This paper presents results of an empirical analysis on quality management and its impact on competitive performance. These results have been derived from the third round survey conducted during 2003 and 2004 under the framework of High Performance Manufacturing Project. After presenting a simple analytical framework, the authors establish three hypotheses to be tested; 1) there is no difference in quality management practices across the countries, 2) quality management has significant impact on competitive performance, and 3) there is no difference in the impact of quality management practices on competitive performance across the countries. Then, we suggest eight measurement scales characterizing quality management practices in high performance manufacturing companies, and results of measurement testing show that all of the scales are reliable and valid for one hundred and sixty-three manufacturing companies in five countries: Japan, US, German, Italia, and Korea. Using these scales, we empirically examine similarities and differences in quality management and its relationship with other competitive performance to evaluate the role of quality management. Analysis of variance (ANOVA) and regression analysis were conducted to test hypothesizes.
[...] Effect of Quality Management Practices on Competitive Performance The relationship between the quality management practices and quality performance indexes was tested by stepwise regression. Independent variables are eight quality management practices and dependent variables are four competitive performance indexes Manufacturing cost as independent variable Firstly, the authors examine relationship between quality practices and quality performance with the whole sample data from fiver countries. Regression results shown in Table 6 reveal that Process Control (PCTL) and Small Group Problem Solving (SGPS) were found as primary determinant for improving manufacturing cost. [...]
[...] This paper presents results of an empirical study on effect of quality management practices upon competitive performance in manufacturing companies. The main objective of this study is to identify the similarity and difference of quality management practices and their impact on different aspect of competitive performance. The objective is accomplished by surveying a sample of one hundred and sixty-three manufacturing companies in five countries to examine the nature of their quality management practices and competitive performance. The paper is organized as follows. [...]
[...] Ghiseli, and L.W.Porter; Managerial thinking: An international study, New York, John Wiley& Sons Hofstede, G.; Culture consequences: International difference in work-related values, London, Sage Kaynak, H.; Relationship between total quality management practices and their effects on firms performance, Journal of Operations Management, Volume 21, No pp405- Matsui, Y.; An Empirical Analysis of Quality Management in Japanese Manufacturing Companies, Decision-Making at the Speed of Light: What is Amiss?, Proceedings of the Seventh Asia-Pacific Decision Sciences Institute Conference, National Institute of Development Administration, Bangkok, Thailand Morita, M.,Sakikabara, S., Matsui,Y., and O. [...]
[...] Total quality management gives positive impact on financial and market performance through operating performance Author Operationalization of TQM Samson and Terziovski Multidimensional construct Leadership Perceived performance (subjective) and self-reported objective data Financial & market performance Quality performance Inventory performance Questionnaire Structural equation modeling Operational definition of performance Operating performance Product quality, customer satisfaction, employee morale, productivity, delivery performance Data collection method and analysis Questionnaire Multiple regression analysis Kaynat Multidimensional construct Management leadership Training, Employee Relation Quality Data& report, Supplier quality management, Process Management, Product Design Competitive performance: unit cost of manufacturing, Quality of product conformance, Delivery performance, Fast delivery, Flexibility to change product mix, Flexibility to change volume, Inventory turnover, Cycle time, Speed of new product introduction, Customer support and service, Product capability and performance Questionnaire 46 Japanese manufacturing plan Canonical analysis Matsui Multidimensional construct: Cleanliness and organization, Continuous improvement, Customer involvement, Customer satisfaction, Feedback , Maintenance, Process control , Quality in new products , Rewards for quality, Supplier quality involvement, Supplier quality involvement, Top management leadership for quality, TQM link with customers Quality management is strongly influenced by certain organizational characteristics, human resource management, information systems, and manufacturing strategy, and that it plays an important role in determining the competitive performance of manufacturing companies, partly through the impacts upon just-in-time production, information systems, and technology development. [...]
[...] Discussion In the previous sections, we presented a result of empirical study about effect of quality management on quality performance in manufacturing plants. We proposed a simple analytical framework for study quality management and competitive performance and thereby established three hypotheses on quality management. Then, based on literature, we proposed eight measurement scales concerning quality management and all of eight measurement scales -Cleanliness and Organization (CO3S), Customer Involvement (CINV), Process Control (PCTL), Top Management Leadership for Quality (TMLQ), Feedback (FDBK), Supplier Quality Involvement (SQIV), Task-related Training for Employees (TTEM), and Small Group Problem Solving (SGPS)- are satisfactory in terms of reliability and validity for the data set of one hundred and sixty-three manufacturing plants in five countries. [...]
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