Chapter one
Introduction
1.1 Background of the study
In Nigeria, traveling by road has always been a nightmare because roads are in a terrible condition. There is no reason for having the poor roads because a lot of money is set aside to maintain and reconstruct them. The condition of Nigerian roads especially those getting into the city require immediate attention and thanks to Ratcon construction company which intends to enforce a total quality management on the same. For almost 20 years, total quality management abbreviated as TQM has been a major term for improved productivity. Total quality management is much older than 20 years but the total quality movement picked got morale in the late 70s and 80s when the Americans introduced techniques that led to the Japanese success. (Evans, 146)
It is in a federal Quality Institute publication that one can get the explanation of the Total Quality management background. This is possible in the Total Quality Management introduction in the Federal Government. In Nigeria and the entire world, the United States of America lost 40% from the year 1960 to 1990 of its share in the market to foreign competitors. At this time, Japan was enjoying an increased foreign market share by 500%. The objective of this paper is reporting the findings of a research on TQM programme implementation in a typical Nigerian company. (Asli, 147)
Tannock and rahman reported three similar case studies in 2005 carried out in road construction companies in Nigeria. Provided studies give insights into the issues facing road construction companies that are in the urge to develop more approaches of quality management. The studies show that the companies have distinct approaches to total quality management implementation and should share with other road construction companies in Nigeria and outside Nigeria. Some of the addressed key issues are employee involvement, top management commitment, employee rewards, an effective steering committee focused on policy and management planning as well as skill development.
There was also a discussion by Hanson on various characteristics of implementing total quality management in small organizations. The small organizations are all over the world but mostly in the African countries, which happens to be the home continent of Nigeria and the Ratcon construction Company. Total quality management has seen many companies improve in the way they handle their customers and their employees. (Dadzie, 234)
It is one thing to have a good company and it is another to have it well managed. Many companies adopt total quality management but end up failing to implement it therefore making it useless. Study shows that it is not easy to implement total quality management since it requires a lot of commitment and hard work. For a company like Ratcon, this does a great job in ensuring that there are better roads and constructions. In Nigeria, companies work very hard to see that there is a good way of programme implementation. (Blanchard, 115)
Total quality management has saved Ratcon Company from bankruptcy and many companies have learnt a very big lesson. It is through the construction company that TQM has become popular and many can now see its importance. The good thing with the programme is that it serves any kind of business or company. This means that its implementation in small companies is as good as in a big company. Hospitals, hotels, schools and even industries use it and the implementation processes are the same. (Chopra, 231)
There several obstacles associated with the implementation of the total quality management in Ratcon Construction Company. Since the company operates in a country that has not done such a thing in the past, managers see no use of implementing the programme. Other obstacles include lack of contracts therefore no room for improvements. Lack of well-equipped managers is another obstacle facing Ratcon Construction Company in the implementation of the programme. Lack of experience is something that can ruin a company in terms of management and administration. In Ratcon Company, managers lack what it takes to implement total quality management thus making it incompetence.
Having obstacles in any situation means that there are benefits associated with it. In Ratcon Company, there are many benefits associated with the total quality management. The benefits include success and good customer care. Where there is good implementation of the programme, a company improves the operations and this reflects on the annual returns. TQM has seen Ratcon improve its management on road construction. It has been able to complete many government contracts and operations and it is through this that the country is recommending it to other African countries.
When the company began its construction work, it had many weaknesses and unutilized opportunities. After implementing total quality management, the company improved and the weaknesses shifted to strengths and the opportunities turned into strengths, as there was full utilization. (Asli, 34)
This section discusses and reviews the seven central principles of total quality management. These principles are top management support, customer focus, strategic quality planning, enhancing teamwork, training and recognition, quality assurance and performance measurement. The top of the list principle is top management. Management led process defines total quality. Because of that, implementation success depends on top management’s commitment demonstration. The involvement and commitment of management needs demonstration and visibility. Commitment means the willingness and devotion of resources to total quality management. It also means investing in the programme and the willingness to invest immediately in order to later reap the benefits.
Total quality commitment means the enthusiasm to change the culture and style in which the company carries its operation. This may mean changes in the management of Ratcon philosophy or the relationship between the subordinates and their managers. Strategic quality planning is the second principle and it plays a key role in making sure that there are quality services and products output of Ratcon construction company. Ratcon is able to identify its strengths and weaknesses by undergoing the strategic planning process. (Evans, 93)
Customer focus is the third principle. A customer requirement is conformance to quality. For maximum achievement of customer satisfaction, every supervisor, employee and manager must have a passionate commitment to meet the customer’s requirements making it the key to profitability and quality. a strong involvement and commitment of supervisors, managers and employees in the focus process of customers will assure cost reduction, quality and competitive advantage for the organization concerned which in this case is Ratcon construction company.
Coming fourth in the list of principles is training and recognition. Total quality management successful implementation depends on participation and support of a knowledgeable and skilful workforce with optimistic values and attitudes towards work. For this to happen, it requires recognition of a system that is motivating to the workforce for production of high quality outputs. It also requires continuous training for better production of outputs.
The research attempts to answer key questions like why is it necessary for a company to implement TQM and how does the programme improve a company. The total quality management approach is suitable for companies in Nigeria because it boosts the management and customer relationship with the companies involved. There are critical success factors required for successful implementation like commitment and dedication. This calls for managers’ attention and time.
Total quality management is a long-term process and therefore it can take years for a company to realize the benefits and improvements. Over 90% of Ratcon, construction company staff is aware of basic principles of TQM and they know of their top management commitment in implementing the programme in their organization. For better and successful implementation of the programme, the management must realize the weak areas and the strong areas so that there can be fair distribution of the workforce during implementation. Is well implemented, TQM can turn around a company and prevent it from any risk of bankruptcy. The efforts put during the implementation are visible in the profits and benefits of the programme. Many companies realize the benefits of TQM after ten or so years down the line, something that calls for patience, persistence and courage.
General objective
The aim of the dissertation on total quality management is to create a portion of work that explains the process regarding total quality management in Ratcon Construction Company in Nigeria and other parts of the world. The dissertation will review the advantages of TQM. It will identify why total quality management is important and how it can get to perfection.
Specific objectives
This dissertation’s objectives are to:
Explain what total quality management is in road construction context and in broad-spectrum.
Identify the related construction companies and how they provide the TQM to their clients
Establish how important effective total quality management is to clients and the country at large.
Gather the view of clients in the construction industry on total quality management’s benefits.
Expected outcomes
The purpose of conducting this paper is to highlight the importance of total quality management in road construction in both china and the whole world. It tends to point out the areas of improvement in the industry in Nigeria. It is the hope of the author to answer the questions in the research questions contained in the chapter.
Significance of the study
Evaluation of strategies is as significant as formulation of strategies because it throws light on the effectiveness and efficiency of the comprehensive plans in the achievement of the desired results. Ratcon’s managers assess the appropriateness of current strategies in the current dynamic world. This is possible through socio-economic, technological and political innovations. In Ratcon, the management strategies are the same with other similar construction companies in Nigeria and other parts of the world. (Evans, 194)
The greatest management strategy Ratcon has is to be the number one construction company. According to the Nigerian administrative modernization and management planning in road construction, TQM is a process that continues and it involves the whole customer driven society as well as Ratcon Construction Company. The development aims at creating a culture of excellence in Ratcon Construction Company and any other construction company from all over the world. TQM can however be seen as cultural transformation process through which the elements in existence get replacements, modifications and strength from better elements. The elements contain attitudes and values, procedures and systems, operational practices and Ratcon’s structure.
According to Ratcon, Total Quality Management is an approach that is client oriented and introduces a systematic management changes as well as continuous upgrading to an organizations products, services and processes. The word Total in TQM means that everyone in Ratcon must be busy in the continuous effort of improvement. The word quality means that the company shows concern for the satisfaction of all customers and finally the term management refers to the processes and people needed for quality achievement purposes. People in Nigeria see total quality management as a change in style of management that aims at increasing value to customers continuously through designing and improving organizational processes and systems. For Ratcon, total quality management is a company culture defined by satisfaction of customers where all the employees participate. (Evans, 323)
Scope of the study
There have been many case studies conducted regarding the total quality management over the years and publishing of results in journals. Provision of a brief account of literature is prohibitive in view of the fact that it has been so omnipresent. In this case study, there are only a few selected provisions of recent total quality management publications. There is more emphasis on single organizations as mentioned earlier. (Evans, 109)
There is an implementation of total quality management in many construction companies. This has seen them through a successful road such as the Ratcon and other constructions companies in Nigeria and other parts of the world. Ratcon Construction Company conducted a case study for one year and found the following success factors in the programme of total quality management: a leadership commitment and an organizational structure for process identification and improvement. Use of analytical and data based statistical tools for studying process, involvement of external and internal customers, empowerment of employees and effective measures for improvement monitoring. Authors accrue that the efforts from the total quality management are remarkable.
1. Research questions
1. The first question is what does the research intend to get?
2. The second question is how best the knowledge of help to the research and do the involved parties contribute to the research?
3. The last and the most crucial is where does the information come from and how relevant is it?
Hypothesis
I. It gives the whole idea and overview of TQM and focuses on road construction industry in Nigeria and the world at large.
II. The piece identifies the importance of the TQM to the construction industry and to the clients who are the main beneficiaries of the road network.
III. This case study is from a Nigerian construction company, Ratcon is a road construction company.
IV. The company ensures that there is an implementation of the programme in all areas including those outside Nigeria. All the good characteristics of TQM are present in the company. (Asli, 198)
Structure of thesis
The study contains five chapters where the first chapter gives the study’s background, objectives, statement of the problem, research questions, significant, hypothesis and scope. Structure of thesis is also in chapter one which gives the definition of operational terms.
The next chapter in the study is the one dealing with the literature review and it synthesizes the appropriate current literatures to the study. It is also in chapter two that there is the theoretical basis of the study. The third chapter gives a good description of the research methodology and makes up research design, population, setting, sampling and sample techniques, validity, reliability of the instrument as well as research instrument. Data analysis and the procedure for collecting data also appear in this chapter. The fourth chapter presents the results of major findings and gives the analysis of data. The last chapter is the fifth chapter and it gives the summary of findings, limitations, and suggestions for further studies, recommendations as well as conclusions.
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