Organizational Performance and Sustainability in Manufacturing and Service through TQM Implementation

Abstract

Total Quality Management (TQM) has emerged in today's business environment as a strategy for achieving competitive advantage, organizational performance, sustainability and excellence. TQM has originated from manufacturing sector and it believed to be applicable to all sectors, due to its logical conception of achieving organizational long-term goals through a systematic approach. From the growing expansion of manufacturing and service sector industries, TQM concept globally has become an important pillar for growth and development. Manufacturing and service organizations have similarities and differ in the way operations are carried out by them (Jiang, 2009), but both believe in the value of successful implementation of TQM. Successful implementation of TQM is claimed to be contingent on TQM practices and these practices may differ in manufacturing and service organizations. However, the authors believe that organizational excellence can be achieved if there is better management of TQM practices in manufacturing and service organizations. Identifying the key contributing TQM practices/factors remains a challenge, and therefore the purpose of the study was to examine current TQM Practices/factors that impact on organizational performance, excellence and develop a TQM Implementation model pathway for manufacturing and service organizations to adapt in helping achieving the desired outcome of TQM.

TQM and company performance: Review of literature and business practices 2015 - 2020

“…Quality Management Sistem -QMS) u sprovođenju politika, procedura i procesa. Da bi se održala stabilnost i sigurnost kvaliteta kao i konkurentska prednost kompanije kreiraju stategije i streme ka TQM-u [42]. Analizom objavljenih studija i pregledom literature autora iz više zemalja primećuju se prepreke za usvajanje TQM-a.…”

Effective TQM Implementation in the Service Industry: A Proposed Framework

“…TQM has been defined as a management philosophy as well as a mindset that has enabled many businesses to progress towards achieving excellence in businesses (Magd and Karyamsetty, 2020). TQM also enables the firms to develop a participation culture, quality-mindedness, teamwork, trust, zeal for continual development, continual learning, innovation, creativity, and, ultimately, a working culture that pays to the success and sustainability of a firm (Yusof and Aspinwall, 2000).…”

“…Organizations have started understanding in recent years that TQM is the way forward towards ensuring long-term sustainability and overall performance of companies (Mushtaq and Peng, 2020;Karamouz, Ahmadi Kahnali and Ghafournia, 2020). Organizations are required to devise and execute plans within a global context in a dynamic world (Magd and Karyamsetty, 2020;Zakuan et al, 2012). Nowadays, many companies use quality as a strategic tool.…”

“…In line with rising demands for high-quality goods and services, companies have recognized the value of implementing TQM practices to manufacturing processes to produce high-quality products and minimize costs. TQM is known as a strategy that considers consumers as the key concern, aimed specifically at providing high-quality products and services by constantly enhancing manufacturing processes (Magd and Karyamsetty, 2020).…”

“…Most past researches indicated that total TQM practices and approaches have been positively resulted to various key success areas such as performance and productivity, innovation performance, customer satisfaction, employees' satisfaction, quality performance, competitive edge, customer base, financial results, and overall performance of the firm (Sadikoglu and Olcay, 2014), as shown in Table 2. Sampaio, Saraiva and Guimaraes Rodrigues (2009) observed that most research attempting to connect the impact of quality management principles and practices on organizational performance concluded that a clear link exists between adopting quality management practices and enhancing organizational performance (Magd and Karyamsetty, 2020;Quazi and Jacobs, 2004;Tari and Sabater, 2004;Dick, Gallimore and Brown, 2002;Ozgur, Meek and Toker, 2002;Tari and Molina, 2002;Curkovic et al, 2000;Gupta, 2000;Romano, 2000;Terziovski and Samson, 1999;Adam et al, 1997;Mann and Kehoe, 1994;and Maani, 1989). Accordingly, empirical studies indicate that TQM has a positive effect on the success of those organizations enforcing their principles and practices (e.g., Hassan et al, 2012;Taddese and Osada, 2010;and Prajogo and Hong, 2008).…”