Problems in Total Quality in Workplace - Assignment Example

Problems in Total Quality in Workplace Abstract Top decision makers in organizations strive to put in place the mission, strategy and goals that would guide an organization. Performance improvement professionals have increasingly input their efforts to maximize productivity and thus the performance of organizations. Total Quality is one of the techniques commonly employed to improve performance at workplace. Giving a background description of Total Quality, this paper evaluates the associated problems, basing its findings in the automobile industry. Introduction The dynamic environment presented in the modern business operations creates turbulence which directly impacts on the performance of organizations which determines the survival of such organizations. As such, organizations look for appropriate ways to manage such dynamic turbulent conditions and win over. One of the ways to do this would be through improving quality, which Narasimhan and Kannan observe that when organizations start “improving quality, it improves everything” which in the long run makes them “stay in business” (2011, p.445). The researchers define quality as a continuous process where organizations build and sustain relationships through assessments, anticipation and fulfillment of stated and implied needs. Over time, organizations have grown towards Total Quality, a concept that has shaped itself into a critical concept in strategic management. Total Quality refers to the attitude, culture and organization of a business entity striving to provide its customers with services and products satisfying their needs. This requires quality in all the operations of an organization with processes being executed right first time and waste and defects reduced from operations. Together with quality tools, management tools - cumulatively referred to as Total Quality Management - play a critical role in the reduction of wasteful practices and increasing business. Morfaw (2009) defines Total Quality Management as a philosophy or approach aimed at meeting the needs of customers and their expectations involving employees and managers through application of quantitative methods that would continuously improve the products, services and processes in an organization. This combines the elements involved in both strategic management and sustainability in a single platform so as to ensure organizations survive longer. The nature of total quality makes it strategic: aims at organization’s long term survival; perceives organizations as open systems with change as the only constant; and it is also futuristic by nature (Narasimhan & Kannan, 2011). Total Quality and Performance Total Quality plays a critical role in ensuring improved performance. In their Malaysian based study, Zardy and Yusof (2006) observe that total quality empowers people so as to improve the performance of organizations and create satisfied customers. Similar observations have been made by Arumugam and Mojtahedzadeh (2011) in their study on Iranian automotive industry, appreciating that total quality, just as quality positively impacts on performance improvement. The researchers affirm that indeed, effective quality implementation results in performance improvement. In the automobile industry, Ford and Toyota motor companies have been largely credited for their success in adoption of TQM so as to post increased performance. Ford, for instance, responding to Japanese superior car imports, adopted Total Quality processes in 1980s which saw its quality greatly improve thus catapulting it to being US’ most profitable automotive company (Raisinghani, Kaiser & Abdulovic, 2011). To measure organizational performance, then, market share, profit and customer satisfaction would be determined. Even though organizations that adopt total quality strategies would be motivated to succeed, Morfaw (2009) observes that they would often be exposed to factors that cause these efforts to struggle or completely fail. The Problems Cost has been a major challenge for Total Quality sustenance with the need to balance between high quality and cost savings. Focus on provision of low cost products has often resulted in production of low quality products with the inconvenience of scrap, rework and even warranty expenses. In the automobile industry in particular, Arumugam and Mojtahedzadeh (2011) observe that the warranty cost could be detrimental to an organization’s performance due to the work involved in fixing defective vehicles. With excessive recalls, such organizations suffer so much loss. Furthermore, the biggest of the costs would be the damage on the company’s reputation and image which would cause fears on the quality of the organization’s products among its customers. Despite organizations arguing on cost reduction negatively impacting on quality, automobile manufacturers Toyota have counteractive experiences. According to Arumugam and Mojtahedzadeh (2011), Toyota produces low cost products for its customers while maintaining the required quality standards. The approach it takes shifts from the normal direct reduction on input to collaboration with suppliers who reduce the cost of their supplies by 3% annually for Toyota. Each month, the company engages each employee to give an idea on cost reduction and quality improvement which has enabled the company to reap positively from its TQM. In addition, its Lean Production strategy minimizes waste from which savings go into improving the quality of its motor vehicles. But the recent recall of its cars and interrupted production greatly influenced its performance (Raisinghani, Kaiser, & Abdulovic, 2011). Ford also suffered from the challenges of balancing between cost and quality. After successfully improving its quality, it shifted focus to cost savings in 1990s consequently causing a decline in its customers’ satisfaction. The second major challenge facing Total Quality, this one particularly in its implementation would be the lack of involvement of employees. According to Arumugam and Mojtahedzadeh (2011), such approaches as Total Quality in an organization would be engineered and implemented by the top management without consultation with all levels of employment. Most of them would adopt the strategy as it has been done in other organizations, commonly copying the practices of the Japanese organizations known to be successful in Total Quality. Therefore, the understanding of its employment becomes low causing low commitment and early abandonment. To curb this, there would be need for employee empowerment at all levels so that they make appropriate decisions on quality. With proper communication channels adhered to, TQM would indeed strengthen the objectives so desired by the management. Supporting this postulate is the observation by Raisinghani, Kaiser and Abdulovic (2011) in the Japanese context where success of the automobile industry has been attributed to worker involvement. With the strong sense of teamwork, workers would strive to come up with new ideas and make decisions in accordance with the team’s principles. A similar approach in Korea has enabled Kia to maintain high standards of quality. Closely related to this would be the problem of organizational culture. The organizational culture emanates from within people and would be put together to reward their common capacities, giving the group an identity and continuity. Culture could balance contrasting contributions, operating as a self steering system which learns from feedback (Arumugam & Mojtahedzadeh, 2011). As a pattern of information, it facilitates exchange of understanding. With a desirable culture, implementation of the principles of Total Quality becomes viable thus improving performance. This has been the reason for success in the Japanese motor industry, notably Toyota who shared in the culture of low cost, high quality production. Through its Kaizen approach to production, workers would look and learn and pass on the learnt skills to its overseas subsidiaries, though this has greatly faced the challenge of difference in cultures. Finally, Total Quality suffers the problem of organizational structure. An organization is said to be a system which includes inputs, activities which include people and technology and outputs. For effectiveness and this improved performance, organizations would be required to have an appropriate structure. The components making up organizational structure include centralization, formalization and complexities. These components have been said to deter the successful implementation of Total Quality practices (Raisinghani, Kaiser, & Abdulovic, 2011). Complexity increases formalizations which weakens communication in the organization and lessen employee satisfaction. This dissatisfaction in turn reduces the involvement of such employees in Total Quality programs leading to low performance. Appreciated as a system, therefore, organizations work in an interrelated manner. Conclusion Organizations have widely adopted Total Quality processes to ensure that they meet their customers’ needs. Despite the challenges of balancing between cost and quality, exclusion of employees during implementation, problems in organizational culture and its structure, it remains a widely adopted tool that ensures improved performance. Its implementation has been largely attributed to the Japanese automobile industry with many more organizations adopting the strategy. References Arumugam, V. C. & Mojtahedzadeh, R. (2011). Critical success factors of total quality management and their impact on performance of Iranian automotive industry: A theoretical approach. European Journal of Economics, Finance and Administrative Sciences, 33, 25 – 41. Morfaw, J. N. (2009). Total Quality Management: A model for the sustainability of projects and Programs in Africa. Maryland: University Press of America. Narasimhan, S. & Kannan, V. (2011). Total quality management as the foundation of sustainability – turning a new leaf. European Journal of Social Sciences, 24(3), 444 – 451. Raisinghani, M., Kaiser, J. G. & Abdulovic, T. (2011). Theoretical quality management frameworks in today’s business: An automobile industry application. Proceedings of Information Science & IT Education Conference. Retrieved 12 February 2013 from http://proceedings.informingscience.org Zardy, H. R. & Yusof, S. M. (2006). Total Quality Management and Theory of Constraints implementation in Malaysian automotive suppliers: A survey result. Total Quality Management, 17(8), 999 – 1020. Read More