Module 3: Flow of Activities to Achieve Total Quality Management Flashcards
— a process or series of continuing and related activities
— involves and concentrates on reaching organizational goals
— reaches these goals by working with and through people and other organizational resources
The Management Process
1) Planning
2) Organizing
3) Leading
4) Controlling
-The key functions in the management process are connected but not always linear. (You don’t have to follow them in a certain order)
4 Functions of Management
→ process of setting goals and deciding how to achieve them
→ defining the organization’s vision and mission
→ setting goals and objectives
→ strategizing
→ plan of action to achieve goals
Function of Management: PLANNING
→ process of allocating and arranging human and non-human resources so that plans can be carried out successfully
→ formulate the organizational structure
→ resource allocation
→ job design
Function of Management: ORGANIZING
→ process of influencing others to engage in the
work behaviors necessary to reach organizational goals
→ leadership and direction
→ motivation
→ coordination and communication
Function of Management: LEADING
→ process of regulating organizational activities so that actual performance conforms to expected organizational standards and goals
→ process and standards
→ review and evaluation
→ corrective action
Function of Management: CONTROLLING
— one of the most important factors for the success of an enterprise
— without them, a business cannot exist. But to capture customers, a business must try to find out what people want, how much and how often they will buy and how their post-purchase satisfaction will be ensured
Customer
→ within the company the colleagues working together for delivering a service or product for the external customer
Type of Customer: INTERNAL CUSTOMER
→ may be an individual or an enterprise that hires or purchases the product(s) or service(s) from another person or business in exchange of money
→ also influences the sale of the product or service
Type of Customer: EXTERNAL CUSTOMER
— the process is defined as a set of interconnected activities that result in a product or a service to be offered to a customer
— thus, their relation is of critical importance; the result of one
activity (the process) directly affects the other entity (the customer)
— For example, all the customer complaints are analogous to
process variation. If variation that is nonconformance to the quality standards occurs, it will ultimately affect the quality of the end product or service. Therefore it is important to keep a
strong check on this aspect
Relation of a Process vs Its Customer
— not an objective statistics but more of a feeling or attitude
— if a customer is happy with a product or a service it has hired or purchase, they will pay their bills promptly, which greatly improves cash flow-the lifeblood of any organization
— customers that are satisfied will increase in number, buy more, and buy more frequently
— although there some statistics we can use to measure customer satisfaction, feelings and attitudes are subjective
Customer Satisfaction
— many companies approach customer satisfaction in a narrow
way by confining quality considerations to the product alone
— whereas service connected with the product are frequently overlooked, such as packaging, timely and accurate shipping and ability to meet deadline matters
— customer define quality in terms of their overall experience with the company
Defining quality with respect to customer satisfaction process
— means losing a business
— occurs when an unhappy customer decides to stop hire or purchase your services or products and decides to find some other suitable alternative that satisfies its needs which your organization failed to deliver
— caused by poor service quality, which in turn have a substantial impact on cost or profits
— in service sector, employees customer interaction influences satisfaction more than actual product or service obtained
Customer Defection
- achieved through good human resources management practices and organization development methods such as team building, job development, and empowerment
Employee Retention
→ Develop key indicators that drive customer satisfaction
→ Collect data regarding the perception of quality received by customers
Key Indicators Used to Measure Customer Satisfaction