Why is tqm important to an organization

Being able to satisfy customers while operating effectively and efficiency is truly the recipe for financial success and stability. If you achieve these quality assurance goals that are part of Total Quality Management , then you will likely be in business for a long time to come. Notice that with TQM, quality is not just about a product or service meeting somewhat arbitrary requirements. It is about how the whole organization operates to understand customer expectations and competitively deliver customer satisfaction.

It is important to remember, however, that TQM takes full commitment from management. Organizational members take their cue about what is important from management. Once ingrained as the way of doing things, the business can reap the benefits of TQM — including a healthier bottom line. Notify me of follow-up comments by email. Thursday, November 11, LOG IN.

Log into your account. The concept of TQM states that every employee works towards the improvement of work culture, services, systems, processes and so on to ensure a continuing success of the organization. TQM is a management approach for an organization, depending upon the participation of all its members including its employees and aiming for long-term success through customer satisfaction.

This approach is beneficial to all members of the organization and to the society as well. Total Quality Management is defined as a customer-oriented process and aims for continuous improvement of business operations.

It ensures that all allied works particularly work of employees are toward the common goals of improving product quality or service quality, as well as enhancing the production process or process of rendering of services.

However, the emphasis is put on fact-based decision making, with the use of performance metrics to monitor progress. The benefits arising from the implementation of a Total Quality Management in an organization are:.

A successful TQM implementation requires a significant training for the employees involved in it. Since the training program can take employees away from their day to day work, this eventually can have a negative short-term impact. Also, since Total Quality Management tends to result in a consistent series of incremental changes, it can lead to creating an unpleasant response from those employees who prefer the existing system, or employees who are afraid of losing their jobs because of it.

Quality management tools help an organization to design and create a product which the customer actually wants and desires. Quality Management ensures increased revenues and higher productivity for the organization.

Remember, if an organization is earning, employees are also earning. Employees are frustrated only when their salaries or other payments are not released on time. Yes, money is a strong motivating factor. Would you feel like working if your organization does not give you salary on time? Ask yourself. Salaries are released on time only when there is free cash flow.

Implementing Quality management tools ensure high customer loyalty, thus better business, increased cash flow, satisfied employees, healthy workplace and so on. Quality management processes make the organization a better place to work. Quality management enables employees to deliver more work in less time. Quality management helps organizations to reduce waste and inventory. Quality management ensures close coordination between employees of an organization.