Extent of Total Quality Management Implementation in Hospitals - Research Paper Example

The business world has changed over the past decades. In particular, globalization has increased competition within the manufacturing and service sector. Competition is nowadays considered to be more challenging than any other time before (Ooi et al., 2011). The new challenges mean that businesses must also change to deal with competition. One approach organization can adopt to become competitive is to restructure the operations, culture, and operations and adopt systems that are customer focused to deliver quality and meet the satisfaction of the clients (Yasin et al., 2004). Therefore, the ability to deliver excellent quality to the customers is key to surviving and being globally competitive (Handfield, 1993; Jagadeesh, 1999).

Importantly, the delivery of excellent quality increases customer satisfaction and improve the performance of the organization (Sayed, 2000). Implementation of quality strategies such as TQM is one-way organizations are seeking to deliver quality services to the customers. The basis of TQM is to develop organizational culture and attitude, which is committed to satisfying the needs of the customer by providing products and services that match the demands of the customers (Dahlgaard et al., 1998). Notably, this management practice started in the 1950s but has gained in popularity since 1980s (Blackmon, 2005).

In the management circles, TQM acronym is used widely within the management it is a buzzword. The focus of the practice is quality, with defects and wastage in the processes being eliminated or minimized (Hashmi, 2010). Notably, this gives the organizations efficiency and cost benefits because they cannot only produce products of high quality but also cut on the costs of rework and wastages. The method allows collaboration between management and employees. The collaboration ensures continuous improvement of quality in the manufacturing of goods and provision of services (Talib & Rahman, 2013).

Consequently, managers widely accept TQM as an essential method of instituting change in an organization to enhance quality (Arumugam et al., 2009). Another contribution of TQM is in management practices (Prajogo & Sohal, 2003; Hoang et al., 2006). The new millennium saw a dramatic rise in the customer demands and expectations in service. The customers have not spared the healthcare sector from increased demands and expectations. Healthcare sector is important for every member of the community.

Therefore, ensuring efficiency and quality in the delivery of services is not only demanded but also desired. Over the past 25 years, the operation costs in the healthcare sector, especially in the hospital, have been growing, and this trend is expected to continue (Yang, 2003). Comparative analysis data of over 30 countries in Europe presented by OECD (2003) shows in 2001 healthcare accounted for 8.4% of GDP in the European countries. Similarly, in the United States, the health costs have escalated, with expenditure reaching $1.

6 trillion in 2002, which was a 93% increase on the previous year (Cowan et al., 2004). Notably, for consecutive four years, spending on health has grown faster than the economy (Cowan et al., 2004). In developing countries, hospitals take the largest share of public health resources and absorb more recurrent government spending on health (Sayed, 1998).