EFFECT OF TOTAL QUALITY MANAGEMENT ON THE SALE OF CONSUMER GOODS
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EFFECT OF TOTAL QUALITY MANAGEMENT ON THE SALE OF CONSUMER GOODS
ABSTRACT
Customer satisfaction is an asset that should be protected and maintained in the same way that any other asset in an organisation. Fan Milk Nig. Plc. Ibadan, for example, requires management to implement methods that increase customer satisfaction in service providing. The study’s overall goal was to investigate the impact of quality management methods on customer satisfaction at Fan Milk Nig. Plc Ibadan.
The study’s precise aims were to determine how training and development, customer orientation, continuous improvement, and leadership styles affect customer satisfaction in consumer products.
The study used a descriptive research design. The study’s target population was the workers of Fan Milk Nig Plc Ibadan, with respondents included management and department leaders, support staff and customers.
The overall target population consisted of 312 respondents. The study employed a stratified sample strategy to guarantee that all instances were adequately represented, as well as a basic random sampling method to pick participants. The sample size was 175 respondents.
Data for this study were collected using a questionnaire tool. Descriptive statistical analysis, such as mean and standard deviation, were used to examine quantitative data
which was then displayed in the form of tables, frequencies, graphs and charts. Multiple regression analysis was utilised to demonstrate the link between the study variables.
The study found that training and development, customer orientation, continuous improvement, and leadership styles all had a positive and significant impact on customer satisfaction at Fan Milk Nig. Plc. Ibadan.
The study concludes that the firm conducts training programmes for its workforce to increase the abilities that each needs to improve, as well as development programmes to raise the level of their employees so that they all gain similar skills and knowledge.
Customer orientation is critical for attaining customer happiness, and customer orientation techniques primarily influence time-based efficiency.
Chapter one
INTRODUCTION
1.1 Background of the Study
Quality management is a planned quality enhancement technique for extended administration that aims to improve execution in terms of quality, efficiency, consumer loyalty, and productivity (Gharakhani et al. 2013).
Implementing value management techniques enables organisations to improve internal efficiencies, which is regarded as critical for remaining competitive in the global marketplace.
Kaynak (2011) believes that TQM is a continuous and iterative process. It dominates to the extent that associations can identify and successfully handle challenges.
Firms that use a quality management methodology focus on achieving and sustaining high-quality results by using administrative practices as data sources and quality execution as outputs (Flynn, Schroeder & Sakakibara, 2014).
These authors go on to show that TQM is commonly used as a multidimensional approach to measuring executive performance, with both financial and non-budgetary variables taking on equal importance. Implementing quality management techniques can lead to higher organisational effectiveness and efficiency in operational systems.
The dynamic environment in which businesses operate, characterised by evolving technology and competitors’ new operating methods, has compelled organisations to change for the better in order to sustain their commercial operations (Fine 2014).
According to Bergman and Klefsjo (2010), the most crucial part of achieving customer retention is recognising customers, their needs, and expectations, and then satisfying or exceeding those expectations. As a result, continuous improvement can be used to eliminate waste and influence decisions about future changes.
Customer satisfaction is at the heart of every business strategy and objective that focuses on creating value for customers, anticipating and managing customer expectations, and demonstrating ability and responsibility to meet customer needs.
According to Dominic and Guzzo (2010), providing high-quality services and ensuring customer satisfaction are key components of every organization’s growth and development. As a result, providing high-quality services is critical to long-term organisational success.
According to Kotler (2000), customer satisfaction is an individual’s sense of pleasure or unhappiness caused by a product’s perceived performance. However, the amount of pleasure may vary depending on the customer’s experiences and the conditions around their actual situation.
According to Changhong (2008), satisfaction includes a variety of factors such as friendliness, service quality, good value, courteousness, knowledgeable and helpful customers, competitive price, service quality, and speedy service.
Oluseye et al. (2014) quote Hansemark and Albinson (2004), who describe customer satisfaction as the entire customer attitude towards a service provider or the gap between customer expectation and customer perception regarding the fulfilment of particular wants, requirements, aspirations, or goals.
According to Fornel et al. (1996), customer satisfaction is the result of a buyer’s analysis of the rewards and cost of the purchase in proportion to the expected effects.
Quality management (QM) is a systematic quality improvement technique for firm-wide management that aims to increase performance in quality, productivity, customer happiness, and profitability (Gharakhani, Rahmati, Farrokhi, & Farahmandian, 2013).
The use of quality management systems allows organisations to increase internal efficiencies, which is regarded a precondition for becoming competitive in the global marketplace.
According to Sousa and Voss (2012), quality management is demonstrated by organisational practices used by managers to achieve firm improvements.
Customer happiness, which leads to retention, increased staff engagement, quality leadership, process control, and improvement are all essential success aspects in quality management strategies.
Training and development are critical in today’s corporate world, as competition is increasing and organisations face new difficulties. Employee training remains one of the most powerful elements driving job satisfaction (Batool & Batool, 2012).
According to Jehanzeb and Bashir (2012), organisations that offer training and development programmes to their staff have a high degree of employee satisfaction and minimal turnover. Employees gain greatly from the employee training and development programme.
1.2 Statement of the Problem
Customer satisfaction is an asset that should be tracked and managed in the same way that any other asset in an organisation. Fan Milk Nig Plc is a consumer goods firm whose primary goal is to delight its clients.
The customer satisfaction index (CSI) reveals that where satisfaction is high, quality service, a wide range of services and commodities, polite complaint handling, and satisfying expectations are commonplace.
According to Kim (2016), in organisations with weak management practices, people are unmotivated, and performance suffers as a result. This might result in lethargy, retirement from the job, low attendance at lessons, unhappiness, poor performance, discomfort to parents, unrest among students and lecturers, and other unpleasant consequences.
Fan Milk Nig Plc has used quality management practices to improve customer satisfaction, but has faced a number of challenges, including high labour turnover, understanding customer expectations, reaching out to customers, a lack of consistency, hiring skilled customer service professionals, and even low employee morale. Despite widespread use of quality management, the college has not met the required level of customer satisfaction.
Daniel (2017) evaluated the effect of total quality management methods on the operational performance of commercial banks in Ebonyi state and discovered that efficient overall quality management leads to excellent operational performance for commercial banks.
However, the study employed purposive sampling and concentrated on commercial banks. Ngambi and Nkemkiafu (2015) conducted research on the influence of overall quality management on firm organisational performance and discovered that only employment training and empowerment had a substantial impact on financial performance and corporate social responsibility. However, the study followed an explanatory research strategy.
Belay, Helo, Takala, and Kasie (2011) investigated the effects of quality management practices and concurrent engineering on business performance and discovered a direct relationship between total quality management, concurrent engineering, and company business performance improvement.
However, the study was qualitative in nature and employed a case that did not yield definitive results. This study seeks to evaluate how quality management strategies such as customer orientation, training curriculum, leadership style, and enhancement of services, facilities, and processes influence customer satisfaction at Fan Milk Nigeria Plc in Ibadan, Nigeria.
Customer happiness is thought to be strongly linked to enhanced customer loyalty, increased sales and productivity, high new-product success, and innovation, all of which lead to a more lasting competitive advantage (Wang & Lo, 2013).
According to Ooi, Lin, Tan, and Chong (2011), organisations fight to satisfy their clients by providing a variety of products or services that meet and surpass their expectations. In order to accomplish this, organisations must be customer-focused.
According to Flynn (2012), leadership style is a leader’s approach of influencing the behaviour of others via personality and intelligence rather than violence or threat.
Leaders are unique, and different leadership styles may have variable effects on change, with some leaders being more effective than others.
According to Naidu and Van Der Walt (2015), an effective leadership style impacts change and is a catalyst for transformation. Leadership is seen as one of the primary drivers of organisational success, both now and in the future. In today’s environment, the job of a leader is critical to organisational success.
1.3 Objectives of the Study
The general goal of the study was to investigate the effect of Total Quality Management on the sale of consumer goods (a study of Fan Milk Nig Plc, Ibadan). Specific aims
To determine how training and development affect customer satisfaction at Fan Milk Nig. Plc. Ibadan.
To investigate the impact of customer orientation on customer satisfaction at Fan Milk Nig. Plc Ibadan.
iii. Determine the relationship between continuous improvement and customer satisfaction at Fan Milk Nigeria Plc Ibadan.
The purpose of this study is to determine how much leadership style effects customer satisfaction at Fan Milk Nig Plc Ibadan.
1.4 Research Questions.
The investigation aimed to answer the following questions.
How do training and development affect customer satisfaction at Fan Milk Nig. Plc. Ibadan?
What effect does customer orientation have on customer satisfaction at Fan Milk Nig. Plc Ibadan?
iii. What is the relationship between continuous improvement and customer satisfaction at Fan Milk Nig Plc Ibadan?
To what extent does leadership style effect customer satisfaction at Fan Milk Nig. Plc Ibadan?
1.5 Significance of the Study
This study would be able to create information that would be valuable not only for the study itself, but also for the management of Fan Milk Nig. Plc. Ibadan.
The college would receive important feedback to assess the impact of quality management methods implemented and the extent to which they have affected student and stakeholder satisfaction levels.
This will greatly assist them in planning how to reinforce existing quality management procedures while also developing new ones to meet changing needs.
The government would also gain valuable insights into how they might help the college become a stand-alone brand with a competitive advantage.
1.6 Scope of the Study
This study focused on quality management strategies utilised at Fan Milk Nig. Plc. Ibadan and how they affect customer satisfaction inside the company.
These quality management strategies included training and development, customer focus, continuous improvement, and leadership style. Only tutors, non-teaching staff members, administrators, and college students were polled. The study collected data through questionnaires.
1.7 Limitations of the Study
This study dealt with a particularly sensitive issue that directly affected management and anticipates a challenge in obtaining fine details. It could also be difficult to exhaust the entire population and conduct a thorough examination of the occurrence.
It is difficult to predict if the responders who will participate will have held their posts long enough to be completely aware of the institute’s customer satisfaction element.
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