Total Quality Management and Strategy Integration
Essay Preview: Total Quality Management and Strategy Integration
Report this essay
A functional competitive advantage of a company arises when there is an incorporation of its strategic formulation procedure as well as its total Quality Management even though several strategy authors vary on the appropriate strategy for attaining a workable competitive advantage by overlooking the significance of total quality management in developing significant strategies. This article suggests that companys experience step-by-step phases at attaining a complete incorporation of total quality management and strategy. The theoretical foundations of the suggested model comprise of structural life cycles, phases of quality development and models that describe how the strategic management evolved. (Calingo L. M. R., 1996)
This article suggests that quality in strategy integration according to Schonberger R.J. (1992) has a practical aspect and a process aspect. The Practical aspect takes place when top executives translate the basics into 4 strategic development goals:
(1) Constant development in quality products and services;
(2) Better receptiveness from growth through producing and sales
(3) Better flexibility at regulating the needs of customer needs
(4) Improved quality aids cost
While, process aspect arises when quality planning efficiently oversees the companys goals and strategic organization procedures.
Crosby (1979) showed how a five year duration could affect the improvement of quality by estimating how a firm can reduce the cost of quality from sales of 20% to 2.5%.
The technique of integrating strategy formulation and TQM is on its own a demanding procedure. This article suggests that this type of integration advances simultaneously and changes at different degrees. This evolution is categorized in relations to 5 progressive phases; and each phase is by amassed loans over its predecessors. (Calingo L. M. R., 1996)
The model recommended in this article undoubtedly needs to be developed and verified over a number of companies in different phases of quality development. This will strengthen the models rational validity and how best it can be used as a planning tool to handle matters that pertain to strategy and quality in individual firms. (Calingo L. M. R., 1996)
Once the model has been validated empirically, it would be appropriate to investigate the types of strategies and processes which have effectively driven firms from one phase to the other. One of such is a possible strategy to invest in quality training which has the prospect of increasing a companys progressive processes. A similarly important addition is to classify the particular obstacles that hinder the firms movement through the different strategy and quality integrations. The interaction of these hindrances and organizers