As a retail entrepreneur, you know that getting a product to a customer in perfect condition is only one part of the equation. Every step of the customer’s journey—from first discovering your brand to post-purchase follow-up—needs to exemplify excellence as you strive to stand out. You can accomplish this by prioritizing quality management across your retail operations, not just the physical products you sell.
That means your website should load nimbly on mobile and your ecommerce checkout process should flow without friction. The order confirmation email you send should reflect your brand aesthetics rather than appearing as an afterthought, and packaging should reinforce your brand promise while protecting the product inside. Read on to learn about the importance of quality management in retail and discover practical strategies for embedding these principles across your organization.
What is quality management?
Quality management, also referred to as total quality management (TQM), is the process that allows a business to consistently meet high quality standards and achieve greater customer satisfaction. This involves continuously improving organizational processes, eliminating errors, and ensuring that your brand’s products (and services) consistently meet or exceed customer expectations and industry standards at every customer touchpoint.
A quality management system (QMS) is the formal framework of policies, processes, and procedures that a company uses to ensure it meets its quality standards (and improves on them). To put a QMS in place, companies set clear expectations, train their team on standard procedures, and use data to monitor improvements; an online retailer might institute a QMS to catch and reduce shipping errors so customers receive exactly what they ordered.
Components of quality management
Quality management isn’t a single thing; it’s a system made up of four components working together:
Quality planning
Quality planning is the first step of quality management, where you define your quality standards and how to achieve them. For example, this might involve setting criteria for product durability or website uptime, determining how to meet those standards, and figuring out how you will measure success.
Quality control
Quality control is a hands-on process that involves inspecting and testing your team’s outputs to ensure they meet the standards set during planning. It’s about catching defects or errors in products and services before they reach the customer. This could mean testing your site’s checkout process for bugs regularly or inspecting items in a shipment batch to ensure every product is correct and in perfect condition prior to delivery.
Quality assurance
Quality assurance focuses on the business processes and systems behind the scenes, helping ensure you’re doing the right things to prevent issues from occurring. This component includes auditing or reviewing your operational procedures (for example, your order fulfillment steps or customer service scripts) to verify they’re being followed and are effective.
Quality improvement
Quality improvement is the process approach of making changes to your quality plan to improve results. After you’ve implemented controls, collected results, and rolled out QA processes, you review what’s working and what isn’t, then adjust your quality improvement methods to do better. In the end, your ultimate goal is to enhance customer satisfaction.
Quality management principles
Quality management is guided by a set of core principles that help organizations achieve excellence. Implementing them can lead to better experiences for your customers and improve internal processes:
Customer focus
With quality management, everything starts with the customer. Understand what your customers want and align your products and services to those needs. In retail, this principle might translate into regularly asking for feedback and revising your offerings or policies (like flexible returns) to keep customers satisfied and coming back. You might also track purchase and support history in your customer relationship management system (CRM) to provide satisfying interactions and solutions.
Continual improvement
At its heart, quality management is about never settling. It’s about always looking for smarter, better ways to improve your processes, products, and services. Even if things are going swimmingly, there’s likely room for process improvement. That could be speeding up first response times or iterating on a product prototype based on critical reviews.
Evidence-based assessment
Effective quality management relies on your team making choices based on data and facts, not just gut feeling. By tracking metrics (such as website error logs or product defect rates) and assessing the results, you identify what needs fixing and verify whether changes are actually working. A data-guided approach might involve tracking how many online orders ship on time or analyzing which webpage has the highest drop-off rate, then using that information to improve your logistics or website user experience.
Leadership
When company leaders set a clear vision for quality, they create a workplace where the entire team understands that quality is a top priority. For instance, a shop owner who personally responds to customer complaints and uses that feedback to improve operations sends a message that meeting quality standards and delighting customers is everyone’s responsibility, starting from the top. Without this leadership, quality initiatives can fizzle out as employees perceive them as just another corporate program rather than a fundamental business value.
Employee involvement
Quality management works best when every employee is engaged and takes ownership of quality outcomes. By training staff, empowering them to make improvements, and acknowledging their efforts, you ensure that people at all levels feel responsible for high standards. For a retail team, this could mean sales associates, warehouse pickers, and customer support reps are all encouraged to spot issues (like recurring customer complaints or packing mistakes) and suggest remedies.
Approaches to quality management
In practice, businesses can experiment with several established methodologies to implement quality management. Some companies use enterprise quality management software like AlisQI or EASE to formalize processes, standardize documentation, and enable real-time monitoring. Others create equivalent systems using manual tracking procedures, spreadsheets, or workflow tools.
Here are a few well-known quality management approaches:
Kaizen
Kaizen is a Japanese philosophy of “continuous improvement” that encourages all employees to make small, incremental changes regularly. Rather than implementing massive overhauls, Kaizen focuses on consistently finding tiny ways to progress toward quality objectives, believing those small wins add up to significant long-term gains. Retail companies can embrace Kaizen to refine everything from store workflows to website usability.
For instance, an ecommerce team might use Kaizen by continuously tweaking its checkout process based on customer feedback, gradually reducing friction and cart abandonment with each small improvement.
Six Sigma
Six Sigma is a data-driven methodology for improving processes by identifying and eliminating defects or variations, striving for close-to-perfect quality. It provides organizations with a structured problem-solving approach, often known as DMAIC: define, measure, analyze, improve, control. Although the full Six Sigma approach is highly technical, these five essential stages can be applied to nearly any quality management problem.
Six Sigma’s goal is to ensure predictable, high-quality results of any business process, and it relies on statistical process control to achieve this. Six Sigma expertise is typically attained via specialized training, and certification programs may be established within major companies to ensure that standards are applied consistently across the board.
ISO
ISO stands for the International Organization for Standardization, which publishes globally recognized standards to ensure the quality and safety of products. In the realm of quality management, the ISO 9000 family (especially ISO 9001) provides a set of requirements and guidelines for establishing an effective quality management system. The standard provided is both broadly applicable (it can be adapted to meet the needs of a variety of business types) and comprehensive.
ISO 9001 is one of the most widely adopted quality management standards in the world, and following its framework helps companies operate efficiently and in service of their customers. While more common in manufacturing and business-to-business (B2B) sectors, ISO 9001 certification can be useful for retail businesses intent on formalizing quality processes.
Quality management FAQ
What is a quality management system?
A quality management system (QMS) is a structured set of processes and procedures that an organization follows to ensure its products or services meet consistent quality standards. It’s the formal framework that helps a company organize its quality efforts, monitor performance, and continuously boost customer satisfaction across all areas of the business.
What is the primary focus of quality management?
The goal of quality management is to ensure customer satisfaction with products and services by delivering value that meets promises while maintaining regulatory compliance. Retail businesses that implement effective quality systems delight customers but also minimize operational risks, avoid costly violations, and establish themselves as trustworthy.
What is ISO?
ISO, which stands for International Organization for Standardization, is an international body that develops and publishes standards for different industries. ISO’s best-known standard is ISO 9001, which provides a globally recognized framework to build effective quality management systems for an organization's processes.