B A 360 Chapter Notes - Chapter 6: Malcolm Baldrige National Quality Award, Total Quality Management, Quality Management System
Document Summary
Managing quality helps build successful strategies for differentiation, low cost, and response. Improvements in quality help firms increase sales and reduce costs, both of which can increase profitability. Increases in sales often occur as firms speed response, increase or lower selling price, and improve their reputation for quality products. Quality affects the entire organization from supplier to customer and from product design to maintenance. Building an organization that can achieve quality is a demanding task. Organizational practices > quality principles > employee fulfillment > customer satisfaction. Operations manager"s objective is to build a total quality management system that identifies and satisfies customer needs. Quality - totality of features and characteristics of a product or service that bears on its ability to satisfy stated or implied needs. User based - quality lies in the eyes of the beholder. Manufacturing based - quality means conforming to standards and making it right the first time.
