It is known that many organizations in the USA are now performing well in terms of quality. This may have an impact on European organizations that do not prioritize quality improvement. The US companies have succeeded in distancing themselves from Japanese organizations, gaining a competitive advantage in their domestic markets. They are now poised to expand into Europe, where companies are just beginning to embrace quality improvement.
According to Alic (1988), quality has become a necessity for many European companies and failure to prioritize it will put them at risk of being outperformed by the United States and Japan. In the pursuit of better quality, American organizations did not simply emulate the Japanese approach, but instead factored in the country's cultural nuances to implement comprehensive quality standards across all their operations. This approach helped establish a unique quality culture within these organizat
...ions. Despite this, many European companies still view quality as an expensive and challenging goal to attain. Certain traditional British organizations even believe that investing further in quality beyond a certain point offers diminishing returns.
The cost of eliminating all errors may seem unjustifiable compared to the savings made. However, overlooking quality as a strategic issue and failing to comprehend its broader nature can lead to consequences such as customer dissatisfaction and loss of market share. Organizations that have achieved quality excellence, on the other hand, report increased productivity and reduced costs due to quality production processes or service operations that cover the investment required. It is a common misconception that quality only concerns objects, but banks, hotels, and retail shops understand that quality of service is a critical factor in retaining customers.
Manufacturing companies ar
realizing the importance of providing quality service to retain customers. They recognize the need for well-trained, helpful, and knowledgeable staff across all roles, not just those directly serving customers. According to Beer et al (1990), a proper quality management structure is necessary to address these misunderstandings. Total Quality Management (TQM) provides a practical approach and philosophy to achieve growth and survival by improving service and product quality while meeting customer needs at a competitive cost. The TQM process includes following seven basic rules of action based on guiding principles and actions. Establishing a quality company offers immense rewards, including stable market share earned through genuine customer goodwill rather than gimmicky advertising.
By prioritizing quality, companies like Marks ; Spencer and British Airways have achieved growth, profitability, and a positive image. Any company in any industry can replicate this success by implementing total quality management with a serious commitment to meeting customer requirements. Creating a quality company requires unwavering dedication from top management, strong leadership, and a willingness to listen, learn, and make changes based on feedback from any source.
Starting with quality improvement across the entire company can be daunting for a Managing Director, who may find little comfort in the teachings of quality gurus. Simply deciding where to begin can be so difficult that they may never even get started, a condition referred to as 'Total Quality Paralysis'. However, there are ways to overcome this issue, as demonstrated in a recent company experience. In 1988, the ICI Chemicals ; Polymers division examined the perspectives of three prominent quality experts to enhance their own quality improvement process.
E. Crosby, Juran, and Deming were all from the United
States and had a client-focused approach. Crosby's approach emphasized (a) preventing defects, (b) recognizing individual stress, (c) having a clear customer focus, and implementing an education program for all employees. Juran's method focused on diagnosing and solving problems through a project-based approach with emphasis on continual improvement. Deming's emphasis on measurement and the significance of education was also aligned with ICI culture.
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