Professional Documents
Culture Documents
[Writers Name]
The topic selected is Total Quality Management. A quality management system (QMS) is an assortment
of business procedures which are attentive on accomplishing quality rule and quality purposes to meet
and capitals required to perform quality management. (Shane 2001). Risk managers are finding that total
quality management (TQM) techniques can help them enhance their performance in mitigating corporate
exposures. Risk management and TQM both aim to eliminate or reduce risks, enhance performance, solve
problems and locate opportunities for involvement. TQM tools, such as flow charting, benchmarking, and
just-in-time inventory systems can help risk managers examine how processes are conducted within an
organization. Successful TQM demands effective leadership and an attitude that supports ongoing
improvement.
Question 2:
Definitions of quality:
1. The standard of something as measured against other things of a similar kind; the degree of
excellence of something.
Question 3:
Focus on
consumer
Accurate Qualtiy
Evaluation Improvement
Question 4,5 6:
In Mc. Donalds, TQM is an approach to achieving long-term success and customer satisfaction
that is based on the participation of all members of an organization in efforts to improve processes,
products and services. In addition, risk management and TQM share the following goals:
Improving Quality
TQM use careful planning with long-term results in mind. Instead of immediate financial
measures, changes advocated by TQM methods should be assessed over a long time horizon. With this
extended view, risk managers can better focus on the role of different operating units in supporting the
organization's overall mission and consider how changes made at the individual or departmental level can
consistent purpose. The goals and objectives of specific functional areas should support the organization's
overall mission while avoiding overlapping or conflicting goals. Risk management departments in Mc
Donald can support company-wide continuity by determining acceptable exposure levels and
implementing effective risk management programs that help their firms maintain consistent earnings and
solvency. TQM is the amount of decision-making latitude granted to employees. Not only are employees
able and encouraged to be creative, but their decisions often form the basis for permanent change. For
example, a risk manager who learned that his company planned to use a hot air balloon for rides as a
promotion at a county fair was able to address previously overlooked liability and risk control issues and
to secure the appropriate insurance coverage. Similarly, risk managers can use loss frequency and severity
In Mc Donald, TQM also expands a risk management department's view of its "customers."
Within a TQM framework, this category can include not only the risk manager's employing organization,
but also fellow employees and managers, senior and financial executives, service providers and other
entities. This diversity highlights the need for risk managers to understand their organization's goals,
functions and production systems. To improve this understanding, risk managers need to maintain
consistent communications not only throughout their organization but also within their industry and
profession.
TQM relies on a series of tools that can provide valuable insights into how processes are
carried out within an organization or operating unit. Visual tools such as flow charting, work
flow analysis and fishbone diagramming can help risk managers move loss control from its
traditional technical orientation toward helping them better understand (and correct) defective
procedures, the movement of raw materials or other steps. It can be useful in planning or
explaining a process and can also be used to identify potential bottlenecks, accidents or other
necessary corrections. Similarly, a work flow analysis depicts the movement of people, materials
diagram can be used to explore factors thought to cause a failure or problem. This form of chart
derives its name from the shape of the diagram--the problem is written at one end of a horizontal
line, with contributing factors listed on diagonal lines branching off the horizontal line.
your responsiveness, and your ability to meet requirements and expectations carry the greatest
weight of all. Many associations already identify separate constituencies within their
Question 7 16:
initiative. It is also a new way of thinking about business relationships. Some organizations,
however, are trying to adopt supply chain management practices (such as just-in-time
chain philosophy and culture. Yet, a half-hearted effort only produces half-hearted results. To
really embrace supply chain management, companies must implement both supply chain
methodologies and a supply chain philosophy. Embracing supply chain management (SCM) is
like driving in the Daytona 500. From the very beginning, you need to know what you are doing,
be properly trained, and have the right tools, or you're going to be in big trouble! Maybe this is
not the best analogy possible, but it certainly highlights the inherent risk associated with both
activities. Stockcar drivers racing at 200 mph are taking their lives into their hands, and so too
implementation will not only cause a company to lose a significant amount of money but it also
will seriously disrupt its already existing structure and processes and possibly leave it in even
worse shape than before. We would never think about jumping in a race car without any
preparation and go charging around the track at a high rate of speed just inches away from others
traveling at breakneck speed. And yet we hear a buzzword or read about some super success
story, and we make a decision to implement a new program without being fully equipped to do
so.
transporting provisions to approximately all of the companys 15,000 sites in North America. For
each distribution center grips 250 to 700 eateries, providing warehousing, conveyance, and
logistics amenities to everyone. Furthermost restaurants acquire two or three distributions in one
week, with one delivery lorry capable to absolutely stock the formation. Delivery periods are
synchronized to not disturb feast or dine service for the reason that customers possibly will not
Drivers pop in route to be assured the restaurant has workforces there to get delivery
when it reaches, dropping the time Lorries are in the parking portion by up to 30%. The company
also transferred from roller and view to delivery tumbrils that transfer from the lorry into the
restaurant. Through its extensive and multifaceted supply chain, McDonalds and Martin-Brower
uphold strategies to contract with tragedies. For each summer, equally the companys strategy
for the disasters such as hurricanes and tornadoes and connect alternative measures. Inventory is
turned over each four days at a McDonalds restaurant. The company can organize this as of
dealings theyve shaped with their dealers, a lot of which still uphold the connection that
Conclusion:
The company processes customer satisfaction over and done with a Mystery Shopper
response provided by the customers. The liberal business philosophies make certain company are
continually altering and developing the complete of business and in sequence all that the
company distributes to the customers. The quality management is very important factor of the
MCDs because the customers expected a lot from the MCDs in case of the supply chain and
quality of their products. The Company has a very definite system of supplying their products
Daniel, S. and W.D. Reitsperger, "Linking Quality Strategy with Management Control Systems:
DeGeorge, G. and K. Hammonds, "Where Did They Go Wrong," Business Week, October, 25
Evans, J. and W. Lindsay, The Management and Control of Quality. St. Paul: West publishing,