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Organizational Innovations for Modern Enterprise

17   Defining Quality


COMPARE The Old Way The New Way

Quality is relative.

Quality is absolute.

Objective Defines "high quality" through a process of comparison with the offerings of a company’s closest competitors. Defines "high quality" by asking what is possible.  
Method Products and services are engineered to compete only with the company’s closest competitors. Products and services are developed that meet customer needs and exceed customer expectations. World-class excellence is the goal.  
Perspective "We must stay ahead of, or keep up with our closest competitors." "Watch your back." "Our customers deserve the best, and we will give it to them." "Keep your eyes on your customers."  
Reasoning The real game is with our local/comparable competition... Read the rest in... The real game is with our customers.... Read the rest in...  
Nature of Inputs
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Nature of Outputs
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Internal Systems
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Employee Outcome
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Customer Outcome
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Market Outcome
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Result
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The definition of quality that guides our efforts; shapes our chances and chooses our competitive position. Crafting the right definition is well worth it.
... Chapter 17 Excerpt: 'Defining Quality'
 
As mentioned in section three, the word "Quality" actually has two component meanings. The first meaning addresses reliability. In this respect, products and services are deemed to be high quality if they reliably meet customer expectations. The second meaning pertains to the number of features that a product or service has. Here, high quality status is given to products and services that allow customers to do what they could not do with other, lesser products and services. However, the paramount question is not how much quality your company can design into your products and services. Rather, what matters is how your company defines quality.
 
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