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What is an example of TQM in business?

Published in Business 2 mins read

Total Quality Management (TQM) is a management philosophy that aims to improve the quality of products, services, and processes throughout an organization. It involves a continuous effort to meet and exceed customer expectations.

Here's an example of TQM in action:

Example: A Manufacturing Company

Imagine a manufacturing company that produces widgets. They decide to implement TQM principles to improve their operations. Here's how they might approach it:

  • Customer Focus: They conduct surveys and focus groups to understand customer needs and preferences. They find that customers value durability and reliability in their widgets.
  • Process Improvement: They analyze their manufacturing processes to identify areas for improvement. They implement Lean Manufacturing techniques to streamline production and reduce waste.
  • Employee Empowerment: They encourage employees to contribute ideas for improvement. They provide training and resources to help them develop their skills.
  • Continuous Improvement: They establish a culture of continuous improvement by regularly reviewing processes, collecting data, and making adjustments based on feedback.

As a result of implementing TQM, the company sees significant improvements in their widget production. They produce higher-quality widgets at a lower cost, which leads to increased customer satisfaction and profitability.

Benefits of TQM:

  • Increased customer satisfaction
  • Improved product and service quality
  • Reduced costs
  • Increased employee morale and productivity
  • Enhanced competitive advantage

Key takeaways:

  • TQM is a comprehensive approach to improving quality that involves all aspects of an organization.
  • It requires a commitment from leadership and the active participation of all employees.
  • The benefits of TQM can be significant, but it takes time and effort to implement successfully.

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