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MGT510 - Total Quality Management - Lecture Handout 37

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How Quality is implemented? A dialogue with a Quality Manager

After listening to the discussion on quality in Pakistan, we are happy that Pakistani managers are as concerned about quality in their companies as any country in the world. The globe is approachable by every customer now and we need to understand that a competitor can emerge from any where in the world over night.

Post WTO and internet based economy era put a lot of pressure on mangers to deal with customers of 21st century, who are more aware and are more demanding and want innovation their products or services and also at lower price.

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MGT510 - Total Quality Management - Lecture Handout 20

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BUSINESS EXCELLENCE MODELS

Excellence starts with ‘Marketing’

The ‘marketing’ function of an organization must take the lead in establishing the true requirements for the product or service. Having determined the need, marketing should define the market sector and demand. This will determine product or service features such as the grade, price, quality, timings, etc. For example, a major hotel chain, before opening a new hotel or refurbishing an old one, will need to consider its location and accessibility, before deciding whether it will be predominantly a budget, first class, business or family hotel.

Marketing will also need to establish customer requirements by reviewing the market needs, particularly in terms of unclear or unstated expectations or preconceived ideas held by customers. Marketing is responsible for determining the key characteristics which determine the suitability of the product or service in the eyes of the customer. This may, of course, involve the use of market research techniques, data gathering, and analysis of customer complaints.

Excellent communication between customers and suppliers is the key to total organizational excellence. This will eradicate the ‘demanding nuisance/idiot’ view of customers, which pervades some organizations. Poor communications often occur in the supply chain between organizations, when neither party realizes how poor they are. Feedback from both customers and suppliers needs to be improved, where dissatisfied customers and suppliers do not communicate their problems. In such cases non-conformance of purchased products or services is often due to the customer’s inability to communicate their requirements clearly. If these ideas are also used within an organization, then the internal supplier/customer interfaces will operate much more smoothly.

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