Total quality management (TQM) is not a technique, rule or standard but a successful management philosophy employed both in the manufacturing and service industry, where the essential elements are good communication between departments, continuous improvement and focus on costumers. The thesis presents first the development and basic features of TQM, i.e. focus on costumers, integration and continuous improvement. Description of construction project stages presented in the beginning of the thesis is followed by the presentation of ways to implement the TQM principles in the construction process. Special emphasis is devoted to the role of the client, and how to satisfy his requirements. Design-build method of procurement is presented as one of the options to meet the internal customer’s as well as the owner’s demands. A hypothesis stating that implementation of an ISO 9000-based QMS is an important step enabling the introduction of the TQM principle into a construction company is established and assessed on the basis of a case study conducted in one of the Slovenian construction companies. The analysis carried out within the case study validates the stated hypothesis. Based on the available literature, it can be concluded that despite many unique features of construction industry, the principles of TQM can be successfully implemented also in this sector. Many Slovenian construction companies have an ISO 9001 compliant QMS, which means that Slovenian construction industry is ready to accept the TQM principles in its daily practice as well.