A Definition of Total Quality Management
Total Quality management (TQM) is defined as "a systems approach to management that aims to continuously increase value to customers by designing and continuously improving organizational processes and systems (Stahl, 1995, p. 4)." Consequently, TQM involves all employees and managers or executives within the organization; it extends backward and forward to include the supply chain and the customer chain. Stahl (1995) noted that as the term itself suggests, TQM is focused on managing the entire system, and not merely on subsystems or functional departments or business units. Thus, TQM is a comprehensive approach to enhancing the inherent value of a firm's products and, as significantly, its relationships with all stakeholders.
TQM recognizes both processes and systems. Processes are understood as groups of activities that take an input, add value to it, and then offer an output to an internal or external customer (Stahl, 1995). Systems are collections of processes and resources that combine to add value to the firm's products and to its overall worth. Based on this definition of TQM, one recognizes that the purpose of management is simply to provide value for the customer. One also recognizes that integration of activities and processes across functions and departments adds significantly to such value.
Stahl, M. J. (1995). Management: Total Quality in a Global
Environment. Cambridge, Ma.: Blackwell.
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