Total Quality Management

Total Quality Management

Ruth Ellen Kuck

University of Phoenix

MGT/449 – Quality Management and Productivity

Instructor: Dr. Roy Pinder

February, 25, 2009

Total Quality Management

In today’s competitive business markets, organizational commitment to quality is essential for survival and achieving competitive advantage. Since the 1980s, more organizations have begun transforming from traditional management styles to total quality management systems as they strive to provide products and services that satisfy customer needs. This paper will define total quality management (TQM), the impact of globalization on TQM and a comparison and contrast of traditional management styles with the quality-focused management styles of today’s organization. The author will then explain how TQM applies to her organization.

According to Burrill and Ledolter, TQM can be defined as:

“Total Quality Management is a [holistic] business management method that aligns the activities of all employees in an organization with the common focus of customer satisfaction [to be achieved] through continuous improvement in the quality of all activities [processes], goods and services.” (Burrill and Ledolter, 1999)

TQM is a management strategy that focuses on a set of corporate disciplines that are coordinated throughout the organization by instilling quality control mechanisms to ensure the company consistently satisfies or exceeds in customer expectations. “TQM engages all divisions, departments and levels of the organization.” (Bacal, 2008) TQM organizations are continuously pursing ways to improve the quality of products and services they provide to customers. Companies who strive for TQM must invest in the cost of quality (COQ) in order to achieve quality ratings from customers. COQ consists of three categories; prevention, appraisal and failure costs. (Burrill and Ledolter, 1999)

The first COQ is preventive costs which is the financial...