Globalisation's Impact On TQM Process: An Essay On Effects.

Interlink between internationalisation and TQM

Question:

Write an essay on "Total Quality Management".
 

Total Quality management is the most structured and comprehensive approaches used by the organisational management to improve the quality of the products or services through the refinements and extracting feedbacks. As opined by Yunis, Jung and Chen (2013), the total quality management is the structured method used by the companies to establish the organisational standards. For instance, the ISO 9000 is an organisational standard that improves the management practices, which are necessary for improving the quality of the products and services (Koupaei and Movahedi 2014). However, it is to be indicated that the emergence of the globalisation demands for the improved quality assurances approved by the quality standards. Hence, some of the changes within the organisation are much foreseen in this current era. The study will be associated with the changes in the TQM process due to the globalisation effects. The study will be discussing the effects of globalisation in the workplaces that have been changing the functionality in a significant way. The analytical essay will be structuring the key theme and concept of the subject matter by including the theoretical perspectives. 

The internationalisation and the total quality management are somewhat interlinked to each other. According to Mangal (2013), quality management procedure serves as the primary and mandatory requirement for promoting internationalisation. During the rise of the globalising economy, the organisations in different countries ought to undertake the outward movement of global operations, which is termed as ‘internationalisation’. Singh and Singh (2014) suggested that during the engagement of the organisational activities with the internationalised standards, the improvement of the quality standards within the firm is essential. Kedar and Borikar (2016) argued that the achievement of the competitive quality standards in the international market is not so easy process; rather it is defined as the revolutionary method of organisational development. There are four main stages of considering quality progress, such as inspection of the quality, controlling the quality, quality assurance, and total quality management. In the first place, as stated by Haugland (2015), inspection and quality control are the initial stages for starting up the improvement process within an organisation. In this stage, the organisation can detect the variations from the quality standards. In considering the effects of the globalisation in the changing management functions, it can be indicated that the globalisation signifies the diversified environment of different needs of the customers (Miranda Silva et al. 2014). Hence, the organisations also need to bring the changes in the quality management procedure to satisfy the customers. In fact, due to the effects of the globalisation, the organisational functionalities are changing by concentrating on the sensitivity and cultures. In supporting such statement, Batra et al. (2014) indicated that the organisational practices related to the supplier managements, productivity, and the technological assimilations are also changing. However, it is also much important to note that the TQM is no longer serving as the integral functions in an organisation of a single country. Many of the companies are associated with such procedures having influenced by the globalisation.

Stages of considering quality progress

TQM is a process of continuous changes within an organisation. The emergence of globalisation has been influencing the organisational functions in various ways. Hirst Thompson and Bromley (2015) shed lights on one aspect regarding the growth potentiality in the foreign developing market. Due to the globalisation, the extreme growth in the foreign exchange rates has been influencing the foreign competition in the local markets. Hence, the small and medium enterprises have been availing the opportunities of upgrading the operational activities and international business expansion (Peter, Svejnar and Terrell 2012). More specifically the growth in the foreign demands helps in developing the global network of manufacturing business. The effects of globalisation have been influencing the customer demands in a frequent manner, which is quite problematic for the manufacturing companies to create the product life-cycle. Potrafke (2013) revealed that while the scenario is influenced by the global effects, the managers usually face the difficulties in making relevant decisions related to the resource allocation. For example, Apple Inc. has built global engineering infrastructure and manufacturing network facilities in Singapore, California, and Ireland. On the other hand, the network has been permitting Apple Inc. to introduce the new products in the markets of Europe, America, and Asia. Hence, Apple Inc. needs to learn about the product development and the production management process, which is necessary for transferring the knowledge to other companies worldwide (Iimm.org 2016). These state-of-the-art techniques are quiet influencing for improving the TQM process within an organisational.

The effects of the globalisation are also reflected in the implementation of the modified technologies used in the organisations. In the last decade, due to globalisation, a limited numbers of the producers could maintain the diversity among the products or the services. It has been seen that the structure of the product life cycle has become more complex and the differentiations have minimised (De Mooij, 2013). The import source has been extended to Japan and other new industrialised countries like Singapore, Hong Kong, Taiwan, and South Korea. Due to the technological changes, the emergence of the low cost manufacturing locations and diffusions of technical knowledge has been found. Hence, the multinational firms are concentrating on improving the multiple sources of technologies associated in the internationalised companies. Another most recognised change in the TQM process is the capabilities of accepting the modified technologies. Wang, Chen and Chen (2012) identified that the effects of the globalisation is inviting more competitions among the firms and the technological changes are setting the higher standards of the firms accordingly. Recognising such requirements, the management has been trying to improve their training and development session to enhance the acceptability of such technological changes. The skilful attributes related to the amended technical absorptions is quite fruitful for the higher growth in productivity. In fact, as stated by Vakola, Armenakis and Oreg (2013), the organisations have been selling the customized products and services to facilitate profitability.

In concentration on Deming’s Theory of TQM process, the improvisation of several segments in the organisational management has been found more specifically (Potrafke 2013). As Shewart Cycle has been identifying the system analysis of plan-do-check-act, it is important to recognise the work efforts that are influencing the management practices. However, the theory has been mainly focusing on the knowledge based approaches. Firstly, the system appreciation is the process of understanding the process and work system of the company. Secondly, as defined by Peter, Svejnar and Terrell (2012), variation knowledge is presenting the clear understanding of the occurrence of diversified situations. However, the diversified points related to the Deming’s theory of TQM are signifying the improvisation of the classified segmentations. These specified points are creating the consistency, eliminating the mass dependencies, adopting the new philosophies, bringing the cutting-edge of job training, and implementing the cutting age of leadership methods. In shedding lights on these aspects, it can be inferred that the effects of globalisation has been improving the diversified management practices.

Impact of globalisation on organisational functionalities

The globalisation effects are even creating the fruitful impact on the ISO standards, which results the modification of the rules associated with the organisational improvements. It is to be seen that the current requirements of the quality standards lead towards the changing rules in the ISO standards and the improvised version is known as ISO 9001:2015. One of the major reasons behind such modifications in the ISO standards is the changing demands of the customers due to globalisation. Business companies have been facing the potential changes since the business processes have been signifying the changes. The increasing levels of the globalisation the organisational processes and in most of the cases, the organisations deal with the complex supply chain management. The increasing level of the customers; expectations are also much concerned in such cases. Since, the society demands for more access in the information technologies; it is required to improvise the ISO standards by keeping the requirements on mind.  

The major differences between the ISO 9001 and ISO 9001:2015 are found in the new structures. Hirst, Thompson and Bromley (2015) defined that the latest and upgraded version of the ISO standards is quite easier since it is assembled with multiple management systems. Another most recognisable change is found in the risk-based thinking. It is noted that the updated version of ISO standards has been increasing the prominence. Therefore, the organisation can easily recognise the exact procedure of management practices that can improve the overall quality of the business. However, this latest version of the ISO standards is quite beneficial for the organisations. Firstly, ISO 9001:2015 helps in keeping great emphasize in engaging the leaders in the organisational practices (Iso.org 2016). The amended version is associated with simple languages and ordinary structure, which are quite helpful for the organisation to use the multiple management systems. ISO 9001:2015 is user-friendly and addressing the supply chain management in a very detailed manner.

It is to be indicated that the fast moving world has been concerning the changes in the functional activities that are much compartmentalised. In fact, the operation and logistic managers are not limiting their cooperativeness in the product distribution system is also much improvised. Haugland (2015) identified that the integration management is improvised through the flow of the considerable management. It is to be noted that the management is even responsible for research and development functions. Due to the improvised structure of the Total Quality Management, the functional areas are also being improvised. For example, the company like Renault in Europe was associated with two different teams. One of the team was dealing with the R&D departments and other team was associated with logistic groups. The effects of the globalisation has been somewhat affecting the logistics management as well. The management comprehends the competitive priorities in the manufacturing industries (Kedar and Borikar 2016). However, it is important to note that due to the sophisticated demands, the organisations have been improving the training and development standards as well. The modification of the organisational policies are somewhat affecting the work practices of the workforces. However, it is quite significant that the improvised standards are helpful enough in making the corporations more competitive (Mangal 2013). It has been seen that the employees are being able to acquire the ability of adopting new technologies and processes for determining the sophisticated and changeable demands of the customers worldwide.

Growth potentiality in the foreign developing market

It is to be noted that the companies can get the frequent access in the overseas corporations that have been offering the outsourcing process. In such cases the workers can get more wages in compare to their labour that has been spent on completing any particular work. More specifically, it has been seen that the countries with lower cost of living are availing the opportunities to deal with effective services by reducing the rate from the services offered in the countries with higher cost of living (Peter, Svejnar and Terrell 2012). However, in some of the ways, the workers are affected as well due to such differentiations. However, the upcoming changes may provide some extra benefits that can resolve such issues eventually. 

Conclusion

The study has been dealing with the effects of globalisation on the TQM practices implemented in the organisations. The TQM process is considered as the frequent improvement of the entire management system, It is important to note that the globalisation has set a different standard in the corporations. Moreover, the emergence of the globalisation has been signifying the drastic changes in the management practices, which are foreseen in this current era of business. However, the changes in the foreign business dealing, technological adaptations, training purposes, research and development process, and higher standards of the organisational management have become prominent. However, due to such drastic changes, the amendments in the ISO standards have also found. The associated opportunities and threats are creating both the positive and negative influences on the business organisation someway or other. Hence, it is to be notified that the increasing demands of the customers are the major focus, which is redefined by the emergence of globalisations. Accordingly, the TQM process serves as the driving force for fulfilling the frequent changing demands of the business stakeholders.  

References

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Hirst, P., Thompson, G. and Bromley, S., 2015. Globalization in question. John Wiley & Sons.

Iimm.org. 2016. Globalisation and its Effects on SCM. [online] Iimm.org. 

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