The Principles of Total Quality Management (TQM) can be used to establish an effective management model which stresses quality of care. The purpose of this paper is to illustrate how to Apply TQM principles to set up an effective discharge planning protocol for NIDDM patients and to evaluate of a TQM based protocol in improving the quality of care. A pre-experimental research design was used. After establishing TQM based system for discharge planning, a convenience sample of 30 NIDDM patients (mean age 67 year) was drawn from a 300-bed community hospital in Taiwan. Fifteen of these patients were surveyed without TQM intervention and served as the control group. The remaining fifteen NIDDM patients were treated with the TQM-based discharge planning protocol and served as the experimental group. Baseline assessment data such as demographic information, chart review, and diabetes self-care assessment questionnaires were collected through personal interviews with the patients. During the first six weeks after discharge, follow-up telephone contacts were made two times with each patient. The findings of this study suggest that the TQM-based discharge planning protocol can improve quality of diabetes care through discharge patient education and better multi-disciplinary teamwork. The TQM discharge planning protocol also resulted in a decrease of the early readmission rate.