Total quality management

Total Quality Management (TQM) is a management approach in which all members of an organisation participate in continuously improving processes, products, services and culture, so as to achieve long-term customer satisfaction. It focuses on the whole organisation, not only the quality department. It grew from the work of Deming, Juran, Crosby and Japanese practice.

Principles of TQM

1. Customer focus: quality is defined by the customer.
2. Total employee involvement: everyone is responsible for quality.
3. Process-centred approach: manage activities as processes.
4. Integrated system: all departments aligned.
5. Strategic and systematic approach: quality built into strategy.
6. Continual improvement (Kaizen, PDCA).
7. Fact-based decision making using data and statistics.
8. Communication across all levels.
9. Leadership commitment from top management.
10. Supplier partnership.

Key tools

PDCA cycle, seven quality tools, benchmarking, quality circles, Six Sigma, 5S.

        Customer satisfaction
              ^
 Leadership -> Process -> Employee involvement
              ^
     Continuous improvement

Deming's 14 points (examples)

Create constancy of purpose, adopt new philosophy, cease dependence on inspection, drive out fear, break barriers between departments, institute training.

Benefits

• Fewer defects, less rework and lower cost.
• Higher customer satisfaction and loyalty.
• Better employee morale and teamwork.
• Competitive advantage.

Limitations

Needs long-term commitment and cultural change, can be costly and slow to show results.

TQM in projects

Project quality management applies TQM ideas: prevention over inspection, continuous improvement and customer focus.

Example: A software firm using TQM holds regular reviews, trains all staff in standards, analyses customer complaints and updates its processes each quarter.