CONTRACT PERFORMANCE-CONSTRUCTION CONTRACT

Contract Performance-Construction Contract

Contract Performance-Construction Contract

Introduction

Organizations are social entities that are goal adapted, are directed as deliberately structured and coordinated activity systems, and are connected to external environment. Organization design is the supervision and extension of the strategic plan. HR goals and strategy are often selected based upon environmental needs and then the top management strives to redesign the organization to accomplish those ends.

Critical thinking is created when organizations endorse, value, and realize on individual differences. People from different backgrounds feel cushy and assured to utilize their various perspectives and appeal to work, and they are included at all levels and functions in the organization. Critical thinking welcomes the uniqueness of their co-workers and look out for high standards of fulfillment from all, trusting everyone can and should dispense fully. They are committed to rejecting barriers, which hinder their co-workers from using the full extent of their ability. A diverse workforce, sharing the values, uplifts the business results, reinforce their competitiveness and make a better work environment.

Tremendous opportunities for improvement still exist in many organizations. Here is an approach for seeking them out. It is important that the effectiveness of a quality system is measured in financial terms. Quality is becoming widely recognized as a key success factor in long- term organizational performance. However, many organizations that are implementing quality systems will see little return on their investment in terms of performance improvement. The reason: managers generally remain unaware of the tremendous opportunities for improvement that yet exist.

Management and cost systems have failed to keep pace with the need for organizational restructuring for the next century. This article examines how an economics-of-quality approach can be integrated with activity-based management in order to maximize return on investment and begin long-term continuous improvement.

Solutions

The key to understanding this issue is to recognize the difference between total quality management (TQM) and a quality system. TQM is a philosophy under which an organization operates. The philosophy is pervasive, applying to everything (total). Its aim is to satisfy all customers, including investors and users of the customers' products and services (quality). And it focuses on the example set and reinforced by every area of the organization (management). Continuous improvement is part of the culture needed to support TQM: this is a long and never- ending journey. (Brookfield et. al. 2001)

A quality system is a building block for this process. It is a "tool" through which management structures the organization's operations. It ensures that all team members understand the activities needed to achieve first-free quality. The quality system establishes a process for identifying deviations from this goal and a process for analyzing the root causes so that the organization can take long-term corrective action. For example, one such tool is registration to an international standard such as ISO 9001.

Quality systems have evolved from their traditional focus on engineering and manufacturing operations. At one time, most quality practitioners came out of a technical background, emphasizing quality in physical ...