Total Quality Management

The previous post looked at the definition of each of the three terms in TQM (Total, Quality, and Management) as separate, individual items.  Today we’ll look at those same three words, but this time looking at them as a single, whole item.

Since the beginning of time, probably every business, almost without exception, has wanted to satisfy its customers because that business realized that in most cases the following equation was true:  Satisfied Customers = Business Profits.  And that equation held true across the line; no matter what the business, no matter what the size of company, from a one-man/woman operation to a humongous international corporation.  (As an aside, did you know that out of the top 100 largest income producing units today, 49 are countries and 51 are corporations?)

So throughout the eons, there have been various attempts to create a system, even a philosophy, that would help to maximize the customer satisfaction, thus leading to a maximized profit.  The TQM approach was created in the 1950’s and starting in the 1980’s has become increasingly popular.

One of the ways of looking at TQM is to state that it’s a management philosophy that seeks to focus on meeting customer needs and organizational objectives by integrating all organizational functions (design, engineering, production, marketing, finance, customer service, etc.).   That has been done before.  Other systems had looked at the idea of continuous improvement of the product and the production process.  But TQM also extends some of these previous systems by adding the inclusion of the ideas that the culture and attitude of a company are also important, and that having happy suppliers is necessary.  And it is a method by which management and employees can become involved in the continuous improvement of the production of goods and services.

To the original equation of Satisfied Customers = Business Profits has now become Satisfied Customers + Satisfied Suppliers + Satisfied Employees + Continuous Improvement = Business Profits.

Next time we’ll look at:

• how to satisfy the customer
• how to satisfy the supplier
• how to continuously improve 

Here are a couple more closely related sites: Quality Control, and Qualtity Management Software.

Until then,
Hal Hamer

The term TQM refers to a combination of three words.  These three words are, quite obviously, Total, Quality, and Management.  The definition and meaning of each of these words is important, but more important is how these words combine and interrelate to create a concept that can help improve a company’s image, bottom line, and employee satisfaction.  So let’s look at these three words, first individually today, and then collectively in a future post.

Obviously we all know what each of these words mean in everyday use, but more specifically, what do they mean in terms of a business as they relate to TQM?

Total

Something that relates to the entire company/corporation;
Something that is enterprise-wide, covering all of the locations and not limited to just a few locations;
Also something that includes the entire operational process, from the very beginning to the end.

Quality

Not only should something work, but it should work well. It should also be well-produced, with well-made components, so that it is durable. It should have a high degree of excellence and worth.

There are actually three separate definitions that need to be included when talking about “quality”.

1. Quality of products and services to satisfy some specific need(s) of the consumer (end user);
2. Quality of return to satisfy the needs of the shareholders;
3. Quality of life to satisfy the needs of the people in the organization, both at work and outside work .

Management

While similar to the definition above for the term Total, this is something that relates to the managment of the entire process, not just to the management of an individual step or plant. It consists of many different pieces, starting with planning, then moving onto organizing, directing, and controlling, and then finishing with the delivery of the actual product.

Until next time,
Hal Hamer

Hi.  Welcome to my new blog about Total Quality Manufacturing (TQM).

The International Organization for Standardization (ISO) defines TQM as:

“TQM is a management approach for an organization, centered on quality, based on the participation of all its members and aiming at long-term success through customer satisfaction, and benefits to all members of the organization and to society.”

Great definition!  Now what does it mean?  This blog will look at what TQM is, what its parts are, how it’s made up, etc. It will also provide links to TQM as it relates to Enterprise Resource Planning (ERP), Materials Resource Planning (MRP), Manufacturing Execution Systems (MES), etc.

I have a fairly new job, and part of that job is to find information about TQM and how it relates to the manufacturing environment.  So as I do the research, I’ll be posting some of the info that I’ve found.  Hope that you enjoy it.

And to quote Monty Python, “And now for something completely different”, here’s a link to the Community Hopper.

I’m also doing a blog about Agile Manufacturing.   Check it out.

Thanks,
Hal Hamer