International Business Research
Vol. 4, No. 4; October 2011
TQM Implementation in Textile Manufacturing Industry to Success: Review and Case Study Salman Khalid (Corresponding Author) School of Management Studies The University of Faisalabad, Faisalabad-37610, Pakistan Tel: 92-300-865-3949 E-mail: email@example.com
Muhammad Zohaib Irshad Department of Business Administration The Government College University Faisalabad, Faisalabad, Pakistan Babak Mahmood Assistant Professor, Department of Sociology University of Sargodha, Sargodha, Pakistan Received: July 2, 2011 Accepted: July 16, 2011 doi:10.5539/ibr.v4n4p242
Abstract This exploratory study has provided an insight into implementation of TQM in Pakistani textile manufacturing industry and factors that were considered to be critical to adoption of TQM. The cross sectional results show that TQM is largely implemented in manufacturing/operating function and little in other functional areas. TQM is a philosophy mainly adopted by large organizations. Whereas, SME businesses are still lagging behind larger one’s when it comes to introducing and adopting new managerial philosophy and advanced technology. Many SMEs have stopped at quality system certification, rather than pursing further continuous improvement efforts by adopting TQM. SMEs must understand the need to go beyond the quality system stage and work towards TQM for quality. Keywords: TQM, Manufacturing, Implementation, Small and Medium enterprises (SME) Introduction Total quality management (TQM) has been a popular business strategy in many leading manufacturing organizations over the past few years (Sohal & Terzivski, 2000). There are some manufacturing firms that have been successes, and some have been failed with TQM implementation. A large number of companies that have implemented TQM are large multinationals companies (MNCs) such as Hawlett-Packard (HP), International Business Machines (IBM), and Nokia. The practical use of quality methods in SME’s are today still limited (Garvare & Wiklund, 1997). The reasons are several but especially local networking between SME’s and long term training in quality methods have been identified as critical factors for successful implementation (Sandvik, 1997). In this era of global competition a company needs to apply new quality techniques in form of strategic management, quality assurance, quality systems, quality control etc. In other words organization has to implement the concept of TQM. This concept provides the approach to realize the manufacturing strategy leading to fulfillment of organization’s corporate strategy (Sharma & Kodali, 2008). The principles of TQM philosophy would increase a firm’s commitment to quality and once they are applied correctly enhances the firm’s competitiveness position in market, because the TQM principles support the business practices e.g. cost reduction, enhanced productivity, improved product quality and output. The majority of successful manufacturing companies have adopted TQM techniques and acknowledged its intangible contribution. However, the importance of TQM practices as an effective pillar of corporate strategy for achieving manufacturing excellence cannot be denied. The concept of manufacturing excellence is regarded as the path to become the best manufacturer. Many researchers, while developing their frameworks have considered TQM as key element for achieving manufacturing excellence (Yusof & Aspinwall, 2000). The purpose of this study is to look at the various TQM implementation issues particularly in SMEs. The background section reviews the concept of SME and TQM in detail and some quality initiatives undertaken by SMEs. A wide range of literature is available on quality assurance and implementation of BS EN ISO 9000, while few studies focused on the application of the concept of total quality (Yusof & Aspinwall, 2000). A short description 242
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