Innovation mediating relationship between TQM and performance: cases of industrial certified companies

Abstract

PurposeThe purpose of this research is to analyze the reciprocal relation between total quality management (TQM) and innovation (product innovation and process innovation) and their impact on operational and financial performance.Design/methodology/approachThe data were obtained from a survey of 205 manufacturing companies. Structural equation modeling (SEM) was performed to evaluate the research model.FindingsThe results reveal that there is a reciprocal relationship between TQM and innovation. Moreover, the findings indicate a significant positive effect of product innovation and process innovation on operational performance and insignificant direct impact of TQM on operational performance. However, this effect is significant when it is mediated through product innovation and process innovation.Research limitations/implicationsThis paper helps practitioners to understand how TQM practices support both product and process innovation and the role of the latter in promoting the implementation of TQM practices and ensuring operational performance.Originality/valueThis study presents an innovative approach since it is among the first research studies that provide empirical evidence to a reciprocal association between TQM and innovation. Additionally, this paper examines the dimensions studied in different aspects. It considered financial performance and operational performance, and with respect to innovation, this dimension was analyzed through two different perspectives, namely product innovation and process innovation. This study is also among the first and few research studies that have studied the mediating effect of innovation.

Unleashing the Potential of the TQM and Industry 4.0 to Achieve Sustainability Performance in the Context of a Developing Country

“…Although, challenges to sustainable initiatives in value chain flexibility are acknowledged (Dwivedi et al, 2021). Based on Kaplan's Balanced Scorecard, Figge et al (2002) and Khalfallah et al (2021) explored three ways to integrate the three elements (economic, social, and environmental) of sustainability into a unified model termed the Sustainability Balanced Scorecard. Edgeman (2013) created a Sustainable Enterprise Excellence model relying on business excellence frameworks and sustainability performance factors.…”

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“…A few theoretical studies exist in the literature that examined the impact of TQM on sustainability performance, although many studies focused on TQM and operational performance (AlShehail et al, 2021). However, while many pieces of research had discovered a favorable relationship between TQM and organizational performance (Dahlgaard-Park et al, 2018;Gomes et al, 2019;Hussain et al, 2020;Khan et al, 2020), other investigations did not discover any such relationship (Berman, 2015;Khalfallah et al, 2021;Wynen et al, 2016). Additionally, the studies which focused on the link between TQM and sustainability performance; most established a positive relationship between them (Abbas, 2020;AlShehail et al, 2021;Soltani et al, 2006;Tasleem et al, 2019).…”

Peran Kemitraan Stakeholder Terhadap Kapabilitas Inovasi Dan Dampaknya Pada Kinerja Bisnis UKM Di Bali Dengan Mediasi Relational Quality

“…Byukusenge et al, (2021), Oleh karena itu, penelitian ini menambah pengetahuan baru dengan menyatakan bahwa inovasi terhadap kinerja bisnis merupakan mediator parsial dalam hubungan antara kompetensi manajerial dan kinerja bisnis UKM di Rwanda. Khalfallah et al, (2021) dampak langsung TQM yang tidak signifikan terhadap kinerja operasional. Namun, efek ini signifikan ketika dimediasi melalui inovasi produk dan inovasi proses.…”

Pelatihan Manajemen Media Digital Bagi Praktisi Media Lokal di Era Digital

“…Customer focus instruments try to provide guidance for organizations in identifying and capturing various opportunities from customers (Cook & Zhang, 2019;Sulistyo & Arwandi, 2020;Vinyard, 2015). Organizations need to consider customer desires as a form of concern for the expectations they have (Khalfallah et al, 2022;Pellegrini et al, 2020). Furthermore, organizations need to design a channel that customers can use to convey their desires.…”