Review of current literatures
History of TQM
Mehra and Ranganathan (2008) reported that in 1979, Crosby gave 14 steps for quality improvement his work was supported by the work of another researcher, Ishikawa who stated that training, problem solving, and quality circles are very crucial ways of achieving continuous improvement. The researchers also spoke about the work of Deming with his contribution of giving 14principles that has become the foundation of TQM and acknowledged Juran for identifying the three basic functions of a quality management process which are planning, organization, and control. To Juran these functions of quality management process are different levels in any programs for quality improvement.
TQM and customer orientation
It has been observe that only those business organizations that pay attention to the need of their customers and make efforts to meet those needs become successful. Naturally, customers have their perceived expectations of quality of products or service they want from businesses they patronize and when they get satisfied they stay, else they leave for somewhere else. This is traceable to why customer satisfaction receives much attention and emphasis in the field of marketing. Researchers studied the profit of 472 restaurants and their results showed that data collected about customer satisfaction rate at a time has a direct impact on the profit margin of an organization nine months thereafter and concluded that quality as perceived by customer is what determines return on investment of any company( Mehra and Ranganathan 2008). It is therefore very important for organizations to focus on customer satisfaction so as to build a long lasting relationship with them. Customer satisfaction was not given much emphasis in the past but these days with intense competition in the global market, Organizations have come to realize its importance to as to maintain their stance in the market. Now, they know well that customer satisfaction will lead to customer retention and profits improvements. Scholars stated opined that the chances of customer leaving an organization due to poor products or services quality would definitely be reduced when customer satisfaction is achieved by a company ( Mehra and Ranganathan 2008). Agus et al. (2000) established that a successful implementation of TQM by a company will enhance its customer satisfaction and lead to financial performance. Goldman (2005), stated for an organization to remain competitive , it must identify its customers’ needs and find a way of building them into the products and services designs and development.
Some researchers share the believe that in order for a company to satisfy its customer, their needs must be identified and incorporated into the design and development of appropriate product or service ( Spring et al. 1998). Chan et al. (2001) report that quality function deployment is one appropriate TQM techniques that is a customer oriented approach and translates the voices of customers into the design features of products and services. This technique has three objectives which are to identify the customer, what he wants and find ways of fulfilling those wants. Researchers stresses that QFD methodology works by relating customer requirements with the design features (Govers 2001)
Researchers emphasize a company need of its customer loyalty, stressed that a company would retain its customers if only a higher level of service than those of its competitors is achieved (Alomaim, 2003). The measurement of quality is dependent on meeting the expectations and requirements of customer the first time and at every other time. The federal Quality Institute (FQI) states that “TQM is a comprehensive, customer-focused system that many organizations are adopting to improve the quality of their products and services” (Alomaim et al. 2003). Alomaim...