Académique Documents
Professionnel Documents
Culture Documents
Supervised By Submitted By
Mr. Sandeep Ravinder Malik
Asstt. Professor, MBA-IInd year,
Business Administration Department Roll No-5617508
This is certified that Ravinder Malik, Roll no., 5617508 student in Department of
Business Administration, Indus Institute of Engineering & Technology, Kinana, Jind
has carried out the Research titled, “The Impact of Total Quality Management on
Organizational Performance in “Trodat Marking India Pvt. Ltd., Gurgaon” This is an
original research work carried out by him . This work has not been submitted
anywhere else for degree / diploma. I wish him bright and prosperous future.
I approve the research project for submission.
Mr. Sandeep
Asstt. Prof.
IIET, Kinana
Jind
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DECLARATION
I, Ravinder Malik, student of MBA-2nd year, 4th Semester, IIET, Kinana (Jind)
affiliated to Kurukshetra University, Kurukshetra, hereby declare that the project
report entitled “The Impact of Total Quality Management on Organizational
Performance” in “Trodat Marking India Pvt. Ltd.” is an original work done by me and
the same has not been submitted to any other institute for the award of any other
degree.
Ravinder Malik
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ACKNOWLEDGEMENT
Any task that is undertaken reaches successful completion not only by an Individuals
effort but also by the guidance and support of many others. Here are we to
acknowledge a few of those who have helped us to carry out this project work
successfully.
I would like to express my special thanks of gratitude to Mr. ________ , for giving
me this opportunity to undertake this project in their prestigious organization and
providing a good environment for my work.
I would also like to thank to project Guide Mr. Sandeep of Indus Institute of
Engg. & Mgmt., Jind and entire staff of for the invaluable help and support they
extended during the project work.
Ravinder Malik
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PREFACE
It is a great opportunity for me to have the Master of business Administration in
Indus institute of Engineering and Technology, Kinana. In the accomplishment
of this degree I am submitting a project report on “The Impact of Total Quality
Management on Organizational Performance”.
Subject to the limitation of time, efforts and resources every possible attempt has
been made to study the problem deeply. The whole project is measured through the
questionnaire, the data further analyzed and interpreted and the result was obtained.
The whole project has been divided into following chapters-
Introduction
Company profile
Research methodology
Data analysis and Interpretation
Conclusion
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TABLE OF CONTENT
Certificate ii
Declaration iii
Acknowledgment iv
Preface v
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PARTICULARS PAGE NO.
Annexure 59- 61
Reference 62- 63
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Chapter = 1
Company Profile
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THE NAME TRODAT
Trodat wasn't originally the company's name, just that of a product. The 'Trodat'
plastic date stamp was introduced internationally in the 1940s. The name was the
product range: 'Tro' derives from trolitul, the material out of which the stamp was
manufactured. 'Dat' simply stands for date stamp.
Trodat was registered as an international brand in 1960. In the late 1960s it was
selected as the stamp manufacturer's name after reincorporation.
The decision to select Trodat as the company's name was made not least because the
name easily pronounced in many languages around the world. With an export rate
of 98% and customers in 150 countries, that's more important than ever today.
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TRODAT IN BRIEF
Trodat has its roots in Austria, but it hasn't let national boundaries stop it. Today the
Trodat group encompasses more than thirty international subsidiaries, with more
than 1,000 employees worldwide. The international Trodat Group’s turnover for
2011 was €137.1 million. Trodat has been expanding single-mindedly for decades
thereby becoming the world's market leader in self-inking stamps and dominating
engraving, marking, and cutting in the laser area with Trotec.
With all those products and subsidiaries, Trodat offers everything associated with
the subject of stamps. Business partners and customers all over the world have been
happy for years with this value-added philosophy.
Trodat stamp products are innovative and suitable for every application. Sister
company Trotec manufactures appropriate technology for stamp producers enabling
them to produce stamp products with consistently clean and beautiful impressions.
Both business and private customers can compose and purchase the perfect stamp
online via the in-house uTypia shop solution - and that in colour since the market
introduction of Trodat Multi Color Impression!
Trodat delivers to customers in more than 150 countries around the world; the export
share is over 98 per cent. However Trodat doesn't content itself with this success.
The course is being set with a forward-looking corporate strategy not only to secure
the company's existence for the future, but above all to ensure growth in all areas.
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TRODAT VALUES
CUSTOMER ORIENTIATION
We create added tangible and intangible value for our customers and assure them
profit and market advantage. We're better at it than anyone else, because we win our
customers as co-designers of products and business processes and thus as loyal
partners. Transparency and honest interest in people and their cultures are
prerequisite for that. We've got the unconditional will to always offer our customers
the most attractive and innovative products and services.
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RESULTS ORIENTATION
We can only maintain our leadership if we secure our long-term commercial results.
The permanent balance of costs and benefits, of effort and results therefore
accompanies all of our decisions. Each of us takes responsibility for thinking and
acting for a positive business outcome. The better the company is managed, the more
convincingly we'll be able to repeatedly secure and expand our worldwide leadership
position. A positive result assures successful continuity of the company and prolongs
job security.
EMPLOYEE ORIENTATION
Our team consists of personalities who contribute to the Trodat and Trotec brands'
uniqueness with competency and engagement. We recognize our actions' social
significance and can inspire ourselves for long-term goals. The company in turn
provides a framework in which team spirit and peak performance originate and
everyone gladly takes responsibility. As a company, we place importance on each
of us working in his or her area of personal strength and being further encouraged in
it. We make successes visible and celebrate it together. Working with us brings
added emotional value and high social prestige, and conveys meaning.
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DESIRE FOR INDIVIDUAL RESPONSIBILITY
To work in the Trodat Group means being able to actively co-design the business
and take responsibility. I know my work area best and bring in my ideas. I'm familiar
with my colleagues' areas of responsibility in the immediate vicinity. When I want
to change something, I coordinate my ideas and improvement suggestions with them
and work toward a quick decision.
VALUATION AS BASIS
We have confidence in ourselves. We have confidence in our colleagues. Trust and
confidence engender joy and courage for the challenges that we have to master on
the way to our goals. A climate of openness and honesty makes personal encounters
valuable. Recognition and valuation leave room for constructive criticism and
differences of opinion. Mutual interest in life and in the personality of others - right
across all levels - is an essential feature of our culture.
TRODAT WORLDWIDE
Trodat is in fact an Austrian company, but it's never let national boundaries stop it.
Today, Trodat is active in over 150 countries worldwide.
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Eleven of them have their own subsidiaries:
Trodat Germany
Trodat France
Trodat Polska
Trodat UK
Trodat USA
Trodat Marking Canada
Trodat China
Trodat South Africa
Trodat Russia
Trodat India
Trodat Benelux BV
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Chapter-2
Introduction of the Topic
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Introduction
Business environment has undergone tremendous changes and enhancement in
quality has become as one of the essential strategies that could be implemented in
any organization in order to achieve organizational competitive advantage. In
addition, because of the continuous increase in global labor market, organizations
must improve their product and services quality in order to survive within other
competitors. In order to enhance organizational performance, and for the purposes
of improving customer satisfaction; several total Quality management practices were
implemented. Total Quality Management (TQM) is based on; that all organization
Staff should collaborate with each other for the purposes of producing high quality
products and services in order to meet customers' demands. One strategy that could
be implemented in order to minimize errors is by controlling processes of
manufacturing.
Total quality management originated in the industrial sector of Japan (1954). Since
that time the concept has been developed and can be used for almost all types of
organizations such as schools, motorway maintenance, hotel management and
churches. Nowadays, Total Quality Management is also used within the e-business
sector and it perceives quality management entirely from the point of view of the
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customer. The objective of total quality management is doing things right the first
time over and over again. This saves the organization the time that is needed to
correct poor work and failed product and service implementations (such as warranty
repairs).
According to Lakhal -
“TQM can be defined as a strategy that aims to generate and transfer more efficient
and superior services, through achieving cooperation between organizational
members.”
According to Gharakhani –
Focus on customer
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Employee involvement
Process centered
Process thinking and process handling are a fundamental part of total quality
management. Processes are the guiding principle and people support these processes
based on basis objectives that are linked to the mission, vision and strategy.
Integrated system
A strategic plan must embrace the integration and quality development and the
development or services of an organization.
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Decision-making based on facts
Decision-making within the organization must only be based on facts and not on
opinions (emotions and personal interests). Data should support this decision-
making process.
Communication
Continuous improvement
By using the right measuring tools and innovative and creative thinking, continuous
improvement proposals will be initiated and implemented so that the organization
can develop into a higher level of quality.
A supporting Total Quality Management tool that could be used is the Deming
cycle (Plan-Do-Check-Act) or the DMAIC process.
1. Plan
2. Do
3. Check
4. Act
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This also referred to as the PDCA cycle.
Planning Phase
This phase is the most crucial phase of total quality management. Under this phase,
employees have to come up with their respective queries and problems which need
to be addressed. The employees apprise the management of different challenges
which they are facing in their day to day operations and also analyze the root cause
of the problem. They need to do the required research and collect significant data
which would help them find solutions to all the problems.
Doing Phase
In this phase, a solution for the identified problems in the planning phase is
developed by the employees. Strategies are devised and implemented to crack down
the challenges faced by employees. The efficiency and effectiveness of solutions and
strategies are also evaluated in this stage.
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Checking Phase
Under this phase, a comparison analysis of before and after is done in order to assess
the effectiveness of the processes and measure the results.
Acting Phase
This is the last phase of the cycle, in this phase employees document their results
and prepare themselves to address other problems.
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Theory of Total Quality can be summarized as Follows
Quality is made in the boardroom; it cannot be instilled into shop floor without
the initiative and commitment of top management;
Inspection is too late; aim to reduce defects during production and eliminate
mass inspection;
Eliminate numerical quotas, slogans, exhortation and targets for the workforce
and promote sustained and continuous improvement of process and quality of
output;
Break down barriers between staff areas and abandon review systems that will
destroy teamwork and create rivalry;
End the practice of awarding business on price tag alone; look for suppliers
committed to quality and develop long term relationships with them.
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Total Quality Management and Organizational Performance
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Chapter=3
Review of Literature
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Literature Review
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perspective. The focus were planning in strategic way, management of processes and
employees, leadership, customer concern, and measuring on both internal and
external customers' satisfaction level for the quality of perceived products and
services. This study has indicated that there is a positive relationship between TQM
practices, employees focus with satisfaction levels of customers. The research
findings also clarified that there is a strong relation between manager commitment
and satisfaction of customers. On the other hand, some TQM practices such as
planning in a strategic way and management of processes has less effect on
satisfaction levels of customers.
Lord& Lawrence (2001) clarified that the management of quality process must start
at the beginning of the project (the organization founding), and ends after achieving
the quality standards. Each organizational member European Journal of Business
and Management is also responsible to some extent on the organizational
improvements. Quality can be defined as the ability of products and services to cover
customers' demands and achieve high level of customer satisfaction (Waldman and
Gopalakrishnan, 1996).
Lakhal (2002) and Talha (2004) indicated that the practices of TQM is directly
contributing in enhancing the performance of organizations by minimizing costs ,
enhancing the performance staff members , and increasing the degree of customer
satisfaction .Although Saizarbitoria (2006) clarified that TQM directly impact the
performance of organizations in positive way, but Dooyoung et al. (1998) indicated
that in some cases the implementation of TQM cannot achieve the desired
organizational goals.
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Chapter-4
Objectives
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Objectives of the Study
Anything, done without an objective, is useless. This study is done not only
to fulfill the requirement of my course of MBA, but also to gain the experience
of research work, to know the feasibility of the knowledge, I gain during the
course of MBA. Beside this the project report has the other objectives given
below-
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Chapter-5
Research Methodology
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Research Methodology
The procedure adopted for conducting the research requires a lot of attention as it
has direct bearing on accuracy, reliability and adequacy of results obtained. It is due
to this reason that research methodology, which we used at the time of conducting
the research, needs to be elaborated upon. Research Methodology is a way to
systematically study & solves the research problems. If a researcher wants to claim
his study as a good study, he must clearly state the methodology adopted in
conducting the research so that it may be judged by the reader whether the
methodology of work done is sound or not.
Research Problem
In research process, the first and foremost step happens to be that of selecting and
properly defining a research problem.
First problem was to explore the TQM practices and technologies.
To identify the impact of TQM implementation on the organizational
performance.
Research design
A research design is the arrangement of conditions for collection and analysis of data
in a manner that aims to combine relevance to the research purpose with economy
in procedure. Research design is the conceptual structure within which research is
conducted. It constitutes the blue print for the collection, measurement and analysis
of data. Research design includes an outline of what the researcher will do from
writing the hypothesis and its operational implications to the final analysis of data.
A research design is a framework for the study and used as a guide in collecting and
analyzing the data. It is a strategy specifying which approach will be used
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for gathering and analyzing the data. It also includes the time and cost budget since
most studies are done under these two constraints.
A sample was taken randomly from the employees of Trodat India Pvt. Ltd. All the
subjects were tested, results so obtained were analyzed with the help of various
statistical tools & techniques.
Sampling Design
Sampling is necessary because it is almost impossible to examine the entire
parent population (i.e. the entire universe) various factors such as time available,
cost, purpose of study etc. make it necessary for the researchers to choose a sample.
It should neither be too small nor too big. It should be manageable.
For selecting the sample, researcher has used Random Selection Technique on
convenience basis.
Data Collection Method
In dealing with any real life problem it is often found that data at hand are inadequate,
and hence, it becomes necessary to collect data that are appropriate. The task of data
collection begins after a research problem has been defined and research design
chalked out. While deciding about the method of data collection to be used for the
study, the researcher should keep in mind two types of data viz., primary and
secondary.
Questionnaires method of data collection was used in the research for data
collection.
Statistical Tools and Techniques
Bar graphs and pie charts were also used for effective presentation of data analysis
and interpretation, so that everyone can easily understand the findings of research
report.
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Chapter-6
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Q.1 Quality circles are in place in the company to enable workers to actively
participate in quality and productivity improvement programs.
SA A NAND DA SDA
Response 10 15 2 8 5
5
10
8 SA
A
NAND
2
DA
15
SDA
Statement conclusion
10 respondents were strongly agreed that Quality circles are in place in the company
to enable workers to actively participate in quality and productivity improvement
programs , 15 respondents were agreed, 2 respondents were neither agree nor
disagree, 8 respondents were disagreed and 5 respondents were strongly disagreed
with the statement.
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Q.2 With the implementation of your total quality management program, to
what extent have the following employee and organizational performance
measures behaved for your company over the last one to two years?
Organization
Significantly Slightly No Slightly
Significantly
Performance decreased decreased change increased
Increased
Measure
Quality of
product /
service
provided by
3 11 5 13 8
our
employees
to our
customer
D SD NC I SI
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Q.3 With the implementation of your total quality management program, to
what extent have the following employee and organizational performance
measures behaved for your company over the last one to two years?
Organization
Significantly Slightly No Slightly
Significantly
Performance decreased decreased change increased
increased
Measure
Teamwork and
Cooperation
among
Employees 3 6 11 13 7
within a
Team or
department
D SD NC I SI
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Q.4 With the implementation of your total quality management program, to
what extent have the following employee and organizational performance
measures behaved for your company over the last one to two years?
Organization
Significantly Slightly No Slightly
Significantly
Performance decreased decreased change increased
Increased
Measure
Skills levels
of 2 3 9 19 7
Employees
SD
D
NC
I
SI
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Q.5 With the implementation of your total quality management program, to
what extent have the following employee and organizational performance
measures behaved for your company over the last one to two years?
Organization
Significantly Slightly No Slightly
Significantly
Performance decreased decreased change increased
Increased
Measure
Tardiness rate 8 18 3 7 4
4
8
7 SD
D
NC
I
3 SI
18
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Q.6 Does TQM assists in alignment of company’s goal as well as individual goal?
Yes No 13
Can’t Say
19 8
20
18
16
14
12
10
0
Yes No Can't Say
Statement conclusion
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Q.7 Does TQM help for improving the work efficiency of employees?
20 Yes 17
No 3
Can’t Say
25
20
15
10
0
Yes No Can't Say
Statement conclusion
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Q.8 Do you think the organization is quality conscious toward employees?
29 Yes 11
No
Yes
No
Statement conclusion
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Q.9 Has your organization structure change since TQM?
Yes 18
No
22
25
20
15
10
0
Yes No
Statement conclusion
22 respondents says that their organization structure has been changed since
TQM.18 respondents says that their organization structure has not been
changed since TQM.
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Q.10 The Company is actively involved in a TQM organization network to have
better access to quality information and product / process innovations?
SA A NAND DA SDA
Response 13 12 5 3 7
13
12
SA A NAND DA SDA
Statement Conclusion
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Chapter-7
Findings
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S.No. Question Statement SA A NAND DA SDA
SD D NC I SI
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over the last one to two
years?
4. With the implementation of
your total quality
management program, to
what extent have the
following employee and
organizational performance 3 6 11 13 7
measures (Teamwork and
Cooperation among
Employees within a Team or
department) behaved for
your company over the last
one to two years?
5. With the implementation of
your total quality
management program, to
what extent have the
following employee and
organizational performance 2 3 9 19 7
measures (Skills levels of
Employees) behaved for
your company over the last
one to two years?
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6. With the implementation of
your total quality
management program, to
what extent have the
following employee and
8 18 3 7 4
organizational performance
measures (Tardiness rate)
behaved for your company
over the last one to two
years?
Yes No Can’t Say
individual goal?
employees?
Yes No
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Chapter-8
Conclusion
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Overall Conclusion of the Study
This study is directly focusing on examining the relation between the total quality
management and organizational performance. Several past researches have clarified
the relation between TQM and the organizational performance especially the
financial performance. Such researches indicated that when one organization
implements TQM in effective way, then its performance will be largely enhanced
from several aspects. In a review of the literature covering the impact of total quality
management on organizational performance, Saizarbitoria(2006) indicated that there
is a positive direct relation between TQM and organizational performance, However,
Dooyoung (1998) indicated that TQM practices could hinder organizations to
achieve their goals. Nevertheless, the main conclusions that can be taken from this
research are that customer satisfaction and quality performance of products and
services can be enhanced by implementing different quality initiatives at
organizations. The strategy of TQM that concentrates on enhancing the customer
satisfaction levels will directly improve the organizational performances and that
Leadership commitment is considered a key element for guaranteeing a successful
implementation of TQM practices at organizations.
The objective of the study was to know the impact of total quality management on
organizational performance and it was observed that 73% respondent think that
TQM has a positive impact on organizational performance while 27% respondent
think that TQM does not have a positive impact on organizational performance..
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Positive impact of TQM
Response on Organizational Percentage
Performance
Yes 73 73%
No 27 27%
No
27%
Yes
No
Yes
73%
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Chapter-9
Suggestions
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Suggestions
Based on the data collected through the questionnaire and interactions with
the Managers and Employees of Trodat India Pvt. Ltd., the following
suggestions are made for consideration-
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Chapter-10
Limitation
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Limitations of the Study
Researcher has collected data from primary source i.e. questionnaire method. Many
problems were aroused while conducting research such as:
1. The response of the employees in giving information was lukewarm.
2. Organization’s resistance to share the internal information.
3. Non-response error.
4. Huge Space between what people say and what they actually do
5. The Privacy policies of Trodat Marking India Pvt. Ltd. don’t allow researcher to
use more data.
Researcher wanted to use observation method also. But, due to paucity of time
couldn’t sit there regularly for observation. It needs some equipment which was not
possible for researcher to arrange. So, with more time and resources, researcher
could do much better.
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Chapter-11
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Further Scope of the Study
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Annexure
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Annexure
The impact of Total Quality Management on Organizational Performance in Trodat
Marking India Pvt. Ltd.
Please fill in the following questionnaire:
Name (optional) __________________________________________________
Designation______________________________________________________
Qualification_____________________________________________________
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measures (Skills levels of Employees) behaved for your company over the
last one to two years?
SD D NC I SI
Yes No
9. Has your organization structure change since TQM?
Yes No
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References
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Total Quality Management and Organizational Performance, American
Journal of Industrial Engineering, 2013, Vol. 1, No. 3, 46-50,
DOI:10.12691/ajie-1-3-2
Dean, J.W., & Bowen, D.E.(1994). Management theory and total quality:
Improving research and practice through theory development, Academy of
Management Review 19 (3) 392-418.
Demirbag M., (2006). An Analysis of the Relationship between TQM
Implementation and Organizational Performance. Journal of Manufacturing
Technology and Management. 17 (6) 829-847.
Lakhal, L, Pasin, F. and Liman M. (2006). Quality management practices and
their impact on performance. International Journal of Quality &Reliability
Management, 23(6): 625-646.
Raja, M.W., Bodla, M.A., and Malik,S.A., (2011). Evaluating the Effect of
Total Quality Management Practices on Business Performance
Sadikoglu ,E., Zehir, C.(2010). “Investigating the effect of innovation and
employee performance on relationship between TQM practices and firm
performance”:An empirical study of Turkish firms, International Journal of
Production Economics, pp 1-14.
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