The logic behind TQM is intuitively simple--if the entire organisation is dedicated to meeting customer expectations, to continuously looking for new ways of exceeding customer expectations, and to delivering products and services at a competitive price, then success is virtually guaranteed. TQM combines a set of management principles with a set of tools and techniques that enable employees to carry out these management principles in their daily work activities. Individually the TQM principles are not particularly complex. Implementing them, however, is a real challenge. The principles and tools that define TQM include customer focus, quality first and foremost, teamwork, continuous improvement, and standardisation. Within TQM, satisfying the customer is the key to success.
TQM has been coined to describe a philosophy that makes quality the driving force behind leadership, design, planning, and improvement initiatives. The Ritz-Carlton Hotel Company drive its business using quality principles. The primary objectives are improvement quality of all its products and services to reduce cycle time and improve price value and customer attention. It relies heavily on benchmarking studies both within and outside its industry, and it has developed a disciplined integrated planning system. It encourages employees and managers at all levels within its business and relies on trams given the specific task of setting objectives and devising action plans which are reviewed by the corporate steering committee.
In an organisation where all work begins with a focus on the customer, The Ritz-Carlton Hotel Company recognises that the very first step in a quality process involves placing people in roles they are most likely to be successful in.
Benchmarking is a powerful management tool because it overcomes "paradigm blindness—"The way we do it is the best because this is the way we've always done it." Benchmarking opens organisations to new methods, ideas and tools to improve their effectiveness. It helps crack through resistance to change by demonstrating other methods of solving problems than the one currently employed, and demonstrating that they work, because they are being used by others. Benchmarking offers a reliable and consistent way to measure the performance, productivity, and innovation, That will lead to the establishment of key measurements such as timeliness, quality and efficiency. Benchmarking helps team leaders to monitor, maintain and improve quality levels Benchmarking within The Ritz-Carlton Hotel Company increases the bar yearly as the hotel company wins numerous prestigious awards throughout the world, this including nineteen Five Diamond Hotel Awards and seven Five Diamond Restaurant Awards alone in 2008. The Ritz-Carlton is recognised for being the gold standard of hospitality and these awards are the evidence of the success due to TQM. Ritz-Carlton being a leader in benchmarking, have launched a leadership centre, training participants in knowledge and information that transcends all industries and all levels of leadership.
Through benchmarking The Ritz-Carlton Hotel Company established a ‘Talent Benchmark’ for each position within the company – from executive, manager, supervisor and first-line service positions, enabling the company to...