Effect of Total Quality Management on the Performance of Manufacturing Industry.
CHAPTER ONE
OBJECTIVES OF THE STUDY
The following are the objective of the study. Generally the study examines the relationship between total quality management and organizational performance.
- Specifically its examine the relationship between total quality management and organization transformation
- It examined the relationship between total quality management and customer satisfaction.
CHAPTER TWO
REVIEW OF LITERATURE
CONCEPTUAL FRAMEWORK
Total quality management is the culture of an organization committed to customer satisfaction through continuous improvement. This culture varies both from one country to another and between different industry, but as certain essential principles which can be implemented to secure greater market share, increased profit and reduced cost {Kanji & Wallace 2000}.
Management awareness of the importance of total quality management, alongside business process reengineering and other continuous improvement technique was stimulated by the bench marking moment to seek, implement and improve on best practices Zaira & Youssef, {1995}.
Conceptual Framework for QM in Strategic Alliances
Strategic Intent (Direction). Not all firms can be considered as potential candidates for partnership and strategic alliances. Among factors considered for the evaluation of an appropriate partner, common strategic direction is one that needs to be taken into account. If firms entering to an alliance share common strategic (intent) direction, such a direction helps them to have better understanding of their mutual goals and expectations (Ellram, 1990). Lo and Yeong (2004) pointed out that having a common strategic direction is a requirement for effective supplier integration in strategic alliances. Gulati et al. (1994) pointed out that most strategic alliances were neither strictly competitive nor strictly cooperative; rather they involved mixed motives where the partners had both private and common interests. Zollo et al. (2002) pointed out the importance of firm-level characteristics (culture, strategic orientation) on alliance performance.
Organizational Culture. Smith et al. (1995) argued that similarities in the partners’ values contributed to the level of cooperation. Since values shape the culture of an organization, it is evident that cultural closeness among firms facilitates communication between individuals, which is based upon achieving mutual understanding and trust. Organizational culture has been defined as one of the firm level variables in studying alliance performance (Zollo et al., 2002).
CHAPTER THREE
RESEARCH METHODOLOGY
INTRODUCTION
Research methodology shall be adopted in this project, this is because the impact of total quality management on organizational profitability which is the main concept in the project cannot be qualified nor captured by a single research method.
RESEARCH DESIGN
The success and failure of this research depends on the degree of facts gather during the data collection period.
As a result, a survey research technique was adopted for the purpose of this research work.
CHAPTER FOUR
DATA ANALYSIS AND INTERPRETATION OF RESULT
INTRODUCTION
This chapter presents the description of the result of data collection and discussion of findings. According to the questionnaire administered the table below gives a clear picture of the view of respondents.
CHAPTER FIVESUMMARY OF FINDINGS, CONCLUSIONS AND RECOMMENDATION
SUMMARY
Total quality management {TQM} is defined as “managing the entire organization so that it excels in all dimensions of products and services that are important to the customer”. As the definition states, this philosophy concentrated on quality as a primary component of the organization’s drive for competitive advantage. Marketing decision-making is directly affected by such a system because quality is a component of product/service design and can be an important decision making criterion employed by potential buyers.
The organization that views all its employees as critical, creative resource will be much better able to pursue quality in every activity and through every decision. Some of the key tenets of TQM are:
- Every employee has creative skill and talent that can be beneficial to the organization and employee should be empowered with decision-making responsibility and authority.
- An organization must engage in parallel and simultaneous decision making rather than hierarchical decision-making. Functions like marketing and production must work together and simultaneously to create solutions rather than waiting for another and engaging in reactive decision-making.
- An organization must replace a control mentality and structure with one that nurtures creativity and cross-functional participation in decision-making.
- Speed and quality are the essential dimensions of competitive advantage and should constitute the overriding objectives of the organization.
CONCLUSION
Recent research on total quality management has examined the relationship between the total quality management and organizational performance. Many researchers have examined the link between total quality management {TQM} and financial performance.
Strategic management in any organization is a crucial factor in efficient and effective leadership for successful functioning of any organization. The study finding conclude that effective management leads to improved performance, there is need to put more emphasis on all TQM principle to ensure more organizational performance, tools in approach need to be fully employed in implementation of TQM. There is also need to focus more on already established factors like management response to customer complaints, service delivery to customers and organization communication and balancing the needs and expectation of interested parties which have an impact on customer satisfaction. Most employees maintain that the organization should understand the current and future need of customers; they also agree that business performance and customer satisfaction are enhanced by quality management practices. The study findings also infer that use of process approach in defining the activities necessary to achieved desired results, evaluating risks, consequences and impacts of activities on customers, suppliers and other stockholders and analyzing and measuring of the capabilities of key activities can also have a major impact on organization business performance.
RECOMMENDATIONS
The study recommends that emphasis should be put on the incorporation of all the principles of TQM for successful implementation of TQM and for the success of the organization. The role of leadership, employee participation, customer focus, supplier quality management, continual improvement and organizational culture are apparent for the success of the firm in terms of market share, productivity, profitability and overall business performance. Implementing TQM does pay off since the benefits accrued include: improved quality, employee satisfaction, productivity, employee participation, team work, communication, profitability and market share. Flexibility of the organization will determine the success or failure of implementing TQM. Resistance to change, lack of commitment, cascading the program to the bottom of the pyramid are some of the challenges faced in TQM implementation.
REFERENCE
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