Showing papers on "Quality (business) published in 1997"

The Proper Scope of Government: Theory and an Application to Prisons

Abstract: When should a government provide a service in-house, and when should it contract out provision? We develop a model in which the provider can invest in improving the quality of service or reducing cost. If contracts are incomplete, the private provider has a stronger incentive to engage in both quality improvement and cost reduction than a government employee has. However, the private contractor's incentive to engage in cost reduction is typically too strong because he ignores the adverse effect on noncontractible quality. The model is applied to understanding the costs and benefits of prison privatization.

Doing what matters most : investing in quality teaching

Abstract: provides a neutral forum for state-level education policy makers and educators to gain in-depth knowledge about emerging policy issues. The seminars have contributed to the development, modification and enhancement of education reform initiatives in California. is a university-based policy center focusing on elementary and secondary school issues. Located on

A Model-Based Framework to Overlap Product Development Activities

Abstract: Intense competition in many industries forces manufacturing firms to develop new, higher quality products at an increasingly rapid pace. Overlapping product development activities is an important component of concurrent product development that can help firms develop products faster. However, since product development activities may be coupled in complex ways, overlapping interrelated activities can present many difficulties. Without careful management of the overlapped product development process, the development effort and cost may increase, and product quality may worsen. This paper goes beyond the common recommendation to simply overlap activities as much as possible. We present a model-based framework to manage the overlapping of coupled product development activities. The model and framework identify conditions under which various types of overlapping are appropriate for a pair of coupled activities. We illustrate the model and framework with industrial applications involving the development of electronic pagers and automobile doors.

Multi‐models of quality in education

Abstract: Suggests that there is a strong emphasis on the pursuit of education quality in ongoing educational reforms in both local and international contexts. Policies issued to implement educational changes for education quality often fail because of lack of comprehensive understanding of the complex nature of education quality in schools or higher education institutions. Introduces seven models of quality in education: the goals and specifications model; the resources input model; the process model; the satisfaction model; the legitimacy model; the absence of problems model; and the organizational learning model. Concludes that these models can form a comprehensive framework for understanding and conceptualizing quality in education from different perspectives and facilitating development of management strategies for achieving it. The framework can contribute to ongoing policy discussion, school practice, and research development on issues of quality in education institutions.

Measuring information systems service quality: concerns on the use of the SERVQUAL questionnaire

Abstract: A recent MIS Quarterly article rightfully points out that service is an important part of the role of the information systems (IS) department and that most IS assessment measures have a product orientation (Pitt, et al. 1995). The article went on to suggest the use of an IS-context-modified version of the SERVQUAL instrument to assess the quality of the services supplied by an information services provider (Parasuraman, et al. 1985, 1988, 1991). However, a number of problems with the SERVQUAL instrument have been discussed in the literature (e.g., Babakus and Boller 1992; Carman 1990; Cronin and Taylor 1992, 1994; Teas 1993). This article reviews that literature and discusses some of the implications for measuring service quality in the information systems context. Findings indicate that SERVQUAL suffers from a number of conceptual and empirical difficulties. Conceptual difficulties include the operationalization of perceived service quality as a difference or gap score, the ambiguity of the expectations construct, and the unsuitability of using a single measure of service quality across different industries. Empirical problems, which may be linked to the use of difference scores, include reduced reliability, poor convergent validity, and poor predictive validity. This suggests that (1) some alternative to difference scores is preferable and should be utilized; (2) if used, caution should be exercised in the interpretation of IS-SERVQUAL difference scores; and (3) further work is needed in the development of measures for assessing the quality of IS services.

A resource allocation model for QoS management

Abstract: Quality of service (QoS) has been receiving wide attention in many research communities including networking, multimedia systems, real-time systems and distributed systems. In large distributed systems such as those used in defense systems, on-demand service and inter-networked systems, applications contending for system resources must satisfy timing, reliability and security constraints as well as application-specific quality requirements. Allocating sufficient resources to different applications in order to satisfy various requirements is a fundamental problem in these situations. A basic yet flexible model for performance-driven resource allocations can therefore be useful in making appropriate tradeoffs. We present an analytical model for QoS management in systems which must satisfy application needs along multiple dimensions such as timeliness, reliable delivery schemes, cryptographic security and data quality. We refer to this model as Q-RAM (QoS-based Resource Allocation Model). The model assumes a system with multiple concurrent applications, each of which can operate at different levels of quality based on the system resources available to it. The goal of the model is to be able to allocate resources to the various applications such that the overall system utility is maximized under the constraint that each application can meet its minimum needs. We identify resource profiles of applications which allow such decisions to be made efficiently and in real-time. We also identify application utility functions along different dimensions which are composable to form unique application requirement profiles. We use a video-conferencing system to illustrate the model.

A Comprehensive Model for Assessing the Quality and Productivity of the Information Systems Function: Toward a Theory for Information Systems Assessment

Abstract: Information Systems IS managers are under increasing pressure to justify the value and contribution of IS expenditures to the productivity, quality, and competitiveness of the organization. This paper examines the need for IS assessment and suggests a comprehensive IS assessment framework linked to organizational performance using existing IS assessment theory as a base and incorporating measurement concepts from other disciplines. The existing models of IS success are updated to include the emerging IS success dimensions of service quality and work group impact and provide a comprehensive method for organizing the various measures of IS success. In addition, many new measures from recent research are presented to supplement the lists supplied by previous research. Additional research is suggested to advance the IS assessment contingency theory. Such a theory has the potential to contribute to the quality and productivity of the IS function and the larger organization by providing feedback to manage and improve the IS function to better meet the needs of the organization.

Health Care Quality: Incorporating Consumer Perspectives

Abstract: The goal of this article is to address, from the perspective of users of the health care system (consumers), the following questions: What are the most important health care quality gaps and/or challenges; what major changes should we anticipate in this area in the near future; and what should be the role of federal and state agencies, accreditation organizations, and philanthropic foundations in addressing these challenges? We discuss the needs, challenges, and potential action steps for increasing the prominence of the user's perspective in 3 areas: (1) the conceptualization and definition of quality; (2) the measurement of quality; and (3) routine quality assessment and improvement. The article concludes by making recommendations about the role that different agencies and organizations can and should play in meeting these challenges.

Measuring physical distribution service quality

Abstract: The quality of the physical distribution service industrial purchasers receive from suppliers has been shown to be an important consideration in industrial purchasing decisions. To better understand the criteria used to assess physical distribution service quality, the authors examined the literature on physical distribution and service quality and conducted interviews with purchasing managers. Based on the results of the literature reviews and interviews, plus a two-step data-gathering process, a valid and reliable measurement instrument for perceptions of physical distribution service quality (PDSQ) was developed and refined.

General Plan Evaluation Criteria: An Approach to Making Better Plans

Abstract: The planning profession has developed relatively few criteria for evaluating the quality of general plans. Evaluation criteria have become more important with the increasing number of states that m...

Target costing and value engineering

Abstract: What would happen if everyone in your company followed a disciplined approach to cost reduction? Go ahead -- imagine it. What would it look like? How can it be done?The answer -- smart cost management.Effective cost management must start at the design stage. As much as 90-95% of a product's costs are added in the design process. That is why effective cost management programs focus on design and manufacturing. The primary cost management method to control cost during design is a combination of target costing and value engineering.Target Costing Objectives:Identify the cost at which your product must be manufactured at if it is to earn its profit margin at its expected target selling price.Break the target cost down to its component level and have your suppliers find ways to deliver the components they sell you at the set target prices while still making adequate returns.Value Engineering:The connection to function: An organized effort and team based approach to analyze the functions of goods and services that the design stage, and find ways to achieve those functions in a manner that allows the firm to meet its target costs.The result: Added value for your company (development costs on-line with added value for your company; development costs on-line with selling prices) and added value for your customer (higher quality products that meet, possibly even exceed, customer expectations.)

The Use of Quality and Reputation Indicators by Consumers: The Case of Bordeaux Wine

Abstract: The absolute and relative impact of current quality and reputation variables on consumer decisions are examined using data from the market for Bordeaux wine. The estimates indicate that a model of consumer decision making which incorporates information on reputation (past quality) and collective reputation (average group quality) rejects alternative models that include current quality. The results also indicate that reputation has a large impact on the willingness to pay of consumers, that long term reputation is considerably more important than short term quality movements, and that consumers react slowly to changes in product quality. Collective reputation is shown to have an impact on consumer willingness to pay that is as large as that of individual firm reputation. If reputation and collective reputation effects are ignored, the estimated impact of current quality and short term changes in quality on consumer behaviour are overstated.

Unanticipated side effects of successful quality programs: exploring a paradox of organizational improvement

Abstract: Recent evidence suggests the connection between quality improvement and financial results may be weak. Consider the case of Analog Devices, Inc., a leading manufacturer of integrated circuits. Analog's TQM program was a dramatic success. Yield doubled, cycle time was cut in half, and product defects fell by a factor of ten. However, financial performance worsened. To explore the apparent paradox we develop a detailed simulation model of Analog, including operations, financial and cost accounting, product development, human resources, the competitive environment, and the financial markets. We used econometric estimation, interviews, observation, and archival data to specify and estimate the model. We find that improvement programs like TQM can present firms with a tradeoff between short and long run effects. In the long run TQM can increase productivity, raise quality, and lower costs. In the short run, these improvements can interact with prevailing accounting systems and organizational routines to create excess capacity, financial stress, and pressure for layoffs that undercut commitment to continuous improvement. We explore policies to promote sustained improvement in financial as well as nonfinancial measures of performance.

Proposals for setting generally applicable quality goals solely based on biology.

Abstract: Callum G Fraser, Per Hyltoft Petersen\", Jean-Claude Libeerand Carmen Ricosl From the Directorate of Biochemical Medicine, Ninewells Hospital and Medical School, Dundee DDI 9SY, UK, lClinical Chemistry Department, Odense University Hospital, Odense, Denmark, 2Clinical Biology Department, Institute of Hygiene and Epidemiology, Brussels, Belgium, and 3Clinical Biochemistry Department, University General Hospital, Vall d'Hebron, Barcelona, Spain

An international study of quality improvement approach and firm performance

Abstract: Investigates what approaches to quality lead to best quality and financial performance across different regions of the world. Reports a survey of 977 firms in Asia/South Pacific, Europe, and North America. Fifty‐two items that suggest how a firm might improve quality were factor analysed and grouped into 11 factors, each factor a broader approach to quality improvement than any one item. Actual quality was measured eight different ways. Each approach to quality improvement (factor) was correlated to each quality measure, as well as to several financial measures. The results suggest that a company’s approach to quality correlates to actual quality and to a lesser extent to financial performance. The major factors found to influence actual quality were the organization’s knowledge of quality management, its degree of customer focus, and management involvement. When the task was to predict performance outcomes in any region, the specific factors that best predict performance were found to vary from region to region. That is, there were specific models within a region that better predicted performance than the model which predicted performance across all regions.

The Road to Root Cause: Shop-Floor Problem-Solving at Three Auto Assembly Plants

Abstract: This paper uses case studies of shop-floor problem-solving at three automotive assembly plants to examine organizational influences on process quality improvement. Three complex quality problems-water leaks, paint defects, and electrical defects-were chosen because they are universally found in assembly plants, have multiple sources, and can only be resolved with high levels of interaction and coordination among individuals in multiple departments or functional groups. The case studies focus particularly on the early stages of the problem-solving process-problem definition, problem analysis, and the generation of solutions-emphasizing how each plant tries to identify the "root cause" of defects. The paper then explores consistencies and contrasts within and across the three cases to analyze the factors underlying effective shop-floor problem-solving. Central to this analysis is the idea that successful process quality improvement depends heavily on how the organization influences the cognitive processes of its members. Problem-solving processes benefit from rich data that capture multiple perspectives on a problem, problem categories that are "fuzzy", and organizational structures that facilitate the development of a common language for discussing problems. Also, when problems are framed as opportunities for learning, the combination of positive attributions that boost motivation and the suppression of threat effects can improve the effectiveness of improvement activities. Finally, when process standardization is understood as marking the beginning and not the end of further improvement efforts, the normal inertial tendencies of organizations with respect to adaptive learning can be partially overcome.

Service quality in the banking sector in an emerging economy: a consumer survey

Abstract: Reports on the results and managerial implications of a Turkish study which investigated relationships between service quality, and customer satisfaction, complaint behaviour and commitment. Concludes that the ultimate success of any service quality programme implemented by a bank can only be gauged by creation and retention of satisfied customers. The role of customer‐contact personnel in the attainment of these goals is of paramount importance. Therefore, in their efforts to deliver high quality services to their external publics (i.e. clients), banks should not ignore the specific needs of their internal publics, notably their customer‐contact employees.

Advertising Repetition as a Signal of Quality: If It's Advertised So Much, Something Must Be Wrong

Abstract: The author proposes that consumers infer brand quality from the level of advertising repetition for unfamiliar brands. Consumers are posited to associate high product quality with high levels of repetition because they see repetition as costly and think higher costs reflect the manufacturer's commitment to the product. However, at very high levels of repetition, consumers may perceive the expenditures as excessive and begin to doubt the manufacturer's confidence in product quality, which would lead to an inverted-U relationship between advertising repetition and product quality perceptions. The author demonstrates that the relationship between repetition and perceived brand quality is mediated by perceptions of the manufacturer's effort and confidence in quality rather than by irritation or boredom. The hypotheses were tested in an experiment in which the level of repetition and the color of the ad were varied.

Feeling Thermometers Versus 7-Point Scales: Which are Better?

Abstract: This study addresses the issue of the relation between the number of response categories used in survey questions and the quality of measurement. Several hypotheses, derived from relevant theory an...

Searching for excellence in business education: an exploratory study of customer impressions of service quality

Abstract: Examines the concept of service quality in business education with data collected from 388 students. Identifies seven factors which influence student evaluations of service quality. In descending order of importance these factors are: reputation, administrative personnel, faculty, curriculum, responsiveness, physical evidence and access to facilities. Describes the implications for controlling quality and for achieving excellence in business education.

Service quality in education: a student perspective

Abstract: Examines New Zealand business students’ perceptions of service quality in education. Describes a study in which the respondents identified seven determinants of service quality. Unlike prior studies, uses an importance/performance‐based approach to evaluate service quality in education. Identifies some perceptual problems, such as the least important factors being the best performers. Presents the implications for education administrators and makes some suggestions for future research.

Identifying the critical determinants of service quality in retail banking: importance and effect

Abstract: Provides managers with an empirically derived framework to help them assess the likely impact of any service quality initiative Categorizes quality factors in terms of their relative importance and their effect on satisfaction and dissatisfaction States that the study is based on an analysis of over 200 customer anecdotes of incidents in the UK banking industry and 100 interviews Research suggests that certain actions, such as increasing the speed of processing information and customers, are likely to have an important affect in terms of delighting customers, however other activities, such as improving the reliability of equipment, will lessen dissatisfaction rather than delight customers Suggests that it is more important to ensure that the dissatisfiers are dealt with before the satisfiers Also suggests that there are two areas where banks could achieve a distinct advantage, genuine commitment and attentiveness by front‐line staff States that some other areas are not worth much attention and any time and money put into these areas might be better redirected elsewhere

Process‐oriented measurement of service quality: Applying the sequential incident technique

Abstract: Presents the current state of the methodological discussion on the measurement of perceived service quality. Describes two approaches ‐ attribute‐based methods and the sequential incident technique (SIT). Outlines the concept and basic assumptions of SIT describes an empirical SIT study applied to measure the quality of perception of guests in club resort. Suggests that the SIT is a valuable complement to the traditional mix of quality measurement methods. Discusses a number of limitations of this method and sets out some managerial implications.