A Review of Total Quality Management in Practice Part III

Embed Size (px)

Citation preview

  • 7/28/2019 A Review of Total Quality Management in Practice Part III

    1/3

    A review of total quality management in practice: understanding the fundamentalsthrough examples of best practice applications - part IIIThiagarajan, T., Zairi, M..The TQM Magazine. Bedford: 1997.Vol.9, Iss. 6; pg. 414

    Abstract (Document Summary)This is part III of three-part series which represents a comprehensive review of the literature

    by discussing critical factors oftotal quality management in key areas often stressed inimplementation case studies, and supported by quality gurus and writers.

    IntroductionThe principle of self-assessment using various models such as the Malcolm Baldrige NationalQuality Award (MBNQA), the European Quality Award (EQA) and the Deming Prize isbecoming globally pervasive. Indeed, such models are found to be the best means forassessing organizational excellence and the criteria used are found to reflect the mostimportant components of effectiveness and competitiveness. By linking means and drivessuch as leadership to results (ends) one could relate capability and competence toachievements.This review of the literature was therefore an attempt to map total quality management (TQM)using similar sets of criteria to those of the EQA model. More importantly, this is the firstattempt at reviewing the literature from the point of view of what, how and why.

    Issues in implementationIn an effort to understand the essentials of effective TQM implementation, the overview in theprevious sections revolved primarily around the key components of TQM. However, toappreciate the complexity of TQM implementation (Glover, 1993), it is imperative that anunderstudying of other issues in the context of this research is developed.TQM and national cultureMany assumptions are made about the cultural influences on TQM implementation. Juran(1993), for example, says that there is no need to redesign a country's culture to instil thedisciplines of quality improvements. He stresses that what is needed to make TQM work isthe adherence to its principles, practices and techniques. Kano (1993), on the other hand,says that one needs to take cultural background into account when implementing TQM.However, he stresses that culture is not a barrier to the implementation of TQM.A Bradford-based benchmarking study of 22 critical factors of TQM across several countriesof widely differing cultures found that not all the critical factors are relevant in a generic sense(Zairi, 1994). Fundamental factors such as top management commitment, the need for a clearmission statement and focus on the customer were, however, emphasized as absolutelyessential to the success of TQM across borders.TQM failuresThe success of implementing TQM in an organization is ultimately judged by its customers,Zairi (1994). A TQM initiative is therefore considered a failure if it fails to optimize operationsto continuously add value for customer satisfaction.Given that implementing a TQM system is one of the most complex tasks which anorganization might ever encounter (Glover, 1993; Kanji and Asher, 1993), it is not surprisingto note that there are as many TQM failures as there are success stories (Gilbert, 1992). Forobvious reasons, reports of failures in the open literature are few and far between. Severalwriters, however, have discussed general patterns in TQM failures (Glover, 1993).'...Given that implementing a TQM system is one of the most important tasks which anorganization might ever encounter it is not surprising to note that...there are as many TQMfailures as there are success stories...'Common reasons for TQM setbacks and failures are highlighted below:- The absence of, or inadequate attention to, several of the key quality factors discussed inthe earlier sections (Longenecker and Scazerro, 1993). This appears as the most citedelement in predicting the failure of a TQM implementation.- Failure to devise an implementation strategy that fits an organization's unique circumstances(Hart and Schlesinger, 1991). Rather a generic "off-the-shelf" model or a copy of a systemthat was successful in another organization was used.TQM implemented as an "add-on programme" to "business as usual" (Alloway, 1994). TQM isseen as a motivational programme, wholesale training of employees or simply the use of tools

    and techniques.- High expectations of quick results from TQM initiatives (Merron, 1994).Gestation period

    1

    http://proquest.umi.com/pqdweb?index=4&did=86922393&CSP=339198&SrchMode=1&sid=2&Fmt=3&VInst=PROD&VType=PQD&RQT=590&VName=PQD&TS=1107424805&clientId=66790http://proquest.umi.com/pqdweb?RQT=318&pmid=11857&TS=1107424805&clientId=66790&VType=PQD&VName=PQD&VInst=PRODhttp://proquest.umi.com/pqdweb?RQT=318&pmid=11857&TS=1107424805&clientId=66790&VType=PQD&VName=PQD&VInst=PRODhttp://proquest.umi.com/pqdweb?RQT=572&VType=PQD&VName=PQD&VInst=PROD&pmid=11857&pcid=1505197&SrchMode=3http://proquest.umi.com/pqdweb?RQT=572&VType=PQD&VName=PQD&VInst=PROD&pmid=11857&pcid=1505197&SrchMode=3http://proquest.umi.com/pqdweb?index=4&did=86922393&CSP=339198&SrchMode=1&sid=2&Fmt=3&VInst=PROD&VType=PQD&RQT=590&VName=PQD&TS=1107424805&clientId=66790http://proquest.umi.com/pqdweb?RQT=318&pmid=11857&TS=1107424805&clientId=66790&VType=PQD&VName=PQD&VInst=PRODhttp://proquest.umi.com/pqdweb?RQT=572&VType=PQD&VName=PQD&VInst=PROD&pmid=11857&pcid=1505197&SrchMode=3
  • 7/28/2019 A Review of Total Quality Management in Practice Part III

    2/3

    It is generally acknowledged that the longer organizations work at TQM, the more successfulthey will be. Two-to-three years into implementation have been quoted in the literature as theperiod after which the tangible benefits of TQM are more likely to be evident (Mann, 1992). Astudy reported in Quality Progress (1994) showed that those organizations that have beenactively implementing TQM for more than two years are more likely to have "very successful"initiatives as opposed to those that have had programmes for less than two years.

    Another American study, which examined 536 TQM organizations, concluded that those thathad implemented TQM for more than three years had significantly better successes thanthose using TQM for two years or less, in three TQM outcomes, namely customer satisfactionand retention, operational results, and organizational climate (DDI, 1994).Hard and soft quality factorsReflecting on the model of TQM proposed by Oakland (1993), the review of the literaturesuggests that the key components that impact on TQM implementation are a synergetic blendof "hard" and "soft" quality factors. Systems and tools and techniques such as those thatimpact on internal efficiency (e.g. quality management systems, cost of quality and statisticalprocess control (SPC)) and external effectiveness (e.g. benchmarking and customersatisfaction surveys) are examples of hard quality factors. Soft quality factors are intangibleand difficult-to-measure issues and are primarily related to leadership and employeeinvolvement.

    While Black (1993) contends that it is difficult to classify factors along soft-hard criteria,Wilkinson et al. (1991) highlight that it has a practical reality by referring to experiences at theCo-operative Bank plc and Black & Decker UK. At the Esso Research Centre UK, qualityprocess is also seen in terms of "hard" and "soft" (Price and Chen, 1993).The "soft" quality factors may best be seen as issues discussed under leadership, internalstakeholders management and policy. They are issues that impact on maximizingorganization-wide support and involvement in attaining the quality goals of an organization.They may be seen as "internal marketing" issues (Wilkinson and Witcher, 1992). Theyinclude:- senior executives commitment and involvement, actively demonstrated;- comprehensive policy development and effective deployment of goals;- entire workforce commitment to quality goals of the organization;- supervisors, unit heads and divisional managers assume active new roles;

    - empowerment;- effective communication;- internal customer supplier concept;- teamwork;- system for recognition and appreciation of quality efforts; and- training and education.It is evident from the list that "soft" factors are long-term issues, something that cannot beswitched on and off, and therefore, must be emphasized and addressed accordingly in anorganization's TQM implementation plan.'...the effective manipulation of the "soft" factors must be supported by the "hard" factors...'There is a good chance that the TQM process will end up in failure if there is insufficientattention to "soft" factors (Wilkinson and Witcher, 1992). It would be expected that "soft"factors would all rate highly in terms of criticality and emphasis in the TQM implementation

    process.While the effective manipulation of the "soft" factors is essential to the attainment of thequality goals of the organization, they must be supported by the "hard" factors to manage,track and improve the journey towards achieving the goals. They include:- Benchmarking.- Performance measurement.- Management by fact.- Managing by processes.- Self-assessment.- Quality control tools and techniques.- Cost of quality process.- Documented quality management system.- Supplier management.

    - Customer management.

    2

  • 7/28/2019 A Review of Total Quality Management in Practice Part III

    3/3

    Some writers describe the above factors as tactics rather than strategies (Pegels, 1993) andthose that extend the power of TQM in an organization (Black, 1993). In Ramirez and Loney's(1993) study, the majority of Baldrige winners perceive these types of factors as important notessential to the success of TQM.ConclusionThis review has demonstrated that there is a vast array of literature on TQM and its key

    components. Previous literature reviews tended, however, to be presented in anecdotal andimpressionistic ways.This effort is, however, more systematic and has tried to present the body of the literature in aco-ordinated supportive approach by linking in all the key elements. By covering theory,concepts and applications this makes a real contribution to understanding:- What is the importance of individual elements? (Why?) and how are they implemented inpractice?- What benefits have been derived from using these elements?A further attempt through this review, was to discuss wider issues of implementation, such ascultural differences, the need for a gestation period, failures and the reason why, and theneed to consider TQM from the point of view of "hard" and "soft" issues.

    Full Text (1852 words)

    Copyright MCB UP Limited (MCB) 1997T. Thiagarajan: Senior Quality Manager, based at Palm Oil Research Institute (PORIM), Malaysia.M. Zairi: SABIC Chair in Best Practice Management at the University of Bradford, UK

    References1. Alloway, J.A. (1994, "The card drop shop",Quality Progress, Vol. 27 No. 7, pp. 99-104.2. Black, S.A. (1993, "Measuring the critical factors of total quality management", unpublished PhD thesis, Universityof Bradford, Bradford.3. DDI (1994,TQM: Forging Ahead or Falling Behind - A Study of Quality Practices, Development Dimensions International Inc,Bridgeville, PA.4. Gilbert, J.D. (1992, "TQM flops: a chance to learn from the mistakes of others",National Productivity Review, Autumn, pp. 491-99.5. Glover, J. (1993, "Achieving the organisational change necessary for successful TQM",International Journal of Quality & Reliability Management, Vol. 10 No. 6, pp. 47-64.

    6. Hart, C. and Schlesinger, L. (1991, "Total quality management and the human resource professional: applying theBaldrige framework to human resources",Human Resource Management, Vol. 30 No. 3, pp. 433-54.7. Juran, J.M. (1993, "Made in USA: a renaissance in quality",Harvard Business Review, Vol. 71 No. 4, pp. 42-50.8. Kanji, G.K. and Asher, M. (1993,Total Quality Management Process - A Systematic Approach. Advances in Total Quality Management Series, CarfaxPublishing Co., Abingdon.9. Kano, N. (1993, "A perspective on quality activities in American firms",California Management Review, Vol. 35 No. 3, pp. 12-31.10. Longenecker, C.O. and Scazzero, J.A. (1993, "Total quality management from theory to practice: a case study",International Journal of Quality & Reliability Management, Vol. 10 No. 5, pp. 24-31.11. Mann, R.S. (1992, "The development of a framework to assist in the implementation of TQM", unpublished PhDthesis, University of Liverpool, Liverpool.12. Merron, K.A. (1994, "Creating TQM organisations",Quality Progress, Vol. 27 No. 1, pp. 51-4.

    13. Oakland, J.S. (1993,Total Quality Management, Butterworth-Heinemann, Oxford.14. Pegels, C.C. (1993, "Total quality management defined in terms of reported practice",International Journal of Quality & Reliability Management, Vol. 11 No. 5, pp. 6-18.15. Price, M. and Chen, E.E. (1993, "Total quality management in a small, high-technology company", CaliforniaManagement Review, ol. 35 No. 3, pp. 96-117.16. Ramirez, C. and Loney, T. (1993, "Baldrige award winners identify the essential activ ities of a successful qualityprocess",Quality Digest, January, pp. 38-40.17. Willkinson, A. and Witcher, B. (1992, "Conference review: quality concerns for management",International Journal of Quality & Reliability Management, Vol. 9 No. 2, pp. 64-8.18. Wilkinson, A., Allen, P. and Snape, E. (1991, "TQM and the management of labour",Employee Relations, Vol. 13 No. 1, pp. 24-31.19. Zairi, M. (1994,Measuring Performance for Business Results, Chapman & Hall, London.Commentary

    If you haven't tried it yet - take half an hour only and make some notes on your business against one of theassessment frameworks.

    3