"The Relationship Between Total Quality Management Practices and Their Effects on Firm Performance"

Hale Kaynask

Journal of Operations Management

2003, 21, pp. 405-435

The results of a survey study of 382 business units in the United States showed:

1. Supplier quality management has a direct positive effect on both inventory management and quality performance
2. Product/service design has a direct positive effect on both inventory management and quality performance
3. Process management has a direct positive effect on both inventory management and quality performance
4. Management leadership, training, employee relations, and quality data/reporting affect operating performance through affecting supplier quality management, product/service design, and process management
5. The positive effect of TQM practices on financial and market performance is mediated through operating performance.

The author cautions that the relationship between different TQM practices is complex, and a firm cannot simply select some of the TQM practices and expect full benefits of implementation.

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