TQM in Marketing Presented By: Harish Singh Papola PGDM (Operations) Jaipuria Institute of Management, Noida 12/22/09
Jaipuria Institute of Management, Noida
TQM • • • •
Customer focus Employer involvement Continuous improvement Performance measurement
12/22/09
Jaipuria Institute of Management, Noida
Marketing • Marketing is the management process that identifies, anticipates and satisfies customer requirements profitably The Chartered Institute of Marketing (CIM)
12/22/09
Jaipuria Institute of Management, Noida
Relation between TQM and Marketing
TQM
Customer Focus
Marketing
12/22/09
Jaipuria Institute of Management, Noida
Role of TQM in Marketing • TQM in marketing strategy. • TQM in developing marketing mix. • TQM contribution to organization competitiveness.
12/22/09
Jaipuria Institute of Management, Noida
TQM in Marketing strategy Organization resources
Product development
JIT, Lean philosophy Kaizen, Prioritization matrix VOC, Prioritization Matrix Affinity Diagram, QIT
Marketing Strategy
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Segmentation
Data collection, Histogram, Pareto Diagram
Targeting & Positioning
Affinity Diagram, Scatter diagram
Increase sales market of share Jaipuria&Institute Management, Noida
Six sigma
Pareto Diagram Segmentation of market on the basis of age group for 3G enabled mobile
Freq
%age
Cummulative %age
Pareto Chart of age group 200
06
3
3
16- 20
44
22
25
21- 25
48
24
49
26- 30
70
35
84
80
150
fr e q
10- 15
100
60 100 40 50
31- 36
22
11
95
> 37
10
5
100
Total
200
100
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0 age group freq Percent Cum %
20
26-30 70 35.0 35.0
21-25 48 24.0 59.0
16-20 44 22.0 81.0
Jaipuria Institute of Management, Noida
31-36 22 11.0 92.0
>37 10 5.0 97.0
Other 6 3.0 100.0
0
Pe rce nt
Age group
TQM in Marketing Mix • Product:
Requirement of customer
Product Development
QFD
ARMI/ Prioritization Matrix
Production Zero defect product Six sigma
Product launch & Taking feedback PDCA/ creativity/ Kaizen
Track the sales figure
Feedback
12/22/09
Jaipuria Institute of Management, Noida
SQM/pareto diagram
Competitive Advantage Factors that contribute to organization’s competitive advantage: 1. 2.
Product Process
Quality- Differentiating factor in terms of product and process among organizations. 12/22/09
Jaipuria Institute of Management, Noida
•
Quality Includes:
1.
Perfection Consistency Eliminating waste Speed of delivery Compliance with policies and procedures Doing it right the first time Delighting or pleasing customers Total customer satisfaction and service
2. 3. 4. 5. 6. 7. 8.
12/22/09
Jaipuria Institute of Management, Noida
Toyota Motor Corporation
Daewoo Motors
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Adopted TPS or Lean Production
Lacking TQM (Lean Production)
Quality Process and Quality product
Quality Product but Not Quality Process
Jaipuria Institute of Management, Noida
Beat GM became No1 Car manufacturer In 2008
Got bankrupt and sold Out to TATA & GM
TQM Transitional Model Benchmarking :- 100 million subscriber Strategic Planning:- Lifetime validity at Rs 100 SIM Long term perspective :- Capture highest subscriber base.
Vision (To be market leader in mobility solution) Evaluation:- monthly subscriber & revenue data Rewards and appraisal to performers Audit by TRAI on quality of service
P1 Customer Focus
Continuous improvement
Involvement of all
P2
P- Increasing subscriber base via quality service D- Setup tower, good quality signals, Index of quality-1drop out of 1000 calls low price customized plans Preventive mechanism:- automated C- Check the call drop rate, voice clarity handshaking mechanism A- Increase the transmitter strength.
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P3
Team:- Corporate sales team, align members to one goal. “I will Break my Barrier” campaign to motivate employees.
Jaipuria Institute of Management, Noida
Benefits of TQM in Marketing • TQM ensures product quality which may lead to repeat orders by customers. • It reduces operation costs by spending less on rejects and back orders from dealers. • Enhance the competitive edge over competitor.
12/22/09
Jaipuria Institute of Management, Noida
Marketing Definition
TQM Tool
Marketing is the management process that identifies, anticipates QFD, CTQ, Kano and satisfies customer requirements profitably. The Chartered Inst of Mkt The right product, in the right place, at the right time, at the right price Adcock.
JIT
Marketing is essentially about marshalling the resources of an organization so that they meet the changing needs of the customer on whom the organization depends Palmer
12/22/09
Jaipuria Institute of Management, Noida
THANK YOU
12/22/09
Jaipuria Institute of Management, Noida
