QEM 1504 Quality Management Practices & IBM Case Study – Management Assignment Help

Assignment Task

Task

1.Problem/Case Description

IBM’S Integrated Supply Chain

Managing an integrated supply chain (ISC) is highly de-pendent on quality management practices. IBM, which considers  the  effective  and  efficient  operation  of its supply  chain  as  a  key  factor  in  improving  its competitiveness,  has  approached  implementation  of  its  inte-grated supply chain (“ISC”) from a strategic perspective. The company began the transformation effort toward an ISC in 1999. According to the supply chain manager:

Supply  chain  management  is  definitely  the  key  element of  competitiveness  at  IBM.  Competition  is  no  longer  between  single  organizations  but  rather  be-tween  integrated  supply  chains.  We must not forget the other functions in the organization, such as quality, being achieved at every stage of the supply chain; marketing, finance and accounting are also a key element in our strategy. We started the transformation of  logistics in  1999  with the  aim  of  integrating  the  different pieces of the puzzle. The most critical  factor  prior  to  the  launch  of  the change  program  was  the  articulation  and  communication of IBM’s values.

The key values that IBM employees espouse are dedication to every client’s success, innovation that matters, and trust and personal responsibility in all relationships. Having  a  shared  set  of values  helps  IBM  to  make  fast decisions that directly impact supplier performance and  customer  satisfaction.  The  influence  of  values  oc-curs  when  values  are  applied  to  personal  work  and  in  interactions with one another and the wider world. The supply chain manager made the point that it is critical for a particular leadership style to align with IBM’s culture.  “I have been at IBM for more than 20 years.

I met  people  with  fantastic  personalities,  with  a  lot  of  charisma  but  who  could  not  fit  into  the  IBM  culture.  I  think  that  it  is  not  because  they  were  not  good leaders;  it is because their style of leadership did not align with the  IBM  culture.  I  think  there  should  be  an  alignment  between  the  style  of  the  leader  and  the culture  of  the  organization.” IBM established the Integrated Supply Chain Management System in January 2002 and expanded the mission in January 2003. The ISC is organized into four distinctive but strongly related areas: customer fulfillment, global logistics, manufacturing, and procurement. These functions are all underpinned by ISC business transformation and operations strategy, which provide depth.  On the other hand, IBM has established core teams that are responsible for the proactive implementation of the various activities in the ISC.  The three teams are:  the operations team, strategy team, and talent team, which provide the breadth for the ISC organization. The principal objectives of the ISC are underpinned by the strategic quality principle of managing variation, hence cutting costs in the various activities of the supply chain, and engaging in continuous reinvention.

2.Discussion Questions

i. How are quality management principles directly or indirectly related to IBM’s ISC? 

ii. Discuss the role that process management plays in supply chains, using any information in this case to support your arguments.