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1、Value-Creation through the Balanced Scorecard Oriented TQM Concept(Authors: Dr. Mike C. K. Lam and Mr. Q.S. Ren)Beijing Western Consultants ()AbstrracttThis papper triies to sollve somme oof tthe isssuess coonceerniing tottal quaalitty mmanaagemmentt (TTQM). FFirsstlyy, wwhatt dooes a TTQM (buusinne
2、sss exxcelllennce) coonceept/moddel loook llikee? AAre theese TQMM coonceeptss/moodells ttheooretticaallyy sooundd? WWoulld tthe juddginng fframmewoorkss annd ccritteriia oof ssomee quualiity awaardss suuch as Honng KKongg Maanaggemeent Asssociiatiion (HKKMA) Quualiity Awaard be thee TQQM cconcceptt
3、s/mmodeels? Seeconndlyy, aare TQMM moodells rrelaatedd too ottherr maanaggemeent connceppts succh aas tthe Ballancced Scooreccardd (BBSC)? TThirrdlyy coouldd wee innteggratte tthe TQMM coonceept witth BBSC fraamewworkk too foorm a vvaluue-aaddiing connceppt? Thee maain aimm off thhis papper conncerr
4、ns witth tthe proocesssess off buuilddingg upp thhe BBalaanceed SScorrecaard Oriientted TQMM coonceept theeoreeticcallly, forr whhichh thhe bbasees aare connjoiininng tthe Kannjis TTQM moddel andd thhe fframmewoork of thee BSSC wwithh reeferrencce tto tthe juddginng fframmewoork andd crriteeriaa off
5、 HKKMA Quaalitty AAwarrd. Bassed on thee coonceept of Sysstemms TTheoory andd moodell buuilddingg teechnniquue, firrstlly wwe ttriaanguulatted thee Kaanjiis TQMM moodell annd tthe BSCC frrameeworrk tto ffit intto tthe Sysstemms TTheoory. Seeconndlyy, wwe ccomppareed tthesse ttriaanguulatted moddelss
6、 wiith reffereencee too thhe jjudggingg frrameeworrk aand criiterria of HKMMA QQuallityy Awwardd syysteematticaallyy. TThirrdlyy, aafteer aanallysiis, we proopossed thee BSSC-OOrieenteed TTQM connceppt aand itss coonceept mapppinng ffor reffereencee annd ffurttherr teestiing in thee reeal worrld. Th
7、he eexpeecteed ooutccomees oof tthiss reeseaarchh arre ssolvvingg thhe aabovve-mmenttionned ressearrch proobleems. Thhe uultiimatte aaim of thiis rreseearcch iis tto fformm thhe cconccepttuall moodell off BSSC-OOrieenteed TTQM connceppt ffor furrtheer ttesttingg byy prracttitiioneers andd accadeemic
8、cs oof TTQM in ordder to gaiin mmoree cooncrretee exxperrienncess orr thhe mmanaagemmentt knnowlledgge oof tthe worrld.IntrooducctioonThe oorigginaal oor ttradditiionaal aapprroacchess off quualiity mannageemennt wweree veery mucch pproccesss orrienntedd. WWithh thhe aadveent of Tottal Quaalitty MMa
9、naagemmentt (TTQM), oorgaanizzatiionss beegann too foocuss onn thhe nneedds (reqquirremeentss) aand wannts (exxceeedinng tthe reqquirremeentss) oof ccusttomeers botth eexteernaallyy annd iinteernaallyy (WWilkkinsson, 19992). TTherre iis nno ddoubbt tthatt thhe iissuue oof cusstommerss bbecoomess thh
10、e ffocii off alll kkindds oof mmanaagemmentt tooolss annd cconcceptts. On thee ottherr haand, onne oof tthe bassic connceppts of TQMM iss thhe ssysttemss thheorry (inpput-proocesss-ooutpput). TThatt iss too saay, thee innputts-pproccessses-outtputts (acttiviitiees) of an orgganiizattionn arre aaimii
11、ng at thee fuulfiillmmentt off thhe nneedds aand wannts of thee cuustoomerrs ssuchh ass thhe cconcceptt off To dellighht ccusttomeers, wwhicch iis tthe inpput or staartiing poiint of thee whholee vaaluee-adddinng cchaiin oof bbusiinesss pproccessses so thaat tthe outtputts aare cuustoomerrs sattisff
12、acttionn/deeligght annd tthuss thhe ffinaanciial perrforrmannce. Iff wee accceppt tthiss siimplle llogiic oof ddoinng bbusiinesssess, wwe sstilll hhavee too soolvee, aat lleasst, twoo maajorr isssuees. Firrstlly, lett uss asssumme tthatt wee knnow ourr cuustoomerrs tthorrougghlyy. HHoweeverr, iin aa
13、ccoordaancee wiith Anssofff (119844), Sttrattegyy iss a connceppt oof tthe firrmss buusinnesss, wwhicch pprovvidees aa unnifyyingg thhemee foor aall itss acctivvitiies. TThe proobleem iis hhow couuld we orgganiize alll thhe aactiivittiess off ann orrgannizaatioon uundeer aa unnifyyingg thhemee, wwhi
14、cch iis, thee sttrattegyy off ann orrgannizaatioon? Secconddly, evven thooughh ann orrgannizaatioon hhas strrateegy, hoow ccoulld wwe kknoww thhe iimpllemeentaatioon oof tthe strrateegy is rigght? Thhe aanswwer of theese twoo isssuees lliess onn thhe sstraateggic mannageemennt oof aan oorgaanizzatii
15、on witth tthe hellp oof tthe BSCC. Accorrdinng tto KKanjji aand Ashher (19995), tthe ulttimaate aimm off TQQM iis tto aachiievee buusinnesss exxcelllennce (coompaany perrforrmannce) suuch as finnancciall annd nnon-finnancciall reesullts/meaasurres. Hoowevver, frrom ourr cooncrretee exxperriennce and
16、d obbserrvattionn annd rrefllecttionns, thee prracttitiioneers andd accadeemiccs oof TTQM aree faacinng mmanyy prrobllemss. TTo nnamee a feww, ffirsstlyy, wwhatt dooes a TTQM connceppt/mmodeel llookk liike? Woouldd thhe jjudggingg frrameeworrks andd crriteeriaa off soome quaalitty aawarrds succh aas
17、 tthe Mallcollm BBalddrigge NNatiionaal QQuallityy Awwardd (UUSA) orr Hoong Konng QQuallityy Maanaggemeent Asssociiatiion Quaalitty AAwarrd (herreaffterr wee caall HKMMA QQuallityy Awwardd) bbe tthe TQMM (bbusiinesss eexceelleencee) cconcceptts/mmodeels? Seeconndlyy, aare theese TQMM coonceeptss/moo
18、dells ttheooretticaallyy sooundd/ bbaseed?The rreseearccherrs oof tthiss paaperr haave beeen iinvoolviing thee reeseaarchh, ttraiininng, eduucattionn annd iimpllemeentaatioon oof TTQM (Kaanjii, 119988) aand thee Baalanncedd Sccoreecarrd (Kapplann & Norrtonn, 119922, 119933, 119944,19996 a, 19996b, 2
19、0000) too vaarioous cliientts iin CChinna, of couursee, iinclludiing Honng KKongg SAAR (seee wwww.bbsccchinna.ccom). WWe (inccluddingg ouur tteamms oof cconssulttantts) havve bbothh thhe eexplliciit (coddifiied) annd ttaciit (unccodiifieed) knoowleedgee. BBaseed oon oour praactiicess off thhe cconcc
20、eptt off BBa (Noonakka aand Konnno, 19998), wwhicch iis aa knnowlledgge ccreaatioon pproccesss, aand Kollbss Exxperrienntiaal LLearrninng CCyclle (Kollb, Rubbin andd MccInttyree, 119799), we advvocaate thaat iit iis hhighhly likkelyy too innteggratte” or “coonjooiniing” thee frrameeworrk oof tthe BS
21、CC wiith thee TQQM mmodeels succh aas tthe Kannjis TTQM moddel (19998) wiith reffereencee too thhe fframmewoork andd juudgiing criiterria of HKMMA qquallityy awwardd ass a kinnd oof TTQM (bussineess exccelllencce) connceppt ffor reffereencee. TThe exppectted ressultt off thhis ressearrch is sollvinn
22、g tthe staatedd reeseaarchh prrobllemss off thhis papper andd thhe uultiimatte aaim is to forrm tthe conncepptuaal mmodeel oof BBSC-Oriientted TQMM coonceept forr fuurthher tesstinng bby ppracctittionnerss & acaademmicss off TQQM aand BSCC inn orrderr too gaain morre cconccrette eexpeerieencees. (Pl
23、leasse rrefeer tto FFiguure 1)Backggrouund of thee SttudyyThe aauthhorss off thhis papper havve bbeenn innvollvinng tthe ressearrch andd thhe iimpllemeentaatioon oof TTQM (Laam aand Yu, 19999, 20001), aand thee BSSC (Lamm 20002 a, b, c) forr teen yyearrs (conncreete expperiiencce). Mooreooverr, tthe
24、 autthorrs hhavee beeen ressearrchiing thee thheorretiicall baasess off soome TQMM moodells ssuchh ass Kaanjiis TQMM moodell. BBaseed oon tthe Kollbss Exxperrienntiaal LLearrninng CCyclle (Pleeasee reeferr too Fiigurre 11), thee auuthoors disscovvereed (Obsservvatiion andd Reefleectiionss) tthatt th
25、heree arre mmanyy siimillariitiees bbetwweenn thhe KKanjjiss TQQM mmodeel aand thee baasicc crriteeriaa off vaarioous quaalitty aawarrds andd thhe fframmewoork of BSCC. TThe autthorrs oof tthiss paaperr atttemmpt to buiild on thee coonceept of BSCC annd KKanjjiss TQQM mmodeel, forr whhichh, ccomppar
26、eed tto tthe juddginng fframmewoork andd crriteeriaa off HKKMA Quallityy Awarrd tto fformm thhe BBSC-Oriientted TQMM coonceept (Foormaatioon oof AAbsttracct MModeel) forr fuurthher tesstinng. Thee drriviing forrce of thiis rreseearcch iis tthe nottionn off vvaluue ccreaatioon oor aaddiing ass wee ob
27、bserrvedd thhat tooo maany orgganiizattionns wwastted tooo muuch ressourrcess off ussingg diiffeerennt kkindds oof mmanaagemmentt tooolss orr coonceeptss. IIt wwoulld bbe vveryy muuch vallue-adddingg iff wee coouldd coonjooin feww maanaggemeent toools or connceppts undder onee coonceept or moddel su
28、cch aas tthe BSCC-Orrienntedd TQQM cconcceptt wee prropoosedd inn thhis papper. Thhe uultiimatte aaim is to invvitee prracttitiioneers of botth tthe TQMM annd BBSC to tesst tthe proopossed connceppt/mmodeel aand conntriibuttingg too thhe mmanaagemmentt knnowlledgge oof tthe worrld.MethoodollogyyBase
29、dd onn thhe ssimpple connceppt oof SSysttemss Thheorry (Inpput-Proocesss-OOutpput) annd mmodeel bbuilldinng ttechhniqque, fiirsttly we reaarraangeed oor ttriaanguulatted thee Kaanjiis TQMM moodell annd tthe BSCC frrameeworrk tto ffit intto SSysttemss Thheorry. Secconddly, wee thheorretiicallly commp
30、arred theese triianggulaatedd coonceeptss syysteematticaallyy. TThirrdlyy, aafteer aanallysiis, we proopossed thee BSSC-OOrieenteed TTQM connceppt ffor reffereencee annd ffurttherr teestiing in thee reeal worrld. Literratuure RevviewwSysteems Theeoryy annd/oor MModeel BBuilldinngAccorrdinng tto BBon
31、iini et, all. (19999), reeal-worrld proobleems tennd tto bbe eenorrmouuslyy coompllex succh aas tthe proobleems andd thhe mmainn aiim oof tthiss reeseaarchh paaperr. TTherre aare litteraallyy ann unncouuntaablee nuumbeer oof iinheerennt ffactts (taccit or imppliccit knoowleedgee) iin aany emppiriica
32、ll siituaatioon. Furrtheer, eveery pottenttiall cooursse oof aactiion staartss a chaain of cauuse-andd-efffecct oor iinpuut-pproccesss-ouutpuut, andd innterracttionn thhat loggicaallyy iss wiithoout endd. AA moodell iss a simmpliifieed rreprreseentaatioon oof aan eempiiriccal sittuattionn. TThe orii
33、ginnal aimms oof rreseearccherrs aare nott too coonsttrucct aa moodell thhat is as cloose as posssibble to reaalitty iin eeverry aaspeect, raatheer tthann, rreseearccherrs wwantt thhe ssimpplesst mmodeel tthatt prrediictss ouutcoomess reeasoonabbly welll aand is connsisstennt wwithh efffecctivve aac
34、tiion. Thhe ttechhniqque forr deescrribiing andd reelattingg vaarioous varriabbless suuch as exoogennouss, eendoogennouss, iinteermeediaate, deecissionn annd eexpeecteed pperfformmancce vvariiablles or outtcommes/meaasurres (ass peer FFiguure 2), deepennds on larrge exttendd off thhe nnatuure of the
35、e vaariaablees. Thee siimplle fformm off syysteems theeoryy annd/oor mmodeel bbuilldinng iis aas ffolllowss: Totall Quualiity Mannageemennt (TQMM)TQM hhas beeen wwideely accceptted by thee buusinnesss prracttitiioneers andd accadeemiccs tto iimprrovee thhe qquallityy, iif nnot thee orrgannizaatioon
36、eeffeectiivennesss, oof aan oorgaanizzatiion conntinnuouuslyy. HHoweeverr, ttherre aare manny pprobblemms oof aappllyinng tthe priinciiplees oor cconcceptts oof TTQM to thee reeal worrld sittuattionns. Thee maajorr prrobllem is thee sstanndarrdizzatiion off diiffeerennt TTQM moddelss/ cconcceptts tt
37、hemmsellvess, iif nnot thee uunifficaatioon of varriouus TTQM moddelss/connceppts. (Thiis iis oone of thee arreass, wwhicch nneedds ffurttherr reeseaarchh). Theere aree maany fammouss quualiity gurrus succh aas a) Philiip. N CCrossby (Foourtteenn sttepss too quualiity impprovvemeent),b) Josepph MM J
38、uurann (TTen steeps to quaalitty iimprroveemennt), annd c) Edwarrds Demmingg (FFourrteeen ppoinnts forr maanaggemeent or thee faamouus PPlannDoo CChecck Actt / PDCCA CCyclle). Likee maany othher mannageemennt cconcceptts oor ttoolls, TQMM dooes havve ssomee prrobllemss. FFirsstlyy, tthe phiilossophh
39、iess off thhesee guuruss orr thheirr “sstepps / poointts” aree noot bbuillt oon tthe tecchniiquees oof mmodeel bbuilldinng aas ssuchh. IIt ttakees ttimee foor tthe folllowwerss orr beelieeverrs oof TTQM to commpreehennd tthe biig ppictturees of theeir proofouund phiilossophhiess. NNeveerthheleess, f
40、oor tthe sakke oof tthe purrposses of thiis rreseearcch, we dellibeerattelyy seelecctedd thhe KKanjjiss TQQM mmodeel/connceppt ffor furrtheer ddisccusssionn annd iinveestiigattionn, aas iit iis eeasiily beiing unddersstoood. Thee moodell coonsiistss off thhe priime (LLeaddersshipp), fouur pprinncipp
41、less (ddeliightt cuustoomerr, mmanaagemmentt byy faact, peeoplle-bbaseed mmanaagemmentt annd cconttinuuouss immproovemmentt) aand eigght subb-brreakkdowwn cconcceptts (Pleeasee reeferr too Fiigurre 33). As wee arrguee thhat thee ulltimmatee puurpoose of alll buusinnesss prroceessees iis aaimiing at
42、thee fuulfiillmmentt off thhe nneedds aand wannts of cusstommerss. OOn ttop of thee trradiitioonall diivissionn off cuustoomerrs iintoo exxterrnall annd iinteernaal, we wouuld likke tto aadd onee moore dimmenssionn too unnderrstaand thee coonceept of cusstommerss: ppressentt (aartiicullateed) andd p
43、ootenntiaal (unaartiicullateed). Noow tthe connceppt/ddefiinittionn off exxterrnall cuustoomerrs iis qquitte sstraaighhtfoorwaard. Hoowevver, thhe cconcceptt/deefinnitiion of intternnal cusstommerss iss soomewwhatt bllurrred. Foor tthe sakke oof tthe arggumeentss off thhis papper, wee deelibberaatel
44、ly ddefiine thee innterrnall cuustoomerrs aas staakehholdderss off a commpanny. Let us asssumee leeadeershhip or priime of thee Kaanjiis TQMM moodell, wwhicch iis ffocuusinng oon tthe nottionn off TTo ddeliightt thhe ccusttomeers ass thhe iinpuut oof tthe sysstemms ttheoory. The proocesssess coonsii
45、st of mannageemennt bby ffactt annd ppeopple-bassed mannageemennt aand thee ouutpuuts aree deeligght cusstommer or cusstommer sattisffacttionn annd tthuss thhe bussineess exccelllencce (peerfoormaancee). Whhat madde TTQM diffferrentt frrom othher mannageemennt ttoolls/fframmewoorkss iss thhe commmon
46、n nnotiion of coontiinuoous impprovvemeent (vvirttuallly alll TQQM mmodeels/connceppts foccus on thee nootioon), whhichh iss thhe ffeeddbacck lloopp off syysteems theeoryy orr onne oof tthe fouur ccomppetiitivve aadvaantaagess (CC.A.) aas ssugggestted by Kannterr (119900). Havvingg saaid thaat tthe
47、majjor proobleem oof tthe triianggulaatedd moodell sttilll reemaiins on thee innputt, tthatt iss, wwhatt lleaddersshipp cconssistts oof? Sinnce mosst oof tthe orgganiizattionnal strructturees aare stiill hieerarrchiicall, ttherrefoore, wee caan bbroaadlyy diividde tthe ressponnsibbiliitiees oof tthe staakehholdderss off ann orrgannizaatioon iintoo thhreee leevells, nammelyy, sstraa