This website uses cookies to ensure you have the best experience. Learn more

Tqm And Global Competition Essay

837 words - 4 pages

Quality has become imperative as the economy has globalized. At each successive level and scale of competition, the quality of competing goods and services increases as competitors “one-up” each other to gain market share. Companies that used to compete only on a local, regional, or national level now find themselves competing against companies across the world, and many companies find the competition to be more intense than anything ever encountered. Today, only those who are able to produce world-class quality goods/services can compete; thus, it is imperative that an organization incorporates a vision of overall quality, known as Total Quality Management, or “TQM,” that permeates ...view middle of the document...

Often, a firm with a differentiation strategy can command premium prices and achieve higher profits. However, a firm that uses differentiation as its source of competitive advantage must make its products or systems difficult to copy. Often this involves culture, habits, and sunk costs.

Competitive advantage has been traditionally pursued through marketing and finance, which typically tried to pursue competitive advantage through an either/or approach to either cost or differentiation. Quality was a derivative of the strategic route chosen, which could fluctuate either way depending on whether you pursued cost leadership (typically quality suffered as costs decreased), or differentiation (quality was higher but costs increased); however, total quality, with a focus on people and its incorporation into a company’s central operating strategy, has shown that it can lead to improvements in both areas:

• Cost Leadership: Quality processes lead to fewer defects and scrap, which reduces costs throughout the process.

• Differentiation: In many industries, the presence of quality in its offerings may serve to differentiate a company, and, once attained to a certain level, can be very hard to replicate by competitors who do not embrace the same quality philosophy in their processes.

Thus, TQM can help create a stronger, more sustainable competitive advantage. The value of product in the marketplace is influenced by the quality of its design. Improvements in performance, features, and reliability will differentiate the product from its competitors, improve a firm’s quality reputation, and improve the perceived value of the product. This allows the company to command higher prices and achieve an increased market share. This, in turn, leads to increased revenues that...

Other Papers Like Tqm and Global Competition

Total Quality Management Essay

1816 words - 8 pages today still limited .The reasons are several but especially local networking between SME’s and long term training in quality methods have been identified as critical factors for successful implementation .In this era of global competition a company needs to apply new quality techniques in form of strategic management, quality assurance, quality systems, quality control etc. In other words organization has to implement the concept of TQM. This concept

Total Quality Management Essay

536 words - 3 pages goods and services is now forcing organizations to adopt proven quality management systems to stay ahead of the competition. TQM does not only impact product and service quality improvement, but it also covers other aspects of quality in the service sector. In terms of quality improvement of products, there are other important dimensions of quality: * Performance - how the product operates * Conformance - meeting the standards * Features

British Airway

4126 words - 17 pages  optimisation of the operation in the field of security services in the area of port facilities (Deniozos, 2012). The market driver indicates that future TQM development will be influenced by increasingly competitive and global markets, where competition will continually increase (McAdam & Henderson, 2004). In this scenario, TQM will play a key role in improving competitiveness through state of the art methodologies. In order words, when total quality

Total Quality Management Tqm

2481 words - 10 pages co-incidence, the last decade or more so even has witnessed a fantastical growth in TQM application among all the global companies spanning different continents let it be Asia or the Americas. (Dr. Hussien Ahmad Al-Tarawneh, 2011) suggested that: “TQM is a general management philosophy and set of tools which allow an institution to pursue a definition of quality and a means of attaining quality, with quality being a continuous improvement

Bus 101 Term Paper Tqm

3166 words - 13 pages Quality Management a Competitive Advantage in a Global Market Total Quality Management (TQM), Six Sigma, and International Standards Organization (ISO), are three of the processes or tools organizations need to compete and give them a competitive advantage in the global market of today and that will allow them to keep up with the ever changing World market in the future. Total Quality Management (TQM) is a philosophy that says that

TQM and ISO

1708 words - 7 pages  Team Reflection TQM and ISO Team Reflection TQM and ISO TQM and ISO Total Quality Management or TQM is a business strategy or system driven by customers, profit orientated, and people-centered (Richards, 2012). TQM is defined by its continual improvement, which is focused on the development of the processes and quality of the product. Quality is defined by the degree of excellence (Padhy, 2013). TQM pushes for excellence in

Impact of Tqm on Indian Pharma Industry-Synopsis

3789 words - 16 pages , pharmaceutical companies build their quality approach around Good Manufacturing Practices (GMP), Good Laboratory Practices (GLP), Good Clinical Practices (GCP) and their In- house Standard Operating Procedures (SOPs). Why Quality is important for pharmaceutical companies? – Stringent Regulatory requirements – Competitive market – Global competition – Technological advances – Emergence of generic product 5. OBJECTIVES: The objectives of this

Tqm Proposal

3894 words - 16 pages from time to time for the same customer and/or the same provider (John 2003). Total quality management (TQM) in the hospitality industry has risen to amazing levels due to preferences, customer behavior and competition to retain and attract new customers. This has resulted in the demand for quality service thus necessitating the need to implement TQM strategies to have a competitive edge over other players in the industry. Acceptance of TQM

Bpr and Tqm

3409 words - 14 pages productivity, and reducing costs to ease economic pressures. It focuses on total customer satisfaction through highest product and service quality at lowest life cycle costs to compete in the global environment. TQM stresses constant training and education, downsizing, and service value.   There are four essential elements of all definitions of TQM and these are: continual improvement, people orientation, quantitative methods, and, last but not

Tqm in Qp

863 words - 4 pages Quality management (TQM) is an important aspect of any given company’s welfare in business. It involves growth and development oriented business functions. The specific function must be identified, formulated, implemented and managed (Manley 457-484). Product and service quality is accounted for by the TQM department within the firm. A company which has hit the global arena like Qatar Petroleum needs to have critical and operational TQM measures

History of Quality Management

862 words - 4 pages not begin until the early 1980’s, when companies introduced their own quality programmes and initiatives to counter the Japanese success. Total quality management (TQM) became the centre of these drives in most cases. In a Department of Trade & Industry publication in 1982 it was stated that Britain’s world trade share was declining and this was having a dramatic effect on the standard of living in the country. There was intense global

Related Essays

Quality Management On Domestic And Global Competition

1337 words - 6 pages Quality Management on Domestic and Global Competition Allen Mukamusoni MGT/449 Saturday, March 17, 2012 John Dewey Quality Management on Domestic and Global Competition Lufthansa is originally from Germany, and is one of the world's largest airlines and an aviation group with a network of more than 400 subsidiaries around the globe, operating in six business areas: passenger business, logistics, maintenance, repair and overhaul

Effects Of Quality Management On Domestic And Global Competition

1669 words - 7 pages Effects of Quality Management on Domestic and Global Competition University of Phoenix MGT 449 February 29, 2012 Individual Effects of Quality Management on Domestic and Global Competition Paper

Effects Of Quality Management On Domestic And Global Competition Paper

829 words - 4 pages Total Quality Pioneers Luz Maria Maysonet-Román University of Phoenix MGT/449 Quality Management and Productivty Rebeca Rodríguez-Canales 6 de febrero de 2012 Total Quality Pioneers La calidad es importante, independientemente del producto o servicio. Muchas veces las empresas se centran en los beneficios en lugar de calidad para satisfacer a las partes interesadas. La calidad es tan importante como las ganancias cuando se trata

Total Quality Management Pape Essay

590 words - 3 pages Total Quality Management Paper Total Quality Management Paper Tara Edwards University of Phoenix MGT 449: Quality Management and Productivity Bob Allen, BSEE, MSSM December 16, 2009 In this paper the discussion will describe the definition on Total Quality Management or (TQM) and the effects of Quality Management on domestic and global competition. Some examples of TQM application concepts will include an explanation of why a