Many companies have installed total quality management

Many companies have installed total quality management - Or...

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Many companies have installed total quality management (TQM) systems to reduce defects in finished products. The goal is to achieve zero defects. These systems require timely data on defective products, rework costs, and the cost of honoring warranty contracts. Often, companies use this information to help redesign the product in a way that makes it less prone to defects.
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Unformatted text preview: Or they may use the information to reengineer the production process to reduce setup time and decrease the potential for error. TQM systems also provide information on nonfinancial measures such as customer satisfaction, number of service calls, and time to generate reports. Attention to these measures, which employees can control, leads to increased profitability....
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