Total Quality Management - Management and Leadership

In this paper I will discuss the management and leadership roles and responsibilities in relation to Total Quality Management.

Within the past two decades, total quality management represents one of the most profound changes in the way companies are now being managed. According to Biech (1994), "Quality improvement (TQM) is a customer-focused, quality-centered, fact-based, team driven, senior management-led process to achieve an organizations strategic imperative through continuous process improvement" (pp. 1-2). The benefits associated with TQM includes higher quality, lower cost products and services that aligns with customer demands (Zbaracki, 1998). The ability of a company to respond to the needs of its customers measures the overall success of that company. Many organizations may ask the question, what is quality? As Hick (1998) explains, "quality is meeting or exceeding the needs and expectations of the customer" (p.1). What exactly are the expectations of the customers? It is now the responsibility of the organization to define those needs. Perhaps Biech (1994) provides a simpler picture, "Quality is the measure of satisfaction that occurs between a customer and supplier that only they can define. In other words, quality is what the customer says it is" (p.25). Yet according to Perigord (1987), "Total quality means that all participants in a company are involved regardless of their position in the hierarchy" (p.7). Basically making it seem impossible for quality to be successful if all members are not sharing in the same vision and/or goals.

Dr. W. Edwards Deming is well known for the introduction of the concept involving quality management. After World War II, Deming gained exclusive recognition throughout Japan, which later flourished to his homeland. During the early 1950's, Deming was invited to Japan to aide in he recovery of Japan's economy. Going through a period of economic hardship and declines, the Japanese Union of Scientists and Engineers (JUSE) called on Deming's expertise. In 1980, Dr. Deming introduced 14 key factors behind this idea of quality management. Gitlow (1994) notes the following as 14 points discussed in Deming's work, "Out of the Crisis". (see Appendix 1).

After Deming's success with his Japanese counter partners, many North American manufacturers began to focus in on the Japanese strategies. The Japanese not only adopted Deming's ideas for manufacturing, but also expanded them to include administrative and service industries. The implementation of quality concepts began to flourish along with the techniques that focused in on employee motivation, measurement, and rewards (Hick, 1998). During the eighties, quality improvement had yet again changed names and was referred to as Total Quality Management (TQM).

Hick (1998) also explains that the continuous improvement process should "be driven from the top, but implemented from the bottom" (p.2). Next customer focus, which involves the identification of who the customers are. When companies consider process improvements, they must know the people who will be using their products or services. Hick (1998) explains, "the starting point for quality improvement is to determine the customer needs" (p.3). As Allen (2001) also notes, "customer satisfaction is the hallmark of an effective TQM program" (p.5). It is wise for managers to encourage employee-customer exposure to effectively gain understanding of customer needs (Allen, 2001).

Walter Shewhart developed the PDCA (Plan-Do-Check-Act) cycle, which provides a methodology for process improvements. Many organizations may use this cycle upon the realization of the need for process improvements. The PDCA cycle is also known as Deming's cycle because Deming used this methodology to explain the concepts of continuous process improvements. This cycle consists of four important steps (1) Plan, which is used to determine the processes needing improvement, setting a target, and making all the key players in the effort; (2) do what involves the implementation; (3) check, which included comparing the pre and post improvement data. This step is also used to determine if the post improvement efforts have corrected the original problem; and (4) Act, which involves continuous monitoring of that particular process and moving on in areas that need further improvements (Biech, 1994). Including flow charts, organizations can also use cause and effect diagrams, run charts, and control charts as basic measuring tools.

The main concept behind Deming's quality theory was the creation of techniques and procedures for process control (Hick, 1998). The theory was expressed as the responsibility of the organization as a whole.

Almost every thought or action will be affected by implementing change such as TQM. The understanding must feed from the top and filter to the bottom. Every player must be touched with some enthusiasm for change. The old paradigms were the way Western Leaders were trained to act through traditions but now, Deming offers leaders a way to view the new paradigms as a long awaiting change. This new system of knowledge offers management four important but beneficial paradigms that will develop from the implementation to TQM. Paradigm 1 - Manage to create a win-win environment, not a lose- lose environment. Paradigm 2 - Manage to create intrinsic motivation, not extrinsic motivation. Paradigm 3 - Manage with a long-term process and results orientation, not with a short-term results-only orientation. Paradigm 4 - Manage to promote cooperation, not competition (Gitlow, 1994). "Leaders must recognize and accept their role to learn, live, and lead the transformation...they need to set the example - to exemplify the new principles in their own actions and reactions" (Biech, 1994, p.111).

With any major change, TQM efforts may fail with even the most full thought-out plan. The most important resource for any company is to research common mistakes made by other organizations. Biech (1994) list ten most common mistakes which varies from; (1) insufficient training at all levels, (2) executive team not leading the effort, (3) middle management was not involved early, (4) staff-driven, rather than line-driven, (5) customer focus is limited, (6) short-term expectations are too high, (7) impatience with long-term focus, (8) fear-based culture is not changed, (9) communication, reward, long-range planning systems not adjusted to the new way of doing business, and (10) implementation becomes the end, rather than the means. To prevent common mistakes, especially #10, Biech (1994) suggest that leaders who implement TQM should focus their attention on the following: (1) providing a unified focus, (2) implementing process improvement,