Total quality management (TQM)

 

 

What is total quality management (TQM)?

Total quality management is an organizational culture, committed to the achievement of customer satisfaction through continuous improvement. The culture will be different in different industries and different countries. But there are common principles of TQM, which have been implemented in many organizations in order to create larger market share, and to increase income and reduce costs.

ISO 8402:1994 defines Total Quality Management (TQM) as a management approach for any organization which is centred on quality, based on the involvement of all its employees and aiming towards long-term success. This is achieved through customer satisfaction and benefits all members of the organization and society in general. In other words, TQM is a philosophy for managing an organization in a way which enables it to meet stakeholder needs and expectations efficiently and effectively, without compromising ethical values. TQM is a way of thinking about goals, processes and people to ensure that the right things are done right the first time. This thought process could change attitudes, behaviors and enhance results.

 

What TQM is not?

TQM is not a system, a tool or even a process. Systems, tools and processes are employed to support and enable the various principles of TQM.
TQM applies to the whole organization. Therefore, unlike an ISO 9000 initiative, which may be limited to the processes producing deliverable products, TQM applies to every activity within the organization.

 

Why should a company adopt TQM?

Adopting the TQM philosophy will make every organization more competitive; establish a new culture, which will enable growth and longevity; provide a working environment in which everyone can succeed; reduce stress, waste and friction; build teams, partnerships and cooperation.

 

TQM principles

 

• Customer focused organization – organizations depend on their customers and therefore should understand current and future customer needs, meet customer requirements, and strive to exceed customer expectations.
• Leadership - leaders establish unity of purpose, direction and organizational climate. They create the environment where people can become fully involved in the achievement of the organizations objectives.
• Involvement of people – people at all levels are the essence of an organization and their full involvement enables their abilities to be used for the organizations benefit.
• Process approach – desired results are achieved more effectively when related resources and activities are managed as a process.
• System approach to management – identifying, understanding, and managing a system of interrelated processes for a given objective contributes to the effectiveness and efficiency of the organization.
• Continuous improvement - a culture of continuous improvement is a permanent objective of an organization.
• Factual approach to decision making – effective decisions is based on the logical and intuitive data and analysis of factual information.
• Mutually beneficial supplier relationships – mutually beneficial relationships between the organization and its suppliers enhance the ability of both organizations to add value.

 

Pitfalls

It is important to keep in mind that TQM initiatives can be prone to failure. There are several pitfalls that prevent organizations from successful implementation of a TQM campaign.

 

Common pitfalls

 

• Allowing external forces and events to drive the TQM initiative.
• An overwhelming desire for quality awards and certificates.
• The TQM activities seen as something separate from day-to-day work responsibilities.
• Perceiving the TQM as an add-on with a little attention given to the required changes in the organization and its culture.
• Insufficient senior management commitment to the TQM initiative.

 

Total quality management is recognized and approved all over the world. Many international quality awards are based on the TQM approach. For example, the most prestigious quality awards like the Japan Deming Prize award, the USA Malcolm Baldrige National Quality award, and the European Quality award.