Analyzing Quality Management within Subway's Business Organisation

This report examines the importance of quality management within Subway's business organization, focusing on how quality contributes to customer satisfaction, revenue generation, and competitive advantage. It defines quality in the context of Subway, highlighting its role in meeting customer expectations, establishing company reputation, and managing costs effectively. The report discusses Subway's use of quality management software like Inspection Xpert and Instill to maintain food safety and vendor management. It also outlines the advantages of high-quality products, such as building a strong brand image and expanding business opportunities, while acknowledging the disadvantages, including increased wastage and inspection costs. Ultimately, the report emphasizes the critical role of quality management in Subway's success and sustainability in the competitive fast-food market.

Business Organisation

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
What is quality............................................................................................................................3
Why is quality important for company.......................................................................................3
What do you mean by good quality management.......................................................................4
Does company use any quality management software. Why?....................................................5
Advantages of quality for Subway..............................................................................................6
Disadvantages of quality for Subway.........................................................................................7
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
For the successful and sustainable development and growth of business in the competitive
market it is important to manage the quality of products and services it provide to its customers
which will help the company in gaining a competitive advantage in the market. Quality plays an
important role in satisfying the needs and wants of customers in an efficient manner which will
help in repetitive purchase of products by the customers (Shah, Shamail and Ahmad Akhtar,
2015). It also helps in generating long-term revenue for company thereby increasing the
profitability of the business. In this report importance of quality in reference to Subway which is
an American privately-owned restaurant franchise and mainly deals in submarine sandwiches
and salads will be discussed. The restaurant is the fastest growing franchises in the world which
means that quality management is important for the company. Furtherv the use of quality
management software will be discussed along witrh the advantages and disadvantages of quality.
MAIN BODY
What is quality
Quality refers to the measurement of the goodness of a thing in comparison to other
similar thing which helps in determining which item is better. To maintain the quality of
products set standards are followed which helps in making the goods and services produced by
the company free from defect, deficiencies and variations. This helps the company in producing
uniform product line so that a similar quality of all the products can be maintained. Quality of
products helps in increasing the customer experience and adds value to the money they spend in
order to purchase the company products. Quality plays an important role in giving a competitive
advantage to the company (Ross, 2017).
Why is quality important for company
Quality is important for organization because it directly or indirectly helps in building
loyal and trustworthy customers with the product and services. The explanation regarding why
quality is important for a firm are discussed as under:
Meet client's expectations: In the open market place firm is focusing on providing high
quality goods and services to the end users so as to achieve expectation level of the customers on
priority level. Sub-way management is concentrating on providing good quality foods of the

targeted customers so that they can be bind for longer time duration. Additionally, more
customer base is raised towards quality food.
Establishes companies reputation: Customers are more attracted to those food which
are of high quality. Subway is training their employees to render high quality food to the
customers. By this act positive image is build in the market regarding the firm. It helps Subway
to gain competitive advantages against rivalry. By serving quality food to the customers
organization overall productivity and profitability ratio raises accordingly which is a positive
mark of the company in the intense competitive world (Prause And et. al., 2015).
Manage cost effectively: Those firm which serve poor quality food and services it has
been seen that their cost raises at a tremendous scale. The serving defective food to the
customers many times business faces legal costs for failing to match with client's and industry
standards. It is important to maintain quality in the food by Subway so that set goals and
objectives can be attained easily as compare to competitors. Moreover, quality in food and
services helps management of Subway in handling cost effectively.
Produces less customers complaints and returns: The ratio of food complaints can be
reduced by serving quality food to the consumers and matching with their expectation level for
food and services. Subway conduct research activities in order to enhance the quality of the food
in order to build positive image in the minds of the client over the years. When the complaints
are reduced organization is able to raise the goodwill in the market by which they are able to
capture huge market ratio. Additionally, Subway is able to cope up with competitors prevailing
in the competitive world (Nanda, 2016).
From the above discussed points it has been clear that why quality in food and services is
important for Subway. Quality helps in build loyal customers towards the food and services for
the overs years. However, organization is cable to capture huge market ratio which is a positive
sign for the management in the global market.
What do you mean by good quality management
The good quality management refers to the attain in consistency of projects which helps the
organisation. It includes the satisfaction of customers and use of other resources with in proper
time. To make long term effective, the quality management should follow some principles which
are described below.

 Firstly, to make good quality of management they should meet the customers demand
and should try to pass the customer's demand. This will help in achieving the long
term benefits by improving the quality management. It can also enhance honour and
customer of the organisation.
 The key point for achieving good quality management is to observe the right
perspective of operations in company. With this, the performance of company can be
optimized with expeditious usage of resources. This can be achieve by managing the
interrelationship and important information as it enhance the quality of organisation.
 In order to make a successful good quality management, the constant improvement
can help them in the organisation. With this the performance, capabilities and
satisfaction of customers can be developed. It also enhance the quality to evaluate on
possibility and risks. With the constant improvement, it can bring the innovation in
the organisation (Makki, Ozturk and Singh, 2016).
Does company use any quality management software. Why?
Subway restaurants is a privately owned corporation with an annual revenue of about
$5bn and operates in about 45,000 locations in 100 countries all around the world. Subway pays
a lot of attention in maintaining the quality of food so that safety of food can be ensured which
will help in highly satisfying its customers. Subway is well known at maintaining the quality of
products which helps the company in gaining a renowned image in the world. For providing the
highest quality of food to its customers Subway installs various quality management software so
that highest food quality can be maintained. QMS is a platform which provides a centralized
means of managing and tracking the quality of company products (Hwang And et. al., 2016).
This system works continuously throughout the process of making the finished goods and
services in order to maintain the quality of products at each stage which helps in assuring the
overall quality of products. By the help of quality management software system it can be ensured
that best products are delivered to the customers which help in maximizing the customer
satisfaction by establishing a streamlined corrective and preventive action (CAPA) process.
These quality management software platforms consist of document control, audit management,
non conformance tracking, corrective actions and employee training which helps the company in
maintaining the quality of its products. Following are the software that are used by Subway so
that quality of food can be maximized:

 Inspection Xpert : This is an online inspection software which is used by Subway so as
to monitor and inspect the quality of food produced by the company. This software
provides innovative and high quality solutions to customers across the globe so that
innovation in products can be made while maintaining high quality of food offered by
Subway. This also helps the company to reduce the time of inspecting the quality of
products so that the defective and unhealthy food can be eliminated which helps in
making highly healthy food to its customers (Grudzień and Hamrol, 2016).
 Instill : The purchasing of co-op which helps the company in maintaining relations with
the suppliers for Subway has signed an agreement for a new quality management solution
from Instill. Instill uses web-based application to ensure the vendor management by
scheduling, tracking and scoring site audits and product inspections which helps in
maintaining the products with high quality so that the safety of food can be ensured
which helps in increasing the customer satisfaction. Also it helps in building the strong
brand image of the company which will help in increasing the market base of the
company and attracting a large number of customers which can help Subway to become
the market leader in fast-food restaurants.
Advantages of quality for Subway
Subway provides its customers with sandwiches which are custom-made based on freshly
baked breads which helps in making club sandwiches for customers as per their taste and their
specifications of all the items they want to include. Also the extraordinary service and value
given to customers helps in maximizing their experience. Along with this Subway allows its
franchises to choose their own food suppliers so that they can have an access to fresh ingredients
which are used to make food. This provides a competitive advantage to the company as the
customers can have an access to highly fresh and nutritive contents of the food. Following are
the advantages of maintaining high quality of food products that are made at Subway: Reputation: High quality products that are provided to customers help in building strong
brand image of the company as quality is the main feature which helps in creating high
value for the money spent by customers. This helps in creating a positive image of the
company in minds of customers so that repetitive business can be ensured. Expansion of business: If the company provides quality products then its expansion in
other locations even in other countries can take place easily as following of high quality

standards can convince other governments that the company will provide safe and healthy
food products to the people. Following of food safety standards and other legal
procedures that maintains high standards for food quality can enhance the chances of
company expansion in other areas. Return on investment: Higher the quality of products, faster are the returns on
investment as high quality will help in attracting more customers so that the profits of
company can be increased. Satisfaction to customers: Customers can be highly satisfied by providing them with
high quality of products and services which creates great value on the money they pay to
purchase those products.
 Reselling opportunity: It means that repetitive business opportunities can be created for
Subway as it provides quality and highly nutritive food to its customers.
Disadvantages of quality for Subway
Apart from the advantages that quality products provide to the company there are certain
disadvantages that are faced which increases the cost of company and can bring losses to the
company. Following are some disadvantages of maintaining high quality at Subway:
 As high quality of products are maintained it means that even the slightest of faulty or
disproportionate products are eliminated which increase the wastage of resources at
Subway. Further recycling and reusing of things are also not done as only fresh
ingredients are used in making food which increases waste to a large extent. This increase
the cost of the company as the resources get wasted (Başaran, 2016).
 The process of inspection at each and every stage is very expensive which increase the
cost of company and the overall price of food for customers also increase. This means
that only high income families can afford the food of Subway.
 As high quality standards are followed in the company the employees are expected to be
extra careful in preparing food for customers which involves taking only customer
specific ingredients and in measured quantities so tat the quality of food can be
maximized. This decreases the morale of employees as they have to work under strict
environment and under pressure so that highest quality is maintained.

CONCLUSION
From the above report it can be concluded that managing the quality of products that is
manufactured by the company plays an important role in creating high value for customers which
helps in building strong brand image for the company. It can also be said that high quality
standards require installation of certain quality management software so that regular inspection
and check of the product quality can be done so that uniform products are made available to
customers. Also there are both advantages and disadvantages of high quality of products which
can be balanced by the company so that profit margins can be increased.

REFERENCES
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on behavioral intentions for mobile payment systems in the restaurant industry. Journal
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