Total Quality Management (Tqm)

CHAPTER

Total Quality Management
Before studying this chapter you should know or, if necessary, review 1. 2. Trends in total quality management (TQM), Chapter 1, page Quality as a competitive priority, Chapter 2, page

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LEARNING OBJECTIVES After studying this chapter you should be able to
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Explain the meaning of total quality management (TQM). Identify costs of quality. Describe the evolution of TQM. Identify key leaders in the field of quality and their contributions. Identify features of the TQM philosophy. Describe tools for identifying and solving quality problems. Describe quality awards and quality certifications.

CHAPTER OUTLINE

Defining Quality 138 Links to Practice: General Electric Company; Motorola, Inc. 140 Cost of Quality 140 The Evolution of Total Quality Management (TQM) 142 The Philosophy of TQM 147 Links to Practice: The Walt Disney Company 150

Links to Practice: The Kroger Company; Meijer Stores Limited Partnership 153 Quality Awards and Standards 159 Why TQM Efforts Fail 162 OM Across the Organization 162 Inside OM 163 Case: Gold Coast Advertising (GCA) 166 Case: Delta Plastics, Inc. 167

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DEFINING QUALITY • 137

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veryone has had experiences of poor quality when dealing with business organizations. These experiences might involve an airline that has lost a passenger’s luggage, a dry cleaner that has left clothes wrinkled or stained, poor course offerings and scheduling at your college, a purchased product that is damaged or broken, or a pizza delivery service that is often late or delivers the wrong order. The experience of poor quality is exacerbated when employees of the company either are not empowered to correct quality inadequacies or do not seem willing to do so. We have all encountered service employees who do not seem to care. The consequences of such an attitude are lost customers and opportunities for competitors to take advantage of the market need. Successful companies understand

Bibliography: Crosby, Philip B. Quality Is Free. New York: New American Library, 1979. Crosby, Philip. Quality Without Tears: The Art of Hassle-Free Management. New York: McGraw-Hill, 1984. Deming, W. Edwards. Out of Crisis. Cambridge, Mass.: MIT Center for Advanced Engineering Study, 1986. Evans, James R., and William M. Lindsay. The Management and Control of Quality. 4th ed. Cincinnati: South-Western, 1999. Garvin, David A. “Competing on the Eight Dimensions of Quality,” Harvard Business Review, Nov. – Dec., 1987, 101 – 10. Garvin, David A. Managing Quality. New York: Free Press, 1988. 170 • CHAPTER 5 TOTAL QUALITY MANAGEMENT Journal of Operations and Production Management, 20, no. 2, 2000, 225 – 248. Medori, D., and D. Steeple, “A Framework for Auditing and Enhancing Performance Measurement Systems,” International Journal of Operations and Production Management, 20, no. 5, 2000, 520 – 533. Rosenberg, Jarrett. “Five Myths about Customer Satisfaction,” Quality Progress 29, 12(December 1996), 57 – 60. Zimmerman, R. E., L. Steinmann, and V. Schueler. “Designing Customer Surveys that Work,” Quality Progress (October 1996), 22 – 28. Goetsch, David L., and Stanley Davis. Implementing Total Quality. Upper Saddle River, N.J.: Prentice-Hall, 1995. Hall, Robert. Attaining Manufacturing Excellence. Burr Ridge, Ill.: Dow-Jones Irwin, 1987. Juran, Joseph M. “The Quality Trilogy,” Quality Progress 10, no. 8(1986), 19 – 24. Juran, Joseph M. Quality Control Handbook. 4th ed. New York: McGraw-Hill, 1988. Juran, Joseph M. Juran on Planning for Quality. New York: Free Press, 1988. Kitazawa, S., and Sarkis, J. “The Relationship Between ISO 14001 and Continuous Source Reduction Programs,” International