What is Total Quality Management (TQM)

• The purpose of TQM is to focus on continuous improvement through an approach like that of kaizen.
• To build the long-term success of an organization in terms of employees, customers, and clients.
• Quality improves, which is a superpower to maintaining long term and efficient success of an organization.
• Most importantly, customer satisfaction reaches by adopting the approach of TQM.
• The purpose is to gain a substantial edge over the competitors.

1. Ensures production of superior quality products and services

You can measure a product’s quality in terms of reliability, performance, and durability. Thus, quality is an important parameter to differentiate an organization from its competitors. Superior product or service quality means satisfied customers, which is the main aim of TQM.

1. Fewer defects in products

A TQM approach helps to eliminate errors in products or services by making them superior. These errorless products also lead to customer loyalty. One of the main principles of TQM is to create the right products for the first time. Reduction in defects means a decrease in product fixes, product recalls, and future customer support.

1. Lower costs

As a result of positive improvements in product development, companies save considerable costs in field service, product replacements, customer support, and creating product fixes.

On the other hand, it ensures increased productivity and revenues for the organization because employees will earn if the organization is making money.

1. Well-defined values of culture

Organizations practicing TQM nurture core values with continuous improvement. This mindset presents across all aspects of an organization ranging from hiring to internal structure to product development. Thus, an organization will always remain in defined cultural values and provides only valuable services.

1. Helps to reduce inventory and waste

TQM helps to reduce inventory and waste while working closely with suppliers and incorporating the 'Just in Time' philosophy. It also ensures near coordination between employees of an organization. This aspect also inculcates the intense feeling of teamwork among workers.

1. Customer Satisfaction

It’s the core principle of TQM. Quality Management follows all the steps and measurements required for improving the quality of a product or service. It is because excellent quality only ensures customer satisfaction as well as customer retention for an extended period. 

1. Employee Commitment

Not only consumer satisfaction and product improvement, but a sense of employee commitment are also essential for TQM. There are proper suggestion mechanisms and training for the purpose. Every employee is responsible for quality management. Both in terms of its improvement as well as improvement in production services.

1. Effective Communications

Open dialogue is TQM. Effective communication helps to resolve the issues much faster. Various suggestions can also be regulated quickly when one employee can easily communicate with another employee. Not only the employees, but a hierarchy also maintained from the top to a low level.

1. Factual Decision Making

All decisions made are on proper facts and data collection. Teams collect process statistics and data to ensure that desired work meets all the necessary specifications. This factual decision-making aspect further improves transparency in an organization.

1. Strategic Thinking

Strategic thinking helps improve the overall structure of an enterprise. All processes are well analyzed and structured in the alignment of long term vision. Things are categorized to think about the overall improvement of quality in all aspects.

1. Process-Centered

Every activity is deconstructed into processes and locates and repeat the best method possible. If we think logically, then it's the processes that pose the main problems rather than the people. Managers focus on processes when something undesirable happens. In this way, Total Quality Management positively is a process-centered approach.

1. Integrated System

This system further helps to keep everyone interconnected. A shared vision, including the commitment and knowledge to principles, creates an integrated system in an organization.

1. Pareto Chart

The chart indicates that 80% of problems are due to 20% of causes, which further helps to determine problems in different categories.

1. Check Sheet

It’s a kind of pre-made sheet to gather data and used for frequently recurring data.

1. Ishikawa Diagram or Cause and Effect Diagram

This diagram determines all possible causes for a problem and then categorize them.

1. Control Chart

It is a graphical chart to describe how results and processes change over time.

1. Scatter Diagram

Data plotted on both x and y-axis to see how results improve as a result of a change in variables.

1. Histogram Bar Chart

The frequency for a cause of the problem is shown here, along with the differences in the results cluster.

1. Stratification or Flow Chart Diagram

This diagram shows how various factors join a process.