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Both Enterprise Resource Planning (ERP) and Total Quality Management (TQM) share similar goals - customer satisfaction, productivity improvement, increased competitiveness, waste reduction, effort duplication and so on. ERP system will help in achieving these goals when used in conjunction with TQM.
Here ERP has the role of an enabler of the TQM principles and philosophies. ERP is also benefited by the implementation of TQM. Effective use of TQM creates better performing ERP systems. TQM brings problem solving techniques and continuous improvement opportunities for all ERP systems. The effective use of TQM helps companies obtain the maximum return on investment from expensive investments.
Therefore, the organizations applying or targeting TQM in their businesses, ERP software has become an essential necessity.
