Assignment Total Quality Management

Added on - 21 Apr 2020

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Total Quality Management
Total Quality Management2ContentsIntroduction......................................................................................................................................2A brief introduction of Amazon......................................................................................................2Identify the TQM tool used by Amazon..........................................................................................2The implementation methods of the TQM tool...............................................................................3Drop Shipment Method...............................................................................................................3Strategic management of the supply chain..................................................................................4How successful the implementation was?.......................................................................................4Implicated Fundamentals of Total Quality Management within Amazon.Com and the successachieved.......................................................................................................................................4How Amazon dealt with change?....................................................................................................6References........................................................................................................................................9
Total Quality Management3IntroductionIn the present world of globalised business with innovative and advanced technologies ofproduction and operations there is limited risk in the businesses. The businesses which havelimited or squat risks are considered as the most efficient and productive in the present globalmarkets. There is continuous use of innovative and sound business practices with updatedtechnologies so that increased number of customer base and extended market share could begained by the organisation. For achieving a status of being innovative and unique and to earn acertain competitive benefits, the businesses implement business practices through which they canachieve total quality management. Quality management can be considered as the businesspractices which not only enhances the production compliance of the company but also thecustomer compliance. There are several diverse set of explanations of the term ‘qualitymanagement’ in the perspectives of number of authors and researchers. But the common aspectamong all the views comprises of high economic status, increased customer satisfaction, errorfree commercial goods and cooperative business operations. The quality management later onrecognized as TQM i.e. Total Quality Management which is a more wide spectrum thatcomprises of several aspects including barriers free business communication, risk freeproduction, strategic operational planning, commercial procurement, goods and productdistribution, innovative measures, customer service, demand and potential forecasting,successive transportation, etc. The report will understand the significance of total qualitymanagement in respect with Amazon Inc.A brief introduction of AmazonAmazon.com is performing business across the nations in a renowned name of Amazon which isa cloud computing and American electronic commerce organisation based in Seattle,Washington. The company was established in the year 1994. There are a total of 541,900employees that serves the e-commerce business of Amazon. The quality management and qualitybased services of Amazon are recognized across the globe (Topalović, 2015).
Total Quality Management4Identify the TQM tool used by AmazonThe implementation of total quality management in the business processes of Amazon isconsidered as the key factor in its continuous growth and success. The annual report of thecompany reflects its concerns related to the practices of quality management. To attain a numberof competitive benefits, the strategy used by the company is total quality management along witha number of various effectual factors including proactive risk management, management ofinventories, contract forecasting, forecasting of demands of product, reliability assurance, qualityassurance, rapid product transportation, risk assessment, innovative acquisitions, qualityassurance and effective strategic policies. There is effective management of the inventories forassuring highest growth and manufacturing yields, there is taken use of Fulfilment by Amazon(FBA) as a tool for managing the quality status (Kassim and Asiah Abdullah, 2010).Amazonensures high level of quality management in four specific aspects that offers high valueproposition to the organization comprises of customer friendly services, price suitability,increased variety with specifications and timely convenience. To achieve 24*7 qualitymanagement in an on line business is extremely difficult and challenging but Amazon hasattained such high level of total quality management with its business practice as even in the e-books site also, Amazon offers the customers with24*7 upload and download facility. Thecontact service facilities, upgraded reviews and the product recommendations and many otherare embedded in Amazon quality assured value propositions. The company is also recognized asone of the highest procuring networking businesses (Topalović, 2015).The implementation methods of the TQM toolDrop Shipment MethodThis method is particularly used by Amazon.com for the successful attainment of quality basedshipping of the articles to the buyers of the orders. This particular method is similar to as tenretailers transferring the articles which are ordered to the wholesalers or the manufacturers forensuring that there is qualitatively managed the shipping of the article to the respective buyers.The various differences in the prices are managed by the retailer and there is an arrangement dineby the manufacturers in respect with the retail based profit prices. The alliance basedmanagement of the inventory increases the quality of the shipping operations of Amazon.com(Heizer, 2016).
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