A Study on the Total Quality Management Practices Among SMEs in India

Today’s business environment and the nature of the term quality itself imply that the quality concept is an ever-changing one. Hence, continuous attention should be paid to catch up with the ever-changing quality standards to control moving targets in an internationally competitive market. Quality initiatives have been a part of an organization strategy irrespective of the size of the organization. Small and Medium Enterprises (SMEs) have been playing a vital role in the growth process of the Indian economy since independence despite strong competition from the bigger sector. In a developing country like India, the role and importance of SMEs are very significant towards poverty eradication, employment generation, rural development, and creating regional balance in the promotion and growth of various development activities. Next to the agriculture sector, SMEs contributing a significant percentage to the GDP and employability. However, due to liberalization, globalization, changes in the manufacturing strategies, technological changes, and empowered customers and dynamic market scenarios, SMEs are facing a challenging competition. The competitive advantage for a firm to sustain in the market are – price, quality, flexibility (customization) and on-time delivery. To produce a quality product and increase productivity, a firm must practice the Total Quality Management concept into its product development process to confront the challenges of global competition. The objective of this study is to understand the awareness level among the SMEs related to the elements of TQM, to identify the critical success factors in the implementation of TQM in the SMEs and main challenges to implement the same in their organization. The expected outcome is to establish the relationship between the factors and organizational performance