As the global market is evolving and increasing worldwide competition with
the technological advancements, quality managers and supply chain managers are facing
many new challenges, as traditional approaches to managing quality and supply chains
prove increasingly inefficient. The adoption of `totality' in Quality Management
(QM) principles can improve and manage these new challengesboth internal and
external functions and operations of the organization that is involving `all' and thus moving
from QM to Total Quality Management (TQM). Supply Chain Management (SCM) is
usually seen as a way to improve competitive performance by combining the internal
functions of a company and linking them with external operations of suppliers, customers and
other chain members (Tutuncu and Kucukusta, 2008). This may lead to change the
traditional structure of the organization. Therefore, the integration of TQM principles
offers potential for broadening the perspective of SCM from its traditional narrow focus on
costs and competitive relationship to focusing on cooperative relationships between
members of the supply chain (Flynn and Flynn, 2005). TQM and SCM have a significant role
in strengthening the organizational competitiveness (Sila et al., 2006), and share the same ultimate goal of customer satisfaction (Lamey, 1996; Gunasekaran et al., 2001; Gunasekaran and McGaughey, 2003; Mills et al., 2004; and Vanichchinchai and Igel, 2009). But
their approaches to achieve this ultimate goal are different. TQM emphasizes on
continuous quality improvement and participation while SCM emphasizes on supplier relationship
and management, both at reduced costs. Therefore, better quality and timely delivery of
products and services will improve customer satisfaction and strengthen the
organizational competitiveness. There may be few instances where problems in implementing
the integrated TQM and SCM approaches arise because of differences in quality and
supplier performance. Overall, the ultimate goal for both TQM and SCM is identical and aims
to achieve customer satisfaction and strengthen the organizational competitiveness.
Since both TQM and SCM require participation from all the internal functions
and continuous collaboration with all external partners, they offer a unique framework
to integrate participation and partnership (Dean and Bowen, 1994; Sohal and
Anderson, 1999; and Gimenez, 2004). However, TQM focuses more on internal
participation, whereas SCM focuses more on external partnerships. An essential requirement and
a fundamental challenge in the application of TQM in SCM is the development of
programs and techniques that encourage culturally diverse workforces to continuously improve
all areas of organization performance (Gunasekaran and McGaughey, 2003). TQM
can enhance communication along with supply chain, partnership development and
Customer Relationship Management (CRM) (Madu and Madu, 2003). |