The Impact of Total Quality Management (TQM) on large businesses.
- More satisfied customers/Increased customer satisfaction.
- Resources and time are used efficiently.
- Costs are reduced as wastage is lower.
- Productivity increases through good time management and high quality resources.
- Products and services are continuously improving.
- Business vision/mission may be reached more successfully.
- Increased competitiveness as high quality products/services are provided.
- Employee skills and knowledge are improved by constant training.
- Large multi-national companies may adopt systems√ which have been proven successful elsewhere in the world.
- Large quality management structures may become ineffective/difficult to control.
- Mass production may complicate quality control as too many steps/ processes need to be controlled.
- Large TQM systems are costly and may require additional administrative duties/staff.
- Lack of training/skills development may result in lower productivity.
- Decline in productivity, because of stoppages.
- Investors might withdraw investment, if there is a decline in profits.
- Bad publicity due to poor quality products supplied.
- Decline in sales, as returns from unhappy customer's increase.
- High turnover of staff, because of poor skills development.
- Undocumented quality control systems/processes could result in error or deviations√ from pre-set quality standards.