TOTAL QUALITY MANAGEMENT
benefits of TQM
The benefits of TQM can be classified into the following two categories:
1. Customer satisfaction oriented benefits.
2. Economic improvements oriented benefits.
1. Customer satisfaction oriented benefits: The benefits under this category are listed below:
(a) Improvement in product quality.
(b) Improvement in product design.
(c) Improvement in production flow.
(d) Improvement in employee morale and quality consciousness.
(e) Improvement of product service.
(f) Improvement in market place acceptance.
2. Economic improvements oriented benefits: The benefits under this category are as
follows:
(a) Reductions in operating costs.
(b) Reductions in operating losses.
(c) Reductions in field service costs.
(d) Reductions in liability exposure.
ISO 9000 series provides several tangible and intangible benefits which are listed below:
1. This gives competitive advantage in the global market.
2. Consistency in quality, since ISO helps in detecting non-conformity early which makes
it possible to take corrective action.
3. Documentation of quality procedures adds clarity to quality system.
4. ISO 9000 ensures adequate and regular quality training for all members of the organization.
5. ISO helps the customers to have cost effective purchase procedure.
6. The customers while making purchases from companies with ISO certificate need not
spend much on inspection and testing. This will reduce the quality cost and lead-time.
7. This will help in increasing productivity.
8. This will aid to improved morale and involvement of workers.
OVERVIEW
The ISO 14000 series of environmental management standards are intended to assist organizations
manage the environmental effect of their business practices. The ISO 14000 series is similar to
the ISO 9000 series published in 1987. The purpose of the ISO 9000 series is to encourage
organizations to institute quality assurance management programs. Although ISO 9000 deals with
the overall management of an organization and ISO 14000 deals with the management of the
environmental effects of an organization, both standards are concerned with processes, and there
is talk of combining the two series into one.
Both series of standards were published by ISO, the International Organization for
Standardization. The purpose of ISO is to facilitate international trade and cooperation in commercial,
intellectual, scientific and economic endeavors by developing international standards. ISO originally
focused on industrial and mechanical engineering standards. Now, it has ventured into setting
standards for an organization’s processes, policies, and practices.
The environmental standards of ISO 14000 deal with how a company manages the
environment inside its facilities and the immediate outside environment. However, the standards
also call for analysis of the entire life cycle of a product, from raw material to eventual
disposal. These standards do not mandate a particular level of pollution or performance, but
focus on awareness of the processes and procedures that can effect the environment. It should
be noted that adherence to the ISO 14000 standards does not in anyway release a company
from any national or local regulations regarding specific performance issues regarding the
environment.
Some of the standards in the ISO 14000 series are:
ISO 14001—Specification of Environmental Management Systems
ISO 14004—Guideline Standard
ISO 14010 through ISO 14015—Environmental Auditing and Related Activities
ISO 14020 through ISO 14024—Environmental Labelling
ISO 14031 through ISO 14032—Environmental Performance Evaluation
ISO 14040 through ISO 14043—Life Cycle Assessment
9. The level of job satisfaction would be more
The benefits of acquiring ISO certification go beyond the satisfaction of doing a good deed.
Adhering to the standard may result in better conformance to environmental regulations, greater
marketability, better use of resources, higher quality goods and services, increased levels of
safety, improved image and increased profits.
The environmental awareness and the documentation that are required by the ISO 14000
standards assist a company in conforming to environmental regulations. This means that
a company, by diligently adhering to the standard, is less likely to violate environmental
regulations and is always ready for inspection by a regulatory agency. In addition, the
certification and documentation may aid a company in acquiring capital, in defending itself
during environmental litigation and in receiving insurance or permits.
A wider market for a company’s goods and services may result from certification. Many
corporations and governments will be looking for suppliers that are ISO 14000 certified
in order to maintain their own certification and environment-friendly image.
Producers of consumer goods may find that many consumers not only try to purchase
goods from environment-friendly companies, but will spend a little more if they feel they
are helping the environment. In order to reap this benefit, a company must make their
environmental efforts known through advertising and labelling.
The process analyses that go along with ISO 14000 certification may result in streamlining
processes and more efficient use of resources and raw materials and subsequently
reduce a company’s costs.
Reducing the amount of potentially dangerous substances in an end product may result
in less use of dangerous chemicals in a plant. This leads to a safer internal environment
for employees and the possibility of reduced insurance premiums. Improved employee
morale may result when employees feel that the workplace is safer and they are
contributing to the environmental effort
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