The impact of quality management systems on the performance of manufacturing firms

Navigating challenges in Vietnamese enterprises: An examination of the interplay between environmental regulations, organizational innovation, resilience, learning support, and performance

This study examines the interplay between environmental regulations, organizational innovation, resilience, learning support, and performance in the Vietnamese business context. The paper explores the mutual interaction and influence among these variables. Additionally, it focuses on the indirect effects of organizational innovation and resilience, showing that organizational innovation mediates the relationship between environmental regulations and performance and resilience mediates the relationship between organizational learning support and performance. The study extends the framework of the dynamic capabilities perspective by demonstrating that dynamic capabilities enable organizations to adapt to and capitalize on stringent environmental policies. Our sample data come from 349 Vietnamese manufacturers and are analyzed using partial least squares structural equation modeling, which is effective for examining complex relationships and interactions among multiple variables. The results indicate that, although environmental regulations do not directly impact organizational performance, they do so indirectly through organizational innovation. The study also demonstrates the significant role of innovation and resilience in enhancing performance, yielding valuable insights for organizations that seek sustainable growth amid uncertainty. These findings lead to practical implications for developing strategies and policies that promote resilience, innovation, and learning, including a robust framework for addressing management challenges in emerging economies.

Challenges in regulating the local and global needs of quality management systems

Purpose

The complex processes of global organizations poses significant challenges for the global quality management systems (QMSs) responsible for their coordination and effective management. This includes meeting local customers' needs, as well as being responsible for global operational effectiveness, aggregate capacity utilization, cost reduction and standardization. This study examines how all of these ends can be accomplished. Regulating local and global needs emerges as a key issue, but one that lacks clarity. Therefore, this article outlines an approach for developing a coherent, strategic approach.

Design/methodology/approach

A field study of eighteen multinational companies (MNCs) examined and mapped the activity of their QMS, defined representative profiles and compared these profiles to strategic, operational and marketing needs.

Findings

The data analysis shows several gaps in the approach to global quality management. The lack of coherence and considerable vagueness in addressing inter-organizational processes leads to behavior that fluctuates between absolute autonomy and specific initiatives aimed at reaching the necessary level of integration needed to achieve operational effectiveness.

Originality/value

The innovative mapping process and analysis of the current study provide a tool for differentiating between the local and global needs of MNCs' quality systems, identifying gaps and defining activities aimed at regulating responses while increasing global added value from the QMS. This provides deeper insight into the business needs of global and local QMSs to enhance the value derived from coordination and regulation.

Total quality management in Peruvian goods companies during the COVID-19 pandemic

Purpose

The aim of this research is to empirically assess the nine dimensions of the Total Quality Management (TQM) model, which have been categorized into four blocks: the top management block, the supplier block, the process management block and the customer block. The nine dimensions represent key strategic activities of company performance. A comparative analysis of companies with ISO 9001 certification and those without certification in a developing country during the COVID-19 pandemic is carried out.

Design/methodology/approach

A survey was administered to the management of 259 Peruvian goods companies (in the mining, repair and manufacturing sectors) during the COVID-19 pandemic. The survey consisted of 35 Likert-scale items, which were grouped into the following nine TQM dimensions: Top management (leadership), quality planning, quality audit and assessment, product design, suppliers' quality management, process control and improvement, education and training, quality circles and focus on customer satisfaction. Then, Cronbach's alpha, the Kolmogorov–Smirnov test, the Mann–Whitney U test and means were computed for each of the dimensions. This analysis made it possible to estimate significant differences between ISO 9001 certified and non-certified goods companies in terms of the dimensions.

Findings

The results showed that, for ISO 9001 certified companies, the averages for all of the dimensions were significantly different from those of non-certified companies, except for the education and training dimension. ISO 9001 certified companies scored higher than non-certified companies in the TQM dimensions. For both certified and non-certified companies, the leadership dimension had the highest average and the quality circles dimension had the lowest average.

Originality/value

This study addresses two main gaps highlighted in the research on quality management: the application of Quality Management Systems (QMS) in developing countries like Peru, and the impact of ISO 9001 on the performance of goods companies during the COVID-19 pandemic.

Project management performance of construction projects in Jordan: a comparative study of ISO 9001-certified and non-certified companies

Purpose

This paper aims to investigate the differences between the certified and non-certified ISO 9001 construction companies in terms of construction projects' performance in Jordan.

Design/methodology/approach

Questionnaires were distributed to certified and non-certified construction organizations. These entities consist of contractor's consultants and owner representative organizations. In total, 86 valid responses were returned. Data were analyzed using Statistical Package for the Social Sciences (SPSS) using descriptive statistic tests, namely, multivariate analysis of variance (MANOVA) and analysis of variance (ANOVA).

Findings

The results clearly showed the positive effects of ISO 9001 certification on construction projects' performance in project management performance and project success. ISO-certified organizations have higher mean score in project management leadership, staff, policies, project life cycle and key performance indicators (KPIs) but not in partnership. Moreover, an ISO-certified organization shows higher project success.

Originality/value

Due to the dearth of research conducted in this area, this research highlights the management procedures, which impact the leading entities' performance in the construction field within Jordan.

Increasing the value of quality management systems

Purpose

Over one million organisations have a quality management system (QMS) certified to the ISO 9001 standard; however, the system requires a lot of resources and its value has been questioned. This critique also leads to a questioning of the strategic relevance of quality management. The purpose of this paper is to explore how different types of uses of QMS correlate with management perceptions of quality management in terms of respect, cost and strategic importance.

Design/methodology/approach

The paper is based on a mixed method data collection strategy, quantitative data being collected from a survey in 8 organisations (n = 108) and qualitative data being collected from 12 interviews with quality managers in 12 different organisations.

Findings

The paper shows that a compliance-oriented QMS usage will more likely lead to a view of quality management as costly and of little respect, than a business or improvement-oriented QMS usage. Moreover, it nuances the view on compliance-oriented usage, showing that it is mainly documentation that negatively influences how management views quality management, whereas standardisation that is part of the compliance-oriented use is perceived as more value-adding.

Originality/value

This paper suggests three types of QMS use, namely, business management, improvement, and compliance-oriented use, and that a wise selection of how to use the QMS will affect the respect, strategic importance and cost that management associates with quality management.

Relationship between ISO 9001:2015 and operational and business performance of manufacturing industries in a developing country (Indonesia)

Previous research has emphasized the need to further investigate the impact of ISO 9001 on company performance in the manufacturing sector of developing countries. Indonesia is one of those developing countries where the implementation of ISO 9001 is yet to be adequately researched. The Indonesian automotive manufacturing industry is still unable to compete with Malaysia and Thailand even though many companies have implemented ISO 9001. This study aimed to examine the relationship between ISO 9001 and operational (productivity, customer satisfaction, and product quality) and business (sales growth, profit rate, and market share) performance of Indonesian automotive component manufacturing industries. It also aimed to identify major obstacles in the effective implementation of ISO 9001. Multiple linear regression analyses about operational and business performance were employed for this purpose. The sample size comprised 50 automotive component manufacturing industries located in the Jakarta, Bogor, Tangerang, and Bekasi region of Indonesia. The study demonstrates that the implementation of the ISO 9001:2015 quality management system has a significant positive impact on the operational performance as well as the business performance. Additionally, the operational performance has a significant positive impact on the business performance. This study also reveals the major obstacles in the effective implementation of ISO 9001 in the manufacturing industry, which include a lack of qualified personnel, inadequate training, employee resistance, and lack of commitment among top-level management executives. It offers clear implications for managers who focus on elements that will enhance the effectiveness of ISO 9001 implementation by choosing the correct strategies, allocating sufficient resources, and improving their firm's performance. The novelty of this study lies in filling the existing research gap, which involves a detailed examination of the relationship between the implementation of ISO 9001 and the company's performance, particularly in manufacturing industries of developing countries.

Does quality stimulate customer satisfaction where perceived value mediates and the usage of social media moderates?

Customer is considered as the king in the world of business. The issue of customer satisfaction in electronics home appliances has received greater attention from academics and practitioners. In other words, customer satisfaction is a vital consideration in marketing. With the development of technology, new and innovative electronic home appliances are available in the market. Customers purchase and use the costly electronic home appliances where the satisfaction issue is an important concern. In Bangladesh, working families find the electronic home appliance very necessary. Companies offer state-of- the-art appliances for customers' household works. Therefore, the study intends to investigate the effect of product quality (PQ), quality of service (SQ) and perceived value on customer satisfaction (CS). In addition, this study also seeks this relationship shaped by customer's perceived value (CPV) as a key mechanism and interacted by social media usage. A total of 300 households were selected on a judgmental basis from Dhaka city in Bangladesh using a structured questionnaire. Collected data were CB-SEM (AMOS-v24) and SPSS. The findings showed PQ and SQ have positive effects on CS; SQ affects, but PQ does not affect CPV. CPV has a mixing mediating effect on SQ and CS relationship and PQ and CS relationship. Importantly, the positive impact of PQ, SQ and CPV is greater on customers who exhibit higher social media use. The conceptual framework was buttressed by EDT theory. The study contributed to contextual and theoretical knowledge in regards to home appliances. The practicing managers can collect an insight of customer satisfaction for their business.

Quality management as a determinant factor of productivity

Purpose

The purpose of this paper is threefold: first, to analyse the current state of the literature on the relationship between quality management (QM) and productivity as a performance indicator; second, to identify the key constructs of QM practices related to productivity; and, finally, to reveal whether QM can actually be regarded as a determinant of productivity.

Design/methodology/approach

This research was carried out through a systematic literature review, considering 150 papers that studied this relationship between 1997 and 2017 and another 37 papers on the internal determinants of productivity.

Findings

The findings revealed that human resource management, top management and process management were the more relevant constructs of QM practices related to productivity. In addition, 89 per cent of the internal determinants of productivity were related to the proposed constructs of QM practices, which suggest that QM is a determinant factor of productivity.

Originality/value

This review analysed the literature on the relationship between QM and productivity, as few studies have done before, generating original, interesting and useful findings that can guide future research and that also represent a useful tool for researchers, practitioners, managers and policy makers.

Impacts of ISO 9000 on Greek SMEs business performance

Purpose

The purpose of this paper is to explore the association between ISO 9000 certification and business performance for small-to-medium enterprises in the food and beverage (F&B) industry.

Design/methodology/approach

The research employed a qualitative approach based on case studies to investigate in depth how companies perceive ISO 9001. More specifically, four enterprises were examined, and a total of 26 semi-structured in-depth interviews were conducted with top and middle managers from the companies. Questions were validated by experts and through pilot interviews. In total, 45 documents of a broad range related to the quality management system were examined. Personal observation and non-structured consultation with personnel were also used to evaluate the possible impacts and livelihood outcomes.

Findings

Research findings showed that the certified companies in the F&B industry gain a number of both internal and external benefits, including: quality awareness, increased productivity, increased personnel participation and efficiency, improved image and penetration into new markets. Regarding the financial benefits of certification, the findings are not as convincing, as one company reported no financial benefits, and the rest reported that financial benefits are indirect and intangible. Conclusively, it can be said that SMEs that wish to pursue certification should certainly expect benefits.

Practical implications

Although many studies have concentrated on analyzing the impact of the implementation of ISO 9001 certification, there is still a clear need for research in specific sectors. Practicing managers and researchers will be able to examine findings in order to evaluate benefits and weaknesses from certification, thereby identifying and acting before and after certification.

Originality/value

Although the F&B industry has shown a great preference for the ISO 9000 standard and has adopted it extensively, scant empirical evidence has been recorded on the subject. This paper contributes to a better understanding of the benefits for implementing the ISO 9001 certification and to the analysis of its application to the ever-important F&B industry in Greece, a country whose economy is particularly supported by SMEs and has been severely hit by the economic crisis. Researchers will therefore further their knowledge, understand benefits but also acknowledge weaknesses.

The effect of inventory performance on product quality

Purpose

The purpose of this paper is to empirically investigate the relationship among inventory performance, financial performance (FP) and product quality.

Design/methodology/approach

The empirical analysis is based on two-stage least squares analysis of detailed firm-transaction data from Chinese manufacturing export firms for the period between 2001 and 2013.

Findings

Results show that inventory performance has a positive impact on product quality while using inventory efficiency, inventory productivity and inventory leanness to measure inventory performance. Furthermore, the effect of inventory performance on product quality is found to be partially mediated by FP.

Practical implications

The research provides mangers evidence of the benefits of inventory performance as an antecedent of product quality. Managers without sufficient liquidity or cost advantage to get better FP can achieve product quality improvement through enhancing inventory management performance.

Originality/value

This study first empirically investigates the relationship between inventory performance and product quality, and examines the mediating effect of FP on this relationship.

Exploring the success factors for examining the potential of manufacturing system output

Purpose

The purpose of this paper is to explore the success factors for the assessment of manufacturing system output.

Design/methodology/approach

Exploratory factor analysis and second-order confirmatory factor analysis were used to analyze data and test hypotheses, respectively. A total of 36 observed variables were transformed into nine success factors, namely role of management (ROM), technical strength, employee strength, organizational strength (OS), resources (RS), production system, market research, effective planning, and research and development (RD).

Findings

The finding indicates that only four success factors, namely ROM, RS, OS, and RD, are positively related to all four outputs. Moreover, all nine success factors are positively associated with profit.

Research limitations/implications

The outcomes of the present work provide meaningful implications for researchers and practitioners as well.

Originality/value

Earlier studies have laid focus on single output only in the manufacturing system. In the present study, an effort has been made to focus on four output dimensions, namely final product, customer relationship, reputation, and profit, which are further strengthened by incorporating the concept of performance in manufacturing systems.

Quantifying the relationship between latent variables after successful implementation of QM practices in MSMEs

Purpose

The purpose of this paper is to explore the relationship between latent variables, i.e. human resource management (HRM) effectiveness, quality cost (QC), and firm performance (FP) for the successful implementation of quality management (QM) practices in micro, small and medium enterprises.

Design/methodology/approach

The data analysis is accomplished in three steps: in the first step, factor analysis was conducted to extract the latent variables representing key QM practices. In the second step, a descriptive analysis (cross-tabulation) was performed to examine the current situation and association between key QM variables and firm size. In the third step, to test the research hypotheses based on latent constructs, structural equation modelling (SEM) has been used.

Findings

The percent point score shows that there are substantial improvements in all organisational aspects after successful implementation of QM practices. The χ2-test revealed that only three domains namely employee participation, recruitment and retaining and supplier relationship are having a significant variation with respect to the firm size. The SEM results show that HRM effectiveness has a direct and positive relationship with FP, whereas QC has a negative association with HRM effectiveness and FP.

Originality/value

Managers will know which aspect they must consider seeing as an indicator of QM practice in their company(s). Out of the three identified latent constructs first will help to create an efficient human capital, whereas the second will help for addressing extra cost due to poor quality. Finally, the third latent variable will show the effectiveness of these two and will assist in evaluating firm’s performance.