Final answer:
The statement is true. The people-focused management system being referred to here is called Total Quality Management (TQM).
Step-by-step explanation:
The statement is true. The people-focused management system being referred to here is called Total Quality Management (TQM). TQM is a strategic approach that aims to improve customer satisfaction while reducing costs. It involves all aspects of a company's operations and requires a commitment to continuous improvement.
By implementing a TQM system, businesses can achieve higher levels of customer satisfaction by delivering products or services that meet or exceed customer expectations. This can lead to increased loyalty, repeat business, and positive word-of-mouth referrals.
Furthermore, TQM emphasizes the involvement and empowerment of employees, as they play a key role in delivering quality and satisfying the needs of customers. By focusing on people and creating a culture of quality, TQM can contribute to the overall success of a business.