Total Quality Management of KFC

This project is to check the workers and customers viewpoint on the level of Total Quality Management at Kentucky Fried Chicken (KFC). First I will mention and background and need related to project and importance of the project. Secondly I will give description of objective of this project. Thirdly I will review literature and finally I will conduct survey and show its finding. The survey sample will be different for customers and workers, for workers it will be 10 surveys and for customer’s it will be 10 surveys which will make total of 20 sample size.

I will try to find out TQM validity, training and learning of TQM, supportive structure of KFC for TQM and many other things for workers at KFC. I will try to find out things about customers view of TQM implementation and results which I will describe in summary of my finding about customers and workers.

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Application of the Project

The necessary of this project lies in the importance of TQM and its tool to reach customer and workers which are important for KFC. Many corporations around the world apply TQM for competence and better service hence TQM completion is necessary and important. To have TQM tool applicable in KFC and to measure its readiness we need to study KFC with the strength and weakness.

Population review for the Project

The population review for this project consists of department and top management of KFC which are responsible for quality levels in KFC because these people will decide to implement TQM in the organization and they will be the first one to implement it if it is suitable for KFC.

Significance of the Project

The implementation of TQM is expensive, draining and it requires long term planning so the significance of this project gives us decision rather than leap on the process which are bad for organization in case of breakdown.

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Project explanation

TQM is the new trend for organization environment and is not only for mechanical industry, manufacturing industry but also for service industry like KFC.

KFC Al Ain branches which are main subject of this project are chain of restaurant with growing number of competition like Burger King, Mc Donald…etc. And I think to survive this competition KFC need to implement TQM for perfection. The objective of this project gives summary of TQM and check where in KFC it lies.

Literature review

General literature review of Total Quality Management (TQM)

Defining Total Quality Management (TQM)

Total Quality Management is based on management concept and this definition was given by W. Edwards Deming. The TQM is to reduce error produced in service or manufacturing and to increase customer satisfaction and it also aims for modernization of equipment with a risk level of training. Aim of TQM is to reduce error to one per one million units produced, and the application of TQM can differ from organization to organization and event across same industry. (Total quality management, 2010)

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Customer satisfaction can be increased by management and it can only be achieve in successful manner if applied through TQM. A TQM is based upon all member of organization which tries to improve service, process, and product to a better level. (Alexandrou, 2010)

TQM stands for total organization by use of quality, thinking and management at excellent level. TQM means doing right thing right and for the first time and all time. (Mazur, 2009)

History of TQM: (Deming’s Contributions)

Deming, who was an American statistician work with Japanese on census, after two years Deming return to Japan to teach a course on statistical control. His course begins in 1950 with enrollment of two hundred twenty students. Japanese industries where looking for ideas to improve quality for having more export market. (Alemi, 1996) As Deming was only a teacher but he went on beyond statically control and get involved in management philosophy. (Alemi, 1996)

Deming taught about many problems and he worked as team where he derived concept of statistical quality control. (Alemi, 1996) He was critical of statistical quality control of that time. He use slogan reduce production defect to solve productive problems. He gives the way to give rewards and punishment based upon statistical control. He statistical control staff move towards factory floor to management. He made a concept which was engineering tool to management style. Soon after that Japanese industrialists became committed for idea of quality improvement by Deming management methods. (Alemi, 1996)

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Different model and framework and Total Quality Management

In 1980’s corporation in the west took interests in quality and risk management and they made a list of model and framework in this regret. They selected 14 points of management which are helpful creating excellent TQM environment. (S.Oakland, 2008) Deming and Juran (S.Oakland, 2008) made list of helpful framework which are listed below:

• Make constancy for improvement of product and services
• Have new philosophy
• Conduct mass inspection
• Give award on bases of price take
• Find problem and solve them
• Have modern method of training
• Have modern method of supervision
• Decrease fear and know all the worker should work effectively for the organization
• Decrease the barriers between the departments
• Abolish numerical goals and slogan
• Abolish work standard that represent numerical quotas
• Go for hourly worker and his or her pride of workmanship
• Have dynamic programs of education
• Create a management which follows above thirteen points.

(S.Oakland, 2008)

Elements of Total Quality Management

TQM is a management idea which was started in 1950’s became popular in 1980’s. (OTHERWAYS , n.d) The total quality management is the description of various cultures and attitude of organization which need to provide customer satisfaction. The management culture requires quality in all the operations of the organizations with process staring with right time and finishing ion right time. (OTHERWAYS , n.d) To KFC for having success of TQM it need to follow basic principles which are describe below. KFC is modern organization with strong principle and KFC should include below given elements of TQM to its books of strong principles. To successfully have TQM in the organization and organization must concentrate on these key elements.

I. Foundation

Ethics – ethic is the behavior discipline which tells us what is good and what is bad in any situation. There are two faces of ethics organization and individual ethics. Organization ethics concentrate on business code of conduct and they provide guideline for all workers to have excellent performance in the work place. Individual ethics involves personal bases of wrong and rights. (OTHERWAYS , n.d)

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Integrity – integrity involves many disciples such as value, fairness, honesty and sincerity. These characteristic define what customer needs and expect to get from the organization. The opposite of integrity is duplicity and TQM will be a failure in duplicity. (OTHERWAYS , n.d)

Trust – trust is intact to ethical conduct and integrity, and without trust there will be no framework of TQM building. Trust means participation of all members and it allows empowerment and encouragement of workers and management of organization. It allows decision making a fair process. Trust is necessary for customer satisfaction it also necessary for cooperative environment of TQM. (OTHERWAYS , n.d)

II. Bricks

Training- training provides an worker an effective tool to be highly productive. As we know supervisor are responsible for TQM accomplishment throughout their department and to teach workers about the philosophy of TQM. Training is important for interpersonal skills which can make efficient behavior of team working, decision making, job management and improvement of business and technical abilities. (OTHERWAYS , n.d)

Teamwork – teamwork is necessary for business success and it is also a key element of TQM. Team makes a business successful with solutions and fewer problems. People feel comfortable in team work and solution of problem is easily solved in teams. (OTHERWAYS , n.d)

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Leadership – leadership is the most important element of TQM and it is needed in every organization. Leadership in TQM needs manager to provide a vision which is guided towards the goals. TQM to be successful a leader should be committed for leadership and lead the workers. (OTHERWAYS , n.d)

III. Binding Mortar

Communication- communication makes everything possible by bring everything together. And it makes foundation of TQM house in which everything bound by mortar. It acts as a great link between all the elements of TQM. The success of TQM needs communication in all the members of organization, suppliers and customers. (OTHERWAYS , n.d)

IV. Roof

Recognition – Recognition is the last element in the TQM, it gives suggestion and achievement for team and individuals. Workers struggle for recognition, when they achieve they feel in the top of the world. In comes in various behavior, period, and situations. (OTHERWAYS , n.d)

Improving quality with TQM

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TQM is the act of improving and monitoring the excellence of product or service which is produced. (Madura, 2001) In KFC there is need to have excellence TQM quality because in KFC there is too much interaction of worker of KFC to customers of KFC. The key guidelines for improving the quality of any service or product are as following:

• Improving quality by providing workers and manger of organization with enough education and training to make them shine in their job.
• To improve quality it needs to encourage all the workers for taking responsibility and to provide leadership.
• Encourage all the workers for searching the way to improve the production process or service process in the organization.

(Madura, 2001)

The organization which applied TQM and they got successful are Amoco, Anheuser-Busch and Westinghouse. (Madura, 2001) These organization applied TQM through out the organization, they incorporate TQM basic principle for workers involvement and continuous improvement culture in the organization. The function of TQM normally involves the following functions:

• State the needed quality level
• Attain the needed quality level
• Control the excellence level

(Madura, 2001)

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Strategic control and excellence

Strategic control involves strategic management to make sure that every thing in organization is working properly by proper monitoring. In regard to product quality strategic control is based upon monitoring organization activities for that product quality strategies are implemented as planned. (Certo, 2000) Phillip Crosby gives five basic principle of strategic control which is uncertainty, awakening, enlightenment, wisdom and certainty. (Certo, 2000) These principles are important and must be implemented at KFC for making the products of KFC valuable and having TQM service which is benefit for all. (Certo, 2000).

Research on Total Quality Management (TQM)

Many research and studies are done on TQM; below I will summarize the abstract and finding of some of the research and studies.

TQM performance and role of organizational support

TQM performance and role of organizational support provide and exploration of all the relationship between TQM and organizational performance to moderate effect on worker support and organizational support in respect TQM performance. It also provides relationship between TQM practices and organizational performances. (Therese A. Joiner, 2007) Furthermore this establishes that worker and organization support the relationship between TQM practice and organization performance. This provides important study of implication for managers. Firstly it provides motivation such as effectiveness investment in TQM program. Secondly it demands for environment which is supportive of TQM with positive outcomes. (Therese A. Joiner, 2007)

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Manager knowledge on TQM

Manager knowledge on TQM provides objective which is to give us awareness and understanding of total quality management in organization and to assess the manager awareness. It analyzes the topic of Total Quality Management in rational and positive manner. (F. Vouzas & A.G. Psychogios, 2007) It also provide distinctive prospective of soft side of Total Quality Management with respect to statistical measurement. Statistical measurement gives prospective on improvement of training, workers empowerment and culture of quality with respect and approaches Total Quality Management (TQM). (F. Vouzas & A.G. Psychogios, 2007)

Analysis of TQM in relationship to competitive advantage

Studies show the effect of total quality management on competitive advantage. The objective is to give theoretical model for implementation of TQM. There are component in this model which are as following culture, team, efficiency and top management and these model are given by Dean and Bowen. (Eman El Shenawy, Tim Baker & David J. Lemak 2007) Each above mentioned component is related to competitive advantage and it explains about sixty percent of competitive advantage inconsistency. (Eman El Shenawy, Tim Baker & David J. Lemak 2007)

TQM in unfavorable environment

To examine the potential success of TQM implementation in theoretically forms unfavorable TQM environment and what to expect from its implementation if it is successful. (Jefferey P. Jones, Daniele Seraphim, 2008) It is impossible to implement TQM principle in an environment which is not suitable for success of TQM. To be successful in TQM it needs knowing of cultural difficulties at central place. TQM can bring in organization an unexpected level of outcome, speed and scale. (Jefferey P. Jones, Daniele Seraphim, 2008)

TQM culture

There is relationship between organization learning and TQM culture based upon study of an institute of Hong Kong. This institution is vocational education based developed on organization learning culture renovation in regard to TQM culture. (M.Y. Lam, Gary K.K. Poon and K.S. Chin, 2008)

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There is strong relationship between TQM culture and organization learning culture in terms of teaching involvement, focus involvement and share vision involvement. Organization learning culture can be improved by implementation of TQM by having rules and prohibits that accustom TQM culture. We must know that innovative leadership matures TQM culture formation. The result of the finding in this research shows that transition of traditional education to learning education can give excellent result due to TQM culture. (M.Y. Lam, Gary K.K. Poon and K.S. Chin, 2008)

KFC Corporation and its structure

KFC is based in Kentucky and its most famous chicken restaurant range with specialty in extra crispy and Kentucky grilled chicken…etc. About twelve million people visit KFC in around one hundred nine countries around the world. (KFC, 2010) KFC has more than five thousand two hundred restaurants in USA and more than fifteen thousand restaurants around the world. KFC is famous in UAE due to its original recipe and these recipes consider blend of eleven different herbs and spices which are proven for more than half of century.

KFC is part of “Yum! Brands Inc” that is group of largest restaurant companies in terms of location more than thirty six thousand around the world. KFC has revenue of eleven billion dollar in 2008. (KFC, 2010)

A Brief History of KFC

Indiana Harland Sanders born in 1890

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In Corbin gas station KFC was open by Harland in 1930

Recipe found in 1940

Buckets was introduced in KFC in 1957

Six hundred franchised in USA in 1964

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Three thousand five hundred world wide operational in 1971

R.J. Reynolds made KFC subsidiary in 1982

Pepsi was introduced in KFC in 1997

Finger lickin good chicken is served in billions annually in eighty countries in 2006

Colonel eleven herb recipe introduced in 2007

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(KFC, 2010)

Mission and vision statement

The mission of KFC is to make Yum face of people around the world with satisfying customer in every time of eating and better than other company restaurants. (Yum! Brands Inc, 2008)

SWOT Analysis of KFC

(S)trengths

• KFC is third largest fast food restaurant in the world
• Image of KFC is new and refreshing know around the world
• Franchise restaurant of KFC increase around the world
• Competitive advantage of original recipe, extra crispy and tender roast

(SlideShare Inc, 2009)

(W)eaknesses

• Replacement of KFC manager with Pepsi manager
• Sales fell from 1989 71% to 56% in 1999
• KFC is not able to deal with culture compatibility

(SlideShare Inc, 2009)

(O)pportunities

• Overseas expansion of economic growth
• Introduction of demographical trends
• Mexican and Latin market expansion

(SlideShare Inc, 2009)

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(T)hreats

• Consumer health trend change
• Drenched food industry around the world

(SlideShare Inc, 2009)

Methodology

Research plan method

TQM is variable related to variety like process is a level of quality and the service is the level of quality, corporate structure is the degree of satisfaction of consumer and workers. The variable in this project are workers satisfaction, consumer satisfaction and the corporation support for TQM. The method of measuring is quantitative in this research project. The conveying method is by assessment is the survey.

The work basically depend on theory and it concentrate on literature by understanding TQM and its element in application. The field of statistics is use to examine the different variable related to TQM for example worker and consumer satisfaction. The analysis was done by survey on consumer and workers of KFC.

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Sampling technique

The sampling techniques are various such as sample size and data collection method. The sampling technique used is random selection of consumer and workers of KFC in Al Ain. The two group included in sample processing are workers and consumers representing.

Data collection & Sample size

KFC Al Ain has 50 workers according to the KFC office in Al Ain, 10 surveys were distributed on the workers and 10 surveys were distributed on the consumer, the survey questions give us 100 percentage response rates on consumers and workers satisfaction related to TQM.

Tools of the study

I used Microsoft Excel to analyze both survey that is workers satisfaction and consumers satisfaction.

Worker satisfaction

The TQM survey evaluates the workers satisfaction based on 20 questions. The level of worker satisfaction was measured by the respondents on survey from 1) strongly agree 2) agree 3) neutral 4) disagree 5) strongly disagree.

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The matter which we asked to the workers of the KFC were based upon the factors persuade of workers satisfaction for example collaboration level, work participation and supporting environment.

Consumer satisfaction

The TQM survey evaluates the consumers satisfaction based on 5 questions. The level of consumer satisfaction was measured by the respondents survey from 1) strongly agree 2) agree 3) neutral 4) disagree 5) strongly disagree. The questions which were asked to the customers of KFC were about the satisfaction of customers towards KFC for example quality of service, quality of workers and meet anticipations etc.

Findings

The result of the survey is shown below by using Microsoft Excel to analyze the data. I will make frequency table to show different respondents on different opinion of questions.

Frequency tables and graph for the worker’s survey

General detail on worker’s in KFC:

1) Age Group

Sample size 10

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Age Group

Frequency

Percentage

24-30

1

10%

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31-37

5

50%

38-44

2

20%

45+

2

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20%

Majority of the age group of workers lay between 31 and 37.

2) Gender

Sample size 10

Age Group

Frequency

Percentage

Male

6

60%

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Female

4

40%

Majority of the gender were male with 60% while females where 40%.

3) Nationality

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Sample size 10

Frequency

Percentage

UAE

1

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10%

Arab

6

60%

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Asian

3

30%

Other

0

0%

Majority of the nationality were Arab with 60%, Asian were 30% and UAE were 10%.

1) I believe TQM is valid for KFC.

Sample size 10

Frequency

Percentage

Strongly Agree

6

60%

Agree

3

30%

Neutral

1

10%

Disagree

0

0%

Strongly Disagree

0

0%

Majority of workers strongly agree that Total Quality Management (TQM) is valid for KFC, out of 100%, 60% response strongly agree, 30% response agree and 10% response neutral.

2) I receive satisfactory training in KFC about TQM.

Sample size 10

Frequency

Percentage

Strongly Agree

5

50%

Agree

2

20%

Neutral

2

20%

Disagree

1

10%

Strongly Disagree

0

0%

Majority of workers strongly agree that they received satisfactory training in KFC about Total Quality Management (TQM), out of 100%, 50% responses strongly agree, 20% response agree and 20% response neutral while 10% disagree.

3) I spend enough time for learning about TQM in KFC.

Sample size 10

Frequency

Percentage

Strongly Agree

5

50%

Agree

2

20%

Neutral

2

20%

Disagree

1

10%

Strongly Disagree

0

0%

Majority of workers strongly agree that they spend enough time for learning about Total Quality Management (TQM) in KFC, out of 100%, 50% response strongly agree, 20% response agree and 20% response neutral while 10% disagree.

4) I understand what changes TQM brought to KFC.

Sample size 10

Frequency

Percentage

Strongly Agree

3

30%

Agree

4

40%

Neutral

2

20%

Disagree

1

10%

Strongly Disagree

0

0%

Majority of workers agree that they understand what changes Total Quality Management (TQM) brought to KFC, out of 100%, 30% response strongly agree, 40% response agree and 20% response neutral while 10% disagree.

5) I selected TQM and told KFC to implement it.

Sample size 10

Frequency

Percentage

Strongly Agree

0

0%

Agree

1

10%

Neutral

3

30%

Disagree

1

10%

Strongly Disagree

5

50%

Majority of workers strongly disagree that they selected Total Quality Management (TQM) and told KFC to implement it, out of 100%, 50% response strongly disagree, 30% response neutral while 10% for disagree and 10% agree.

6) I am actively involved in TQM of KFC program.

Sample size 10

Frequency

Percentage

Strongly Agree

4

40%

Agree

3

30%

Neutral

3

30%

Disagree

0

0%

Strongly Disagree

0

0%

Majority of workers strongly agree that they actively involved in Total Quality Management (TQM) of KFC program, out of 100%, 40% response strongly agree, 30% response agree while 30% for neutral.

7) Board of directors discuss frequently about TQM in KFC.

Sample size 10

Frequency

Percentage

Strongly Agree

9

90%

Agree

1

10%

Neutral

0

0%

Disagree

0

0%

Strongly Disagree

0

0%

Majority of workers strongly agree that board of directors discuss frequently about Total Quality Management (TQM) of KFC program, out of 100%, 90% response strongly agree and 10% response agree.

8) I am committed for TQM implementation in KFC.

Sample size 10

Frequency

Percentage

Strongly Agree

3

30%

Agree

1

10%

Neutral

6

60%

Disagree

0

0%

Strongly Disagree

0

0%

Majority of workers are neutral about committed for Total Quality Management (TQM) implementation in KFC, out of 100%, 60% response neutral, and 30% responses strongly agree while 10% response agree.

9) There is supportive structure as quality committee in quality improvement in KFC.

Sample size 10

Frequency

Percentage

Strongly Agree

3

30%

Agree

4

40%

Neutral

1

10%

Disagree

1

10%

Strongly Disagree

1

10%

Majority of workers agree that there is supportive structure as quality committee in quality improvement in KFC, out of 100%, 40% responses agree, 30% responses strongly agree and while the response for neutral, disagree and strongly disagree were 10%.

10) I am member of quality committee mentioned above in question 9.

Sample size 10

Frequency

Percentage

Strongly Agree

8

80%

Agree

2

20%

Neutral

0

0%

Disagree

0

0%

Strongly Disagree

0

0%

Majority of workers strongly agree that they are member of quality committee, out of 100%, 80% responses strongly agree and 20% response agree.

11) TQM in KFC is wide training program.

Sample size 10

Frequency

Percentage

Strongly Agree

6

60%

Agree

4

40%

Neutral

0

0%

Disagree

0

0%

Strongly Disagree

0

0%

Majority of workers strongly agree that Total Quality Management (TQM) in KFC is wide training program, out of 100%, 60% responses strongly agree and 40% response agree.

12) Common language and principle are method of TQM in KFC.

Sample size 10

Frequency

Percentage

Strongly Agree

2

20%

Agree

2

20%

Neutral

2

20%

Disagree

2

20%

Strongly Disagree

2

20%

20% Workers strongly agree that common language and principle are methods of Total Quality Management (TQM) in KFC, 20% responses agree, 20% response neutral, 20% response disagree and 20% response disagree.

13) KFC culture is supportive of TQM.

Sample size 10

Frequency

Percentage

Strongly Agree

3

30%

Agree

5

50%

Neutral

2

20%

Disagree

0

0%

Strongly Disagree

0

0%

Majority of workers agree that KFC culture is supportive of Total Quality Management (TQM), out of 100%, 50% responses agree, 30% response strongly agree and 20% responses neutral.

14) Cross functional teamwork cherished in KFC.

Sample size 10

Frequency

Percentage

Strongly Agree

8

80%

Agree

2

20%

Neutral

0

0%

Disagree

0

0%

Strongly Disagree

0

0%

Majority of workers strongly agree that Cross functional teamwork cherished in KFC, out of 100%, 80% responses strongly agree and 20% response agree.

15) Process advancement is practice in KFC about TQM.

Sample size 10

Frequency

Percentage

Strongly Agree

2

20%

Agree

3

30%

Neutral

2

20%

Disagree

2

20%

Strongly Disagree

1

10%

Majority of workers agree that process advancement is practice in KFC about Total Quality Management (TQM), out of 100%, 30% responses agree, 20% responses strongly agree, neutral & disagree while 10% response strongly disagree.

16) There is award system in KFC about TQM.

Sample size 10

Frequency

Percentage

Strongly Agree

7

70%

Agree

2

20%

Neutral

1

10%

Disagree

0

0%

Strongly Disagree

0

0%

Majority of workers strongly agree that there is award system in KFC about Total Quality Management (TQM), out of 100%, 70% responses strongly agree, 20% responses agree, 10% response neutral.

17) There is fair evaluation about TQM in KFC

Sample size 10

Frequency

Percentage

Strongly Agree

6

60%

Agree

4

40%

Neutral

0

0%

Disagree

0

0%

Strongly Disagree

0

0%

Majority of workers strongly agree that there is fair evaluation about Total Quality Management (TQM) in KFC, out of 100%, 60% responses strongly agree, and 40% responses agree.

18) There is good policy about TQM in KFC

Sample size 10

Frequency

Percentage

Strongly Agree

4

40%

Agree

4

40%

Neutral

1

10%

Disagree

1

10%

Strongly Disagree

0

0%

40% of the workers strongly agree that there is good policy about Total Quality Management (TQM) in KFC, 40% of them agree, 10% are neutral and 10% disagree.

19) Decision maker are important in TQM of KFC

Sample size 10

Frequency

Percentage

Strongly Agree

2

20%

Agree

8

80%

Neutral

0

0%

Disagree

0

0%

Strongly Disagree

0

0%

Majority of workers agree that decision maker are important in Total Quality Management (TQM) of KFC, out of 100%, 80% responses agree, and 20% responses strongly agree.

20) Supervisor care is implemented in KFC about TQM

Sample size 10

Frequency

Percentage

Strongly Agree

8

80%

Agree

5

20%

Neutral

0

0%

Disagree

0

0%

Strongly Disagree

0

0%

Majority of workers strongly agree that supervisor care is implemented in KFC about Total Quality Management (TQM), out of 100%, 80% responses strongly agree, and 20% responses agree.

Summary of finding of survey of workers at KFC

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