Purpose: To explore the potential for adoption of TQM in self-financed technical institutions in the light of new demands and challenges posed by customers/students and society. Design/methodology/approach: The paper presents use of quality function deployment (QFD) which prioritizes technical requirements and correlates them with various customers'/students' requirements for the present Indian context. As an extension to the basic model of QFD: house of quality (HOQ), the scope for futuristic improvements is explored through a four-phased QFD process. Challenges involved in the implementation of TQM are investigated using an approach of force field analysis. Findings: Identifies technical and students' requirements for the modern educational set-up. Provides information about the severity of various technical requirements of competitive education. Recognizes the need for continuous improvement, cultural change and effective use of financial resources to improve the value addition at each level. Develops an understanding of the issues to be addressed at each phase of TQM implementation. Practical implications: It is expected that insights gained will help sensitize the emerging self-financed institutions towards the demands of new age students. Conclusions derived will also provide some opportunities for reflection by students, faculty members and leaders/top management of institutions for continuous development at an individual as well as institutional level. Originality/value: A novelty of work lies in the use of a mix of qualitative and quantitative approaches, which not only evaluates the present system but develops an understanding of future challenges to continuous improvement. (Contains 6 tables and 4 figures.)