Total Quality Management

Paper Summary:

The paper explains that globalization of the economy has increased the competition between enterprises. Businesses, therefore have to develop methods of improving performance and service delivery while reducing the costs associated with remaining competitive. One of the simplest ways to achieve these goals are through implementation of a total quality management (TQM) program. This paper examines how beneficial TQM implementation and maintenance can be for Caterpillar Inc. by detailing the key principles of TQM and defining what steps Caterpillar Inc. can successfully adopt to implement a continuous improvement program. The paper concludes that Caterpillar Inc. will greatly benefit by adopting a more comprehensive quality program and quality initiatives.

Outline:
Introduction
Overview Company
How TQM Can Benefit Caterpillar Inc.
Developing TQM at Caterpillar Inc.
Customer Focus
Planning
Process Management/Process Improvement
Total Participation
TQM in Construction and at Caterpillar Inc
Conclusions/Recommendations

From the Paper:

"Caterpillar Inc. is a global leader in sales and technology. One of the world's foremost manufacturers of mining, natural and diesel gas engines and construction equipment (Cat, 2005) the company has conducted business with global players for more than 80 years. The company utilizes multiple measures of quality to ensure the best possible service to customers including 6 Sigma. This program allows Caterpillar Inc to address "the increasingly complex issues" facing an industry leader (Cat, 2005). Roughly 30,000 employees are currently involved in the 6 Sigma helping providing a competitive edge for the global company. Caterpillar Inc is committed to its customers and maintains a reputation for making a difference in the world by participating in socially responsible activities, providing machines, money and resources to help global relief and recovery efforts (Cat, 2005)."

Sample of Sources Used:

• Beckford, J. (2002). Quality. London: Routledge.
• Deng, Z.M., Tam, C.M., Wang, H.C. & Zeng, S.X. (2003). "The rise and fall of Total Quality Management in the Chinese Construction Industry." Architectural Science Review, 46(2): 105.
• Cat (Caterpillar Inc). 2005."Caterpillar Inc. Corporate Overview." Caterpillar. 21, March 2006: http://www.cat.com
• Ghobadian, A. & Gallear, D. (2001). "TQM implementation: An empirical examination and proposed generic model." Omega, 29(4): 343-359.
• Jaafari, A. (2000). "Construction business competitiveness and global benchmarking." Journal of Management in Engineering, ASCE, 16(6): 43-53.

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