As an Amazon Associate I earn from qualifying purchases.

What is Compensation in Total Quality Management? PDF | Download eBooks

Learn Compensation definition in total quality management with explanation to study “What is Compensation”. Study compensation explanation with TQM terms to review total quality management course for online MBA programs.

Compensation Definition

Compensation Explanation

It is not possible to have a happy customer every time a product is sold or a service is provided. Expectations are unique to every customer and an organization cannot meet the expectations of each and every customer. Due to this, complaints arise. Complaints can come in different forms, a defective product, behavior of the employee, wrong order etc. One way to resolve a complaint is to offer compensation to the customer. Compensation can be both monetary and non-monetary. A refund can be done or the employee with behavior issue can be made to apologize as compensation. The case of Samsung Note 7 can be considered where the company provided replacement devices as compensation as well as price compensation for the next model.

Keep Learning TQM Explanations

What is Team?

A team is a group of people working together to achieve a common goal. When working for process improvement, developing ...

What is Baldrige Performance Excellence Program?

Quality is not related to the day to day technical issues only rather the management of an organization must take ...

What is Qualitative Audit?

\Usually, the factors that can be quantified are audited in an organization. These include financial audits, performance audits etc. However, ...

What is Interference Checking?

A system comprises of a number of parts. These parts work together for the overall system to perform its intended ...

What is Champion?

For the implementation of Six Sigma, the roles of different people within an organization may vary. The champions of Six ...

What is Value Chain?

A value chain is a systematic method to divide all the activities of an organization and explains their interaction with ...