Page 72 - The Handbook for Quality Management a Complete Guide to Operational Excellence
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he importance of the quality function within the organization has
                                     been evolving along with that of the customer. Figure 4.1 illus trates
                                Tthe evolution of the quality function’s role since the mid-1970s.
                                   Edosomwan (1993) defines a customer- and market-driven enterprise
                                as one that is committed to providing excellent quality and competitive
                                products and services to satisfy the needs and wants of a well-defined
                                market  segment.  This  approach  is  in  contrast  to  that  of  the  traditional
                                organization, as shown in Table 4.1.
                                   Customer-driven organizations share certain traits.

                                   Flattened hierarchies. When customers are the focus, a larger percentage
                                   of  the resources are directly or indirectly involved with customers (see
                                   Figure 4.2), reducing the number of bureaucratic layers in the organization
                                   struc ture.  Employees  will  be  empowered  to  make  decisions  that
                                   immediately address customer issues, reducing the need for structured
                                   oversight.  The  traditional  functional  hierarchy,  with  departments
                                   focused  on  singular  functions,  is  best  replaced  with  horizontal
                                   process  or  product-based  structures  that  can  quickly  respond  to
                                   customer need.
                                   Adaptable processes. Customers’ demands are at times unpredictable,
                                   requiring adaptability and potential risk. Customer-driven organiza-
                                   tions create adaptable systems that remove bureaucratic impediments
                                   such  as  formal  approval  mechanisms  or  excessive  dependence  on
                                   written  procedures.  Employees  are  encouraged  to  act  on  their  own
                                   best  judgments.  If  the  organization’s  employees  are  unionized,  the
                                   changing  roles  will  require  union  partnering  in  the  transformation
                                   process. Union representatives should be involved in all phases of the
                                   transformation, including planning and strategy development.
                                   Effective communication. During the transformation the primary task of
                                   the leadership team is the clear, consistent, and unambiguous market-
                                   ing of their vision to the organization.

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