Quality of performance
Quality concepts:
-Quality management systems is a framework, encompassed by all the following concepts, that is used to maintain a high-quality standard within a business.
-Quality refers to a product or service satisfying the needs of customers.
-Quality control refers to the inspection of the final product to ensure that the product is of the highest quality.
-Quality assurance occurs during and after the production of a good or service to ensure that deviations are corrected.
-Quality management is performed within each business function to ensure that the quality of the good or service is consistent.
-Quality performance occurs within each department to ensure that they work together to achieve the same goals and quality standards.
The 8 business functions:
The purchasing function ensures the correct resources are delivered on time and at a low cost:
-The right quantities should be purchased at an efficient price.
-Adequate stock levels should be accounted for.
-Effective coordination between the purchasing and production functions.
The marketing function identifies a gap in the market and advertises the finished product to customers:
-Effectively promotes the finished product.
-Identifies gaps in the market.
-Uses the business's strengths to gain a competitve advantage.
The production function ensures the necessary resources are used efficiently to produce the good and service:
-Satisfying, and high-quality products meet customers' expectations.
-Products are produced at the lowest possible cost.
-Tasks are coordinated effectively.
The financial function allocates the necessary funds to the other departments and manages the available funds:
-Funds are sourced from reputable connections.
-Manages investments.
-Calculates the profit-maximizing point.
General management sets the vision, mission, goals, and objectives:
-Vision, mission, and objectives are effectively communicated.
-Competition is monitored and aims to achieve a competitive advantage.
-Ensures department meet targets.
The public relations function has the responsibility of upholding the image of the business:
-Ensure any negative views of the business is rectified.
-Ensures business is viewed in a positive light by engaging in CSI programs.
-Internal image is also prioritized.
The administration function handled, collected, and organized data and information:
-Store information securely and for easy access.
-Keep documents up-to-date.
-Ensure technology and systems are used efficiently.
The human resources function manages the cooperation between employers and employees:
-Develop skills of workers.
-Ensure the fair selection of skilled employees.
-Recognize the hard work of employees for improved productivity.
Total quality management is a system used by businesses to ensure that its products are of the highest quality, by identifying and correcting any mistakes.
Elements:
The PDCA model forms part of the continuous improvement of processes and systems and, through repetition, aims to help businesses continuously improve.
-The business identifies a problem and develops a plan of action to improve the quality of products.
-The people involved in the project do the work and execute the plan on a small scale.
-Check if the plan has been effective and if anything needs to be adjusted.
-If the plan has been a success, act as needed and implement it on a larger scale.
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Quality circles involve workers from different departments, and who have varied skills. These workers come together to generate solutions to improve the quality of a business's products.
The efficiency of quality circles is recognized if costs are reduced, there is no duplication of tasks, there is an improvement in the processes and systems, and employees remain loyal
Impact of TQM-
On reduction of the cost of quality:
-Quality circles prevent duplication.
-Business is in close contact with suppliers.
-Equipment is checked to ensure no unnecessary purchase of new machinery.
-Training is provided to ensure no mistakes are made by employees
On small businesses:
-Effective communication with customers and workers.
-Problems can be identified and addressed quickly.
-Limited funds available.
-Business functions may be ignored or inadequate.
If implemented poorly:
-Productivity decreases.
-Lack of skills training.
-Customers may be attracted to competitors.
-Investors may withdraw investments.
Additional TQM elements
Involvement of all employees:
-Communication ensures quality.
-Review the quality standard of workers.
-Hold effective meetings
Planning:
-Should be established before production commences.
Involvement of top management:
-Sets visions and goals.
-Provides the guidance on quality.
-Ensures shareholders are satisfied
Continuous improvement of processes and systems refers to a business constantly improving and enhancing current processes and systems. Large businesses have large sums of money to improve their processes, but it can take time and cause inaccuracies.
Adequate financing and capacity refer to a business's ability to secure the necessary funds and achieve TQM requirements. Large businesses can employ experts, but with inefficient financial planning, the business may run into cash flow problems.
Continuous skills development ensures that employees are qualified to produce quality products and apply the correct processes. This can be achieved by large businesses but may not be achieved because of miscommunication.
Monitoring and evaluation of quality processes is achieved when businesses review their strengths and weaknesses to reach the satisfaction of customers. High-quality products can be achieved the first round, however, not all products can be assessed for quality.
Total client satisfaction is achieved when businesses satisfy the needs of customers through adequate research. When the needs of the customers are met, they may remain loyal to the business, but a change in customer needs may not be met as quickly.
Teamwork:
-Quality circles improve quality and provide solutions to problems.
Management of facts:
-Accurate information assists with decision-making.
-All processes and systems should be communicated to management.