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Sunday 24 July 2011

Organisations and Operations Management - Total Quality Management

TQM implies that all parts of an organisation should be looked at for quality; all staff and every operation/system to get things right.  TQM never stops and to introduce requires a full commitment, to avoid the bell effect (which is typically regarded as a management fad for TQM).

A “bell” curve showing a short increase in quality, then a return to the norm, an example of TQM being treated as a fad - Image courtes of www.economicshelp.org/
TQM suggest building quality in and not inspecting it out (sometimes referred to as Z D – Zero Defect), and looks at non-conformance i.e. why a product doesn’t meet the standard.  In the case of a pottery factory with 10% failure rate because of over loading of the kiln, the TQM approach would be to load the kiln appropriately to avoid the wastage of materials and the need to inspect the failure.  This would result in a higher yield, so less wastage in terms of materials and lower customer dissatisfaction from receiving faulty goods.  Although there are inherent costs in the process such as staff training/education, the costs for implementation of TQM and education of suppliers. 



  • Remember that culture effects behaviour
  • Behaviour affects quality, obviously more so in the service industry.
  • Quality ultimately effects business success, for example Sony has had huge business success with its televisions and hifi systems despite the relatively high price, mainly down to the quality of their products.

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