Quality 

Quality is about meeting the minimum standard required to satisfy customer needs. 

• Customer service – how prompt is delivery?
• Physical appearance – they may want a certain style and colour
• Reliability and durability – will it last for 10 years?
• Special features – does it have a satellite navigation system?
• Suitability – can it seat six people comfortably?
• Repairs – how much does it cost to maintain the car?

Quality Control 

Quality control – where finished products are checked by inspectors to see if they meet the set standard. 

Quality assurance 

Quality assurance – where quality is built into the production process. For example, all staff check all items at all stages of the production process for faults. In this way everyone takes responsibility for delivering quality. Introducing quality assurance requires Total Quality Management (TQM), in which managers try to bring about a change in business culture, convincing employees to care about how products are being made and to do their part to ensure standards are met. 

TQM is designed to prevent errors, such as poor quality products, from ever happening. What are the features of TQM? 

• Quality chains: Every worker in a business is like a link in a chain and every worker is both a customer and a supplier. This is because a worker on a production line will only receive (as a customer) and pass on (as a supplier) semi-finished work if it has reached specified quality standards. 
• This avoids faulty products ever being made. The chain also includes customers and suppliers outside the business. 
• Everyone is involved: Every department, activity and worker is organised to take into account quality at all times. TQM must start from the top with the chairperson and spread throughout the business to every employee. 
• Quality audits: Statistical data is used to monitor quality standards. These checks or audits aim to reduce variation, which is the cause of most quality problems. Variations in products, delivery times, materials and worker performance often occur. Such variations can be easily identified if statistical data is used. 
• Teamwork: TQM stresses that teamwork is the most effective way of solving problems. This is because teams have more skills, knowledge and experience than a single person. 
• Customer focused: Firms using TQM are committed to their customers. They respond to changes in people’s needs and expectations. 
• Zero defects: Many quality systems have a zero defect policy. This aims to ensure that every product that is manufactured is free from defects.

Benefits to businesses of ISO 9000 certification

• Examines and improves systems, methods and procedures to lower costs.
• Motivates staff and encourages them to get things right first time.
• Defines key roles, responsibilities and authorities in a business.
• Ensures orders are consistently delivered on time.
• Highlights product or design problems and develops improvements.
• Records and investigates all quality failure and customer complaints.
• Shows customers that they are taking measures to improve quality.
• Helps to identify staff training needs.

Advantages and Disadvantages of TQM

Quality Standards 

Businesses can earn a reputation for quality by following the code of practice or gaining quality awards. Recognition for quality in business may be awarded by a number of organizations, One Important example is the British Standards Institution(BSI). 

Quality and Competitive Advantage 

Businesses that produce high-quality products may gain a competitive edge in the market. Some businesses have a reputation for producing high-quality products all over the world. For example, it might be argued that the following businesses are recognised for the quality of their products globally. 

• Prada – an Italian luxury fashion house specialising in leather handbags, travel accessories, shoes, eyewear and perfumes. 
• Versace – an Italian fashion company making and selling a wide range of clothing and fashion accessories for men and women. 
• Rolls Royce – a manufacturer of jet engines but possibly more famous for its Rolls Royce luxury cars. 
• Rolex – famous for its high-quality luxury wristwatches. 
• Lego – a global supplier of toys made famous by its large plastic building bricks. 

Quality can be important to both large and small businesses. If any business can develop and produce high quality products, this could serve as a unique selling point (USP). This will help give the business a competitive edge in the market. Also, people are often prepared to pay higher prices for quality products so profit margins can be increased. 

Developing a reputation for quality and gaining a competitive edge in a market may take time. A business needs to understand how customers view quality in their market and adopt strategies to meet or beat customer expectations. This might mean adopting TQM, buying better quality resources, employing more skilled and experienced staff and implementing an effective marketing strategy. However, the effort and cost may well be worth it.