Quality Circles

A quality circle is a participatory management technique that enlists the help of employees in solving problems related to their own jobs.

The circle is a relatively autonomous unit (ideally about ten workers), usually led by a supervisor or a senior worker and organized as a work unit. Employees who participate in quality circles usually receive training in formal problem-solving methods such as brainstorming, pareto analysis, cause-and-effect diagram etc. and then are encouraged to apply these methods to either specific or general company problems. After completing an analysis, they often present their findings to management and then handle implementation of approved solutions.

Although most commonly found in manufacturing environments, quality circles are applicable to a wide variety of business situations and problems. They are based on two ideas: that employees can often make better suggestions for improving work processes than management; and that employees are motivated by their participation in making such improvements. Thus if implemented correctly, quality circles can help a business reduce costs, increase productivity, and improve employee morale. Other potential benefits that may be realized by a business include greater operational efficiency, reduced absenteeism, improved employee health and safety, and an overall better working climate.