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The role of quality management in combating financial crisis and maintaining competitiveness

In the face of a crisis, it is natural for companies to withdraw. This means that one of the first attitudes is to cut expenses, creating in some moments more difficulties instead of becoming stronger. But what to do in this scenerio?

In this post we will unveil the role of quality management in fighting the financial crisis and maintaining competitive advantage in the market. The goal is to bring positive insights so that your company can go through difficult times with more tranquility and security. In addition, you will find that good management can do real miracles.

Start fighting the crisis from home

Just as a family needs to cut costs in the event of unemployment or rising prices, a company can also contain its spending. Just re-evaluate some of your internal practices. This role of continuous improvement is part of the tasks of quality management, and must be done at all times. So, in times of financial crisis, it is more than essential that you put your team to work on optimizing resources.

Through quality management, it becomes possible to identify gaps in your production process. It is also possible to identify points of material waste, inadequacies in the work environment, equipment failures and other risks. All of these can be easily resolved with good strategic planning.

Ensure product value is maintained

The growing demand from consumers is nothing more than a reflection of the huge range of options that exist on the market. If you sell toothpaste and are unable to maintain the same quality of the product, there will certainly be a competitor who will.

Therefore, quality management is essential to ensure the maintenance of the market value of its products or services. And it mainly shows that you value your customers regardless of the economic scenario.

Realize that we are not talking about price, but about perception of value. And that is what makes a company able to sell jeans for 300 reais and another for 80. It is obvious that, in times of crisis, those who charge more must at least invest more in marketing. Those who charge less can maintain their sales just by ensuring that the quality of their products and customer service do not drop.

Link customer satisfaction to quality management

A company can only perpetuate itself in the market in a competitive way if it knows how to keep its customers satisfied, making them loyal. Remember that consumer satisfaction is not just about delivering a product or service according to the protocol. It is necessary to exceed expectations, involve the client and show that your company does what it does with a lot of commitment.

By keeping your quality management system running smoothly during the financial crisis, you can stand out in the market. Surprise your customers with new products and services or even customization. This is what helps to guarantee resource savings and on-demand sales circulation.

In times of falling sales, the best thing to do is to meet, in the smallest detail, the needs of your customers in order to show that you are available for anything that comes and goes.

Protect assertiveness in business decisions

Quality management is part of your company’s strategic management, and should guide your business decisions. You decide where to invest, how to reduce costs, when to risk it and when to take a step back so as not to lose your financial balance. If you don’t have a quality management system or simply abandon it to cut costs during the financial crisis, that market perception is impaired. Your decision making becomes more difficult and more risky.

The ideal is that you have quality management as a guiding principle for your actions, whether internal or external. And always keeping the focus on the needs of their consumers, after all, they are the ones who dictate the rules, right? That way, if you don’t offer quality, migration to the competition is almost certain.

Reduce costs to drive more operational efficiency

Overcoming a financial crisis requires making many internal decisions, one of which is directly related to cutting spending. If your company hasn’t been thinking about it much, the best time to do this analysis is now! And quality management can help – a lot! – to identify where you can cut expenses without losing competitiveness.

But cutting employee benefits, the coffee the company provides or paying labor rights is not the best alternative. On the contrary, it sinks the motivation of employees who are in the same boat as you. Therefore, it is essential that you use quality management to look critically at the company’s production process. It is by investing in quality management that you are able to identify where it is possible to be more efficient.

It may even be that you invest in some extra features to achieve this efficiency. But think that in the medium and long term, the benefits will be much greater. Want an example?

We assume that you maintain a huge physical file, with a series of documents that take hours to recover. A document management system allows quick and intuitive access to any information contained therein. In addition to significantly reducing the need for physical space, it takes your employees out of manual labor, making them more productive.

Being competitive means maintaining a constant improvement in your processes, aiming to reduce time and resources. In addition, it is increasing your company’s excellence in conducting business. And that’s why quality management is so important. Once it dictates the pace of these changes, it transforms your company for the better!

And does your company handle a crisis well? Share your experiences with us!

Thatiana Sestrem

Journalist

December 17, 2020

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