Total Quality (TQ) Model and Methodologies Paper

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TQM: Value Chain Analysis

Total Quality Management (TQM) focuses on quality and customer satisfaction. Being an expert in TQM gives me opportunities to show organizations the effective use of the different TQM models. I am tasked to determine the right Total Quality method to be presented and recommended to an organization for the purpose of incorporation into the strategic planning process. The chosen model should be compatible with the current strategic plans of the organization and it must increase internal and external customer quality. It is also essential that the chosen method benefits the organization financially, effectively, and efficiently and at the same time fulfill the needs of TQM. There are many TQM models available and the following is a list of TQM models and their description as explained by Bob Cook, Quality Assurance Leader:

- Continuous quality improvement (CQI) - a never-ending effort to expose and eliminate root causes of problems
- International Organizations for Standards (ISO 9000 & 14,000) - a set of international standards on quality management and assurance developed to help companies effectively document the quality systems elements to be implemented
- Six Sigma - a term used to indicate that a process is well controlled, meeting tolerance limits at +/-3 sigma (or standard deviations) from either side of the centerline in the control chart.
- Value chain analysis - the systematic use of techniques that identify a required function, establishes a value, and provides the lowest cost estimate for that function.
- Lean manufacturing or service - the production of goods using less of everything as its goals are focused on the reduction of waste, which results in improving the overall customer value. It goes for near perfection by decreasing and eliminating all possible defects and waste product (BusinessKnowledge.com).
- Theory of Constraints - The TOC International Certification Organization (TOC/CIO) defines Theory of Constraints as:
TOC is management philosophy developed by Dr. Eliyahu M. Goldratt based on the principle that complex systems exhibit inherent simplicity, i.e., even a very complex system made up of thousands of people and pieces of equipment can have any given time only a very, small number of variables - perhaps only one (know as a constraint) - that actually limits the ability to generate more of the system's goal.
- Just -in-Time (JIT) manufacturing is a strategy widely used in business manufacturing process which aims to reduce costs through the reduction of the in-process inventory level. JIT can lead to huge improvements in quality and efficiency and to higher profits and return on investment (WiseGeek.com).

Although there are various TQM models to choose from, the correct method should fit with the mission, vision, objectives, and goals of the organizations. I have chosen to discuss on the Value-Chain Analysis TQM model and its importance in the strategic planning process of the company. The reason I chose it is because it establishes a value and most importantly, it provides the lowest cost estimate for the function thereby giving the company the maximum profitability.

Value chain analysis is a systematic interdisciplinary examination of the factors affecting the cost of a product or service, in order to devise means of achieving the specified purpose most economically at the required standard of quality and reliability (Burke, 2007). The value chain approach was developed by Michael Porter in 1980s and its concept is value added which can be ...