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MGT449 Wk 2 Effects of Quality Management on Domestic and Global Competition




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Effects of Quality Management on Domestic and Global Competition Paper
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Effects of Quality Management on Domestic and Global Competition Paper
Quality is the basic requirement of today’s customer and it is the basis on which the
organizations meet their success. Customer satisfaction is the major goal of every organization as
the revenue generation and the acceptability of the organization is based on it. In order to
compete and attract more and more customers and then retain them organizations need to provide
them with the best quality. This standard of quality can be achieved by ensuring the quality
management and realizing its significance in the success of an organization. Through this paper
we’ll focus on the quality management exercised by two different organization, one in the
domestic market whereas other operating in the global market. For this purpose American
Airlines and Lufthansa Airlines are selected respectively.
Similarities between American Airlines and Lufthansa
American Airlines and Lufthansa are very successfully operating in domestic and global
market respectively. Because of their conscious efforts to meet the needs and requirements of the
customers both have gained a lot of acceptance and are well recognized in their respective
markets. For this purpose they are providing the best quality to their target customers. Quality is
the value or excellence required by the customers. The customers have certain standards set in
this regard. Both are using TQM (Total Quality Management) to maintain and retain their quality
in regard to their services and operations. TQM is required pertaining to the services they
provide and the on time schedules they need to follow. This TQM ensures that they are focusing
on quality and it is been monitored and controlled in order to meet the set standards. They have a
well planned program which will make certain that TQM is followed. Through this program they
make sure that no dissimilarity occur in their delivery system and for this purpose the middle

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management not only tries to understand these dissimilarities but also involve the lower
management in eliminating them. These differences or dissimilarities are recognized on the basis
of the needs of the customers and the services offered by the competitors. According to the
information from 1999-2010 certain enthusiasm and communication techniques have been
developed by Lufthansa airlines which make certain that the quality standards are met by
everyone in the organization. The company is well aware of the fact that unless and until these
standards are not met the company will not be able to run in long term as the competitors will
win over. The major focus of both the companies is to gain a competitive edge in the market by
delivering the best services which are in the accordance of the advanced and technological
standards. Once the differences are identified and measures are adopted to eliminate them both
the companies ensure quality control, quality assurance and quality enhancement. This is
required to offer the best to their customers and to retain their position in the market. In order to
successfully compete American Airlines needs to unite with other airlines since it lacks increased
global and domestic reach.
How Quality Management Affects the Airlines
Quality is the key to success and both the companies need to maintain and improve their
quality standards so as to retain their growth. This quality could only be ensured by incorporating
the TQM in every operation of the organizations. This will help them in setting the standards
based on the requirements of the customers and the industry and then will support them to meet
these standards. There is no doubt about the best services system which is possessed by both the
companies. TQM will aid Lufthansa Airlines in fulfilling the desires of its customers up to the
required mark. There is no distrust regarding the fact that Lufthansa Airlines is providing the best
services to the customers belonging to different cultures and regions. Because of this it has

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