Total Quality
Management (TQM)
SONALI KOYAL
MBA-IB (2019-21)
Various
Definitions
Source: cleartax.in total-quality-management
Characteristics
• Adopting and communicating about total quality management
• Closer customer relations and provider relations
• Committed management
• Benchmarking
• Increased training and Open organization
• Employee empowerment
• Flexible production
• Process improvements
• Process measuring
Source: smartsheet.com/total-quality-management
Concept of TQM
Improve Improve continuously
Produce Produce quality work the first time
Have Have a strategic approach to improvement
Encourage Encourage mutual respect and teamwork
Focus on Focus on customer
Key elements of TQM
FOCUS ON CUSTOMER EMPLOYEE CONTINUOUS
INVOLVEMENT IMPROVEMENT
Source: Isixsigma.com total-quality-management
Traditional
approach vs TQM
Source: Isixsigma.com total-quality-management
Key Principles
of TQM
Commitment from the management
Plan (drive, direct)
Do (deploy, support, and participate)
Check (review)
Act (recognize, communicate, revise)
Source: 5stoday.com/total-quality-management/
Total Quality Management Principles
Customer Employee Fact-Based
Satisfaction Commitment Decision Making
Strategic Effective Integrated
Thinking Communications System
Process Centered
Source: 5stoday.com/total-quality-management/
Total Quality Management Tools
1. Fishbone Diagram / Ishikawa Chart: Used to visualize cause
and effect and identify the root cause.
2. Check Sheet Template: Used to collect data in real time.
3. Control Chart: Used to check if the process is in a state of
control.
4. Histogram: Used to estimate probability distribution based on
values within a certain range.
5. Pareto Chart: Used to evaluate the defects that are frequently
occurring and assessing them by category.
6. Scatter Diagram: Used to represent two values in a set of data.
7. Stratification Diagram: Also called a flow diagram or a run
diagram, stratification diagrams are used to sample a group.
Benefits of
TQM
Why Is TQM Important to an
Organization?
Ensure • Ensure increased revenues and higher productivity
Reduce • Reduce waste and inventory
Improve • Improve design
Adapt • Adapt to changing markets and regulatory environments
Increase • Increase productivity
Enhance • Enhance market image
Example:
Companies as diverse as Ford Motor Company,
Toyota, Motorola, and the Xerox Corporation
use this methodology. With its focus on the
customer, it can create or deepen customer
loyalty to the organisation.
Source: cleartax.in total-quality-management
Conclusion
• A successful TQM implementation requires a
significant training for the employees involved
in it. Since the training program can take
employees away from their day-to-day work,
this eventually can have a negative short-term
impact. Also, since Total Quality Management
tends to result in a consistent series of
incremental changes, it can lead to creating an
unpleasant response from those employees who
prefer the existing system, or employees who
are afraid of losing their jobs because of it. Total
Quality Management works best in an
environment where there is strong support and
commitment from the management.