Advantages of TQM.
Cost reduction: Applied consistently over time, TQM can reduce costs throughout an organization, especially in the areas of scrap, rework, field service, and warranty cost reduction.
Customer satisfaction: Fewer complaints may also mean that the resources devoted to customer service can be reduced.
Defect reduction : Improving quality within a process done by TQM, rather than inspecting quality into a process. Reduces necessary to employ a team of quality assurance personnel.
Morale: The ongoing and proven success of TQM, and in particular the participation of employees in that success can lead to a noticeable improvement in employee morale, which in turn reduces employee turnover, and therefore reduces the cost of hiring and training new employees.
Disadvantage:
Resistance to Change: Workers may feel that their jobs or occupations within the company are at risk under a comprehensive TQM program, and as a result, they may be slow or resistant to making the necessary changes for the TQM program to work properly. In addition, skilled workers may be lost as they decide to leave because of their unease at the direction that things are headed within the company, or they may not implement things properly, causing increased costs.
High Cost of Time: The high cost of implementing a TQM program, and the fact that it may take several years for the program to be fully implemented before results and benefits are seen, can be a huge disadvantage to a TQM program, especially in today's uncertain economic conditions.
TQM should be considered a long-term investment.
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3. Contrast the mindset of management under total quality and more traditional management structures with respect to employees, manufacturing, and leadership.
4. Discuss the impact that implementation of a Total Quality Management (TQM) approach can have in the purchasing function.
5. Discuss the role of the purchasing department of a manufacturing firm in achieving