Total Quality Management Case Study

3.3 Quality Management

Quality management refers to principle used by organizations to ensure superiority in terms of products, services as well as internal processes. A good quality management program allows organizations to identify their weaknesses, defection, areas for improvement and strengths. To put it another way, managing quality brings a lots of benefits to business including supports differentiation, low cost, improve revenue and response strategies. Thus, it plays a vital role in determining an organization’s success and survival. Over the years, Hatch’s creative research and development team has developed more than 300 designs of ultimate quality sofa and upholstery products. As Hatch’s mission is to continue producing our best

In Hatch, cause and effect diagram is used, which also known as fishbone diagram and Ishikawa diagram. Cause and effect diagram allows Hatch to identify the possible causes for an effect or problem. It can be used to structure a brainstorming session and immediately sorts ideas into useful categories. In other words, cause and effect diagram allows Hatch’s disclose factors influencing the investigated process or event. There are four categories classified by Hatch which are materials, workforce, environment and equipment as shown in Figure 1.

3.3.3 Total quality management (TQM)

Total quality management (TQM) is a popular approach for quality in a business that seeks to improve quality and performance which will meet or exceed customer expectations. In Hatch, several concepts of TQM have been applied in the company.

Continuous Improvement

Due to intense competitions in furniture industry, continuous improvement becomes more and more critical. Continuous improvement is important for all company, not only Hatch, to sustain competitiveness. Continuous improvement presents continual improvement of all processes involves all operations and work centers including suppliers and customers as well as improvement of people, equipment, materials and

To carry out these activities, efficient and empowered employees in the company play a vital role. Moreover, the style of management is changing as the managers are now being considered as the coach, advisors or facilitators. The decision making has been shifted down to the lowest level of the organization.

Hatch empowerment its employees and delegate the decision making authority when there is a need to take action which is important for both the managers and employees. The empowerment practice provides Hatch with fast solutions to business problem as well as provides growth opportunities for employees. Moreover, it also helps the company lowering organizational cost. For instance, Hatch’s employees are trained in planning and problem solving and provided with production and managerial guidelines. These allow employees to make the day-to-day decisions that affect their job duties. It can be an effective way to improve morale, and to evolve job duties into more efficient tasks. The employees of Hatch benefit from empowerment because they have more responsibility in their jobs. Employee empowerment increases the level of employee involvement and therefore creates a deeper sense of satisfaction and higher levels of