Introduction
Quality management (TQM) refers to an integrated approach developed to improve the quality at every level of the organization. It is a systematic quality improvement tool to achieve the purpose of performance improvement in terms of quality, productivity, customer satisfaction and profitability. It focuses on the continuous process improvement in the organizations to offer high customer value and meet needs of the customer. Four main factors are linked to the TQM strategy, such as customer satisfaction, employee involvement, managerial leadership and process improvement and control. The organizations that give preference to quality are needed to identify customers, their needs and the integration of all activities in the organization like marketing, finance, HRM and IS to satisfy needs. TQM helps organizations to achieve earlier described goals and leads to improvement in effectiveness and efficiency of the operations (Gharakhani, Rahmati, Farrokhi & Farahmandian, 2013).
On the other hand, business process management (BPM) refers to the process based management approach. It involves methods, tools, and techniques to provide assistance to design, presentation, management and analysis of the operational business processes including humans, organizations, applications, documents and other sources of information (Melcher, 2014 p. 11). According to Melcher (2014 p. 11) to understand the real meaning of BPM approach, it is important to understand its lifecycle. Its lifecycle has four phases, such as design & analysis, configuration, enactment and evaluation. Deign includes business process identification as well as modeling and analysis includes validation, simulation and verification. Configuration involves system selection, implementation, test and deployment. Enactment includes operation, monitoring and maintenance. On the other side, evaluation is the monitoring of business activity and business process mining (refers to figure 1).
Figure 1: Lifecycle of BPM
Source: Melcher (2014)
Role
Quality management (TQM) play key role in the organization and its development. As it includes everyone in the organization in relation to continuous effort to make improvements in quality and to achieve customer satisfaction. One of the role of TQM is to increase performance of the organization by developing culture with the focus on extensive participation, teamwork and continuous learning (Badiger & Laxman, 2013). In comparison to TQM, BPM enables the companies to show flexible reaction to frequently changing business environment (Leopold, 2013). It also enables the companies an agile adaptation to varying business requirements (Hyötyläinen, 2014).
Principles
The principles of the TQM include focus on the customer, leadership, people’s involvement, focus on process, system approach to management, continuous improvement, and mutually advantageous relationship with suppliers and flexibility (Kubr, 2002). On the other side, the principles of the BPM include focus on the internal and external customer, linkages with employees, processes of performance measurement, continuous improvement, development of process map and their usage, standards on the basis of process model, strategic management, quality control and management skills (Hájková, 2012). There are various similarities between TQM and BPM principles. Some similarities are the focus on quality control, process approach, continuous improvement, and on the customer. Both models are intended to fulfil the needs of customers, employees, suppliers and organization (Hájková, 2012).
Objectives
The general objective of the BPM tools is to offer assistance to business experts to model, observe and improve processes on the business level (Jeston & Nelis, 2014). In addition, the business objectives of BPM are business performance improvement and business conformance. Moreover, the technical objective of BPM includes implementation of technology (Hull, Mendling & Tai, 2010). In comparison to BPM, the objective of the TQM is the continuous improvement of processes that is achieved by shifting the focus from results to the processes used to produce them. To achieve this objective tools like data collection and analysis, flow charts, and fish bone diagrams are used (Prasad, 2010).
Practices
Most common practice of TQM is the continuous improvement process (CIP) to satisfy customer with the focus on quality. In addition, zero defects is the practice that focuses on nil defects in products/services. Moreover, six-sigma and PDCA are the practices of TQM that focus on the calculation of measurable improvement and plan-do-check-act respectively (Mandal, 2009). The practices in relation to BPM can be ascertained by the example of best practices for BPM in customer service companies. In the service companies, the practices of BPM include empowerment of business managers, facilitation of business and IT collaboration, empowerment of knowledgeable workers, knowledge of metrics, selection of technology that assist agility, and establishment of center of excellence. The company named KANA employed these best practices for BPM and to fulfil the needs of stakeholders (KANA, 2014).
Challenges
At strategic level, the common challenges to BPM include lack of understanding of process orientation, lack of common mindset, resistance by customer, and lack of governance. In addition, at tactical level the challenges are lack of flow among directives at strategic and operational levels, lack of standard method, lack of lifecycle management, problems in identifying the processes and lack of standard language. Moreover, at operational level the challenges are problems in integration and issues in using of product functionality (Indulska et al. 2007). In contrast, challenges to TQM include ineffective leadership, lack of training and HRD, lack of resources, lack of support, and lack of management commitment (Suleman & Gul, 2015).
Benefits
Both TQM and BPM have benefits as BPM leads to transparency and efficiency of processes. In addition, it contributes to process-based organizational structures, increase in cycle times, and reduction in cost flexibility. Moreover, it facilitates effective measurement and evaluation of systems and continuous improvement. It also leads to motivated employees with high level knowledge (Hájková, 2012). TQM also contributes to cost savings. In addition, it facilitates increased customer satisfaction and market share. Moreover, it enables the company to access new markets, experience high performance from employees, and effective corporate culture (Kubr, 2002).
Respond to the Need to Effectively Manage both Quality and Processes
Emerging Trends and Challenges
Six sigma and Total Productive Maintenance (TPM) are the emerging trends in the quality management, especially TPM. Six sigma refers to a management strategy that focuses on the improvement of quality of processes by reducing/removing the errors and variations (Antony, Kumar & Banuelas, 2006). However, the challenges to six-sigma include data collection problems and dynamic processes in the fields like banking industry (Antony et al. 2006). TPM is the maintenance programme that involves an innovative idea of maintaining plants and equipment. The main goal of the programme is to enhance production, employee morale and job satisfaction. In addition, the challenges to TPM are the lack of top management support, resistance to change, lack of resources, and work culture (Poduval, Pramod & Raj, 2013). The new trends in BPM are emerging as few BPM companies are providing the hosted solution (Software as a Service, SaaS). Moreover, other companies are offering the integrated platform. The focus on both cases is on the Human Centric Processes i.e. workflows that link people and data, simplicity and data (BrainStrom Group, 2016). The key challenges to this emerging trend is the integration of SaaS BPM systems with respect to current on-premises systems and tools. However, the idea of mobile agent is presented to solve the integration issues (Caplinskas, Dzemyda & Lupeikiene, 2013). New emerging trends in relation to quality and processes tools have opened new doors for the companies to be innovative and to be leaders in providing high quality products and services to the customers. The main aim is the satisfaction of the customers and other stakeholders.
Conclusion
It can be concluded from the above discussion that to be competitive and innovative, it is important for the companies to focus on the quality and process management. It is due to the fact that these tools overcome the drawbacks of traditional functional methodologies that do not react to changes in the modern business environment. The TQM and BPM are similar to each other as both focus on the continuous improvement, process approach, and satisfaction of customers and other stakeholders’ needs. Both concepts lead to synergic effect due to the focus on same principles. TQM and BPM are important for a company to improve functioning of the current system of quality by understanding and using the process approach. Different tools can be used to respond to the need of effectively managing the quality and processes. For instance, quality circles, six sigma, zero defects, ISO 9001 and other similar quality standards in the context of quality management. In relation to BPM, various tools prepared by the companies can be used like IMB-BPM. Due to the growing importance of the concepts, new tools have been developed like TPM and cloud BPM. They are used to increase the trend of quality and effective processes in the companies to improve performance and increase employee morale and job satisfaction. To be competitive and innovative, it is necessary that the companies give preference to the quality and process management. It is due to the fact that both of them are the guarantee of success in the changing business environment.
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