Quality management techniques

• Quality management utilizes techniques and tools to design and improve product quality.
• It drives accountability across business functions and requires collaboration among departments to meet quality standards.
• Quality management focuses on ensuring consistent quality in goods and services by improving the ways to achieve consistency.
• Quality performance measures the total output of each department against specified standards.
• It occurs when departments work together towards a unified quality standard.
• Quality is measured through product analysis, statistical process outputs, and user/buyer surveys.

Advantages of a Good Quality Management System

• Effective customer service results in greater customer satisfaction.
• It ensures efficient use of time and resources.
• Business goals and objectives are easier to achieve.
• Businesses can gain a competitive edge.

Contribution of Business Functions

General Management

• They develop, implement and monitor strategic plans.
• They ensure all departments and the business meet deadlines and targets.

Production

• They provide high-quality goods that meet set specifications.
• They accurately calculate production costs.

Purchasing

• Buying bulk raw materials ensures lower prices.
• Stock control systems are implemented and maintained.

Marketing

• They increase market share.
• Avoid unethical advertising practices when promoting goods.

Finance

• Capital is obtained from reliable sources.
• Analysis and interpretation of financial information is accurate.

Public Relations

• Should negative publicity occur, it is dealt with quickly.
• Sustainable Corporate Social Investment (CSI) programs are implemented.

Administration

• Reliable information is made available to management promptly.
• Documentation is orderly and safely stored.

Total Quality Management (TQM)

• TQM is an integrated system applied throughout an organization to deliver quality products/services.
• It continually improves products/services to meet customer needs.
• Management ensures employee accountability for the quality of their work.

Total Quality Management Elements

• Continuous process and system improvements.
• Satisfaction of the client and/or customer.
• Consistent education and/or skills development.

Impact of TQM on Large Businesses

Continuous Improvement

• Large businesses have the resources to monitor quality performance in each unit.
• Large-scale manufacturing can complicate quality control.

Customer Satisfaction

• Large businesses use market research/customer surveys to monitor customer satisfaction.
• Employees who do not interact with customers may not fully understand their needs.

Skills Development

• Large businesses have HR departments dedicated to skills training and development.
• Poor communication systems may hinder effective training.

Adequate Financing

• Finanacing for adequate testing before implementing is available.
• Demand can outpace capital, meaning orders come in faster than capital is available to fulfill them.

Monitoring

• Businesses can ensure products are of the required quality..
• Checking the quality of all products may not be viable.

Application of PDCA Model

• The PDCA model is part of continuous improvement to processes and systems.

Plan

• Problems are identified.
• A plan for improvement is developed.
• The method and approach are planned.

Do

• The change is implemented on a small scale.

Check/Analyse

• Data is used to analyze the results of change.
• Improvement is determined
• Effectiveness of processes checked
• Assess, plan and establish if it is working/if things are going according to plan

Act as needed

• The improvement is institutionalized.
• Strategies on how to continually improve are devised.
• Broader implementation occurs if successful.
• The process is continuously revised.
• NOTE:* The PDCA model is part of the TQM element of continuous improvement to processes and systems.

Role of Quality Circles in TQM

• Problems are solved and improvements are implemented.
• Problems investigated and solutions presented.
• Harmony is created and high performance in the workplace.
• Discuss how to improve the quality of work.

Impact of Poorly Implemented TQM

• Investors may withdraw, if a decline in profits occurs.
• Decreased sales if more goods are returned by customers.
• High staff turnover may occur due to lacking skills.
• Decline in productivity can occur because of stoppages.

Impact of TQM on Cost Reduction

• Scheduling activities eliminates task duplication.
• Improving communication about quality.
• Sharing responsibility for quality outputs amongst management and workers.
• Quality circles are introduced to find ways of improving the quality of work.