Abstract

Total quality management (TQM) improves product/service quality, increases customer satisfaction and improves competitiveness. However, experience shows that there is low successful rate. Few enterprises agree that they have successfully implemented TQM. An inadequate understanding of the techniques and suitable objectives of the TQM implementation not only causes problems or sub-par performance but also drives excess cost for businesses. With this in mind, a V-shaped performance evaluation model is proposed to examine the implementation performance of TQM practices. By this model, a company can diagnose the effectiveness and efficiency of TQM practices by considering the level of importance, the level of easiness to implement and the level of accomplishment of each TQM practice. The implementation of TQM in the semiconductor industry in Taiwan is investigated. Practices identified as the ones need to improve are put into House of Quality (HOQ) and corresponding improvement actions are proposed for managers to enhance the effectiveness and efficiency of TQM implementation.

Key words: Total quality management (TQM), semiconductor industry, V-shaped performance matrix, house of quality (HOQ), performance evaluation.