Total quality management requires that an organization analyze the costs and benefits of each of its customer segments.

Question

Quizplus · Accepted Answer

Total quality management (TQM) is a management approach that focuses on improving the quality of products and services. One of the key principles of TQM is that organizations should analyze the costs and benefits of each of their customer segments. This analysis helps organizations to identify which customer segments are most profitable and which ones are least profitable. This information can then be used to make decisions about how to allocate resources and how to target marketing efforts.

Total Quality Management Requires That an Organization Analyze the Costs