of TQM adoption being about continuous improvement and teamwork.

Conclusion:
The argument that have been presented showed that there are strengths and weakness associated with adoption of TQM in SME businesses, and there are also some problems in implementation with the SME manufacturing sector. Success stories of TQM in literature may not reflect the actual realities faced by SME businesses in adopting quality initiatives. The review and the case study revealed there are two major problems generally faced by most SMEs businesses on track of TQM. The first is financial and the second is general resource constraints such as time, manpower, technical and managerial expertise

SME businesses must be presented with TQM approach which is attractive to them in as sense it must not promise to improve or change the everything, or to solve every problem but help them to be better in short span of time with long term sustainability.

References
Al-Qahtani, S. S., & Al-Methheb, M. M. (1999).

Implementation of Total Quality Management in Some Saudi Public Sector Organizations. JKA: Econ & Adm,13(2), 23-38. Shahin, A., & Dabestani, R. (2011). A feasibility study of the implementation of total quality management based on soft factor. Journal of Industrial Engineering and Management, 4(2), 258-280. Besterfield, D.H., Besterfield-Michna, C. , Besterfield, G. , & Besterfield-Sacre, M. . (2003). Total Quality Management (2nd ed.): Prentice Hall. Kasongo, C., & Moono, M. (2010). Factors that lead to a successful TQM Implementation: a Case Study on the Zambian Tourism Industry.