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A Review Statement On Nigerian Breweries Management Essay

Over the years, global competition has been on the increase, especially within the developing industries. These companies have sought to improve their competitiveness by bettering quality. To guarantee the success with their quality improvement effort, these companies have adopted a approach commonly referred to as; Total Quality Management (TQM).

TQM is "A management idea for continuously improving overall business performance predicated on leadership, provider quality management, eyesight and plan assertion, analysis, process control and improvement, product design, quality system improvement, employee participation, recognition and incentive, education and training, and customer concentrate. " (Roy, R. N, 2005)

This paper is firstly going to speak about a manufacturing company in Nigeria, called Nigerian Breweries Plc. , its products and services, order winners and qualifiers for the business, then will go further to go over its operational functions.

Secondly, the paper looks at TQM as it pertains to the processing industry; this includes definitions of TQM and quality, the concept of TQM, applications and the several frameworks. The operational benefits associated with TQM and its own future development will also be looked at. A books review will be achieved to identify the idea of TQM from quality gurus like Crosby, Feigenbaum, Juran, Deming, Ishikawa, as well as others.

Lastly, the implementation and likely obstacles of putting into action TQM by Nigerian Breweries plc. (referred to as 'the company', for the purpose of this report) will be reviewed.


1. 1 Nigerian Breweries PLC. (NB Plc. )

NB Plc. , is the pioneer and greatest brewing company in Nigeria, West Africa. It was integrated in 1946, and by 2004 it offers 6 functional breweries, and offers of experiencing one of the most modern breweries on earth.

NB Plc. , is involved with making, marketing and sales of alcoholic and non-alcoholic products like lager beer, stout, carbonated drinks and malt refreshments. (http://www. NB plc. com). The business has a portfolio of high quality brands of both alcoholic and non-alcoholic beverages and the manufacture of beverage related products like corks, bottles, packaging crates, etc.

Because of the variety of drinks produced, the company has both the old and the young, male and feminine patronising them. The company has something for everybody, especially the junior.

1. 2 Order Qualifiers and Winners

The order qualifiers and winners for the company are its product design, which is usually done in such a way to make it more desired and useful for its users; performance; low cost; high quality, NB Plc. , satisfies the ISO 9000 quality standard and the Country wide Organization for Food and Medication Administration and Control (NAFDAC) standard (www. nafdac. gov. nig); steadiness; style, which makes their products stick out; efficiency in distribution and consistency.

In NB plc. , people in operations are the ones responsible for providing the order winning and order qualifying standards that has been identified by the people in marketing, to complement or even go over the customers' notion of the products.

The company has a study and development centre to improve its research activities on all areas of brewing operations. It keeps tempo with key international improvements, thus ensuring that its systems, operations and operational types of procedures are always in conformity with top notch specifications. (http://www. NB plc. com)

NB Plc. , delight its customers by consistently reaching their requirements, in that way achieving a trustworthiness of quality and customer loyalty.

2. Operational Process

In NB plc. , the procurement division gets the raw materials from the suppliers and sends it to the production department where the production process occurs.

In the production department, the raw barley grain is milled, then mashed and filtered. After filtering to remove the pollutants, the wort is currently boiled for approximately 10-12 time then allowed to cool. NB plc produces both alcoholic and non alcoholic malt beverages so at this time, the merchandise is separated to the different sections and then fungus is added to the part that is intended to be alcoholic and left to ferment for about 10-12 days.

After the fermentation, clarifying is performed to brighten the beverage. It is now stored in a well sterilized barrel for a few days to undergo some procedures again, before it is now moved with tankers to the bottling team where it is finally bottled in labelled pots hanging around to be delivered out.

While each one of these are taking place, the maintenance office is on earth to guarantee the smooth operating of the machines, and the performance division makes sure that all staff is active and this the merchandise conforms to standards.

The distribution division is responsible for the proper distribution of the products to the various stores, before it finally reaches the outlets/customer.

Basically, all the various departments in the company interact to ensure that quality is shipped and on time.

3. Books REVIEW

3. 1 TQM Concept

Total Quality Management (TQM) is "a highly effective system for integrating the product quality development, quality maintenance, and quality improvement efforts of the various groups within an organisation so as to enable creation and service at the most economical levels which enable full customer satisfaction. " Feigenbaum, A. V (1986).

TQM may also be thought as "a management procedure that aspires for permanent success by focusing on customer satisfaction. It is based on the participation of all members associated with an organisation in improving functions, products, services, and the culture in which they work. " (Website)

3. 2 Quality

There is no or universal explanation of quality, because it depends on the person defining it. When defining quality in a creation company, you look at conformance to standards, performance, strength, features and serviceability. But when it involves a service company, quality can be defined by perceptual factors, like the friendliness of the staff, courtesy, promptness, atmosphere, etc. And this is basically because service has experience.

Making quality a priority simply means that you put the needs of your customers first. Quality should be targeted at two needs of the client, the present and the near future. The client is no more king - he is the main reason for the organisations existence. Feigenbaum, A. (1991) went so far as saying, "Quality is now the single most significant power in organisational success and growth in national and international markets".

Models Of TQM

Deming, E. D (1986) The pioneer of quality strategy in Japan. His approach to quality is aimed at understanding the causes of two types of variation: Uncontrolled and manipulated variation. He is convinced management is in charge of 94% of quality problems. Demings 14 point plan in addition to promoting product/service quality can be employed to organisations in the public or private industries. The first step is creating constancy and purpose in increasing products, second step is to look at the new viewpoint, thirdly you stop reliance on mass inspection to quality and end 'minimum price' purchasing. The fifth step is to constantly improve systems, then institute modern methods of training on the job and institute control, the next step is driving out dread, then wearing down obstacles between departments and exhortations eradicated. The eleventh step is to eliminate work benchmarks that recommend numerical quotas, twelfth step is to Permit pride of workmanship and encourage education and training, lastly Dedication from top management is necessary.

He also encouraged a systematic method of problem dealing with and promoted the program, Do, Check, Take action (PCDA) circuit.

Like Deming, Joseph M. Juran (1993) believes that main quality problems are credited to management rather than workers. He considered quality management as three basic processes (the Juran Trilogy): Quality planning, which is the starting place; Quality control and finally, Quality improvement. He focused on not simply the finish customer but on other external and internal customers. He developed the concept of cost of quality, and defined four major categories, that happen to be; Internal failing cost, External failure cost, appraisal cost and prevention cost. (Fryman, M. 2002)

Less educational in approach, Philip B. Crosby(1979) released the concept of zero defects, and blames workers for lack of quality. He promises that errors are brought on by lack of knowledge and insufficient attention, which is often treated by education, training and an individual commitment to superiority. He also developed 14 steps to an excellent improvement program for firms, which includes; creating an excellent improvement team, nurturing the amount of quality awareness, planning a zero defects program, mistake cause removal, establishing quality councils and going through the process over and over again. His methodology though different, is merely as effective.

According to Kauru Ishikawa (1985), quality management stretches beyond the merchandise and encompasses after deal service, the grade of management, individuals and the organisation itself. He has been associated with the development and advocacy of widespread education in the 7 quality control tools (Ishikawa, 1985) the Pareto graph, Cause and results diagram also known as the Ishikawa diagram, Stratification Chart, Scatter Diagram, Check Sheet, and Histogram. Relating to him, these tools are to be used to analyse problems and develop advancements. Used collectively, they form a powerful equipment. (www. dti. gov. uk/quality/guru).

Genichi Tagushi (1993) identified what product standards means and exactly how it could be translated to cost effective creation. His product development includes (1) system design (2) parameter level (3) tolerance design, which is basically finding the balance between making cost and reduction.

Considered the father of statistical process control (SPC) is Walter Shewart (1986). His ideas formed the basis for an activity oriented approach to quality control.

Rather than focusing on theory, Shingeo Shingo(1986) focused on practical concepts that made immediate difference. He is one of the world's leading experts on bettering the developing process, and created lots of the top features of just with time (JIT) making methods and techniques.

The originator of total quality, Armand Feingenbaum(1986) argued that the quality chain starts off with all customers requirements and ends only when the product has been delivered to the customer who remains satisfied. He emphasized that alternatively detecting poor quality following the event, effort should be produced towards its elimination i. e it is cheaper carrying it out right the very first time. (milakovich, M. 2006).

This approach is appropriate for an organisation like NB Plc. , where it is thought that quality is everybody's job, where management and employees have a total commitment to improve quality, and folks learn from each other's success. Matching to Feingenbaum, control has 4 steps, that happen to be:

Setting quality standards

Appraising conformance to standards

Acting when the benchmarks are exceeded

Planning for improvements in the benchmarks.

3. 4 Benefits Of TQM

With the release of TQM in NB Plc. , there's been lots of benefits, including;

Higher quality of products - With TQM, products are constantly inspected, assessed and corrected. This way there is a continuous improvement in the products manufactured.

Customers are better satisfied because products are continuously improved to meet the requirements and needs of the customer.

There is way better development from employees, because the working environment will be a lot conducive, everybody is cooperative.

The company is more effective, doing the right things at the right time.

There is a reduction in waste and the entire cost of development.

3. 5 Leads Of TQM in NB Plc. WITHIN THE NEXT Five Years

Competitive firms continuously increase their quality expectations, so as the years pass, better innovations are created.

Utilization of the advancing it systems will play a major role in the success of the making industry. Production functions will be shortened, in that way making development faster.

I believe that in the next five years, NB Plc. , if in a position to create a strong TQM culture, with the key components of TQM being control, management of the folks, staying customer concentrated, using the right information and examination, process improvement, good strategic and quality planning tools, will be far more effective.

According to Harrison, M. (1996) "the menu for the effective management of quality is therefore a diverse mixture of techniques, steps, and organisational matter. There is no person way of obtaining quality. " To me, which means that combining additional philosophies like Low fat management, six sigma, etc could bring more success in the future.

4. 1 Suggested Implementation Plan

Waldman and Gopalakrishnan (1996) said that "For an organisation to realize the value of an TQM implementation, it has to have an internal organisational structure that is with the capacity of fully encouraging the execution" so, for the execution by NB PLc. to reach your goals, there should be strong top management leadership and commitment, worker involvement and empowerment, customer concentrate, provider partnerships, a concentrate on ongoing improvement, and the acknowledgement of quality as a tactical issue running a business planning. Using SPC and statistical tools, performance steps concentrating on quality, product and service quality in design, actions predicated on facts and the role of an excellent department and specialists are also very important.

I don't feel that any single methodology is made up of all the keys to quality, no single methodology can be employed to all or any company situations, so I think that NB Plc. , should combine other different facets, such as developing its TQM culture, acquiring the correct quality infrastructure, and system readiness. Training and growing team work, to set-up a better understanding of what is needed to be done will also contribute to the success of the TQM program.

4. 2 Challenges

Very few creation companies have had the opportunity to disregard the elements of TQM and still succeed. However, simply adopting the quality improvement programs will not guarantee success unless properly integrated. Some TQM critics say that the principles are too theoretical and broad to fit the bill, plus they can be complicated and difficult to execute since errors have a means of multiplying, so once the requirements in one area or part is not attained, it creates problems elsewhere, leading to more mistakes and even greater problems, and so forth.

Considering the actual fact that NB plc already has a prior knowledge of the TQM process, the challenges they need to overcome for a more successful implementation include: Lack of support from mature management, Insufficient knowledge of the TQM theory by the employees, sometimes there tends to be more focus on revenue and less give attention to services, not having properly documented procedures and techniques, having little or no opinions on customer needs can be a great challenge, considering the fact that the program is supposed to be customer centered. Addititionally there is the challenge of having a connection and cooperation between your employees and top management, because to be truly effective, each component of the organisation must work properly mutually. Each part, each activity, each person in the company affects which is in turn influenced by others.


From the record, it could be figured NB Plc. Nig. has a good TQM culture, although they still need to continuously focus on always improving, knowing that quality doesn't just happen but should be managed.

Because of the contradictions between your gurus' methods, as well as the countless common features, feigenbaum's approach to TQM was used since it is goal built and customized to match a processing industry like NB Plc and its current and future needs.

According to Deming, W. E (1986) "Defects are not free, somebody makes them and gets paid for making them", so, the advantage of setting it up right the first time whenever and everywhere cannot be over emphasised.

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