Introduction Total Quality Management (TQM) can be defined as a satisfaction of social shareholders via implementing effective planning, programs, policies, and strategies, as well as using human and other assets efficiently and continually within an organization. This approach will continue to be one of hot topics among practitioners, academics, and professionals in new millennium. This article presents how a new TQM readiness model can be utilized for providing social shareholders' satisfaction (1) and continuous improvement in small- and medium-sized hotel organizations. Five-star hotel staffs appear to have better organizational strengths than four-star hotel staffs in North Cyprus. Four-star hotel employees indicate substantial differences in their perceptions concerning TQM readiness elements. Literature Review An extensive literature review has been conducted. Issues examined include following: (1) Where to start? (2) Is it valuable to bring such a total system? (3) Should some parts be imported instead of whole? and (4) Is there any cheap way to bring TQM to small- or medium-sized organizations? According to Oakland (1993), first decision of where to begin can be daunting, referred to as Total Quality Paralysis (TQP) problem in quality-management literature (Lakhe and Mohanty 1994). This has been confirmed by other experts and academics who state that small- and medium-sized enterprises generally are less comfortable in bringing TQM into their organizations than large companies are due to limited managerial knowledge, skill, ability, incentives, resources, and (Mohd and Elaine 2000; Wiele and Brown 1998; Haksever 1996). According to literature, only a few studies have been developed on TQM readiness assessment criteria in small- and medium-sized firms. Scholars and others have a common understanding that more clearly TQM readiness factors are assessed, healthier a transition can be achieved to TQM process. The TQM literature states, Organizations, which are ready for change in climate, have more opportunity to achieve a successful implementation in a shorter period of time (Weeks, Helms, and Ettkin 1995). A common point endorsed in literature is that there must be a readiness survey before designing, developing, and implementing a TQM program. (Yavas 1995; Lakhe and Mohanty 1994; Endowsman and Savage 1991; Derrick, Desai and Obrein 1989). This may help to determine TQM factors within an organization and to identify potential problems that may create resistance to TQM and will help to develop a database for future comparisons. Walker and Salameth (1990) have stated that only a small percentage of hotels have heard the siren call of TQM implementations even in U.S. It is interesting to note that after 10 years, literature regarding hotels is still sparse. Although some viable hotels in limited geographical areas have reported that their TQM performance resulted in profit increased, employee satisfaction, and better usage of economic resources, only a few case studies have been published. As Bloomquist and Breiter (1998) indicate, While those case studies are important in elaboration on theme of quality management, there remain no reliable statistical data on (hotel) industry-wide performance credited to quality management. (Bloomquist and Breiter 1998; Camison et al. 1996; Golden 1993) Total Quality Challenge for Cyprus Hotel Organizations Cyprus is third-largest island in Mediterranean. Cyprus has a great historical heritage, conserved environment beauties, and a good climate, and after war in 1974, island was divided into north and south parts. No study has been conducted on how TQM can be applied in small- and medium-sized hotel organizations in North Cyprus, which is a major deficiency since tourism is leading sector. …
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Jun 1, 2010
Francisco Díez De Velasco 
Open Access