Quality standard iso 9000 certification to 2tw, Marketing Management

Assignment Help:

The company 2TW manufactures and sells products overall Europe and is organised into dozens of strategic business units (SBUs). SBU managers, who report to regional directors, have for more years been paid bonuses on total SBU sales generated. This has led to a fast growth in overall turnover but 2TW has experienced declining profitability over the past few years, and the Chief Executive fears a loss of control over SBU operations. As a result, six months ago 2TW's Chief Executive used management consultants to conduct a whole organisational review. The management consultants have now reported that:

  • inadequate quality control systems exist within the company, which has led to differing operating efficiencies between SBUs;
  • there are significant numbers of returned goods which needs replacement or reworking;
  • current incentives for SBU managers are inappropriate given 2TW's declining profitability.

Describe the potential benefits of quality standard ISO 9000 certification to 2TW. 

 

The International Standards Organisation (ISO) issues standards that are globally recognised, and include the ISO 9000 series. ISO 9000 gives a systematic approach to managing business processes to manufacture products that conform to customer expectations. The Chief Executive believes that significant advantages to 2TW might arise by gaining the quality standard ISO 9000 certification.

Overcoming internal weaknesses 

Currently 2TW has inadequate quality control systems which have led to differing operating efficiencies among SBUs and there are significant numbers of returned goods which needs replacement or reworking.

Customer satisfaction

The significant numbers of returned goods mean that customers are not at present receiving products of the quality they expect.

Enhanced company reputation

If 2TW customers are not at present receiving products of the quality they expect then this can be very damaging to the company's reputation.

Improved sales

Organisational growth could arise as sales improve by:

  • Repeat purchases by satisfied customers.
  • New customers attracted by the recommendation of existing customers.
  • New customers attracted by a growing reputation and a guarantee of quality by ISO accreditation.

 


Related Discussions:- Quality standard iso 9000 certification to 2tw

What is introductory stage in marketing strategies, What is Introductory St...

What is Introductory Stage in marketing strategies? Introductory Stage: a. Rapid skimming strategy : New product launch at high rate and a high promotion level. High pri

Consumer buying behevior , how to made the question for consumer buying be...

how to made the question for consumer buying behevior project

Examine the umbrella and portfolio approaches to branding, Question 1: ...

Question 1: Critically examine the importance of product design, New Product Development (NPD) and explain the reasons for failures in NPD and how would you overcome them?

(a+b)2 formula, can anybody tell me where (a+b)2 is applicable in real worl...

can anybody tell me where (a+b)2 is applicable in real world

Percentage, income inreased by 10% later decreased by 10%. total change in ...

income inreased by 10% later decreased by 10%. total change in % in income

Major factors influencing buying behaviour, Major factors influencing buyin...

Major factors influencing buying behaviour: A consumer's buying behaviour is influenced by cultural, social, personal, and the psychological factors. Cultural factors exert

Explain aid of a market model , Read the article entitled 'Easter egg price...

Read the article entitled 'Easter egg prices rise by around 5 per cent over last year' and answer questions 1, 2 and 3. Easter egg prices rise by around 5 per cent over last year C

Forward integration, A planning in which a business expands its activities ...

A planning in which a business expands its activities to include allocation or lines of business related to the selling of its core products.

How marketing techniques ensured a competitive advantage, The Intercontinen...

The Intercontinental Hotels Group (IHG) has over 4,000 hotels worldwide. IHG owns Holiday Inn (a medium-price hotel chain), Holiday Inn Express (a budget chain), Candlewood Suites

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd