The study of casual relationships among tqm critical success factors and performance in manufacturing organizations
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Abstract
Even though the concept of quality management has been receiving worldwide attentions as a tool to create competitiveness for many years, companies were facing problems during the implementations, especially in defining and prioritizing their practices. The research objective of this study was to study the total quality management of ISO 9001 certified manufacturing companies by 1) studying the causal relationship among the six critical success factors of total quality management based on the national quality award criteria. 2) studying the casual relationship between the critical success factors and organizational performance.
The research sample consisted of 155 ISO 9001 certified manufacturing organizations that registered with the Thailand Industrial Standard Institute. The online questionnaires were used to collect the data from either executives or organizations’ representatives from September to December 2015. The multivariate analysis, namely, confirmatory factor analysis and structural equation modelling, were conducted by using the statistical software in order to examine the causal relationship of the latent variables of leadership, strategic planning, customer focus, measurement & analysis, workforce focus, operation focus and organizational performance.
The results confirmed the existence of nine causal relationships between 1) leadership and strategic planning 2) leadership and customer focus 3) leadership and workforce focus 4) strategic planning and measurement and analysis 5) strategic planning and workforce focus 6) customer focus, and operation focus 7) measurement & analysis and operation focus 8) workforce focus and customer focus 9) workforce focus and measurement & analysis. Additionally, the results of also confirmed the existence of the causal relationship between operation focus and organizational performance. According to the research findings, manufacturing organizations should focus on establishing operational standards of major procedures along their value chains. Quality management tools and statistical techniques should be employed in order to monitor organizational performance regularly. Leaders eventually played major roles in stimulating and monitoring for continuous improvement.
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