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Total Quality Management
Total Quality Management
Total Quality Management
Q2 Answer:
Introduction:
"The quality of a product influences the cost of the product" is a fundamental principle in
economics and business that underscores the relationship between product quality and its
associated costs. The statement “you get what you pay for" holds true, especially in the tech
industry. Take Apple's iPhones, for instance. They're known for being premium devices with top-
notch quality. And that quality doesn't come cheap. Apple has always been about creating the best
user experience possible, and they're willing to charge a pretty penny for it. Now, some people
might say that you could find similar features on other phones for a lower price. And that's true.
But here's the thing: Apple doesn't just focus on the specs. They also put a lot of thought into the
design, materials, and overall feel of their products. It's this attention to detail that sets them apart
from the competition and makes their devices so desirable. Of course, this dedication to excellence
doesn't come cheap. Apple's products tend to cost more than other brands in the market. But when
you buy an iPhone, you're not just getting a phone. You're investing in a piece of hardware that's
built to last and designed to make your life easier. And for many people, that extra cost is more
than worth it.
Concept and application:
Understanding Product Quality:
Product quality is basically how well a product meets or exceeds what people expect from it and
what it's supposed to do. It's about stuff like how well it works, how long it lasts, how reliable it
is, how safe it is, how good it looks, and how easy it is to use. High-quality products are usually
better at all that stuff, which means people are more likely to be happy with them and think they're
worth the money. That can help build up a good reputation for a brand and keep customers coming
back, as well as giving you an edge over your competitors.
Factors Influencing Product Quality:
Materials and Components: The choice of materials and parts really matters when it comes to how
good a product turns out. Better-quality stuff usually means your end result is gonna be better and
last longer. Take the auto industry, for example: using top-notch steel for your car's frame makes
it safer and stronger, but it can cost more than using regular steel.
Manufacturing Processes: The methods and tools used to make stuff really affect the quality of
the end product. Using advanced technology, fancy machines, and strict quality control measures
can help keep things consistent, accurate, and reliable.For example, in electronics manufacturing,
using robotics and super-strict testing procedures can help reduce defects and make stuff more
reliable. But it usually costs more upfront to set everything up that way.
Design and Engineering: Product design is super important in deciding how good a product is. A
well-designed product that focuses on usability, ergonomics, and user experience tends to cost
more because people think it's worth it. Like, smartphones with easy-to-use interfaces, nice looks,
and cool features often cost a lot more than basic ones with not as many features.
Testing and Quality Assurance: Thorough testing and quality control are super important to make
sure products are safe and work well before they hit the market. It can help catch any problems
early on and fix them, which can save a lot of headaches later on. Spending money on good testing
processes and quality management systems can also help prevent costly issues like recalls,
warranty claims, and unhappy customers.For example, pharmaceutical companies have to follow
strict rules and do a ton of clinical trials to make sure their medications are safe, effective, and high
quality. Even though this can be expensive, it's worth it in the long run.
Conclusion:
In conclusion, the quality of a product affects how much it costs to make. This is true across pretty
much all industries. Sometimes making a high-quality product costs more upfront, but in the long
run, it can be worth it because customers are happier, your brand reputation improves, and you
have an edge over your competitors.By focusing on quality at every step of the process, companies
can create more value, lower risks, and grow in a more sustainable way. Finding the right balance
between quality and cost is super important to give customers what they want while also making
a decent profit and being successful in the long run.
Q3a Answer:
Q3b Answer:
Strategic performance measurement is an important part of total quality planning in any
organization. Unlike traditional performance measures, which focus on operational or financial
indicators, strategic performance measures are closely linked to strategic goals and long-term
goals. This includes the systematic review of performance against strategic objectives and
benchmarks to ensure efficient deployment of management resources and progress towards
achieving strategic outcomes. The main characteristics and components of strategic performance
measurement are:
1. Alignment with Strategic Objectives:
Measuring strategic performance begins with clarifying the organization's strategic goals, vision,
and mission. These strategic objectives form the basis for defining the key performance indicators
(KPIs) that will be used to measure progress. Each KPI should be directly linked to one or more
strategic objectives to ensure alignment between day-to-day operations and key strategic
objectives.
2. Selection of Key Performance Indicators (KPIs):
Selecting the right KPIs is crucial for effective strategic performance measurement. KPIs should
be specific, measurable, achievable, relevant, and time-bound (SMART). They should provide
meaningful insights into progress towards strategic objectives and reflect both financial and non-
financial aspects of performance. Examples of strategic KPIs may include market share, customer
satisfaction scores, employee engagement levels, innovation metrics, and environmental
sustainability indicators.