Week 8

Question 1

What is Total Quality Management (TQM)?

Answer 1

Definition: A holistic approach to management focused on continuous improvement in all organizational processes.
Goal: Achieve zero defects and meet customer requirements consistently.

Question 2

Principles of TQM

Answer 2

Customer-Centric: Meeting and exceeding customer expectations is central.
Continuous Improvement: A journey of iterative improvements, not a one-time fix.
Employee Involvement: Requires input from all organization levels.

Question 3

Why is managing quality important for businesses?

Answer 3

Managing quality helps reduce costs, enhance customer satisfaction, and create future revenues​

Question 4

What are the four categories of quality costs?

Answer 4

The four categories are:
Prevention Costs: Costs to prevent defects (e.g., training, process design).
Appraisal Costs: Costs to detect defects (e.g., inspection).
Internal Failure Costs: Costs for defects identified before delivery (e.g., rework).
External Failure Costs: Costs for defects identified after delivery (e.g., returns).

Question 5

How does Total Quality Management (TQM) relate to quality improvement?

Answer 5

TQM is a holistic philosophy focused on continuous quality improvement in all organizational processes to meet customer requirements​

Question 6

What are the benefits of using non-financial quality measures?

Answer 6

Non-financial quality measures provide immediate feedback on operational improvements and help in long-term quality enhancement​

Question 7

Benefits of TQM

Answer 7

Improves customer satisfaction, reduces costs, and enhances product quality.
Promotes employee engagement through empowerment and accountability.