To Study The Impact of TQM Practices On Aviation Industry Performance and Stakeholder Satisfaction (A Case Study of Air India)

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“TO STUDY THE IMPACT OF TQM PRACTICES ON AVIATION


INDUSTRY PERFORMANCE AND STAKEHOLDER SATISFACTION (A
CASE STUDY OF AIR INDIA)

” “Submitted in the Partial Fulfillment for the Requirement of Post


Graduate Diploma in Management”
(PGDM)

Submitted to: Dr.Neelam tandon Submitted by :Amit singh rawat


(professor economics and finance)

(Internal Mentor, JIMS KALKAJI) Batch 2017-19

Jagannath International Management School


Kalkaji, New Delhi
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CHAPTER – 1

INTRODUCTION TO THE TOPIC


Total Quality Management (TQM) is a management philosophy which focuses on the work

process and people, with the major concern for satisfying customers and improving the

organizational performance. It involves the proper coordination of work processes which allows

for continuous improvement in all business units with the aim of meeting or surpassing

customer’s expectations. It emphasizes on totality of quality in all facets of an organization with

the aim of reducing waste and rework to reduce cost and increase efficiency in production.

TQM is applicable to any organization irrespective of size, and motives, even the public sector

organization are fast adopting the ideology in order to make them effective in meeting public

demands. However, the adoption of the ideology by most organization has been hampered due to

their non compliance with the procedures and principles of TQM implementation. While some

organization, run TQM like a program which they expect to function and perform the magic all

by itself, others have used a half hearted approach to it, by using some bits and pieces of the

principles. This has accounted for the failure of most organization in meeting up to their

expected target from implementing this ideology. There is a need to continue to buttress the

benefits that accrue to organisations from the implementation of TQM, especially in developing

economies, such as India where the adoption of these principles seems farfetched to

organizations. The Indian Aviation industry gives us a true picture of the shortcomings of

organizations in their quest to make profit at the expense of quality. With the spate of changes

going on in the country due to government reforms, the nature of competition seem to be
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changing from what it used to be. The influx of foreign and local investors into different sectors

of the economy has given rise to intense competition, thus the need for organizations to look

internally into their operational procedures and change strategically to meet up with the

challenges.

The problems of poor services have consistently characterized the Indian aviation industry, with

the different stakeholders accusing one another for the inefficiency in service delivery. Even with

new investors entering into the sector and adopting the TQM ideology, which have no doubt

given the industry a face lift, there still persists an array of complaints by passengers making use

of these services. This research aims to find out the quality level of Air India and the problems

with the implementation of TQM and also will assess the effect of TQM implementation on the

airline industry.

The deregulation of the airline industry in most part of the world marked the beginning of a new

realm of competition in the industry. The deregulation ensured that airlines set fares and service

levels based on the market situation. In trying to gain competitive advantage, airlines try to

outshine their competitors by providing quality services that meets or exceeds the expectation of

customers. Thus, customer satisfaction in the airline industry is never ending as they face

numerous challenges and competition daily. This makes Quality management critical to the

airlines as they strive to continuously improve their services to meet customers’ expectation.

Service quality is essential in the airline industry as it is a major determinant of competitiveness.


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Airlines paying strict attention to service quality will be differentiated from others and will in the

course of doing this gain competitive advantage. Although it’s been argued that price is a major

determinant of airline choice by customers and most airline would rather compete on it than on

service quality. However, not managing quality will mean no added and assuring value to the

airlines.

The use of a strategic approach to quality management by airlines will therefore improve their

competitiveness. This approach ensures that airlines remain customer focused. TQM enables

innovativeness as it empowers employees to take decisions that affect their job. For the airlines

to be innovative in it offerings, it requires a flexible structure which permits cooperation between

different functions.

The implementation of TQM involves the buying in of different units involved in the process of

service delivery into the ideology and practices of quality management, which should be

championed by the leadership of the airlines. That is, the support and primary activities of

service delivery must inculcate quality in their activities.


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CHAPTER – 2

COMPANY PROFILE
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About AIR INDIA

Air India is the flag carrier airline of India. It is owned by Air India Limited, a government-

owned enterprise, and operates a fleet of Airbus and Boeing aircraft serving 90 domestic and

international destinations. The airline has its hub at Indira Gandhi International Airport, New

Delhi, alongside several focus cities across India. Air India is the largest international carrier out

of India with an 18.6% market share. Over 60 international destinations are served by Air India

across four continents. Additionally, the carrier is the third largest domestic airline in India in

terms of passengers carried (after IndiGo and Jet Airways) with a market share of 13.5% as of

July 2017. The airline became the 27th member of Star Alliance on 11 July 2014.

The airline was founded by J. R. D. Tata as Tata Airlines in 1932; Tata himself flew its first

single-engine de Havilland Puss Moth, carrying air mail from Karachi to Bombay's Juhu

aerodrome and later continuing to Madras (currently Chennai). After World War II, it became a

public limited company and was renamed as Air India. On 21 February 1960, it took delivery of

its first Boeing 707 named Gauri Shankar and became the first Asian airline to induct a jet

aircraft in its fleet. In 2000–01, attempts were made to privatise Air India and from 2006

onwards, it suffered losses after its merger with Indian Airlines.

Air India also operates flights to domestic and Asian destinations through its subsidiaries

Alliance Air and Air India Express. Air India's mascot is the Maharajah (Emperor) and the logo

consists of a flying swan with the wheel of Konark inside it.


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CHAPTER – 3

LITERATURE REVIEW
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The researchers have done research on various parameters of TQM ranging from quality

assurance, curriculum development, administration, stakeholders, leadership…. (Tom Noone,

2008) in his article discusses about Deming's philosophy through his 14-principles which helps a

service sector to attain quality. The principles indicate what management needs to do to ensure

that they and their employees are able to deliver good service quality to its customers. The

purpose of this paper is first, to select and describe six of the 14 principles and explain their

implications for organisational management; and second, to highlight the relevance of these

principles within higher education. Six of Deming's principles help in transforming

organisational management and discuss the application of these to management within the area

of higher education. The selection of these six principles, for discussion is not due to their more

importance for quality, but because they important for management in higher education. (Kato,

2010) in his paper seeks to shed some light on the importance of Japanese-style management and

Total Quality Management (TQM) in higher education institutions. This paper begins by

describing management concepts and relates these concepts to Japanese-style management and

TQM in universities. Then review on the Japanese-style management and TQM, management in

higher education institutions with the implementation of ISO 9000 is discussed. This paper also

examines the role of management system in universities in shaping their mission and vision, and

concludes with suggestions that can facilitate awareness from staff in the organisation that would

promote their cooperation for successful implementation of ISO 9000. (Choppin, 1995) in his

article talks about the study of total quality management (TQM) which demonstrates a

divergence of cultures. It explains how success stems from developing a unique model of TQM,
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reflecting the business ethics and purpose of the organization. One organization focuses on

teamwork, another has strong process control, while a 3rd develops strong internal customer

relationships. On the larger canvas, TQM provides a direction and a framework for morality in

business. It considers and rewards the effort of those directly involved, both inside and outside

the organization. While the principles of total quality may appear in different forms, those

developed by the British Quality Foundation represent the core of most TQM initiatives. (Satish,

2009)This paper examines the role of quality management concepts towards enhancing

classroom learning. The article talks about cooperative learning and how it can enhance the

learning process among students as the teaching shifts from teacher oriented to student oriented.

Collected data were analyzed using factor analysis to arrive at specific focus areas to improve

learning. It is found that specific quality management concepts can assist towards increased

classroom learning for students. This research broadens the scope of the applicability of quality

management tools for enhanced students learning across varied cultural settings. (Chowdhary,

2012) in his paper talks about higher education sector that is characterized by diversity, students

and course profiles are different and how universities help to develop students with distinct

characteristics and attributes. Universities are required to work in developing employability skills

in their students by providing academic staff with relevant support and resources, integrating

these skills into curriculum and course design, providing students with work placements and

exposure to professional settings and providing advice and guidance through career services. The

article also brings to notice the importance to set strategies related to programs so that

employment skills are formulated and monitored religiously, then the vision of India of being a

developed country will be achieved in the true sense. (Berry, 2002) through this article makes

one understand quality from the point of view of labour or administration and how both are
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important and how one needs to understand each aspect and check out the recommendations that

have been suggested. What “quality” means in higher education depends on whether one speaks

from the labour (faculty) or the management (administration) perspective, but the current

“cooperate around quality” trend does not leave room for debates about definitions of quality.

This reflects the fact that faculty and administration do not come to the bargaining table as

equals. Increasingly, the administration’s definition is simply imposed on employees who are, in

the majority, contingent, and not yet represented by unions. To show how differences in what

counts as “quality” play out in a highly unequal confrontation, we present a case study of the

experience of one teacher and union activist in the Chicago City Colleges. We then place this

case in the context of the current campaign to privatize both administrative and instructional

functions of the Chicago City Colleges. Instead of “cooperating around quality,” they

recommend an alternative strategy of coalition with other higher education workers and students

and commitment to a labour definition of quality. (Han) through this article talks about the

challenge that the education environment faces is to ensure that the quality of teaching and

learning is maintained. One possible path for improving the quality of education lies in the

application of the ideas of Total Quality Management (TQM) to the teaching and learning (T&L)

process. Employing these TQM quality attributes in the education context creates value for

educational institutions, employers, and students. This paper focuses on the limited application

areas of specific key components of TQM methods/tools in managing, scrutinizing and

enhancing the quality of teaching and learning practices in the classroom environment. (Misra,

2012) talks about how important accreditation is presently, how it is advantageous to the various

stakeholders, why it is so essential in the present scenario, how it is attained and best practices

for accreditation. (Rena, 2006) in the article states how the Government of Eritrea offers both
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formal and informal training programmes at different levels in order to develop the human

resources. An attempt is made in this article to analyse the educational and human resource

development after independence. This article also provides detailed account of technical and

vocation education with special reference to skill development programme


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CHAPTER - 4

RESEARCH METHODOLOGY

AND

OBJECTIVES
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OBJECTIVE

 To highlight the benefit of TQM implementation in the Air India by examining

the basic principles of TQM in the airline.

 To compare and contrast the performance of TQM Airlines and Non TQM

airlines by studying Customer satisfaction and employee satisfaction.

The outcome of these comparison if positive, will show the need for benchmarking by

the non – TQM airlines, in other to derive the value created by its implementation, if not

then we will assess the problems associated with the implementation of this ideology by

the TQM airlines by drawing inferences from the various interviews conducted outside

the use of data gathered from the questionnaire

METHOD OF DATA COLLECTION

Data collection is simply the ways information is gathered. Secondary Data and primary data

collection are two ways of collecting information.

PRIMARY DATA

Primary data is the information gathered directly from the researcher, when secondary data is not

available or is unable to contribute meeting research objectives. The collection of primary data
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will involve the use of research instruments, such as questionnaires and interview schedules that

will be constructed exclusively for the purposes of a specific study.

For the purposes of this research, primary data will be collected by questionnaire and interviews.

SECONDARY DATA

Secondary data is information collected by others for purposes, which can be different than those

of the researcher. It is a synthesis of published and unpublished documents related to the research

and it is of highly importance, as it comprises the logical framework of the research.

The collection of secondary data has both advantages and disadvantages, one of the foremost

advantages of using secondary data is that it helps the researcher formulate and understand better

the research problem, broadening at the same time the base for scientific conclusions to be

drawn.

Nevertheless, it should be taken under consideration that other researchers, organization or

government departments for studies with different objectives and purposes collected the data;

therefore, it might not be suitable for the current research.

For the purpose of this study, the secondary data will be collected via textbooks, academic

articles and journals related to the implementation of TQM. Also, a number of online resources

will be used to get information for the literature review.


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QUESTIONNAIRE

Questionnaire is a research instrument consisting of series of questions and other prompts for the

purpose of gathering information from respondents. Most often it is designed for statistical

analysis of the responses. A questionnaire is a pre-formulated written set of questions to which

respondents’ records their answers, usually within rather closely defined alternatives’.

A questionnaire will be structured for this research and will be administered to the front line

staffs of the Air India; which will include the cabin crew, ticketing staff, and customer service

agents, operations managers etc. The choice of the questionnaire as one of the means of

gathering data is borne out of the fact that it is cheap, do not require as much effort from the

questioner as verbal or telephone surveys, not time consuming and often have standardized

answers that make it simple to compile data. It allows the respondents to supply answers that are

confidential to them. These questionnaires will be handed directly to the respondents which will

give us the privilege to introduce the topic and encouragement in answering the questionnaire.
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CHAPTER – 5

DATA ANALYSIS AND

INTERPRETATION
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DATA ANALYSIS & INTERPRETATION

Classification & tabulation of the raw data collected through questionnaire will be converted

to useful information by organizing and compiling the data obtained from responses to the

questionnaire Simple tabulation of data using tally marks.

DATA PRESENTATION

The data would be presented by way of suitable charts and diagrams

STATISTICAL TOOLS

Suitable statistical tools shall be used to carry out analysis and preparegraphs, pie- charts etc.

SCOPE OF THE STUDY

The scope of the Study is limited to Air India only

1. Gender

Table 1

Gender Particulars Percentage


Male 38 38%
Female 62 62%
Total 100 100%

Graph 1
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Gender

38%

Male
62%
Female

Interpretation: A representation of gender in the population of the 100 respondents in

the Air India is shown in Figure 1. The percentage of the respondents based on gender is

38% male and 62% female.

2. Department

Table 2

Department Particulars Percentage

Ticketing and Reservation 42 42%


Customer service agent 35 35%

Cabin Crew 23 23%

Total 100 100%

Graph 2
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Department

23%
42%
Ticketing and Reservation
Customer service agent
35% Cabin Crew

Interpretation: Questionnaires were distributed amongst respondents in three different sections

of the airlines, namely ticketing and reservation, customer service and cabin crew. Figure 2 is

used to illustrate the representation of each section for the Air India. The ticketing and

reservation section had 42 respondents’ represents 42% of the population. The customer service

agents had 35respondents, represent 35% of the total population. Finally for the cabin crew

represent 23% of the total population.

3. Have you heard of TQM?

Table 3

Knowledge about the TQM Particulars Percentage

Yes 43 43%

No 57 57%

Total 100 100%

Graph 3
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Knowledge about the TQM

43%

57% Yes
No

Interpretation: The knowledge of TQM is lesser amongst employee of Air India. Only 43%

respondents of Air India are conversant with the principles and the implementation of TQM

whereas 57% has no knowledge about TQM and its related principles.

4. Are you satisfied with the authority given to you by your employer?

Table 4

Satisfaction level with Particulars Percentage

Authority

Extremely Satisfied 10 10%

Satisfied 21 21%

Indifferent 19 19%
21

Unsatisfied 48 48%

Extremely unsatisfied 2 2%

Total 100 100%

Graph 4

Satisfaction level with Authority


60%
50%
40%
30%
20%
10% Satisfaction level with
0% Authority

Interpretation: From the distributions in Tables 4, it is observed that most respondents from

are not satisfied with the authority given to them to do their job. Only 31% employees have

satisfaction with the given authority to them.


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5.Are you satisfied with the Regular Training provided by Air India?

Table 5

Satisfaction level with Particulars Percentage

Regular Training

Yes 83 83%

No 17 17%

Total 100 100%

Graph 5

Satisfaction level with Regular


Training

17%

Yes
No
83%

Interpretation: From the data analysis we can see that 83% respondents are satisfied with the

regular training conducted at Air India for the staff development.


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5. Do you satisfied with the management encourage the team work effort?

Table 6

Satisfaction level with Particulars Percentage


management encourage the
team work effort
Extremely Satisfied 16 16%

Satisfied 56 56%

Indifferent 15 15%

Unsatisfied 5 5%

Extremely unsatisfied 8 8%

Total 100 100%

Graph 6

Satisfaction level with management


encourage the team work effort
56%
60%
50%
40%
30%
16% 15%
20% 8%
10% 5% Satisfaction level with
0% management encourage
the team work effort

Interpretation: Overall 72% employees are satisfied that management encourages the team

work effort whereas 15% response was neutral and rest 13% were dissatisfied.
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6. How are you satisfied that employees are involved in decision - making?

Table 7

Satisfaction level with Particulars Percentage


decision - making
Extremely Satisfied 8 8%

Satisfied 20 20%
Indifferent 18 18%
Unsatisfied 28 28%
Extremely unsatisfied 26 26%

Total 100 100%

Graph 7

Satisfaction level with decision -


making
28% 26%
30%
25% 20% 18%
20%
15%
8%
10%
5% Satisfaction level with
0% decision - making

Interpretation: only 28% employees are satisfied that about their involvement in decision –

making. Whereas large number of percentage i.e. 54% was dissatisfied that management never

asked the involvement of employee in decision - making process. Hence, Air India needs to

improve this to gain the employee satisfaction.


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7. Do you think Air India provide you Job flexibility?

Table 8

Satisfaction level with Job Particulars Percentage

flexibility

Yes 86 86%

No 14 14%

Total 100 100%

Graph 8

Satisfaction level with Job flexibility

14%

Yes
No
86%

Interpretation: 86% employees are satisfied with the job flexibility at Air India, which is a good

sign for the company too because if the employees are happy company can achieve its goals

easily.
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8. Do you think company provides monetary and non – monetary benefits to boost

employee motivation level?

Table 9

Motivation level Particulars Percentage

Yes 68 68%

No 22 22%

Total 100 100%

Graph 9

Motivation level

22%

Yes
No
68%

Interpretation: 68% employees are agree that company provides monetary and non – monetary

benefits to boost employee motivation level whereas 22% are not satisfied with the motivational

benefits.
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9. How satisfied are your customers from the complaint handling process of Air

India?

Table 10

Satisfaction level with Particulars Percentage

complaint handling

process

Extremely Satisfied 9 9%

Satisfied 33 33%

Indifferent 38 38%

Unsatisfied 15 15%

Extremely unsatisfied 5 5%

Total 100 100%

Graph 10

Satisfaction level with complaint


handling process
38%
40% 33%
35%
30%
25%
20% 15%
15% 9%
10% 5% Satisfaction level with
5%
0% complaint handling
process
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Interpretation: Overall 42% employees are satisfied with the level of complaint handling

process in Air India whereas 38% didn’t said anything followed by 20% who are not at all

satisfied with the level of complaint handling process prevalent in the organization.

10. Do you think defection of customer is a result of poor service?

Table 11

Customer defection is Particulars Percentage

result of poor service

Yes 68 68%

No 8 8%

Can’t say 26 26%

Total 100 100%

Graph 11

Customer defection is result of poor


service

26%

Yes
8%
No
68%
Can’t say
29

Interpretation: 68% employees are agree that defection of customer is a result of poor service

followed by 26% who said they can’t say which factor is responsible for customer defection and

8% employees said No.

11. Do you think you organization respond quickly to customer complaint?

Table 12

Respond to Customer Particulars Percentage

complaint

Yes 88 88%

No 5 5%

Can’t say 7 7%

Total 100 100%

Graph 12

Respond to Customer complaint


5%
7%

Yes
No
Can’t say
88%
30

Interpretation: 88% respondents are agree that organization respond quickly to customer

complaint followed by 5% who disagree with this point and 7% said they can’t say about it.

12. Do your company honors and commitment and guarantee to all customers?

Table 13

commitment and Particulars Percentage

guarantee to all

customers

Yes 79 79%

No 3 3%

Can’t say 18 18%

Total 100 100%


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Graph 13

commitment and guarantee to all


customers

18%
3%
Yes
No
79% Can’t say

Interpretation: A very large percentage i.e. 79% respondents agree that company honors and

commitment and guarantee to all customers followed by 3% who were disagree and 18% said

they can’t say about that company honors and commitment and guarantee to all customers.
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13. Does the accessibility of services to customers’ aids the efficiency in operation?

Table 14

Efficiency in operation Particulars Percentage

Yes 86 86%

No 2 2%

Can’t say 12 12%

Total 100 100%

Graph 14

Efficiency in operation

2% 12%

Yes
No
Can’t say
86%

Interpretation: 86% respondents were agree that accessibility of services to customers’ aids the

efficiency in operation followed by 2% who were disagree whereas 12% has neutral response.
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14. Does Air India keep to its flight schedule?

Table 15

Flight schedule Particulars Percentage

Yes 67 67%

No 8 8%

Can’t say 25 25%

Total 100 100%

Graph 15

Flight schedule

25%

Yes
8%
No
67%
Can’t say

Interpretation: 67% respondents agree that Air India keep to its flight schedule followed by 8%

said they are not agree with this and 25% said they have no idea about it. So, overall company

needs to check the factors for flight schedule delay if happens frequently.
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15. Do you think Flight delays and cancellation are due to controllable factors?

Table 16

Flight delays and Particulars Percentage


cancellation are due to
controllable factors
Yes 23 23%

No 36 36%

Can’t say 41 41%

Total 100 100%

Graph 16

Flight delays and cancellation are due


to controllable factors

23%
41%
Yes
No
36% Can’t say

Interpretation: Very few respondents (23%) agree that flight delays and cancellation are due to

the controllable factors whereas 36% denied with this fact followed by 41% who said they can’t

say about these as they have no idea that which factors is responsible for the flight delays and

cancellation.
35

16. Does your suppliers operation aid the efficiency in your operations?

Table 17

Flight schedule Particulars Percentage

Yes 23 23%

No 36 36%

Can’t say 41 41%

Total 100 100%

Graph 17

Flight schedule

23%
41%
Yes
No

36% Can’t say

Interpretation: 23% respondents are agree that suppliers operation aid the efficiency in our

operations whereas 36% said No and 41% said they can’t say about it.
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Chapter-6

CONCLUSION
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The findings of this research attest to the benefits that accrue from the implementation of TQM.

It has shown that it is a strategic tool for an organization to employ in the quest to remain

competitive. If adequately deployed, the principle brings about added value to an organization in

terms of efficiency in operation, employee satisfaction, customer satisfaction, and even

profitability. The finding also revealed that the relentless pursuit of improvement in service

delivery bring about added value to customers by making the organization focused on satisfying

customers needs, while team work and training empowers employees for the continuous

improvement drive of the organization. The implication of managing every facet of the

organization was revealed, as each production unit is seen to affect and in turn affected by others.

That is, a dysfunction in the process of service delivery has an overall effect on the total

production process, thus showing the need for a holistic approach which involves every

functional area to be managed effectively. The implication of not managing quality effectively

was shown in the case on the non-TQM airlines, which resulted in inefficiency and loss of

patronage due to dissatisfaction of customers. The importance of involving the suppliers in the

whole value chain was also highlighted, as the effectiveness of an operation depends on how

well it manages both the internal and external service delivery process.
38

CHAPTER – 7

FINDINGS AND

RECOMMENDATIONS
39

The arguments of this report is focused on the need for Air India to adopt the TQM principles,

due to the benefit derived from it in terms of customer satisfaction, operational effectiveness and

employee satisfaction. The Air India must take quality issues rather seriously as it is a major

determinant of their continuous existence. In the airlines industry, the main essence of TQM is to

provide services which will make customers satisfied, this in turn bring about repeat purchase

thus increasing sales and profitability of the organization. The findings of this report are there by

discussed first on the basis of individual hypothesis. The first hypothesis overall result first states

that Air India have a higher degree of employee satisfaction. Employee satisfaction in the Air

India could be seen to have been derived from the combination of both intrinsic and extrinsic

factors, Intrinsic factors such as involvement in decision making regular training and

devolvement of authority. The principle of total involvement, with the aim of meeting

customer’s need through delegation of authority and empowerment of employees have

contributed greatly to the success of these organizations in their quest to make customers

satisfied. This report toan extent shows that the satisfaction of customers is dependent on how

well the employees are satisfied. This has a psychological effect on employees in terms of

motivation, as it limits them from taking necessary action as at when due, and also removes the

feeling of intrinsic reward as employees do not feel responsible and accountable, thus reducing
40

their satisfaction level. Motivation for employees is basically is based on the recognition of

individual effort, which appears to be higher when compared to the Air India. The implication of

this is to encourage team work which is a major motivator of employees in the quest to deliver

quality service in their daily operations and to prevent internal competition amongst employee.

he objective behind the implementation of TQM is to create an environment which is focused on

fulfilling the desires of customers while meeting objectives of the company in terms of

profitability. In the creation of this environment, the organization becomes sensitive to changes

in customers desires and tailor her product offerings to meet or exceed customers need.

Customers are only willing to use a service again if the features of this service consistently meet

or exceed their expectations.

The idea behind the implementation of TQM is to ensure that adequate attention is given to

quality so as to give room for an error free transactional process and less room for customer

complaints while maximizing customer satisfaction. It is proven that satisfied customers are

more willing to recommend quality service to others as shown in this report. For an organization

to be effective in terms of operations there is the need for every member of the organization to be

involved and committed to this objective as the essence is to have a functional work environment

which is efficient and focused on meeting customers’ demands. As it expected that the

commitment of management and employees will aid the efficiency in operations of the

organization.
41

From the interviews conducted, it was noted that, the airlines attributed the problems of delays to

the suppliers and poor state of infrastructure at the airports. Among the reasons cited are

consistent break down of the conveyor belts, poor airport traffic control and other exigencies

such as closure of the run way due to VIP movement.

Suggestions

Quality issues must be taken seriously by any organizations in order to remain competitive, as

the maintenance of high and consistency of high quality service will ensure that customers

continue to patronize based on the trust built over time.

It must be noted that the gains of a total quality culture far outweighs the cost of implementation

as seen expressed in this research and the competitive nature of the industry calls for the

organization to refocus its strategies to suit the market demands. In this case, it would require an

ideology which supports this strategic thinking to meet up with the challenges.

In summary, meeting up to the challenge posed by competition in the industry today, will require

a change in organization culture by imbibing the TQM ideology and it’s principles, this will

ensure that the organizations are focused on satisfying their customers and not only concerned

about profits. For the TQM airlines, the strategic approach to management has paid off, but they

have not gotten to the height of the world class airlines as they still experience some amount of

complaints from customers. These shows there are some lapses in the implementation process of

TQM. This is expected as these airlines are still within two to three years of TQM

implementation. There is the need for continuous improvement, thus areas which have accounted
42

for those complaints should be worked upon and proper procedures which will minimize these

complaints if not wiped out completely should be put in place. Even as they have the greater

market share, the competition is not resting as there is the need for them to continue to

benchmark their services with the world class airlines and update their services regularly.
43

CHAPTER – 8
LIMITATIONS OF THE STUDY

 The research will be limited to front line staffs of the airline due to time limit and

difficulty in reaching the management.

 The front line staffs does not represent the perception of the companies as a whole, thus

the overview of this research will be limited.

 Also, the sampling techniques as a result of time and the cost involved, a non probability

sample will be adopted so as to get the information quicker from the companies.

 The inability to show the financial impact of TQM implementation also limited this

study, in that organisations wanting to adopt the TQM ideology are mostly concerned

about the financial gains from the implementation.

 The sample size to study is Limited to the particular area only


44

REFERENCES

i. Alamdari, F. (1999), ‘Airline In-flight Entertainment: The Passengers’ Perspective’,

Journal of Air Transport Management, 5(4)

ii. Andrle, J. (1994), ‘Total Quality Management in Public Transportation’, Research Result

Digest, 3, pp 1-33

iii. Asher, M. (1996), ‘Managing Quality in the service sector’, Kogan Page, London

iv. Blumberg, B., Cooper, D. R., and Schindler, P. S. (2005)

v. ‘Business Research Methods’, (1sted.). Berkshire: McGraw Hill.

vi. Cooper, M. and Ellram, L. (1993),‘Characteristics of Supply Chain Management and the

Implications for purchasing and logistics strategy’,

vii. The International Journal of Logistics Management, 4(2) pp 13- 24

viii. Dale B. G., and Lascelles D. M., (1997), ‘Total quality management adoption: revisiting

the levels’, The TQM Magazine, 9(6), pp 418 – 428


45

ix. Dale, B. G., Boaden, R. J., and Lascelles, D. M., (1994), ‘Levels of Total Quality

Management Adoption’ Managing Quality edited by Dale, B.G.), New York, Prentice

Hall

x. Dimitrades, Z. S., (2000), ‘Total Involvement in Quality Management, Team

Performance Management’ An International Journal,6 (7/8) pp 117 – 121

xi. Okpere, E., (1990), ‘The National Airline Planning, Management and Development’, A

Write up in the Transport and National Development of Nigeria, Edited by Adegbeyeni,

O., and Rapu, O., 1990, Lagos, B G publishers


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APPENDIX
47

QUESTIONNAIRE

1. Name

2. Designation

3. Gender

o Male

o Female

4. Department

o Ticketing and Reservation

o Customer service agent

o Cabin Crew

5. Have you heard of TQM?

o Yes

o No

6. Are you satisfied with the authority given to you by your employer?

o Extremely Satisfied

o Satisfied

o Indifferent

o Unsatisfied

o Extremely Unsatisfied
48

7. Are you satisfied with the Regular Training provided by Air India?

o Yes

o No

8. Do you satisfied with the management encourage the team work effort?

o Extremely Satisfied

o Satisfied

o Indifferent

o Unsatisfied

o Extremely Unsatisfied

9. How are you satisfied that employees are involved in decision - making?

o Extremely Satisfied

o Satisfied

o Indifferent

o Unsatisfied

o Extremely Unsatisfied

10. Do you think Air India provide you Job flexibility?

o Yes

o No
49

11. Do you think company provides monetary and non – monetary benefits to boost

employee motivation level?

o Yes

o No

12. How satisfied are your customers from the complaint handling process of Air

India?

o Extremely Satisfied

o Satisfied

o Indifferent

o Unsatisfied

o Extremely Unsatisfied

13. Do you think defection of customer is a result of poor service?

o Yes

o No

o Can’t Say

14. Do you think you organization respond quickly to customer complaint?

o Yes

o No

o Can’t Say
50

15. Do your company honors and commitment and guarantee to all customers?

o Yes

o No

o Can’t Say

16. Does the accessibility of services to customers’ aids the efficiency in operation?

o Yes

o No

o Can’t Say

17. Does Air India keep to its flight schedule?

o Yes

o No

o Can’t Say

18. Do you think Flight delays and cancellation are due to controllable factors?

o Yes

o No

o Can’t Say

19. Does your suppliers operation aid the efficiency in your operations?

o Yes

o No
51

o EXECUTIVE SUMMARY
o Total Quality Management (TQM) is a management philosophy which focuses on the
work process and people, with the major concern for satisfying customers and improving
the organizational performance. It involves the proper coordination of work processes
which allows for continuous improvement in all business units with the aim of meeting or
surpassing customer’s expectations. It emphasizes on totality of quality in all facets of an
organization with the aim of reducing waste and rework to reduce cost and increase
efficiency in production.
o To highlight the benefit of TQM implementation in the Air India by examining the basic
principles of TQM in the airline.
o
o To compare and contrast the performance of TQM Airlines and Non TQM airlines by
studying Customer satisfaction and employee satisfaction.
o The findings of this research attest to the benefits that accrue from the implementation of
TQM. It has shown that it is a strategic tool for an organization to employ in the quest to
remain competitive. If adequately deployed, the principle brings about added value to an
organization in terms of efficiency in operation, employee satisfaction, customer
satisfaction, and even profitability
o The arguments of this report is focused on the need for Air India to adopt the TQM
principles, due to the benefit derived from it in terms of customer satisfaction, operational
effectiveness and employee satisfaction. The Air India must take quality issues rather
seriously as it is a major determinant of their continuous existence. In the airlines
industry, the main essence of TQM is to provide services which will make customers
satisfied, this in turn bring about repeat purchase thus increasing sales and profitability of
the organization. Employee satisfaction in the Air India could be seen to have been
derived from the combination of both intrinsic and extrinsic factors, Intrinsic factors such
as involvement in decision making regular training and devolvement of authority. The
principle of total involvement, with the aim of meeting customer’s need through
delegation of authority and empowerment of employees have contributed greatly to the
success of these organizations in their quest to make customers satisfied.
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