- The Primary Elements of TQM
- Implementing a Total Quality Management System
- Five Strategies to Develop the TQM Process
The Primary Elements of TQM
Total quality management can be summarized as a management system for a customer-focused organization that involves all employees in continual improvement. It uses strategy, data, and effective communications to integrate the quality discipline into the culture and activities of the organization.
Customer-focused
The customer ultimately determines the level of quality. No matter what an organization does to foster quality improvement— training employees, integrating quality into the design process, upgrading computers or software, or buying new measuring tools, the customer determines whether the efforts were worthwhile.
Total employee involvement
All employees participate in working toward common goals. Total employee commitment can only be obtained after fear has been driven from the workplace, when empowerment has occurred, and management has provided the proper environment. High-performance work systems integrate continuous improvement efforts with normal business operations. Self-managed work teams are one form of empowerment.
Process-centered
A fundamental part of TQM is a focus on process thinking. A process is a series of steps that take inputs from suppliers (internal or external) and transforms them into outputs that are delivered to customers (again, either internal or external). The steps required to carry out the process are defined, and performance measures are continuously monitored in order to detect unexpected variation.
Integrated system
Although an organization may consist of many different functional specialties often organized into vertically structured departments, it is the horizontal processes interconnecting these functions that are the focus of TQM.
- Micro-processes add up to larger processes, and all processes aggregate into the business processes required for defining and implementing strategy. Everyone must understand the vision, mission, and guiding principles as well as the quality policies, objectives, and critical processes of the organization. Business performance must be monitored and communicated continuously.
- An integrated business system may be modeled after the Baldrige National Quality Program criteria and/or incorporate the ISO 9000 standards. Every organization has a unique work culture, and it is virtually impossible to achieve excellence in its products and services unless a good quality culture has been fostered. Thus, an integrated system connects business improvement elements in an attempt to continually improve and exceed the expectations of customers, employees, and other stakeholders.
Strategic and systematic approach
A critical part of the management of quality is the strategic and systematic approach to achieving an organization’s vision, mission, and goals. This process, called strategic planning or strategic management, includes the formulation of a strategic plan that integrates quality as a core component.
Continual improvement
A major thrust of TQM is continual process improvement. Continual improvement drives an organization to be both analytical and creative in finding ways to become more competitive and more effective at meeting stakeholder expectations.
Fact-based decision making
In order to know how well an organization is performing, data on performance measures are necessary. TQM requires that an organization continually collect and analyze data in order to improve decision making accuracy, achieve consensus, and allow prediction based on past history.
Communications
During times of organizational change, as well as part of day – to – day operation, effective communications plays a large part in maintaining morale and in motivating employees at all levels. Communications involve strategies, method, and timeliness.
These elements are considered so essential to TQM that many organizations define them, in some format, as a set of core values and principles on which the organization is to operate.
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Implementing a Total Quality Management System
When planning and implementing a total quality management system there is no one solution to every situation. Each organization is unique in terms of the culture, management practices, and the processes used to create and deliver its products and services. The TQM strategy will then vary from organization to organization; however, a set of primary elements should be present in some format.
Generic Model For Implementing TQM
- Top management learns about and decides to commit to TQM. TQM is identified as one of the organization’s strategies.
- The organization assesses current culture, customer satisfaction, and quality management systems.
- Top management identifies core values and principles to be used, and communicates them.
- A TQM master plan is developed on the basis of steps 1, 2, and 3.
- The organization identifies and prioritizes customer demands and aligns products and services to meet those demands.
- Management maps the critical processes through which the organization meets its customers’ needs.
- Management oversees the formation of teams for process improvement efforts.
- The momentum of the TQM effort is managed by the steering committee.
- Managers contribute individually to the effort through hoshin planning, training, coaching, or other methods.
- Daily process management and standardization take place.
- Progress is evaluated and the plan is revised as needed.
- Constant employee awareness and feedback on status are provided and a reward/recognition process is established.
Five Strategies to Develop the TQM Process
Strategy 1: The TQM Element Approach
The TQM element approach takes key business processes and/or organizational units and uses the tools of TQM to foster improvements. This method was widely used in the early 1980s as companies tried to implement parts of TQM as they learned them. Examples of this approach include quality circles, statistical process control, Taguchi methods, and quality function deployment.
Strategy 2: The Guru Approach
The guru approach uses the teachings and writings of one or more of the leading quality thinkers as a guide against which to determine where the organization has deficiencies. Then, the organization makes appropriate changes to remedy those deficiencies.
For example, managers might study Deming’s 14 points or attend the Crosby College. They would then work on implementing the approach learned.
Strategy 3: The Organization Model Approach
In this approach, individuals or teams visit organizations that have taken a leadership role in TQM and determine their processes and reasons for success.
They then integrate these ideas with their own ideas to develop an organizational model adapted for their specific organization.
This method was used widely in the late 1980s and is exemplified by the initial recipients of the Malcolm Baldrige National Quality Award.
Strategy 4: The Japanese Total Quality Approach
Organizations using the Japanese total quality approach examine the detailed implementation technique and strategies employed by Deming Prize– winning companies and use this experience to develop a long-range master plan for in-house use.
This approach was used by Florida Power and Light—among others—to implement TQM and to compete for and win the Deming Prize.
Strategy 5: The Award Criteria Approach
When using this model, an organization uses the criteria of a quality award, for example, the Deming Prize, the European Quality Award, or the Malcolm Baldrige National Quality Award, to identify areas of improvement. Under this approach, TQM implementation focuses on meeting specific award criteria. Although some argue that this is not an appropriate use of award criteria, some organizations do use this approach and it can result in improvement.
Deming’s 14 Points on Total Quality Management
Deming’s 14 Points on Quality Management, a core concept on implementing total quality management, is a set of management practices to help companies increase their quality and productivity.
2. Adopt the new philosophy.
3. Cease dependence on inspection to achieve quality.
4. End the practice of awarding business on price alone; instead, minimize total cost by working with a single supplier.
5. Improve constantly and forever every process for planning, production and service.
6. Institute training on the job.
7. Adopt and institute leadership.
8. Drive out fear.
9. Break down barriers between staff areas.
10. Eliminate slogans, exhortations and targets for the workforce.
11. Eliminate numerical quotas for the workforce and numerical goals for management.
12. Remove barriers that rob people of pride of workmanship, and eliminate the annual rating or merit system.
13. Institute a vigorous program of education and self-improvement for everyone.
14. Put everybody in the company to work accomplishing the transformation.
Total Quality Management Benefits
The benefits of total quality management are endless, helping your organization get results.
TQM can offer the following direct and indirect benefits to organizations:
- Strengthened competitive position
- Adaptability to changing or emerging market conditions and to environmental and other government regulations
- Higher productivity
- Enhanced market image
- Elimination of defects and waste
- Reduced costs and better cost management
- Higher profitability
- Improved customer focus and satisfaction
- Increased customer loyalty and retention
- Increased job security
- Improved employee morale
- Enhanced shareholder and stakeholder value
- Improved and innovative processes
Conclusion
Understanding and applying the principles of Total Quality Management allows organizations to build a culture of excellence rooted in customer focus, continuous improvement, and strategic alignment. Whether using an element-based approach, drawing on quality gurus, or aiming for award-based benchmarks, TQM provides a flexible yet structured path to sustainable success. By involving every employee, leveraging data, and fostering transparent communication, companies can drive long-term performance, improve customer satisfaction, and strengthen their market position in a rapidly evolving business landscape.
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