Abstract

Integrating total quality management (TQM) into the business strategy of a company gives direction to its improvement efforts. This happens when the TQM philosophy and strategic planning become a single process. The process should be customer driven and based on results rather than activities. Strategic planning should provide the context in which the TQM culture can grow. Impediments to integration include: an emphasis on TQM measurements; tension between financial and quality goals; and noninvolvement of employees and customers in strategic planning. When well integrated, TQM focuses on customer value, with financial performance being an outcome instead of a driver. Integrated TQM facilitates acceptance of the TQM culture, as employees understand the planning and direction that the organization is undergoing.