THE IMPACT OF TOTAL QUALITY MANAGEMENT ON CORPORATE PRODUCTIVITY

CHAPTER ONE

INTRODUCTION

1. 1. Background of the Study

Total quality management can be defined as a strategy for improving business performance through the commitment of all employees to fully satisfying agreed customer requirements at the lowest cost through the continuous improvement of products and services, business processes and the people involved.

Deleforge (2000) also pointed out that total quality management is concerned with the management of all aspects of quality services provided to the customer. This includes quality of goods delivery price of services, quality of promotion and merchandising. The importance quality to an organization cannot be overemphasized because of it attribute to the fact that quality determines to a large extent, productivity, customer satisfaction, profit and other key performance element to an organization.

Total Quality Management (TQM) is one of the approaches used to enforce quality in the system and process of and organization as a concept, it sees the participation of all and sundry. Organization in the pursuit of quality so as to ensure customer satisfaction and organizational and societal benefit. The rationale behind the total quality management (TQM) concept is that, since a major objective of most corporate organizations (especially the profit concerns) is to gain and maintain competitive advantage every key elements that has a direct bearing on the achievements of that goal is to be accorded priority attention, among these elements is a quality as it is central to the organization’s competitiveness.

The concept of TQM view that, to achieve and sustain competitive advantage. A firm has to be at the best (optimum productivity) and on the other hand, the expectation of customers has to be met or satisfied. For the reasons quality which is true fundamental element in the productivity index assessment has therefore become and remain a business of all within the firm as it has direct linkages to both productivityand customers satisfaction problem surrounding the status of a company’s competitiveness cannot be in connected with it product performance that how well a product deliver to expectation, largely determines how competitive the company become.

1.2    Statement of the Problems

The continued effort of firm to grow and improve their performance, both internally and in the market place is constantly being challenged by a number of fundamental issues, for firm to perform credibly important key elements of its internally processes has to be looked into in relation to its market role and relevance, crucial among these basic is the subject of quality.

Quality represent a key component of the productivity index and even so the external performance or position of the firm in the market place.

The problems or challenges associated to quality for a firms to continues to be complex one. The question of these hastens firm fared in regard to quality is almost answer immediately by assessment of the revealing each firms position in the market place that begin to come to tire is how these firm see quality, has quality been properly defined as expressed in their processes and output? In what aspects are the firms internal processes adding the achievement of quality and which are the area in which they are lacking? What is the extent of their measuring to customers, requirements and expectation? The concept of total quality management (TQM) is an approach intended to inculcate a total quality orientation at all levels of the firm where quality is intended to achieved first and always how has this concept fared in the firms, in terms of applicability? Are the strategies, technology and culture and also training and development of organizational members of the organization duly impacted by the concept? What is the productivity assessment of the firm saying in regard to output on quality and firms competitiveness? A proper look and review of the perception, processes and applications of quality and the TQM concept would help to revise specific problems area as related to the subject in the firms and further suggest relevant approaches to solve them.

1. 1. Objectives of the study

The objectives are as follows:

1. To identify the need for total quality management in an organization.
2. To identify the extent to which total quality management is being applied in the organization
3. To identify how total quality management control reduce cost of product and services
4. To identify best strategies of the TQM concept that ensures quality, productivity and competitive advantage for firm.

1. 1. Significance of the study

This research will be of much significance to address the following problem.

Setting up a standard of quality measurement system in the organization which has really affect the operation of the organization, and also lack of effective leadership of the organizational members, which can be attributed to total quality management in the organization.

This research work will also go a long way to help the organization the research work is carried out for them to compete globally in the market; it will also be of immense contribution to future researcher the similar study.

1. 1. Research Questions
2. What are the needs for total quality management in the organization?
3. What are the extents to which total quality can be applied in the organization?
4. How can total quality management control reduce cost of production and service?
5. What are the best strategies that total quality management concept that ensures quality productivity and competitive advantage?

1. 1. Scope of the study

The scope of the study is concerned about the impact of total quality management on corporate productivity in Nigerian Bottling Company Kaduna, which is limited to what is happening in the Nigerian Bottling Company plc, Kakuri, Kaduna from 2004 to 2010.

1. 1. Limitation of the study

In carrying out this research, the researcher are facing some problem and they are as follow:

One of the limitation face by the researcher is the time constraint, being the most serious and precious assets, coupled with the fact that it waits for no one, the researcher had no time owning to the fact that there are other numerous task and obligations to meet.

Another problem face by the researcher is finance the work was limited due to lack of enough money that will have enable me to do a more thorough job there, was limited to the level that the resources at my disposal permits.

Another problem face by the researcher is getting attention of the people the researcher intended to sample. When trying to ask question in the organization you are carrying out your research some people will not give you attention when you are trying to ask them question they don’t answer you.

1. 1. Definition of terms

Management: this is the art of coordinating the element of factors of production toward the achievement of the purpose of and objective through the use of human labour, materials and machines.

Total quality: this is performance superiority in delaying customers.

Quality management: this is a management approach which advocates the integration of quality into organization’s strategy business plan.

Quality: this is an act of confirming to the client requirements. Quality is the ability to meet the requirement of customers, now and in the future at a lower over all cost.

Total: this means the summation or association of everybody with the company and its operations activities produces or services.

Quality control and assurance: this has the primary concern that all product and services are offered and given appropriate quality standards.