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THE IMPACT
OF HUMAN RESOURCE MANAGEMENT ON TOTAL QUALITY MANGEMENT
ABSTRACT
In the
service industry, the success or failure of the organisation depends on how
they fulfill consumers’ needs and wants. The main purpose of this study is to
determine the impact human resource management on total quality management.
This study in an assessment of the purpose used deductive approach in which
qualitative and quantitative surveys were carried out on the employees and
patients in the U.I.T.H. The survey was intended to get their responses on what
they feel about the quality of services they get from the hospital. In this
light, the study sets to identify the perception of employees and patients
about the implementation of TQM by HRM.
A sample
size of 100 respondents comprising both in and outpatients was chosen from whom information to measure their perception
about services quality in the UITH as a result of impact of human resource
management on total quality management were captured. Similarly, a sample of 50
staffers of the institution was also selected to elicit data on the views of
employees towards the implementation of total quality management through human
resource management. A biased sample of one hundred patients, i.e. fifty in and
out patients was selected until the desired sample size is reached depending on
the condition and disposition of the patients. While fifty staffers were randomly
selected from the staff population. Simple random sampling involves selecting
cases (staffers) until the desired sample size is reached.
The result
of the study indicates that there is a positive linear relationship between sex
of patients has effect on their perception towards the quality of service
received. The co-efficient of correlation(r=0.098) is weak. Though, the
relationship is weak but it is positive, HRM on Total Quality Management raises the level service received by patient
variance is being explained only 1% (r2 = 0.010), though significant at < 0.05.
The analysis
from the empirical findings showed that irrespective of cadre of the employee,
it does not affect their perception about the impact of HRM on TQM. It was also
discovered that the area of specialty of employee had effect on their
perception on the impact HRM has on TQM. Patients, irrespective of their status
i.e. inpatients or outpatients has no effect on how they perceive the impact of
HRM on TQM. Most patients agree to the fact that service quality has improved
in the hospital when compared to previous years before the implementation of
TQM through HRM. It was also discovered that the mortality rate had drastically
reduced when comparing mortality rates from previous years to rates obtainable
since the implementation of TQM through HRM. From the analysis of the survey
results, some recommendations for University of Ilorin Teaching Hospital
Service Improvement program will be made
to help the organization manage its brand better and to sustain and improve the
quality of its services.
CHAPTER ONE
INTRODUCTION
1.1
BACKGROUND OF THE STUDY
The concept
of quality has existed for many years, though it’s meaning has changed and
evolved over time. In the early twentieth century, quality management meant
inspecting products to ensure that they met specifications. In the 1940s,
during World War II, quality became more statistical in nature. Statistical
sampling techniques were used to evaluate quality, and quality control charts
were used to monitor the production process. In the 1960s, with the help of
so-called "quality gurus," the concept took on a broader meaning.
Quality began to be viewed as something that encompassed the entire
organization, not only the production process. Since all functional were
responsible for product quality and all shared the costs of poor quality,
quality was seen as a concept that affected the entire organization.
Wilkinson
(2008), the meaning of quality for businesses changed dramatically in the late
1970s. Before then, quality
was still viewed
as something that
needed to be
inspected and corrected. However,
in the 1970s and 1980s many U.S. industries lost market share to foreign
competition for examples in the auto industry, manufacturers such as Toyota and
Honda became major players. In the consumer goods market, companies such as
Toshiba and Sony led the way. These foreign competitors were producing
lower-priced products with considerably higher quality.
The term
used for today's new concept of quality is total quality management or TQM. You
can see that the old concept is reactive, designed to correct quality problems
after they occur.
Employees in
a service organization and particularly, those who have frequent contacts with
the customer usually serve as representatives of both the organization and
their products or services to the customer at contact point. The quality of the
service and the satisfaction the customer may derive will be an assessment of
the entire service experience.
Employees
who are empowered in an organization can either portray a positive or negative
picture to the customers. Considering that, a satisfied customer and employee
are of important value to the organization; it therefore, becomes the duty of
the management to put in place a system that would ultimately generate either
satisfaction, or dissatisfaction from their customers and employees.
Since the
employees have a major role to play in determining, whether a customer would
enjoy the experience or turn to their competitors for better solutions.
This
according to Baruch (1998), forces organizations to re-think their
strategy” because as Zeithaml (2006)
points out, companies today recognize that they can compete more effectively by
distinguishing themselves with respect to service quality and improved customer
satisfaction.
Developments
in clinical procedures, technologies, laws have called for hospitals to search
for new strategies and structures. Decreasing markets, increasing demands, and
changed customer attitudes, regulations, as well as the growing global
competition in recent years, make up the causes of change in the markets
hospitals are competing on.
Product
and service quality
are ranked high,
private and public
companies providing quality certificates and
total quality management
deriving from this
development. Wilkinson (1998).
Others have expressed the quality development as the end of mass and the start
of a new production paradigm, based upon flexible specialization Piore and
Sabel (1984). In view of the prevailing trend, increased service quality and a
higher degree of liability towards customers no longer remain a mere
possibility but are essential if market shares are to be retained and further
developed.
According to
Oakland (1993), quality management is driven by the competitive environment and
is universal for all types of organizations:” Whatever type of organizations
you are working in
– a
hospital, universities, bank,
insurance company, airline
company, students, or
whatever company you are working
in – competition is common: Competition among customers, resources etc. Very
few organizations do not see quality as a most important element in the battle
for competitive advantages.”
The
management interest in quality is not new but using quality as a key element in
the battle for competitive advantages is of recent date. Oakland (1989) claims
that after the industrial revolution, and the computer revolution in the
beginning of the 1980’s, we are now in the midst of a quality revolution. Surveys
conducted by various
organizations have revealed
an increase in
quality movements. These include the movement best known as total
quality management; this has been widely acknowledged as a major innovation in
management theory. The approach to or the philosophy of total quality
management is, however, not obvious. Even Deming acknowledged that he did not
know what it meant precisely Boje (1993). There are a number of reasons for
this ambiguity. The first problem is to define the concept quality. Secondly,
the large variation in activities, practice, and techniques renders it hard to
define what total quality management really means. Knutton (1994) claims that
even though the introduction of total quality management may be similar in
different organizations, organizations may well have very different ways of
working with total quality management.
1.2 STATEMENT OF THE PROBLEM
When service
interaction are not properly controlled and handled, or not even handled at
all, the outcome is poor perception or service quality and customer
dissatisfaction, Hence the need for properly managed total quality management
frame. Hence what role has human resource management to play in the implementation
of total quality management and improving the service quality in the university
of Ilorin teaching hospital?
1. What are the perceptions of employees
towards the impact of human resources management on total quality management in
the hospital?
2. What are the perceptions of patients towards
the impact of human resources management on total quality management in the
hospital?
3. What are the perception of patients towards
the quality of services they receive in the hospital as compared to the before
the implementation of TQM?
4. Have the human resources management
strategies implemented in the hospital led to improvement in service delivery
in the hospital?
5. What strategic role did the human resource
management play in the implementation?
1.3 OBJECTIVES OF THE STUDY
The aim of
this research is to ascertain the extent to which total quality management has
being attained through human resource management in the University of Ilorin
Teaching Hospital.
The specific
objectives of the study are to:
1. To determine the importance of Total
quality management in University of Ilorin teaching hospital.
2. To examine the impact of human
resources management on employee through the use of Total quality management.
3. To study the role play by human
resource management in the implementation of TQM.
4. To investigate the impact of TQM on
patients in University of Ilorin Teaching hospital.
5. To make suggestion on Human resources
management patterns with the view of improving employee’s performance.
1.4 JUSTIFICATION FOR THE STUDY
The research
work focused on the impact of human resources management on total quality
management in the university of Ilorin teaching hospital. Although Oakland
(1993, p.2-3) defines total quality management as the way for the management to
improve effectiveness, flexibility, and competitive advantages for the
organization as a whole because it complies with the internal and external
customer requirements and the role of human resources in Nigeria hospital. With
the help of total quality management in University of Ilorin teaching hospital
it improves the quality and efficiency of service rendered.
1.5 HYPOTHESIS OF THE STUDY
The
University of Ilorin Teaching Hospital is a fully fledged teaching hospital
that provides healthcare services to both people within the state and its
environs.
The
hypothesis of the study includes;
Ho: Area of specialization of employees has
no effect on perception towards the impact of human resource management on
total quality management.
Ho: Cadre of employee has no effect on
perception towards the impact of human resource management on total quality
management.
Ho: Number of years in service has no
effect on perception towards the impact of human resource management on total quality management.
Ho: Sex of employees has no effect on
perception towards the impact of human resource management on total quality
management.
Ho: Type of patient has no effect on their
perception towards the quality of service received.
Ho: Sex of patients has no effect on their
perception towards the quality of service received.
1.6 SIGNIFICANCE OF THE STUDY
The case
study showed how the human resource department had played different roles as
facilitator, internal contractor, and hidden persuader at different stages of
the implementation of total quality management in the U.I.T.H. They assisted the
top management in aligning human resource polices and quality policies,
creating and communicating the total
quality management concept, preparing the organization as well as the staff for
the implementation of total quality management, generating quality awareness
among the employees across the levels, functions, and departments, developing
management support to quality action teams, organizing quality workshops,
formulating quality friendly policies, systems and procedures, changing the
conventional mind set of employees, organizing
total quality management
training programs, devising
different communication
exercises, encouraging team
building activities, promoting
employee involvement through suggestion schemes, quality circles,
and other participative types of forum.
This thesis
has aimed to contribute to the understanding of the human resource management
and implementation aspects of total quality management. More specifically, the
aims were those of analyzing the data collected and examining the perception of
both employee and patients towards total quality management and of generating
knowledge on the human resource management task with regards to an
implementation of total quality management.
1.7 SCOPE OF THE STUDY
In
healthcare institutions, the general offering in a particular industry is
averagely similar, even though they may engage in different approaches to
achieving a differentiation from the others, to be able to gain more market
share and customers in the industry. According to Grönroos (2001), “that almost
any health institution can provide an individual with healthcare services,
"but not every health institution manages to treat customers in a way that
they are pleased with.” Service providers therefore seek to differentiate
themselves from their rivals by offering customers higher quality of services
than their competitors’, which makes the basis of their competition to be
defined by their services.
The nature
of services as being intangible, heterogeneous, perishable, produced, and
consumed at same time makes it peculiar to deliver, and challenging to
organizations to achieve a differentiation from the others.
Following
therefore all the qualities of service, and with respect to the health sector,
a hospital cannot inspect its services and products to weed out unsatisfactory
ones before they are presented to the customer Ashis K Sen. (2008). Employees
therefore become the voice and face of the organization, but it is not enough
that they are trained to provide quality service; the whole system (organization)
must be geared towards the attainment of providing quality services at all
times.
According to
Looy (2003) with reference to the specific nature of service delivery,
“empowerment becomes a very important issue to organizations producing
services.” In that, the customers and the employees are engaged simultaneously
in the production of the service. This inseparability is what is considered by
the organization in choosing how best to serve its customers. The inability of
the management to control the service encounter makes the employees responsible
for the quality of service delivered to the customers. In order for the
management to trust that total quality management is attained, the management
has to give the employees the authority and necessary support to succeed,
Support systems must be in place, good management policies, technology, and
information must be relevant and timely.
In matters
concerning health services, patients not only need reassurance on the quality
of service received, but also that they are valued for committing their stakes
with a particular health institution. Customers of a health institution rely on
the services delivered to them by the hospital whether they are on admission,
receiving outpatient consultations, purchasing drugs from the hospital’s
pharmacy or receiving medical social services, they count on the employees
responsible for handling issues relating to them, to deliver high service
quality in other to increase their satisfaction. When service interaction are
not properly controlled and handled, or not even handled at all, the outcome is
poor perception or service quality and customer dissatisfaction, Hence the need
for properly managed total quality management frame.
1.8 LIMITATION OF THE RESEARCH
This research
is limited to the activities of one hospital; this is consequent to the
constraint on the duration of this research. This project will cover the
concept of effective use of Total quality management in the University of
Ilorin Teaching Hospital.
The limitation of this study will
include; limited time available on the part of the researcher to carry out an
extensive investigation and high cost of acquiring needed material. Another
constraint which serves as limiting factors is the unwillingness of the staffs
in the hospital to release the vital information.
The research
is further delimited to the extent and impact of human resources management on
the implementation of total quality management. Hence the result of the
research cannot be generalized to other hospitals.
1.9 DEFINATION OF TERMS
i. Total Quality Management: Total
Quality Management (or TQM) is a management concept coined by W. Edwards
Deming.The basis of TQM is to reduce the errors produced during the
manufacturing or service process, increase customer satisfaction, streamline
supply chain managemrnt, aim for modernization of equipment and ensure workers
have the highest level of training. From Wikipedia, the free encyclopedia
(April 19, 2010).
ii. Quality is one of the most commonly
misunderstood words in management. What is a high- quality pair of shoes or a
high-quality bank account? It is meaningless to make statements about the
degree of quality of a product or service without reference to its intended use
or purpose.
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