{"id":1620,"date":"2014-03-31T04:45:04","date_gmt":"2014-03-31T04:45:04","guid":{"rendered":"https:\/\/www.accountingdetails.com\/?p=1620"},"modified":"2018-03-02T08:05:19","modified_gmt":"2018-03-02T08:05:19","slug":"total_quality_management","status":"publish","type":"post","link":"https:\/\/www.accountingdetails.com\/total_quality_management.htm","title":{"rendered":"Total Quality Management (TQM) System"},"content":{"rendered":"<div class=\"bd98fac1719c6b4782cbb87657fa9812\" data-index=\"1\" style=\"float: none; margin:10px 0 10px 0; text-align:center;\">\n<!-- check ad -->\r\n<ins class=\"adsbygoogle\"\r\n     style=\"display:block\"\r\n     data-ad-client=\"ca-pub-5600064405332347\"\r\n     data-ad-slot=\"5686608194\"\r\n     data-ad-format=\"auto\"\r\n     data-full-width-responsive=\"true\"><\/ins>\r\n<script>\r\n     (adsbygoogle = window.adsbygoogle || []).push({});\r\n<\/script>\n<\/div>\n<h1>Total Quality Management (TQM) System:<\/h1>\n<h3>Learning objective of the article:<\/h3>\n<ul>\n<li><span style=\"font-family: Verdana; font-size: small;\">Define and explain total quality management (TQM).<\/span><\/li>\n<li><span style=\"font-family: Verdana; font-size: small;\">What are the advantages and disadvantages of total quality management.<\/span><\/li>\n<\/ul>\n<hr \/>\n<ol>\n<li><a href=\"https:\/\/www.accountingdetails.com\/total_quality_management.htm#Definition%20and%20Explanation%20of%20the%20concept%20of%20total%20quality%20management%20system\"> <span style=\"font-family: Verdana; font-size: small;\">Definition and explanation of Total Quality Management<\/span><\/a><\/li>\n<li><a href=\"https:\/\/www.accountingdetails.com\/total_quality_management.htm#Advantages%20of%20Total%20Quality%20Management\"> <span style=\"font-family: Verdana; font-size: small;\">Advantages<\/span><\/a><\/li>\n<li><a href=\"https:\/\/www.accountingdetails.com\/total_quality_management.htm#Disadvantages%20of%20Total%20Quality%20Management\"> <span style=\"font-family: Verdana; font-size: small;\">Disadvantages<\/span><\/a><\/li>\n<\/ol>\n<h2><a name=\"Definition and Explanation of the concept of total quality management system\"><\/a>Definition and Explanation of the Concept of Total Quality Management System :<\/h2>\n<p align=\"left\"><span style=\"font-family: Verdana; font-size: small;\"><b>Total quality management (TQM)<\/b> is an improvement program which provides tools and techniques for continuous improvement based on facts and analysis; and if properly implemented, it avoids counterproductive organizational infighting.<\/span><\/p>\n<p align=\"left\"><span style=\"font-family: Verdana; font-size: small;\">The most popular approach to continuous improvement is known as <i>total quality management (TQM)<\/i>. There are two major characteristics of total quality management (TQM) (1) a focus on serving customers and (2) systemic problem solving teams made up of front line workers. A variety of specific tools are available to aid teams in their problems solving. One of these tools is <a href=\"https:\/\/www.accountingdetails.com\/benchmarking_definition.htm\" target=\"_blank\" rel=\"noopener\">benchmarking<\/a> which involves studying organizations that are among the best in the world at performing a particular task. Perhaps the most important and pervasive TQM problem solving tool is <i> Plan-do-Check-Act (PDCA) Cycle<\/i>. The plan do check act cycle is a systematic fact based approach to continuous improvement.<\/span><\/p>\n<h3>Plan-do-Check-Act (PDCA) Cycle:<\/h3>\n<p align=\"left\"><span style=\"font-family: Verdana; font-size: small;\"> <img loading=\"lazy\" src=\"https:\/\/www.accountingdetails.com\/pdca.jpg\" alt=\"Plan-Do-Check-Act-Cycle (PDCA)\" width=\"119\" height=\"129\" align=\"left\" border=\"0\" \/>The Plan-Do-Check-Act (PDCA) cycle applies the scientific method to problem solving. In the plan phase, the problem solving team analyzes data to identify possible causes for the problem and then proposes a solution.<\/span><\/p>\n<p align=\"left\"><span style=\"font-family: Verdana; font-size: small;\">In the Do phase, an experiment is conducted. In the check phase, the results of the experiment are analyzed. And in the Act phase, if the results of the experiment are favourable, the plan is implemented. If the results of the experiment are not favourable, the team goes back to the original data and starts allover again.<\/span><\/p>\n<p align=\"left\"><span style=\"font-family: Verdana; font-size: small;\">Perhaps the most important feature of TQM is that &#8220;it improves productivity by encouraging the use of science in decision making and discouraging <i>counter productive defensive behavior<\/i>. Thousands of organizations have been involved in total quality management (TQM) and similar programs.<\/span><\/p>\n<h2 align=\"left\"><a name=\"Advantages of Total Quality Management\"><\/a>Advantages of Total Quality Management:<\/h2>\n<ol>\n<li><span style=\"font-family: Verdana; font-size: small;\">Improves reputation- faults and problems are spotted and sorted quicker (zero defects) <\/span><\/li>\n<li><span style=\"font-family: Verdana; font-size: small;\">Higher employee morale\u2013 workers motivated by extra responsibility, team work and involvement in decisions of TQM <\/span><\/li>\n<li><span style=\"font-family: Verdana; font-size: small;\">Lower costs \u2013 Decrease waste as fewer defective products and no need for separate <\/span><\/li>\n<li><span style=\"font-family: Verdana; font-size: small;\">Quality Control inspectors <\/span><\/li>\n<\/ol>\n<h2 align=\"left\"><a name=\"Disadvantages of Total Quality Management\"><\/a>Disadvantages of Total Quality Management:<\/h2>\n<ol>\n<li><span style=\"font-family: Verdana; font-size: small;\">Initial introduction costs- training workers and disrupting current production whilst being implemented <\/span><\/li>\n<li><span style=\"font-family: Verdana; font-size: small;\">Benefits may not be seen for several years <\/span><\/li>\n<li><span style=\"font-family: Verdana; font-size: small;\">Workers may be resistant to change \u2013 may feel less secure in jobs <\/span><\/li>\n<\/ol>\n<table id=\"table36\" border=\"1\" width=\"100%\" cellspacing=\"0\" cellpadding=\"0\">\n<tbody>\n<tr>\n<td bgcolor=\"#EFEFEF\" width=\"100%\">\n<h2><span style=\"color: #ff0000;\">Real Business Example:<\/span><\/h2>\n<p><span style=\"font-family: Verdana; font-size: xx-small;\"><b>Dramatic Improvement:<\/b><br \/>\nTQM is not just a big company phenomenon. <span style=\"color: #ff0000;\">Penril DataComm<\/span> is a maryland designer and producer of data communications and equipment. Before embarking on TQM, defect rates were so high that the company was reworking or scrapping one third of everything it made. Applying TQM techniques resulted in an 81% decrease in defects, an 83% decrease in failures in the first three months of use, and a 73% decrease in first year warranty repairs. TQM was credited with taking the company &#8220;from the brink of financial disaster&#8221; to excellent financial health.<\/span><\/p>\n<p><i><span style=\"font-family: Verdana; font-size: xx-small;\">Source: &#8220;Poor Quality Nearly Short Circuits Electronics Company,&#8221; Productivity, February 1993.<\/span><\/i><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<h3>You may also be interested in other useful articles from &#8220;business and quality improvement programs&#8221; chapter:<\/h3>\n<ol>\n<li><span style=\"font-family: Verdana; font-size: small;\"> <a href=\"https:\/\/www.accountingdetails.com\/just_in_time.htm\">Just-in-Time (JIT) Manufacturing and Inventory Control System<\/a><\/span><\/li>\n<li><span style=\"font-family: Verdana; font-size: small;\"> <a href=\"https:\/\/www.accountingdetails.com\/kanbans.htm\">KANBAN<\/a><\/span><\/li>\n<li><span style=\"font-family: Verdana; font-size: small;\"> <a href=\"https:\/\/www.accountingdetails.com\/total_quality_management.htm\">Total Quality Management (TQM) System<\/a><\/span><\/li>\n<li><span style=\"font-family: Verdana; font-size: small;\"> <a href=\"https:\/\/www.accountingdetails.com\/six_sigma.htm\">Six Sigma<\/a><\/span><\/li>\n<li><span style=\"font-family: Verdana; font-size: small;\"> <a href=\"https:\/\/www.accountingdetails.com\/process_reengineering.htm\">Business Process Reengineering (BPR)<\/a><\/span><\/li>\n<li><span style=\"font-family: Verdana; font-size: small;\"> <a href=\"https:\/\/www.accountingdetails.com\/theory_of_constraints.htm\">Theory of Constraints (TOC)<\/a><\/span><\/li>\n<\/ol>\n\n<div style=\"font-size: 0px; height: 0px; line-height: 0px; margin: 0; padding: 0; clear: both;\"><\/div>","protected":false},"excerpt":{"rendered":"<p>Total Quality Management (TQM) System: Learning objective of the article: Define and explain total quality management (TQM). What are the advantages and disadvantages of total quality management. Definition and explanation of Total Quality Management Advantages Disadvantages Definition and Explanation of the Concept of Total Quality Management System : Total quality management (TQM) is an improvement [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_links_to":"","_links_to_target":""},"categories":[1785],"tags":[1791,1792,1790,1001,1799,1353,800],"_links":{"self":[{"href":"https:\/\/www.accountingdetails.com\/wp-json\/wp\/v2\/posts\/1620"}],"collection":[{"href":"https:\/\/www.accountingdetails.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.accountingdetails.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.accountingdetails.com\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.accountingdetails.com\/wp-json\/wp\/v2\/comments?post=1620"}],"version-history":[{"count":2,"href":"https:\/\/www.accountingdetails.com\/wp-json\/wp\/v2\/posts\/1620\/revisions"}],"predecessor-version":[{"id":6699,"href":"https:\/\/www.accountingdetails.com\/wp-json\/wp\/v2\/posts\/1620\/revisions\/6699"}],"wp:attachment":[{"href":"https:\/\/www.accountingdetails.com\/wp-json\/wp\/v2\/media?parent=1620"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.accountingdetails.com\/wp-json\/wp\/v2\/categories?post=1620"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.accountingdetails.com\/wp-json\/wp\/v2\/tags?post=1620"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}