Group 3

TNT Express
(Task Performance)

By:
Del Moro, Diane
Tolentino, Gersielyn
Bataan, Christine Joice
Cena, Jizelle
Rey, Maria Angelica

BSBA-311
I. Background

a. It must include a brief summary of the organizational issue.

TNT Express is a global express parcels company which offers time definite and
day definite pickup and delivery. It delivers an average of 4.4 million parcels,
documents, and pieces of freight every week to over 200 countries worldwide. TNT’s
origins date back after the Second World War in Australia in 1958.
Despite its milestone of success, TNT Express has experienced a major pitfall in
2004. With the appointment of a new CEO, Marie Christine Lombard, her strategy
was to change the company from a traditional and entrepreneurial transport company
to a global customer centric service based organization. The advocacy of the new
CEO will surely improve the overall performance of the company in terms of logistics
since it tries to adopt to the emerging needs of the market in a greater arena.
However, the result of the implemented change initiative does not reflect the goal.
Major negative feedback from customers bombard the management of the company.
Some were saying that the changes in the usual service do not serve its purpose
because the shipment of items were relatively late or out of deadlines. Most of the
employees say that the change initiative affected their performance since they are not
prepared enough to face a more complex process in the shipment of items.
Also another major reason for this problem was the number of disparate IT
systems that tracks the delivery and pick-up of items. This situation generated
enormous maintenance costs and interface issues. It was recognized that before TNT
Express could implement a set of customer service or operational systems that could
be deployed globally, they needed a “common process.”

II. Statement of the Problem

a. How can TNT Express prepare their employees to a more complex work
environment using the 10-step model that lays the foundation for a quality
culture?
TNT Express can prepare their employees to a more complex work environment
by using 10 step model that lays the foundation for a quality culture. We all know that
in order to establish a quality culture, companies and businesses must follow a
10-step model to create a solid foundation for their organization.
 1st step is to Understand, their company needs to make sure that their
employees understand quality culture and their role in establishing and
maintaining such culture.
 2nd step is Assess, their company must conduct a comprehensive assessment
of the existing corporate culture of quality.
 3rd step is make a Plan, they need to develop a comprehensive plan for
establishing a quality culture.
 4th step is Expect, they need to ensure that employees will show quality-positive
attitudes and behavior.
 5th step is to become Model, the organization in their company must establish
positive role models in the persona of the executives, managers, and supervisors.
 6th step is to Orient, their company must also assure that new employee
orientations are comprehensive with quality components.
 7th step is to have a Mentor, choosing the right person who put in the position is
important because it serves as a mentor that will help them in the development of
employees.
 8th step is Train, expand the quality of trainings is also important because it help
the employees to improve their skills and knowledge.
 9th step is Monitor, TNT Express must establish a control of attitudes and
behaviors among employees to monitor the happenings in the workplace.
 10th step is Reinforce, it is last step of laying the foundation for a quality culture
that the TNT company should not forget. Because it will ensure that the
quality-related attitudes are integrated and it will also help their company to
determine whether they maintaining the quality in their organization.

b. What type of total quality tool/continuous improvement method should TNT

Express employ in order to create a graphical representation of the different
inflows and outflows of their logistical processes?

They can use Pareto Chart to plotted along the horizontal axis the decreasing order of
frequency. They can also use cheek sheets to structured for their collecting and
analyzing data based on the feedback of their customers. Also Run Charts, to know
the trends and patterns over a specified period of time focusing on their vital changes
in their process. And Flow chart as a graphical representation of their different inflows
and outflows for their logistical process. And for their continuous improvement they
can use Kaizen Approach as a method to summarized the continual improvement of
all things, at all levels, at all the time.

c. How can ISO 9000 contribute in the overall improvement of TNT Express’
organizational performance?
ISO 9000 can contribute in the overall improvement of TNT Express
organizational performance by setting the requirements for assurance and
management's involvement and also by developing and using the Quality
Management System or QMS that helps their company conforming to the established
standards and guidelines of ISO 9001 in order to secure a registration to ISO 9000.
Because we all know that the quality management system is composed of all the
organization’s policies, procedures, plans, resources, processes, and delineation of
responsibility and authority, all deliberately aimed at achieving product or service
quality levels consistent with customer satisfaction and the organization’s objectives.

III. Areas of Consideration

a. It must include details and facts from the case that contribute to the
organizational problem of the company.
According to the case above, the major problem of the TNT Express company is
the negative feedback from customers and some were saying that the changes in the
usual service do not serve its purpose because the shipment of items were relatively
late or out of deadlines. However, others stated that TNT marketed itself as a global
organization but variation in the way it operated locally affected their experience. And
most of the employees say that the change initiative affected their performance since
they are not prepared enough to face a more complex process in the shipment of
items. Another major reason for this problem was the number of disparate IT systems
that tracks the delivery and pick-up of items. This situation generated enormous
maintenance costs and interface issues.

IV. Alternative Courses of Action

a. It must contain at least (2) two courses of action for every point stated in the
statement of the problem. It must also present the advantages and
disadvantages of each course of action in resolving the organizational problem.
 Based on their major problem, the TNT Express company must improve their
service and method or processes of deliveries and also make or conduct a study
pertaining to the true and real problem of their company. Because by that, they can
use it as their advantage to see the future problem for their company and also to avoid
the negative feedback of their customers and improve them into satisfaction feedback.
However, the disadvantages of this is, it take a lot of time to study the different types
of problem that they are facing also it takes a lot of effort and money for the resources
that they can be use in order to solve the problems.
Aside from that, they must improve the system, skills and knowledge of their IT
employees. By having seminars and training. Because by that they can use it as their
advantage to their customers to easily track their orders rapidly. However, it is also
have a disadvantage, like it take a lot of time and effort to learned and develop skills of
every employees and also patient because not everyone can easily absorb
knowledge and adopt changes.

V. Recommendation

a. It must present the best course of action among the presented alternatives in
resolving each organizational problem.

We would suggest to TNT Express company to improve their process of

deliveries as fast as they can, to avoid problem such as negative feedback. And also
monitor their staff regularly to know if they are ready and prepare to face a more
complex of problem, not just only to the process of shipment of the items, but also to
the other future problem of their company. Proper training and seminars is very
important in achieving best for your business because by that your employees will
continually develop their skills and knowledge. Maybe it is true that it takes a lot of
time, effort and money but if it results for a better outcome, invest more.

VI. Management Lessons Learned

a. It must discuss the takeaways from the case and the relevant things that the
company should do or not do in order to avoid the given organizational
problems.

The management of TNT Express company should do a regular visitation to the

area of their workplace to know what is the true happenings to their business
operation and to their employees. By that, it will help them to see what are the
problem that they are facing and make a fast but surely solution. They do not make a
decision without studying the cause and effect of that action in order to not spread the
damage or issue that cause of wrong decision. Instead they must rely to proper
course of action in order to resolve the problem with right solution. They must also
focus and invest to what is good or to what is better for their company. Furthermore,
they must encourage their employees to do better and promote empowerment for
their workplace.