Strategy-People-System-Culture (SPSC) Model

In today’s business world, no organisations can do business or survive in isolation. Organisations, therefore, need to respond to their customer, competitor and environment; and quickly integrate them into their business strategies and plans. TQM practices adopted by organisations, likewise, have to be adjusted or modified accordingly. There is no exception.

Strategy allows organisations to achieve a viable match between their external factors (customer, competitor and environment) and internal capabilities and resources (people, system and culture). The role of strategy should not be viewed as a passive response to the opportunities and threats presented by the external factors, but rather a process of continuously and actively adapting the organisation to meet the demands of a changing customer, competitor and environment. Given this perspective, the TQM SPSC model (see Figure below) encompasses four focus points:

·         The customer, which is the central focus of the organisation’s business

·         The competitor, which determines the key competitive factors and trends

·         The environment, which determines the key environmental factors and trends

·         The internal competencies, which defines the ways to compete