Page 250 - F2 - MA Integrated Workbook STUDENT 2018-19
P. 250

Chapter 11





                           Total Quality Management (TQM)





               5.1  What is TQM?

               The key impacts of TQM are often that problems are avoided rather than solved, and
               inventory levels can be greatly reduced. This is achieved through the application of
               three principles:

                    'get it right, first time'

                    continuous improvement

                    customer focus.


               5.2  Contrast to traditional costing


                    TQM expects continuous improvement rather than standard performance.

                    TQM expects everyone to take responsibility for failures in the system.

                    TQM systems do not accept waste as being acceptable.

                    TQM is concerned with quality related costs rather than production costs.






































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