ST.

MARY’S UNIVERSITY SCHOOL OF GRADUATES STUDIES

DEPARTMENT OF BUSINESS ADMINISTRATION

BOOK REVIEW ON QUALITY MANAGEMENT

BY: ROBEL MEHRET

ID: SGS/0667/2015 A

SUBMITED TO: MESFIN TESFAYE(Ph.D.)

JANUARY 2024
Contents

I. BOOK REVIEW- QUALITY MANAGEMNT...................................................................................................1

1.1 Introduction.....................................................................................................................................1
1.2 Summary of section of the book.....................................................................................................1
1.2.1 Section 1: Background and History............................................................................................1
1.2.2 Section 3: Why Quality Management.........................................................................................2
1.2.3 Part Four: The Contribution of Dr. W. Edwards Deming..................................................................2
1.2.4 Section Five: Standards and Models...........................................................................................2
1.2.5 Section Six: Customers...............................................................................................................3
1.2.6 Section 7: Leadership in Quality Management...........................................................................4
1.2.7 Section 8: Strategic Quality Management...................................................................................4
1.2.8 Section 9: Processes....................................................................................................................4
1.2.9 Section 10: Partnerships and Resources......................................................................................4
1.2.10 Section 11: People in Quality Management..............................................................................5
1.2.11 Section 12: Ethics and Corporate Social Responsibility............................................................5
1.2.12 Section 13: Learning, Change and Process Improvement.........................................................5
1.2.13 Section 14: Service Quality......................................................................................................6
1.2.14 Section 15: Implementing Quality Management.......................................................................6
1.3 Conclusion........................................................................................................................................6

2. ARTICLE REVIEW..............................................................................................................................................7
2.1 Introduction.....................................................................................................................................7
2.2 Research Methodology....................................................................................................................8
2.3 Literature Review............................................................................................................................9
2.4 Results..............................................................................................................................................9
2.5 Contributions...................................................................................................................................9
2.6 Limitations.....................................................................................................................................10
2.7 Conclusion......................................................................................................................................10
3. SUMMARAY OF THE BOOK AND ARTICLE REVIEW...............................................................11
References.............................................................................................................................................12
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I. BOOK REVIEW- QUALITY MANAGEMNT

1.1 Introduction
This book review aims to provide an in-depth analysis of the book's content, focusing quality
management. Additionally, the review will discuss related concepts and bring them together in an
orderly and coherent manner.

The book title is’ Quality Management and the author is Graeme Knowles. This study guide is
designed to provide an overview of the key elements, important historical context and current
debates in the field of Quality Management. It aims to give a coherent view of the underlying
principles of quality management, and how these relate to practical application in a range of
organizations.

The book contains 15 sections that includes introduction, history and background , why quality
management, importance of quality management , standards and models, customers, leadership
in quality management, Strategic quality management, process, partnership and resources, people
in quality management, Ethics and corporate responsibility, learning , change and process
management, service quality and implementing quality management.

1.2 Summary of section of the book

1.2.1 Section 1: Background and History

This section has clarified the concepts of both Quality and Quality Management. It defines
quality as it is associated with creating customer value, meets or exceeds the whole range of
customer expectations and as a complex concept, quality can only be addressed by the whole
organization working together.

The book also identified the major principles which are central to the practice of Quality
Management that involves Customer Focus, Strategic Focus, Leadership Focus, Process Focus,
People Focus, Scientific Focus, Continual Improvement, Innovation and Learning and Systems
Thinking.
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The book also elaborates the development of quality thinking which arrived in quality at
various point in history.

1.2.2 Section 3: Why Quality Management

This section has clarified the business case for Quality Management based on a critique of
traditional approaches and description of mechanisms whereby increased competitiveness can
be generated. It illustrated drawbacks of traditional approaches and pointed quality management
is a vital option. It also presented both tangible and intangible benefits of quality management.
It supported with empirical work which has been carried on the practical impact of Quality
Management on business performance.

1.2.3 Part Four: The Contribution of Dr. W. Edwards Deming

This section outlines the contributions W. Edwards Deming who was a pioneer, and arguably the
founder of the quality movement.
Deming has made 3 main contributions to the field:

1. The Fourteen Points for transformation of an organization; Deming’s management

philosophy is summarized by 14 principles required for the transformation of traditional
management of any type of organization, be it large or small, manufacturing or service based.

2. The Deadly Diseases of organizations; which would hamstring any organization’s attempts to
become world class.

3. The System of Profound Knowledge: The approach which combines systems thinking with
an understanding of statistical analysis, a people focus and a learning approach based on the
knowledge generated from the other elements.

The three related elements of Deming’s thinking present a profound challenge to ‘business as
usual’ for many organizations, even today. There are no trite sayings or easy answers for
leaders; they need to think differently if they wish to move their organization forward.

1.2.4 Section Five: Standards and Models

This part of the book addressed various quality standards and modes that are implemented to
ensure quality management practices. The standards and models outlined are ISO 9000 series
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standards principles, content and certification process; Self-assessment models of quality,

recognized quality prizes and awards. Quality management is a contested area, and with the
plethora of differing views on what to do, and how to do it, authoritative and impartial guidance
is required to help the majority of organizations make sense of the area. It should, of course, be
noted that these standards and models are for guidance purposes, rather than comprehensive and
complete ‘how to’ manuals.

The ISO 9000 series of standards is the international standard for quality management. The
objective of this series of standards is to aid supplier quality assurance and to provide a
common, authoritative and widely accepted standard by which to evaluate and compare the
potential of firms to meet acceptable levels of quality and reliability. The ISO 9000 standard is
mandated in many cases by customers or market norms. It has the benefit of wide recognition
and a general market advantage, but suffers from the problems of pressure to achieve the
standard and a scope (especially in application) which lacks significant focus on leadership,
people and results.
Self-assessment is the process of evaluating your own organization against a model for
continuous improvement. The models are focused more on improvement than attainment of a
standard or award, and thus perhaps represent a sounder approach which allows for more
honesty and integrity in assessing opportunities and progress. The basis tends to be wider,
considering both results and the sustainability of those results through the approaches which
delivered them.

1.2.5 Section Six: Customers

This section outlines the customer focus as part of quality management to ensure customer
satisfaction and organizational performance.
It is important to understand the (complex) ways in which our products and services deliver
value to the customer, and how we can manage the process of value creation in the NPD
process. Quality Function Deployment (QFD) is a rigorous, and highly necessary, technique
which allows the whole of the NPD process to be driven by the customer requirements. This
essentially uses matrices to develop an understanding of which design features affect which
customer requirements, and to what degree. From this (and an understanding of the relative
importance of requirements to the customer) it is possible to assess where to put development
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effort for maximum customer benefit.

1.2.6 Section 7: Leadership in Quality Management

This section focused on leadership in the context of Quality Management. It addressed the
various topics related with principles of leadership for quality, leadership decision making, the
and effective use of management data. The priciples of leadership to ensure quality involves the
combination of integrity, people management skills, process understanding, effective use of
data, a learning outlook and humility.

1.2.7 Section 8: Strategic Quality Management

The section discussed Strategic Management which is the development, deployment and
execution of strategic plans. It involves the development of organizational mission, vision,
values and goals; the development of policies and plans, their execution and evaluation. It also
elaborates strategy planning, principles and execution, and strategic planning models, In order
to be effectively implemented, quality management needs to be treated as a strategic priority
alongside marketing, finance and operations.

1.2.8 Section 9: Processes

The section briefly discussed process planning, control, process capability and managing variations.
Processes are crucial components of how an organization operates and delivers value to its
customers. Processes need to be considered holistically as a system, since all business processes
will affect each other. The aim of the system needs to be clearly understood, and the impact of
the various processes upon this defined in order to establish goals for those processes. Once it is
clear what a process should do it is necessary to establish a process which is both in control and
capable of delivering its key outputs to the satisfaction of customers (be they internal or
external).

1.2.9 Section 10: Partnerships and Resources

This section has shown how partnerships come in a range of types and demonstrated the
potential for benefit of employing them in an organization’s supply chain and beyond. It also
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described different partnership models, benefits of partnership and effective use of resources.
The focus on long term relationships, quality and improvement replaces the traditional lack of
trust and focus on cost alone.

1.2.10 Section 11: People in Quality Management

This section looks in a more detail at some of the specific people oriented aspects of a Quality
Management approach. Quality Management is highly people focused and requires emphasis on
the motivation, participation and empowerment of people. In support of this careful
consideration needs to be given to how we select, develop, organize and reward teams and
individuals. The principle consideration is respect for the individual and recognition of their
central part in achieving excellence.

1.2.11 Section 12: Ethics and Corporate Social Responsibility

This part consists sub topics that include ethics conceptual foundations, ethical models, ethics
and communication, creating ethical environment and corporate social responsibility.
It is important to regard ethics as a framework within which we operate in society and the values
or principles that society adopts should be applied to all disciplines
Ethics and Total Quality Management are inherently linked. At the heart of both lie respect for
the individual, integrity, decency and justice. Ethical business behavior leads to both tangible and
intangible benefits, as well as costs. However, ethical organizations are culturally richer as well
as having a sound basis for long term profitability which is not built on undue exploitation of
people or natural resources. Corporate Social Responsibility (CSR) is ethical behavior on a
corporate level. It is an attempt to ensure that social, economic and environmental considerations
are considered and balanced across the whole of an organization’s activities.

1.2.12 Section 13: Learning, Change and Process Improvement

The section outlines topics including process improvement model, focus and approach; change
and change management; organizational learning, models, process and creating a learning
environment.
If Quality management is about anything, it is about change; change for the better (improvement)
and learning are crucial if an organization is to achieve a degree of excellence. The three are
intimately connected in that change management and learning are both necessary for
improvement to happen.
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Change, improvement and learning are vital to continued organizational health. They are all
inter-related and must be thought of in the context of both the process and the contextual issues
which can make the process a success. In essence, the leader of change, improvement and
learning must develop approaches and strategies to allow for the effective integration of the
process and the human element of change. In terms of impact, it is perhaps interesting to note
that these areas are perennially top of the agenda for most organizations and account for very
significant amounts of consultancy spending in larger businesses.

For sustainable benefit organizations need to become learning organizations, continually

challenging the status quo and re-inventing how they do business at all levels.

1.2.13 Section 14: Service Quality

The section addressed a topic that includes dimensions of service quality, measuring service
quality, service quality gaps, and delivering service quality.

Much of the material in this book is applicable to both service and manufacturing operations, a
small proportion is explicitly and exclusively focused on manufacturing; this section looks at
the specific things which set service environments apart from others.
Service quality has much in common with manufacturing quality, especially in terms of
execution. The emphasis on the human element is much more significant, however, and requires
an integrated thought process to deliver maximum customer value
1.2.14 Section 15: Implementing Quality Management
This section outlines how to implement a quality management approach and provide a summary
of principles to be borne in mind, and one approach to the journey which has been successful.
The important caveat is that this section does not purport to present a ‘best practice’ approach,
nor even that such an approach exists. What follows is ‘A Way’ not ‘The Way’
It also provides critical success factors which lead to success in deploying quality management,
including senior management commitment, strategic alignment and customer focus, widespread
engagement, good infrastructure and support, learning, good measurement and recognition
systems and communication.
1.3 Conclusion
In summary, the reviewed book provides comprehensive insights into quality management
within the field of operations management. The concepts discussed are interconnected and
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form the foundation of effective quality management practices. The book serves as a valuable
resource for professionals and academics seeking an in-depth understanding of quality
management principles and their practical application

2. ARTICLE REVIEW
Article Title:

Cvjetković, M., Vasiljević, M., Cvjetković, M., & Josimović, M. (Year). Impact of Quality on
Improvement of Business Performance and Customer Satisfaction. Journal of Engineering
Management and Competitiveness (Jemc) Vol. 11, No. 1, 2021, 20-28

2.1 Introduction
The study was conducted by the authors affiliated with the College of Academic Studies in
Belgrade, Republic of Serbia. It was conducted in the period from January to March 2021.

The research aimed at determination of the impact of quality on improving business

performance and customer satisfaction. Correlation analysis confirmed this influence on the
basis of obtained statistically significant mutual relations between the analyzed variables.
Quality was shown to have an impact on improving the business performance of the
organization, primarily on profitability through the improvement of leadership and
relationship management. The impact of quality on customer satisfaction was also confirmed,
where the engagement of people and the management of mutual relations had the greatest
impact on consumer confidence. The research confirmed that the training of employees in
terms of quality had a statistically significant impact on improving customer satisfaction, if it
is conducted in an efficient manner.

The study's quantitative approach, extensive literature review, and statistical analysis
strengthen the reliability and validity of the findings. The research provides valuable insights
for organizations in the Republic of Serbia and beyond, emphasizing the importance of
quality management for achieving and sustaining competitive advantage.
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The study's conclusions and recommendations provide actionable insights for organizations to
invest in quality management initiatives, improve operational performance, and enhance
customer satisfaction. The findings also highlight the need for ongoing adaptation and
continuous improvement of quality management practices to meet evolving customer
expectations.

2.2 Research Methodology

The authors employ a quantitative approach in their study. Data were collected through a
survey questionnaire distributed to a sample of organizations in the Republic of Serbia. The
survey focuses on quality management practices and their perceived impact on business
performance and customer satisfaction. The companies that base the improvement of the
quality of their business on the implementation of the ISO 9001 standard were the subject of
the research. The collected data were analyzed using statistical techniques, such as regression
analysis, to determine the relationship between quality management practices and
performance outcomes.

The research examined the influence of quality variables on business performance variables
and customer satisfaction variables through the principles of quality management defined by
the ISO 9001 standard (SRPS ISO 9001, 2015).These variables of business performance and
customer satisfaction were rated using a scale from 1 to 7, with 1 - very low and 7 - very high.
The variables of business performance of the company were analyzed through the achieved
profitability, sales growth and market competitiveness, share and productivity Customer
satisfaction was assessed using the following variables: reliability, accountability, security,
trust and interaction. These variables were analyzed through descriptive statistics, while their
mutual influence was examined on the basis of correlation and regression analysis. Data were
processed in the statistical program SPSS Statistics 25.

2.3 Literature Review

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The literature review provides an extensive overview of existing research on quality

management practices and their impact on business performance and customer satisfaction.
The authors review various theories, models, and empirical studies related to quality
management. They highlight the significance of quality management practices in enhancing
business performance, including areas such as productivity, cost reduction, and customer
satisfaction. The literature review provides a solid theoretical foundation for the study and
identifies gaps that the current research aims to address.

2.4 Results
The study found a positive correlation between the implementation of quality management
practices and business performance. Organizations that effectively adopted quality
management strategies reported improvements in various performance indicators, such as
productivity, cost reduction, and customer satisfaction. Descriptive statistics evaluated the
analyzed variables of quality, business performance and customer satisfaction. The statistical
analysis confirms the significance and impact of quality management practices on business
performance outcomes.

The research confirmed the impact of quality on the improvement of business performance
and customer satisfaction. The individual contribution of the analyzed quality variables was
pointed out, as well as what organizations should especially consider in order to improve their
business and achieve customer satisfaction and loyalty. Correlation analysis determined the
existence of positive and statistically significant relationships between quality variables and
business performance variables. Regression analysis found that quality had the greatest
impact on improving profitability.

2.5 Contributions
The authors conducted a comprehensive analysis to understand the relationship between
quality management practices and their effects on various aspects of the business. They
highlighted the importance of maintaining high-quality standards to enhance overall business
performance and increase customer satisfaction.

The study emphasized the significance of quality management in influencing business success
and customer satisfaction. Cvjetković et al. (Year) found that implementing quality
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management practices can lead to improved efficiency, cost reduction, and enhanced
customer loyalty. By focusing on quality improvement strategies, organizations can achieve
sustainable growth and gain a competitive edge in the market. The authors also discussed the
role of quality management in enhancing customer experiences, leading to increased retention
rates and positive word-of-mouth recommendations.

One of the key contributions of this article is its emphasis on the critical role of quality
management in driving business performance and customer satisfaction. The findings
underscore the importance of investing in quality improvement initiatives to achieve long-
term success in today's competitive marketplace. The authors provided valuable insights into
the benefits of adopting quality management practices and highlighted the positive impact
they can have on various aspects of the business, including operational efficiency, customer
relationships, and overall profitability.

2.6 Limitations
Despite its contributions, one limitation of the study is the lack of specific examples or case
studies to illustrate the practical application of quality management principles. While
Cvjetković et al. (Year) presented theoretical arguments and research findings to support their
conclusions, including real-world examples would have enhanced the credibility of their
claims and provided a more detailed understanding of how quality management practices can
be implemented in different industries. Future research could benefit from incorporating case
studies or practical examples to demonstrate the tangible benefits of quality improvement
initiatives in real-world contexts

2.7 Conclusion
The study concludes that quality management practices have a substantial impact on both
business performance and customer satisfaction. The authors emphasize the importance of
implementing quality management practices to achieve operational excellence and higher
levels of customer satisfaction. Additionally, the study identifies the need for continuous
improvement and adaptation of quality management practices to meet evolving customer
needs and expectations.
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Based on the findings, the authors recommend that organizations in the Republic of Serbia
and beyond should prioritize quality management as a strategic approach to drive overall
business performance and enhance customer satisfaction. They suggest investing in quality
improvement initiatives, providing training and education on quality management principles,
and fostering a culture of continuous improvement.

3. SUMMARAY OF THE BOOK AND ARTICLE REVIEW

The book covers topics such as the history of quality management, quality control tools and
techniques, quality standards, and the role of leadership in quality management. Knowles
emphasizes the importance of continuous improvement and customer focus in quality
management.
The article titled "Impact of Quality on Improvement of Business Performance and Customer
Satisfaction" by Cvjetković et al. discusses the relationship between quality management
practices and business performance. The authors highlight the significance of quality on
enhancing customer satisfaction and ultimately improving overall business performance. The
article presents research findings and case studies to support the argument that quality
management leads to better business outcomes.
In Quality Management, Knowles emphasizes the importance of leadership in driving quality
initiatives within an organization. He discusses the role of leaders in setting quality goals,
providing resources for quality improvement efforts, and fostering a culture of quality. This
concept aligns with the article by Cvjetković et al., which also underscores the crucial role of
leadership in implementing quality management practices that lead to improved business
performance and customer satisfaction (Cvjetković, Vasiljević, Cvjetković, & Josimović, 2021).
Another key concept highlighted in Quality Management is the use of quality control tools and
techniques to monitor and improve quality. Knowles discusses various quality tools such as
Pareto charts, cause-and-effect diagrams, and statistical process control, which can help
organizations identify and address quality issues. This concept is supported by the article, which
suggests that implementing quality management practices can lead to better business
performance through the use of quality tools and techniques (Cvjetković, Vasiljević, Cvjetković,
& Josimović, 2021).
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Overall, both the book Quality Management by Graeme Knowles and the article by Cvjetković et
al. emphasize the importance of quality management in enhancing business performance and
customer satisfaction. By focusing on leadership, quality tools and techniques, and continuous
improvement, organizations can establish a culture of quality that drives success. The concepts
presented in both sources align and reinforce each other, providing a comprehensive perspective
on the impact of quality management on business outcomes.

References
Agyapong, G. K. (2011). The effect of service quality on customer satisfaction in the utility
industry-A case of Vodafone (Ghana). International Journal of Business and management

Cvjetković, M., Vasiljević, M., Cvjetković, M., & Josimović, M. (2021). Impact of Quality on
Improvement of Business Performance and Customer Satisfaction. Journal of Engineering
Management and Competitiveness (Jemc)

Fening, F. A. (2012). Impact of quality management practices on the performance and growth
of small and medium sized enterprises (SMEs) in Ghana. International Journal of Business
and Social Science

Graeme Knowles ( 2011), Quality Management

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