MGMT301: Analysis of TQM and Management Science at Woolworths

This report examines the application of Total Quality Management (TQM) and Management Science perspectives within Woolworths, a prominent Australian retail chain. The analysis highlights Woolworths' commitment to TQM through rigorous quality assurance audits, ingredient approvals, and a customer satisfaction guarantee. The company's investment in employee training and its adoption of the Six Sigma framework are also discussed. Furthermore, the report explores Woolworths' use of Management Science, particularly in leveraging information technology to optimize processes, manage resources, and reduce costs. The report references several academic sources to support the findings, illustrating how these management approaches contribute to Woolworths' operational efficiency and strategic decision-making. The report concludes that both TQM and Management Science remain relevant and are utilized to monitor the progress of the employees effectively.

Running Head: TQM 0
Managing people and organization
5/16/2019

TQM 1
Management Science Perspective and Total Quality Management
Woolworths is a popular chain of a retail store in Australia and other parts of the world. They
have built up their quality standards and service for its clients. Woolworths has developed a
positive image of quality assurance in order to fulfill and exceed the expectations of the
customer. Woolworths strictly follow the approach of total quality management (TQM) as in
order to meet the standard, they select products by passing through a Woolworths quality
assurance audit and all ingredients are approved by food technologies, nutritionists, and the
Australian standard. They also ensure that no artificial colors are there along with sustainable
palm oil. It is stated that if the clients are not 100% satisfied with these products, they will
return back the money of the customers as part of their policy. They still follow the TQM
approach into business to attract personnel employees as well as customers regarding food
quality (Westgard and Westgard, 2017).
Woolworths financed $63 million into learning & development initiatives, which involves
food training where workshops are organized for several staff members. The training offers
employees with professional knowledge to create better customer service. They are recently
utilizing MetricStream’s Quality Audit Management Solution to maintain their sustainability
performance and offers a comprehensive view of quality management and sustainability
programs. Woolworths is also attaining the framework of the total quality management i.e.
Six Sigma and control the new procedures to ensure the quality and performance level is
maintained (Jie and Gengatharen, 2019).
Woolworths is also following the Management Science Prescriptive in the current era, which
was developed to make sure that quantitative techniques can be used in problem-solving and
decision making. Woolworths used this approach to design appropriate information to
employees and customers in a cost-effective and timely manner. They are also evolving
information technology so that they can use various software as well as intranets & extranets
that assist them to make a plan, allocate resources, estimate costs, track production, schedule
personnel, and manage projects. When Woolworths executed an intranet, which is combined
with software to track inventory, automate overtaking, and evaluate estimates. They apply
management science perspective in order to cut both production time and manufacturing
costs. Along with Woolworths, there are several other organizations, which have information

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technology department to assist them to apply this approach in order to solve difficult
organizational concerns (Methner, Hamann and Nilsson, 2015).
It is stated that some ideas, which relates to this theory had a significant influence on
management thinking. This involves entropy, system dependencies, open as well as closed
systems. In the management science perspective, Woolworths were frequently adapting to the
closed system assumptions and absence of external disturbances are utilized to resolve the
issues for quantitative analysis. It also leads to industrial peace, enhances productivity, and
generate team-building intervention. Woolworths uses this approach so that they can make an
effective decision concerning the overall management of the enterprise. However, it can be
concluded that both the approach i.e. Management Science Perspective and Total Quality
Management is still utilized in some extent so that they can monitor the progress of the
employees effectively (Schad, Lewis, Raisch and Smith, 2016).

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References
Jie, F. and Gengatharen, D. (2019) Australian food retail supply chain analysis. Business
Process Management Journal, 25(2), pp.271-287.
Methner, N., Hamann, R. and Nilsson, W. (2015) The evolution of a sustainability leader:
The development of strategic and boundary spanning organizational innovation capabilities in
Woolworths. In The Business of Social and Environmental Innovation, 22(4), pp. 87-104.
Schad, J., Lewis, M.W., Raisch, S. and Smith, W.K. (2016) Paradox research in management
science: Looking back to move forward. The Academy of Management Annals, 10(1), pp.5-
64.
Westgard, J.O. and Westgard, S.A. (2017) Six sigma quality management system and design
of risk-based statistical quality control. Clinics in laboratory medicine, 37(1), pp.85-96.