Quality function deployment (QFD) approach for improving utility service: a case of power supply by DESCO

Abstract

Quality Function Deployment (QFD) is a basic TQM tool that systematically develops customcr"s needs and expectations. The methodology of QFO allows the depioyment of the expectations of the customer, or r~ther, the characteristics expected of this service, through all the functions of the company; it is possible therefore, to translate the expectations (what the customer wants) with the appropriate means, into specifications of service and internal actions (how we should do it). The QFD is a management tool, where the customer's expectations are used to manage the design of the processes. It is not only used in the development of new services, it is also used for the improvement of an existing service, such as that given by the distributing and retailing companies of electricity - the objective of the present article. The typical electrical company in Bangladesh is at present surrounded by an environment of progressive liberalization in the sector, where quality has become a key factor in competitiveness. In order to improve its qualily the company needs to be aware of the expectations of its customers and how to satisfy them. In this thesis the key processes of the Distributing companies of the Bangladesh electrical .sector are defined, Identifying internal quality indicators associated with the expectations of the final customer. The objective of this work is to provide the companies that distribute and commcrcialize electrical energy with a methodology that allows them to identi/)' the focal point of their organization. This should also detennine on which processes, customer service channels, or other services they should concentrate in order to satis/)' their customer's expectations while continuously improving quallty. TIle Quality Function Deployment (QFD) method is applied in order to correlate the expectations of the customers and the internal quality indicators of these processes. The expectations of the customer have to be gathered, analyzed and dealt with. We have chosen as a starting point the segmentation made by this company and the results of investigations made on quality as seen by the different segments of customers, basically on processes, channels of attention and the image of the company. The opinions of ten experts of the same company have supplied the basis for the correlation of the expectations with the indicators of the basic processes. The results lead to improvements in the basic process.