Delta Plastics

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Date Submitted: 02/05/2012 07:30 AM

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1. Discuss how an organization can benefit from a Total Quality Management program.

Total Quality Management is defined as integrated organizational effort designed to improve quality at every level (Reid & Sanders, pg.150, 2011). This approach is effective because it focuses on “meeting quality expectations defined by the customers” (Reid & Sanders, pg. 150). TQM is based on customer focus, continuous improvement, and employee empowerment, use of quality tools, product design, process management and managing supplier quality. When organizations base their entire business model philosophy on customer satisfaction they take the proper measures and precautions to ensure that all products and services meet exceptional standards. These measures prevent businesses from not only losing customers and profits, but also prevent business from losing their reputation and their ability to influence buying decisions.

“The reason quality has gained such prominence is that organizations have gained an understanding of the high cost of poor quality” (Reid & Sanders, pg. 152, 2011). When organizations implement TQM, they reduce their risks of losing customers, their reputation and profit. When a business has a bad reputation, it is usually based on the quality of the product or the service. This causes current customers to seek products and services elsewhere and could potentially cause a business to become bankrupt. TQM allows for business to reduce their chances of going out of business.

In addition, Total Quality Management allows for organizations to focus on constantly improving their practices, products, services and customer expectations. This allows for businesses following these procedures to gain a competitive advantage over businesses that become relaxed in their business model. A competitive advantage will enable these businesses to constantly earn new customer business but also maintain customer retention.

Employee empowerment is vital to the success...