Contemporary Management - Assignment Example

Companies that have employed the excellence tool have reported increased agility, reduced costs, increased sales, and increase in people or personnel. Although the changes may not be visible immediately, it does not take more than five years for a company to report profitability and improved performance. The paper ends by urging companies to develop performance monitoring and increase strategies that include the use of EFQM. Over the years, the number of companies using organisational evaluation to identify and advance their competitive position to cope with the ever-evolving milieu has been on the rise.

Since the EFQM model came into existence in 1992, its use in companies across Europe as an outline for organisational self-evaluation has increased (Morden, 2004, p. 132).The model is now a popular self-assessment tool all over Europe, as capital markets all over the world are developing increasing attention on the potential earnings and anticipated earnings of cooperate organisations (Hakes 2007). The model lies at the centre of evaluation attracting a host of reactions as to whether it is essential in influencing the bottom line of organisations.

Understanding the dynamics of this model is important to many to understand its place in organisation’s self-assessment. This report assesses a wide range of literature and data to highlight the importance of the EFQM model to highlight its importance in organisations. The European Foundation for Quality Management (EFQM) Excellence Model stands as a basis for self-assessment and has a long and rich history. EFQM is a derivative of Total Quality Management along with other performance frameworks such as the Malcolm Baldrige National Quality Award (MBNQA, together with the Deming Prize (Boulter et al. 2013, p.198).

It is used to attain the national awards such as the European Quality Award by external review started after its introduction by presidents of several