INTRODUCTION TO

TOTAL QUALITY MANAGEMENT

Prepared by:
GILBERT A. GALANG, Faculty, CBA, BulSU, City of Malolos, Bulacan
 PRINCIPLES OF TQM

• Management Commitment
• Employee Empowerment
• Fact Based Decision Making
• Continuous Improvement
• Customer Focus
 WHAT IS TOTAL QUALITY MANAGEMENT?
• 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.
• The most noteworthy feature is the level of mutual trust
that is needed by both management and staff to create a
culture in which an effective quality management program
can be successful.
 DEFINING QUALITY

• Quality is a lot more than the nonexistence of defects which

allow companies to meet customer expectations.
• QUALITY needs controlled process improvement, allowing
companies to exceed customer’s expectations.
 DEFINING QUALITY

QUALITY can only be observed THROUGH the

EYES of the customers.
 DEFINING QUALITY

• UNDERSTAND Customer’s Expectations (EFFECTIVENESS)

• EXCEED Customer’s Expectations (EFFICIENCY)

 DEFINING QUALITY

“If you CAN’T QUANTIFY IT,

YOU CAN’T manage IT”
Transcendent (Judgmental) Perspective
• Superiority or excellence
• Quality is the goodness of a product.
• “to rise above or extend notably beyond ordinary
limits”
• Quality is “both absolute and universally recognizable,
a mark of uncompromising standards and high
achievement.”
• “you just know it when you see it”
Product Perspective
• Quality is related to the quantity of some product
attributes.
• Larger numbers of product attributes are equivalent
to higher quality.
User Perspective
• Fitness for the intended use.
• How well the product performs its intended function.
Value Perspective
• Quality is based on value.
• Benefits over price.
• If competitors offer better choices for a similar price,
consumers will rationally select the package with the
highest perceived quality.
• If a competitor offers the same quality package of
goods and services at a lower price, customers would
generally choose the one having the lower price.
Manufacturing Perspective
• Consistency in goods and services.
• Quality is “about manufacturing a product that people
can depend on every time they reach for it.“ (Donald
R. Keough, former President and COO, Coca-Cola
Company)
• Quality is conformance to specifications.
Customer Perspective
• Quality is the totality of features and characteristics of
a product or service that bears on its ability to satisfy
given needs.
• Meeting or exceeding customer expectations.
 TOTAL QUALITY MANAGEMENT

Is an all-inclusive and well-thought-out means to

organizational management that searches to advance
the quality of processes, products, services, and culture
through continuing minor changes in reply to constant
feedback.
 TOTAL QUALITY MANAGEMENT

TQM combines basic management techniques, current

improvement efforts and technical tools in a disciplined
approach focused on continuous process improvement.

The activities are eventually focused on IMPROVED

CUSTOMER SATISFACTION.
 THE PRIMARY ELEMENTS OF TQM

1. Foundation – the entire process of total quality

management is built on a strong foundation of ETHICS,
INTEGRITY, and TRUST.
 THE PRIMARY ELEMENTS OF TQM
• Ethics – is a combination of written and unwritten codes of principles
that govern decisions and actions within a company.
• Integrity – is the consistency of actions, values, methods, measures,
principles, expectations and outcomes at workplace. There is a need
to respect organization’s policies. Avoid spreading unnecessary
rumors about fellow workers.
• Trust – is one of the most important factors necessary for
implementation of TQM because it builds a cooperative environment.
It is a relationship based on RELIANCE.
 THE PRIMARY ELEMENTS OF TQM

2. Building Bricks - bricks are placed on a strong foundation to

reach the roof of recognition. The foundation needs to be
strong enough to hold the bricks and support the roof.

Leadership, teamwork, and training are the building bricks of TQM.

 THE PRIMARY ELEMENTS OF TQM

Leadership – provides a direction to the entire process of

TQM. It is about raising the aspirations of followers and
motivating people with a desire to reach the goals.

Leadership in TQM requires the manager to provide an

inspiring vision, make strategic decisions and instill values
that guide subordinates.
 THE PRIMARY ELEMENTS OF TQM

Teamwork – is a crucial element of TQM. Rather than working

individually, employees need to work in teams. When
individuals work in unison, they are in a position to brainstorm
ideas and come up with various solutions which would
improve existing processes and systems.

Team members ought to help each other to find a solution

and put into place.
 THE PRIMARY ELEMENTS OF TQM

Teamwork offers contiguous improvement in processes and operations. The

teams may be:
a. Problem-solving – These are temporary and formed to solve certain problems.
Identify and overcome causes of those problems. (1 week to 3 months)
b. Quality improvement – These are temporary teams with the purpose of
dealing with specific problems that often recur. ( 3 to 12 months)
c. Natural work – These teams consist of small groups of skilled workers who
share tasks and responsibilities. These teams use concepts such as employee
involvement teams, self-managing teams and quality circles.
 THE PRIMARY ELEMENTS OF TQM

Training – employees need to be trained on TQM to become

highly productive. Employees need to be trained on
interpersonal skills, the ability to work as a team member,
technical know-how, decision making skills, problem solving
skills and so on.
 THE PRIMARY ELEMENTS OF TQM
3. Binding Mortar - binds all the elements together. COMMUNICATION
binds everything together, starting from the foundation and going up to
the roof.

COMMUNICATION is the VITAL link between ALL the TQM elements

and must be established in an organization in order for TQM to work
the way it should.

The CHANNELS of communication need to be CREDIBLE and EASILY

interpreted for all members of the organization.
 Three Types of Communication
1. Downward communication – This is the dominant form of communication in an
organization. Flow of information takes place from the management to the
employees.
 Three Types of Communication
2. Upward communication – Flow of information takes place from the lower-level
employees to the top level management. The lower-level employees are able to
offer suggestions on the effects of TQM to the upper level management using this
type of communication.
 Three (3) types of Communication
3. Sideways/lateral communication – communication also takes place between
various departments. This type of communication is important because it breaks
down barriers between departments. It also allows a more professional dealing
with customers and suppliers.
 THE PRIMARY ELEMENTS OF TQM
4. Roof – it includes recognition which brings greater internal
customer satisfaction which in turn leads to external customer
satisfaction in the organization. There can be a huge change in
self-esteem, productivity and quality when the contributors
are recognized.

Recognition is the most important factor which acts as a

catalyst and drives employees to work hard as a team and
deliver their best.
THE PRIMARY ELEMENTS OF TQM
 CORE CONCEPTS OF TQM

1. Customer satisfaction – TQM is centered on the

requirements of the customer. In order to meet customer
requirements, it is imperative to listen to them and do what is
agreed upon.

Companies have to give identical importance to the INTERNAL

as well as the EXTERNAL customers.
 CORE CONCEPTS OF TQM

2. Internal customer satisfaction – the person within the

company who receives the work of another and adds his
contribution to the product or service before passing it on to
someone else.

It is essential to attain a successful internal working

relationship in order to satisfy the needs of the external
customer.
 CORE CONCEPTS OF TQM
3. All work is process – A process is a combination of methods,
materials, manpower and machines that work collectively to produce a
product or service.
4. Measurement – In order to improve, one must first measure one’s
present performance.
5. Synergy in teamwork – the idea of synergy in teamwork, where the
whole is greater than the sum of the parts, is a key concept in TQM.

Promote COLLABORATION, CONSENSUS, CREATIVE CONFLICT and TEAM

WINNING
 CORE CONCEPTS OF TQM
6. People make quality – most of the quality problems within
an organization are not usually within the control of an
individual employee. The system often comes in the way of
employees who are trying to do a good job.
7. Continuous improvement cycle – the continuous cycle of
instituting customer requirements, meeting and measuring
them, measuring success and continuing the improvement can
be used both externally and internally to stimulate quality
improvements.
 CORE CONCEPTS OF TQM
8. Prevention – At the heart of TQM is the conviction that it is
possible to achieve DEFECT-FREE work most of the time.

This is termed “RIGHT FIRST TIME, EVERY TIME” or ZERO DEFECTS.

The “right first time, every time” or zero defect policy is the results of
an emphasis on prevention, and the diligent use of measurement,
process controls and the data-driven elimination of waste and error.
 BENEFITS OF TQM
1. Creates a good corporate culture – TQM philosophy revolves
around developing a culture that supports total commitment to
customer satisfaction through continuous improvement.
2. Better reviews from customers – Given the equality assurance
testing procedures, the products of the company will constantly
meet the requirements and needs of clients and customers.
3. Better performance from employees – through TQM, there is often
more attention placed on meeting the needs of the employees or
internal customers. The training given to the employees as part of
the program can boost employee morale at the workplace resulting
in employees working harder to achieve the goals of TQM.
References:
• Camilar-Serrano, A. (2016) Total Quality Management. Unlimited Books Library Services & Publishing Inc.
• Evans, J.R. & Lindsay, W.M. (2016). Total Quality Management, 2nd edition. Pearson Education India.

Additional Online Readings:

• https://www.processexcellencenetwork.com/business-transformation/articles/total-quality-management-
as-a-business-philosophy
• https://www.inc.com/encyclopedia/total-quality-management-
tqm.html#:~:text=The%20method%20was%20first%20introduced,Methods%20Applied%20to%20Manufactu
ring%20Problems.
• https://www.strategies-for-managing-change.com/total-quality-control.html
THANK YOU!!!