Wednesday, January 18, 2017

Business, Quality, Competition & Quality Management

Business, Quality, Competition & Quality Management

In this world of competition, it has become absolutely necessary for a businessman to keep continuous watch over the quality of the goods or services produced. To watch over the quality and maintain quality of the products and service can’t be denied. Having once brought the product, or getting served once the consumers feel satisfied with regards to its quality, price, quantity, time, effort etc.  a kind of goodwill for the product or service is developed which helps to increase sales and develop brand equity of the brand. However, if the consumers are not happy with the quality of the products or services or both and their complaints are not given proper attention, it will be impossible for the producer  to continue, compete and sustain in the market.

“Quality”, “Quality management” and “Competition in quality” has been leading buzzword in the business world. The notion of quality in business focuses on the saving and generating additional revenue that organizations can realize when they eliminate errors and fault throughout their operations and produce products and services at optimal level of quality desired and expected by their customers. Errors are to be eliminated as soon as possible because if errors and mistakes are repeated the cost adds unto significant amount.

As we know there are two types of industries, they are manufacturing industries and service industries. In manufacturing industries measurement and evaluation of product quality becomes easy it deals with the tangible things, materials and process. The process standards for manufacturing firms are easy to specify and can be analyzed using different quality improvement tools. In manufacturing industries, the producer alone influences the process through which the product is made. Consumers do not have any role to influence the product quality during production.

Much different from manufacturing industries, service sectors have intangible component associated with them as the combination of technical and human behavioral aspects that becomes extremely difficult for valuation of the quality. Most service functions have a time constraint associated with it which means if the services are not provided within the time required, it cannot be used for later time. The involvement of both service producer and customer is essential in the process of delivery of service. As behavioral aspects are associated with the service sectors, measurement of quality of the service becomes difficult. One customer may be fully satisfied with the service provided where other may not. It also depends upon the surroundings and different other conditions. It is difficult to identify which characteristics of the service are to be blamed.

A businessman and a manager should always use effective tools to maintain and control over quality and involve in sound quality management. Quality management is the process of planning, organizing, directing, controlling, identifying and administrating the activities that aims to achieve the quality objectives of an organization. Quality management measures how closely a good or service conforms to the specified standard. To sustain in competition an entrepreneur should focus in maintaining quality with good quality management system and do better business.