In operational management, quality refers to the regulation, control, and improvement of the quality of production processes, services, and management systems used to ensure that the products and services produced meet the quality levels desired by customers. The aim is to improve the efficiency, effectiveness, and performance of production and service processes. There are three different approaches of quality in management:
User-based quality which refers to the perception of quality from the end user or customer perspective. It is a subjective measure of how well a product or service meets the customer's needs and expectations.
Manufacturing-based quality which refers to the evaluation of products during the manufacturing process to ensure that they meet specified specifications. This approach addresses compliance with specifications and focuses on the production process itself.
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Product-based quality which refers to objective characteristics of a product that can be measured and evaluated based on specific specifications. This approach focuses on the product itself and its ability to meet its intended requirements and specifications. Product-based quality dimensions include performance, features, reliability, durability, conformance, aesthetics, serviceability, and perceived quality.
Total Quality Management (TQM) is a management approach that focuses on continuous improvement in all aspects of an organization. It involves the integration of quality into all business processes, from product design to customer service. TQM is based on the belief that quality is the responsibility of all parties involved in the manufacturing process, and thus ensuring consistency and quality necessitates input and buy-in from all. There are seven principles of TQM:
Customer Focus which means customer input must be valued by the employees and the company because this will serve as a purpose for better understanding of what the customer needs.Â
Leadership Involvement which requires change that start from the top to bottom management. Top managers should start by setting the vision, fostering a culture of quality, providing resources, encouraging continuous improvement, and supporting employees throughout the TQM process.Â
Continuous Improvement by never being content with the current situation and seeking more opportunities for the growth of a company. The continuation of quality improvement will helps a company adapt to changing markets and achieve competitive advantages.
Employee Empowerment means giving employees the responsibility, authority, training, and adequate resources to complete their tasks and manage the quality.
Quality Assurance from the company regarding their actions to ensure that their products, services, and processes meet the quality requirement of their customers.
Supplier Partnership plays a huge role in the implementation of TQM. If members of the supply chain partner do not share the same commitment to TQM, the company product's quality will suffer because suppliers' materials and services ultimately become part of the products.
Strategic Quality Plan provides the vision, guidance, and measurement to drive the quality effort forward and shift the organization's course when necessary. Which is why a well developed strategy is needed and adjustments need be made when required.
The implementation of TQM in business starts with the understanding of manager and employees regarding the company's clear vision, mission, and values. Subsequently, the company needs to identify critical success factors (CSF) of its business such as financial performance, customer satisfaction, process improvement, market share, employee satisfaction, and product quality.
After the establishment of CSF, the company will delve into what customers expect from the company and how to exceed these expectations. The company should prepare a team specialized in improvement for feedback from both customers and employees. The feedback allows companies to find what's missing from their management and strategy, thus they can find more suitable solutions and strategies for the management.
When the solutions and strategies have been implemented, the company needs to ensure all the management process is standardized and continuously improve the strategy when it's needed. Since TQM heavily depends on the employees, the company needs to recognize and reward the employees for their contribution in carrying out the TQM strategy.
