In order to understand “Total quality management”, first we have to understand what does ‘Quality’ actually mean?

‘Quality’ is generally referred to a parameter which decides the inferiority or superiority of a product or service. It is a measure of goodness to understand how a product meets its specifications. Usually, when the expression “quality” is used, we think in the terms of an excellent product or service that meets or even exceeds our expectations. These expectations are based on the price and the intended use of the goods or services. In simple words, when a product or service exceeds our expectations we consider it to be of good quality. Therefore, it is somewhat of an intangible expression based upon perception.

1. Edwards Deming, Armand V. Feigenbaum and Joseph M. Juran jointly developed the concept of TQM. Initially, TQM originated in the manufacturing sector but it can be applied to all organizations. 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.

What Is Total Quality Management (TQM)?

• Total quality management (TQM) describes a management approach to long-term success through customer satisfaction.
• In a TQM effort, all members of an organization participate in improving processes, products, services, and the culture in which they work.

• Total quality management (TQM) is an ongoing process of detecting and reducing or eliminating errors.
• It is used to streamline supply chain management, improve customer service, and ensure that employees are trained.
• The focus is to improve the quality of an organization’s outputs, including goods and services, through continual improvement of internal practices. 
• Total quality management aims to hold all parties involved in the production process accountable for the overall quality of the final product or service.

Understanding Total Quality Management

Total quality management (TQM) is a structured approach to overall organizational management. The focus of the process is to improve the quality of an organization’s outputs, including goods and services, through continual improvement of internal practices. The standards set as part of the TQM approach can reflect both internal priorities and any industry standards currently in place.

Industry standards can be defined at multiple levels and may include adherence to various laws and regulations governing the operation of the particular business. Industry standards can also include the production of items to an understood norm, even if the norm is not backed by official regulations.

key ELEMENTS OF TQM

TQM can be recapitulated as a running structure for a customer-focused association that involves all employees in continual development. It uses strategy, data, and effective communications to integrate the quality discipline into the culture and activities of the organization. Many of these concepts are present in modern QMS, the successor to Total Quality Management. Here are the 8 principles of total quality management:

1. 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, or upgrading computers or software—the customer determines whether the efforts were worthwhile.
2. 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 empowermenthas occurred, and when 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.
3. 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 (internal or external). The steps required to carry out the process are defined, and performance measures are continuously monitored in orderto detect unexpected variation.
4. 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 Awardcriteria 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 large aspect 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
• Fact-based decision making: In orderto 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. The methods for implementing this approach come from the teachings of such quality leaders as Philip B. Crosby, W. Edwards Deming, Armand V. Feigenbaum, Kaoru Ishikawa, and Joseph M. Juran. 

PAYBACK OF TOTAL QUALITY MANAGEMENT

Total quality management benefits and advantages:

• Improved an innovative processes
• Higher profitability
• Increased customer loyalty and retention
• 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
• Improved customer focus and satisfaction
• Increased job security
• Improved employee morale
• Enhanced shareholder and stakeholder value