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A REPORT
SUBMITTED TO THE DEPARTMENT OF MANAGEMENT SCIENCES,
VIRTUAL UNIVERSITY OF PAKISTAN
IN PARTIAL FULFILMENT OF THE REQUIREMENTS FOR
THE DEGREE OF MASTERS IN BUSINESS ADMINISTRATION
Submitted By
mc080202504
Naveed Shakur
Letter of Undertaking
Acknowledgement
I would like to thank you all who have helped me to complete this
research, specially my Ex- Colleagues at ERRA.
Abstract
The study conducted here is about the Top Management Commitment for Implementation of Total
Quality Management (TQM) at ERRA.
In our daily life we heard about this term and most of us are familiar with this, in most cases when
we have to buy a product the more emphasis is on quality rather then price.
The objective of this research is to study the total quality management practices at ERRA. TQM is
an approach for continuously improving the quality of goods and services delivered through the
participation of individuals at all levels and functions of an organization . In the last two decades,
large quantity of literature and academic journals have been devoted to analysing the essences of
TQM and how it should be implemented in organizations.
The study is going to conduct over the topic implementation of Total quality management practice
at ERRA. The main theme behind this research is to study the total quality management at ERRA as
well to determine the commitment of top, middle, bottom level managers in implementation TQM.
Table of Contents
1.1 Top Management Commitment in implementing TQM....................................................6
1.2 About ERRA.....................................................................................................................7
1.3 Objectives........................................................................................................................8
1.4 Significance......................................................................................................................8
2 Literature Review...............................................................................................................9
3 Research methodology....................................................................................................11
3.1 Data collection Source...................................................................................................11
3.2 Data Collection tools......................................................................................................11
3.3 Participants.....................................................................................................................11
3.4 Data Processing & Analysis...........................................................................................12
References...........................................................................................................................12
1.1 Top Management Commitment in implementing TQM
The main support came from the commitment of management in implementing TQM in any
organization. The employees believe that if it is clearly visible that top management was committed
to implementing TQM, employees would naturally follow the decision. Management also reduced
traditionally structured operational levels and unnecessary positions within the organization this
simplification of the organization would lead to the establishment of an infrastructure of integrated
business functions working as a team and supporting the strategic vision of the company.
Management commitment and leadership involvement are absolutely essential for the success of
any TQM programme.
Total quality management emphasises on Products, Processes and People in related to customer’s
satisfaction or to improve the organizations performance compared to its competitors.
It is the coordination of people working in the organization for continuous improvement of the
product or service being delivered by the organization to customers to meet and exceed their
satisfaction level.
TQM is not to construct a state of the art building, but also to construct a building with in the
specified time frame, with less wastage of the materials and avoiding rework and according to the
specification of the customer.
The main Objective of this study is to figure it that; only top management involvement and
commitment is the key factor in achieving or implanting TQM in the processes and products of an
organization or it is among the employees behaviour.
What are the elements which encourage an employee to achieve quality in their work and
processes?
How the top management can encourage, motivate and give incentive to an employee to achieve
goals set by them. These are not your approved objectives. You are required to include those
objectives which are approved in your approved/accepted proposal.
1.4 Significance
The significance of this study is to gauge the importance of TQM in organization and the
commitment of the Management to implement it.
The findings of this research are more beneficial for company management to improve the weak
areas and make their system more strong by applying some changes as per study findings.
The study will give a clear picture to the readers about TQM and better understanding about
implementation of TQM by management
This study will create awareness to top management of ERRA and propose their role towards
commitment in attaining the highest quality measure by implementing the TQM.
The study will try to encourage the employees in implementing TQM in the organization.
Before implementing TQM in the organization the management will be aware of the key terms and
benchmark about TQM.
2 Literature Review
What Is Quality?
The term quality has many meanings, in production we can say defect free products and in service
delivery we can say a service that meets the perception of a service seeker, in processes quality can
be error free and less or no rework, not only less rework but less wastage of inputs also, by
achieving all these quality product can be produced while lowering the cost.
To achieve quality in any organization; there are certain thumb rules which needs to be successfully
implemented, which are as under
Management Commitment to Achieve TQM
Continuous improvement in processes
Customer Satisfaction
Employee Involvement to
Training and education of Employees
Reward and recognition of Employees
“According to Sanjay L. Ahire, K.C. O’Shaughnessy, (1998) Customer focus, supplier quality
management, empowerment, and internal quality information usage are primary predictors of
product quality”
Management Commitment to achieve TQM is not only required but the VISION and DEFINATION
of quality is also required, it is the management of any organization who defines quality and
implements with the help of its employees by improving their processes by incurring over work and
reducing and eliminating rework which lowers the cost of the process or product which eventually
increases the profit of the organization and increases the satisfied customers.
The important thing in this perspective is employee involvement through which quality can be
achieve; but this needs proper employee training to handle processes and equipment, there are some
expectation of the employee also that while achieving TQM for the organization to increase profits
and customers there must be a reward bounding, which can be in the form of monitory reward, job
satisfaction, recognition in the form of certificate or employee empowerment; employee
empowerment means to transfer some of the decision making abilities to managers by this the
employees feel the responsibility and belonging to the organization hence increase productivity.
“Adrian Wilkinson, Peter Allen, Ed Snape, 1991 Suggests that TQM is consistent with a move
towards human resource management” Management Commitment to achieve TQM also involved
HRM policies, if there is high turn over in the organization due to the company policies, the morale
of the employees will be lowered and the productivity will decrease. It has been found that better
work environment has less impact on employees rather HR policies involving training and
development, performance and appraisal.
To achieve TQM within the organization the following above stated points must be implemented
successfully, since the study area of this research is “Top Management Commitment for
Implementation of Total Quality Management (TQM): A Study of ERRA” not only
commitment is required but the definition of quality has to be established by the management, to
seek a difference in the processes and product the management should also be aware of new
technologies and tools and enablement of Information technology in the organization to achieve
those goals.
“Ulrika Hellsten, Bengt Klefsjö, (2000) said that TQM as a management system consisting of
values, techniques and tools”
Before implementing TQM in the organization the top management should be well aware of
International standards like ISO, Six Sigma and BSI; the implementation of TQM should come
from top to bottom and the management should educated first the concepts of Quality and should be
motivated to implement in the organization, new technologies and equipment should also be
introduced with in the organization to achieve quality, machines cannot produce quality products it
is the man behind the machine who brings quality with in the product; but on the other hand an
expert operator cannot produce a quality product with outdate and unreliable machine so it is
achieved by a expert operator and state of the art machine to produce the quality product.
“Sanjay L. Ahire, Matthew A. Waller, Damodar Y. Golhar, (1996) described Quality management in
TQM versus non-TQM firms”
If the management is not committed to implementing TQM or haven’t the proper knowledge or
definition of TQM what ever the state of the art machine is provided to the operator or what ever
the incentive the worker is getting quality product cannot be produce and for this employees are not
to blame.
Organizations failed to achieve TQM in their products or services it is the management behind the
organizations failure who is not committed to achieve TQM.
“Edward W. Gore Jr suggests that TQM, requires business process reengineering: 1999”
With the change in customers demand and competition in with in the business the changes in the
technologies organizations are facing challenges to cope with all these internal and external factors,
organizations not investing to bring change or not focusing to the customer demand and only
focusing to the production numbers are going to fail. TQM focuses on the customers demand and
primarily focuses on the relation ship between customer and the organization.
Customers wants quality products at the less price which only can be achieve by implementing
TQM with in the organizational culture which needs a change in the behaviour of the organization
and only Management can bring this, because people are reluctant to change and tend to avoid
change due to the fear of job loss and replacement of other employee if he or she fails to deliver;
this can be achieve by management commitment only.
3 Research methodology
A theoretical framework is conceptual model of how one research theories makes logical sense of
relationships between different factors that have been identified as important to the problem under
study.
These factors which may also be called as variables may have been identified through such
processes as interviews, observations, and survey. The theoretical framework discusses the
Inter relationships between the variables that are considered to be integral to the situation being
investigated. Developing such a conceptual framework helps us to diagnose certain relationships
and thus improve our understanding of the dynamics of situation.
Whether a researcher uses a ready-made theoretical framework or explicates an entirely new one,
there are some essential features that have to be taken into consideration. These features may be
called as components of a theoretical framework
Data collection will be done on the basis of Survey and the employees of ERRA will be the
respondents of this research.
The study will used close ended questionnaires having five point scale
Strongly Disagree
Disagree
Neutral
Agree
Strongly agree
3.3 Participants
Survey will be conducted among the employees of ERRA with the sample size of at least 40
individuals including Managers and employees.
Random Sample were taken from the employees of ERRA as the aim is to conclude the results from
small proportion from the large community.
You have completed your study so why are you using FUTURE tense in it.
3.4 Data Processing & Analysis
After collecting the data from the employees of ERRA, it will further proceed and analyzed on
excel sheet for data analysis and data presentation. The study will use following statistic technique
to obtain the objectives of this research.
Mean technique for measuring questionnaires or response
Bar graph and table
4 Data Analysis
you are required to present your data analysis here and also interpret it in the form of
findings or summary of data analysis.
Conclusion
From the above study taken at ERRA
Recommendations
Limitations
References
1. Adrian Wilkinson, Peter Allen, Ed Snape, (1991) "TQM and the Management of Labour",
MCB UP Ltd “Employee Relations, Vol. 13 Iss”
2. Sanjay L. Ahire, K.C. O’Shaughnessy, (1998) "The role of top management commitment in
quality management: an empirical analysis of the auto parts industry"
MCB UP Ltd “International Journal of Quality Science, Vol. 3 Iss”
3. Sanjay L. Ahire, Matthew A. Waller, Damodar Y. Golhar, (1996) "Quality management in
TQM versus non-TQM firms: an empirical investigation"
International Journal of Quality & Reliability Management, Vol. 13 Iss
4. Ulrika Hellsten, Bengt Klefsjö, (2000) "TQM as a management system consisting of values,
techniques and tools"
The TQM Magazine, Vol. 12 Iss
5. Edward W. Gore Jr, (1999) “Organizational culture, TQM, and business process
reengineering: An empirical comparison”
Team Performance Management, Vol. 5 Iss