Total Quality Management (TQM) has become a widely discussed strategy for achieving competitive advantage. TQM originated in a manufacturing environment. More recently it has been recognised that the principles of TQM apply equally in a service environment.
This report analyses the implementation of TQM in a service department within an organisation. That department is the Information Technology Group (ITG) within Incitec Ltd.
The underlying principles and implementation are reviewed using both the relevant literature and the Australian Quality Award (AQA) guidelines. Examination categories for the AWA provide the structure for the report.
The report commences with an introduction to the principles of TQM and the Incitec organisation.
The AQA examination categories of Leadership, Policy and Planning, Information and Analysis, People and Focus on Customers are then reviewed in the context of both the principles of TQM and the implementation within ITG. The quality of product and service reflects the results of the TQM implementation. The quality level for ITG indicates that significant improvements in products and services have been made since the introduction of TQM.
This research concludes that TQM principles can be applied to a service department. The implementation within ITG contains all the necessary elements for TQM. Some areas of the implementation have seen more significant improvements than others. The commitment of senior management to the improvement process suggests that improvements will continue to be made.