Effects of Quality Management for Organizational Excellence Nowadays the concept of quality management is emerged as a significant business practice that everyone wants to adopt in concern to his or her business operations for making them more effective and customer-oriented. By adopting quality management, “companies have become able to ensure quality in their products and services,” (The Importance of Quality Management, 2010).
A number of quality management programs are available to entrepreneurs like Six Sigma, Theory of Constraints, and Total Quality Management. Even though the approach to resolving quality issues differ with the different quality management programs but the goal of every “business remains the same to generate a high quality, high-executing product or service that conforms to and passes the customers’ expectations,” (The Importance of Quality Management, 2010). This business practice of quality management is significant to companies for a number of reasons.
In this paper, the concept of quality management will be discussed in terms of its effect on two different organizations among which one operates in domestic market and another in international market. The companies chosen to manifest the effects of quality management are American Airlines that operate domestically and Lufthansa Airlines that operates globally. Process Similar in American Airlines and Lufthansa Both the American Airlines and Lufthansa are the most well-known airline companies in the industry.
Both the companies are performing exceptionally doing well in regard to improving the business operations and services. An extensive process, which is identical in both the selected companies, is the application of Total Quality Management for operational superiority and improving services. Both the companies apply TQM in the service management in the following manner: 1. Both the companies assume a quality control program for building a successful service process along with suitable quality and scheduling measures.
In addition to the quality control program these companies also adopt specific quality policies and plans, which are considerably affected by company’s top and middle level management. 2. Consequently to the adoption of quality control program, both the companies undertake a detailed evaluation program that “aid them in evaluating the features of the service and product provisions along with the configuration of criteria on the basis of the customer’s orientations and his or her own budget,” (Total Quality Management: A Continuous Improvement Process, 1996). 3.
Subsequently, the company “management formulates a program that necessitates the selection of proper measures, review plan, and setup process of checking out,” (Oakland, 2003). This program is prepared by the middle management but is approved by top management in both the companies. 4. Afterwards, the management of the “company establishes the essential processes through which deviations if any in existing delivery system can be identified,” (Luthans, 1998). At this level of the process middle management plays a key role as, each are experienced to understand the deviations and interpreting the significance to lower level employees.
By understanding the subsisting deviations they can easily resolve all the problems at initial level. 5. Following the identification of deviations, both the companies adopt a method to correct its existing deviations. This can be done successfully by identifying the industry services and requirements presented by competitors. This would be the most critical step in the TQM applicability in both companies as this would only be possible for companies to attain an imperative position in the industry by offering advanced and high quality services. . In the end, both the companies try to “incorporate their efforts in terms of quality control, quality enhancement, and quality assurance so they can come proficient in serving their customers with the superior and high quality services more than that they had expected,” (Luthans, 1998). Significance of Improving Quality With the adoption of total quality management both the companies have become able to develop a culture and set of values and principles coupled with continuous improvement.
This highly developed culture assists both the companies in “developing an effective service management system that in turn facilitate in effective service delivery that meets with the expectations of customers,” (Harvey, 2008). By applying TQM American Airlines has been able to understand the need of the United States customers and delivering services accordingly. The situation with Lufthansa is similar since it followed the TQM it has become more knowledgeable in fulfilling the needs of diverse customers.
This airline company has also been able to attain a “well-known position throughout the world by understanding the preferences and needs of diverse cultures,” (Summers, 2008). The company’s Quality Management go-aheads serve as an ensuring and self-confidence system for its service quality that has explained more than its motivated goals and the market position. Affect of Quality Management on the Positions of the Companies The quality management go-aheads of both the companies have facilitated them in promoting a reflected approach to their management and at the functional level.
This approach of the companies helps them in transforming their business operations according to the requirements of the industry and its customers. With the help of TQM, American Airlines has attained a considerable position in the country and its image is “highly affected by this quality-oriented approach of it,” (Harvey, 2008). This approach has facilitated it in transforming its service system according to the demands of the customers. On the other hand, Lufthansa’s position is also positively affected by TQM in term of its growth in number of other nations.
References Harvey, G. (2008). Management in the airline industry. Routledge. Luthans, F. (1998). Organizational Behavior (8th Ed. ). New York: Irwin McGraw-Hill. The Importance of Quality Management. (2010). Retrieved from http://www. ehow. com/about_5377881_importance-quality-management. html Summers, D. C. S. (2008). Quality Management: Creating and Sustaining Organizational Effectiveness (2nd Ed. ). Pearson/Prentice Hall. Total Quality Management: A Continuous Improvement Process (1996). Retrieved from http://www. foundation. phccweb. org/Library/Articles/TQM. pdf