• Lean TQM—innovating TQM to TVM (Total Value Management)

    Yen-tan Chen

    Abstract: The purpose of this research is to innovate TQM to be a real business management and enlarge its advantages. Why could TQM make Japan as No.1? TQM had a lot of advantages. We can find the real advantages of TQM by comparing it with traditional management models. We find the first advantage of TQM is “TQM can satisfy both internal value and external value.” The second advantage of TQM is “TQM manages not only results but also processes and origins.” The third advantage of TQM is “TQM manages not only entity value but also virtual value.” TQM had those advantages. But its central system was always around quality and those advantages could not be employed all over the business. How can we research the real central system of business management? Japanese analogized QC to company-wide including total function, total process, and total department. They created dispersed and passive inspiration in many dimensions, The methodology adopted is to lean the QC-analogized functions, processes, and departments in order to find their respective true meanings. In the practice of leaning, departments become internal entity value, functions become external virtual value, and processes become timing value. The result is that lean TQM becomes TVM (total value management). The advantages of TVM over TQM are: (1) satisfying business purposes, (2) merging other management models, such as IE, and VA/VE, (3) going from Red Ocean Strategy to Blue Ocean Strategy, and (4) elevating from building paths to overseeing the full view. If you practice TVM, you should win in many domains. Just winning by 1%, you should be No.1.

    Keywords: Lean TQM, TVM, entity value, virtual value, timing value.

    Pages: 400 – 411 | Full PDF Paper