Luis:

I think models that utilize total Value management (TVM) concept may be best suited for small business management since layers of management is quite flat. 

I have discussed such an approach in the following paper: Take a look

Article Total value management - A knowledge management concept for ...

I would say that since small companies are mostly managed by one person or a very small group of people, which have already most or all of their time taken by many concurrent activities, the best approach is the simplest one. Quality planning, control of quality and quality improvement can be performed in small companies using the most simple tools of quality management. Do not try to implement all of them at the same time. Try to gain undestanding and commitment with simple tools that can make a difference on people's work and have visible impact, but are at the same time easy to undestand and relatively quick to use. Then you can build from that inicial success. Note also that you should make sure that management tools are already in place and the firm is being adequatly managed before implementing quality tools. Quality tools are not adequate for solving bad management pratices. 

Carlos thank you very much for your reply. In simplicity it is beauty so you indicate . Within this type of approach what would you say are minimal tools that a consultant could offer to such companies ?

Brian thank you very much for the document you sent me . I will check it.

Total Quality Management is the dedicated effort to providing a continuously-increasing level of quality in an effort to retain the attention (and repeat business) of your customers. Widely practiced throughout the world, large corporations are continuously examining their products and services through the practice of TQM to optimize their competitiveness, paying particular attention to their core customer base. A small business can do the same?

The short answer is: they can. But if you are a small business owner and you want to apply the analytic practice of TQM to your company, there are a few pitfalls to be aware of, each of which could lead to excessive costs to your bottom line.

Basic Elements of Total Quality Management

There are eight different basic elements of Total Quality Management. These elements are necessary to ensure that the model is implemented successfully. Without each and every single element put into place, it is likely that the business or the quality assurance program will experience some degree of failure. These basic elements include the following

1.Communication

2. Basic Ethics

3. Recognition

4. Integrity

5. Teamwork

6. Leadership

7. Trust

8. Training

These core elements are believed to be the ultimate “foundation” to success when it comes to successful operations in the business, or the quality assurance program.

 Difference Between the Three Models

Deming's model

As per the definitions defined by all the three models of the TQM, Deming's model states that the quality management is the process of continuing to improve the quality after meeting and exceeding the customer's need and the expectations. Deming's model further describes the high degree of the senior management involvement for the quality improvement purposes in which the decisions are made in the board room. Deming's model provides a new and the comprehensive approach to handle the organization or the human enterprises with the systematic view of it. It provides a wide range of advices on the quality planning, quality control and the quality improvement. Deming's model is more theoretical minded which suggests the theoretical solutions to the problems. The Deming's approach is to focus on the working of everyone in the organization to accomplish the improvement with the repeated use of the PDSA cycle.

 Juran's Model

While on the other hand Juran's model just takes the "fitness for use" as the basic criteria of the quality improvement and the individual units should perform in such a way in accordance with the specification and the direction so as to achieve that fitness for the use. The Joran's model accepts the majority of the quality management problems are due to the poor management rather than the poor work of its lower or middle level management. Juran's model provides an analytical approach to manage for the quality and focuses on how to handle the quality functions on the basis of that. The production process is defined as a relationship between the customer research, suppliers, design, materials, production, assembly, and the inspection according to the Joran's model. The Juran's model is more practical minded suggesting the highly practical and the feasible answers. Juran made the focus on the product improvement and the conformances in the service by reducing the uncertainty and the manufacturing process variations.

Baldrige's Model

The Baldrige's model which is the most popular model for the total quality improvement takes the overall improvements in all the aspects whether it is the leadership, strategies, planning, etc as the criteria for the quality improvement. The Baldrige's model desires the visionary leadership, customer driven excellence, personal along with the organizational learning, valuing the employees and the stakeholders, with the prime focus on the future. The Baldrige's model manages the quality with the focus on the future, managing for the innovation, with the social responsibility towards its customers as well as the employees with the system perspective. The other side the Baldrige's model combines both of the theoretical as well as the practical mindedness. At the same time, the Baldrige's approach is to manage the quality through the management by the fact with the help of the combined process of the process management, workforce focus and the business results.

Benefits of Total Quality Management

When stacking the pros and cons, the potential for boosting your company’s success makes the implementation of a TQM business philosophy extremely attractive.

Those who’ve initiated a Total Quality Management analysis have routinely experienced an improved understanding of their customers' needs, an overall increase in customer satisfaction, streamlined communication within their organization and better problem-solving. Plus, TQM has enabled many businesses to unify their workforce though enhanced levels of motivation, a key reward many hope to achieve as a result of the process.

All of these revelations lead to stronger relationships with suppliers, fewer product and supply errors and a noticeable reduction in waste related to business processes.

The Downside of TQM for Small Business

Though the valuable insight delivered through TQM makes it extremely attractive, nothing comes without a cost. And that cost can be excessive, even for large-scale organizations.

Revealing both the strengths and weaknesses of your organization, the findings from a Total Quality Management analysis can result in significant increases related to additional employee training as well as a disproportionate consumption of management’s time. In addition, the process may include an increase in paperwork and the failure to address the individual needs of your small business due to an emphasis on “process rather than results”.

Where Your Efforts Should Be Focused

It would seem obvious, but the ultimate goal of any customer-driven organization, whether large or small, should be customer service. And when it comes to implementing Total Quality Management for small businesses, this is exponentially vital.

Small businesses often have limitations on finances, personnel and equipment while suffering under the added burden of vulnerability related to unpredictable shifts in consumer behavior. The surest way to offset this weakness is to operate like a turn-of-the-century specialty shop, catering not only to a specific niche but, more importantly, developing a relationship with your customer base.

Luis, Jorge Pedraza has added a comprehensive answer to your question which is also helpful in reminding that the way you do things - the process for implementation of quality principles and tools - and the purpose of implementing quality principles and tools can have a significant impact on the benefits received (or lack of benefits). Given that you are focused in small companies, you probably do not have the time and resources (or don't want)  to involve everyone, train everyone, etc. Involvement and training are important "tools".

I don't want to evade a straight answer, so, assuming that you are interested in micro or small companies:

- Tools for preparation and planning: Basic strategic tools and extensive communication with personnel. Leadership, trust and empowerment are important. Training, and teamwork, if possible. Training is fundamental when you want to involve people with low or no knowledge of the principles and tools of Quality. The more people involved the more the potential for benefits (Total Quality). But if you only want tools for the manager/owner then it is not necessary. It depends on the size and type of structure of the organisation.

- Tools for control: simple statistical charts, such as p-charts, c-charts, x bar-charts and R-charts. These are very simple and can be implemented in micro/small companies.

- Tools for improvement: The seven basic tools, such as Ishikawa diagram, pareto chart, control charts, etc.

These are the most simple among tens of tools available.

Jorge thank you very much for your reply and you Carlos for these reminders . In the line of small businesses and especially since the need for training , which elements should be considered vital in a program to deepen these quality perspective

These are some of the elements that should be included in a training programme:

Identifying and confirming customer requirements and identifying problems and opportunities in meeting these. Gain understanding in the concept of the internal customer and meeting their requirements.

•Tools for understanding processes. For example, process modelling tools. How to build error prevention into work processes

•Measurement tools, including check sheets, run charts, sampling and data collection. The use of discreet or continuous data

•Calculating the "cost of quality" or "price of non-conformance" which defines the cost saving opportunity

•Information analysis techniques such as run charts, Pareto charts, cause and effect diagrams, flow charts

•Problem solving techniques such as brainstorming, tree diagrams

•Improvement Planning through teams and planning tools such as Gantt charts and other project planning techniques.

•Controlling the work processes. The use of simple Statistical Process Control techniques and control charts which can be used by shop floor personnel

•Communicate the results, recognise people who have been involved in success and incorporate improvements into the companies processes and systems

•Maintain the commitment to continuous improvement. After each success, go back and look for more!

Hi Luis,

Attached is an article linking TQM and New Car Dealerships.

You are welcome Luis!

Thanks kym forma the article

The  main TQM models are by Juran, Crosby and Demings.

Dear Luis

Some of common models are:

• External Quality Monitoring (EQM), also referred to as External Quality Review (EQR);

• Assessment-and-Outcomes Movement, which calls for the development of performance evidence and attention to value-added questions;

. EFQM;

• SMART performance pyramid and

• Performance indicators.

References:

· Information Management Model for Intellectual Capital of HEIs in Oman: Theoretical Quantitative Approach and Practical Results. J. of Information and Knowledge Management, 2018, Vol. 17, No. 1, pp.1-38. (World Scientific).

· HEIs Quality Improvement Through Students and Academic Staff’s Perception: Data Analysis and Robustness of the Results. International Journal for Quality Research, 2017, Vol.11, No.2, pp.261-278.

· Al-Farahidi Performative model to assess HEIs. 4th OQNHE Conference 2017, pp.1-15.

· A Framework for Fostering the Quality of HEIs: Data Collection, Evaluation, Indication and Validation. Int. J. of Quality and Innovation, 2016, Vol.3, No.1, pp.42-66 (Inderscience).

Regards,

Zuhair

Dear Zuhair

Thanks very much for your sugestions.