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States that, although there has been considerable progress with the implementation of total quality management in Australia and New Zealand over the past 15 years since it was pioneered in the manufacturing sector, there is still not a widespread acceptance and implementation of it. As a result, while the best companies in these countries are achieving high levels of competitiveness, the bulk of companies are still reporting mediocre performance in critically important areas such as customer satisfaction. Details how some of Australia and New Zealand’s leading companies have implemented quality improvement initiatives. Reports on a large survey of companies showing that on average, self‐reported measures of employee morale, customer satisfaction and the extent of dissemination of customer requirements throughout a workforce are particular areas for improvement.

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