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business 2.4 - Coggle Diagram
business 2.4
quality management
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quality circles - groups of workers meet regularly to solve quality problems identified in the production process
benefits - workers may be motivated as they are involved in decision making, relevant and focused solutions are likely as workers are familiar with processes
negatives - management need to have trust in workers’ views and solutions , meetings and structures must be organised regularly
total quality management - organisation of the business with quality at its core and with every worker responsible for quality
benefits - quality in all aspects of the business improves efficiency, a culture of constant improvement exists within the business
negative - all workers must be committed and receive significant continued training, careful monitoring and control is required
competitive advantage from quality management - the quality of a business product that can provide a competitive advantage.
unit costs are likely to be low if a business takes a preventative approach through the use of quality assurance or TQM
low costs may allow a business to reduce its selling price to better compete with or undercut its rivals
increased finance may be available to fund marketing activity to improve brand recognition and attract new customers
high levels of quality can be used in promotional activity and provide a unique selling point for businesses in competitive markets
successfully developing a USP for quality can ease expansion into new markets as a result of the positive reputation it creates
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