Fundamentals of Management, 8th ed

F I G U R E 1 5 . 3

Total Quality Management

Quality is one of the most important issues facing organizations today. TQM is a

comprehensive effort to enhance an organization’s product or service quality. TQM

involves the five basic dimensions shown here. Each is important and must be

addressed effectively if the organization expects to truly increase quality.

total quality

management

(TQM) (quality

assurance)

A strategic

commitment by

top management

to change its whole

approach to

business in order

to make quality a

guiding factor in

everything it does

Chapter 15: Managing Operations, Quality, and Productivity

4 7 5

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had the lowest reliability of any automobile maker in the world. But a major commit-

ment from top management helped turn the company around. By paying more attention

to consumer preferences and using the other methods described later in this section,

Porsche shot to the top of global automobile reliability.

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