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The Implementation of Total Quality Management in Controlling the Cost of Manufacturing

The Journal of Distribution Science / The Journal of Distribution Science, (P)1738-3110; (E)2093-7717
2015, v.13 no.8, pp.27-40
https://doi.org/https://doi.org/10.15722/jds.13.8.201508.27
Seetharaman, A.
Raj, John Rudolph
Seetharaman, Saravanan Arumugam
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Abstract

Purpose - Total Quality Management (TQM) has received significant attention and interest from a large number of organizations around the world in various industries. These organizations have tried to embody TQM concepts in areas such as engineering and product design, marketing, R&D, procurement, production, personnel, and product inspection. Research design, data, and methodology - This study presents an overview of the fundamentals of TQM and an in depth review of the obstacles to the successful implementation of TQM. Results - In order to control the cost of manufacturing, the tracking of the cost of quality (COQ) allows companies to capture the actual overall cost incurred in producing a unit of product or service. The study explores the reasons why companies track the COQ and ways to address it. Conclusions - Based on the results, COQ is one of the key performance indicators for making more accurate strategic decisions as well as a critical aspect of TQM. The study also presents a few popular quality improvement tools that have been widely used in organizations successfully implementing TQM.

keywords
Total Quality Management, Cost of Quality, Cost of Poor Quality, Lean Manufacturing, Just In Time, 5S Method

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The Journal of Distribution Science