Implementation of TQM Programs in Small Business Organizations

Article

Anwar, Sohail   (1997, ASQ)   Penn State Altoona, Altoona, PA

Annual Quality Congress, Orlando, FL    Vol. 51    No. 0
QICID: 10652    May 1997    pp. 1013-1025
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Article Abstract

The perceived importance of key TQM (total quality management) implementation components and the perceived effectiveness of TQM were examined in a survey of small business organizations in Maryland, North Carolina, Ohio, and Pennsylvania. Small businesses were defined as for-profit, non-dominant companies with 500 or fewer employees. A 26-item questionnaire sent to 135 organizations produced 60 usable responses, 44 from manufacturing organizations and 16 from service organizations. Results indicate that management commitment was perceived as the most important of four key TQM components. The others, from highest to lowest importance were: customer orientation, continuous improvement, and employee involvement. Among six operational measures of TQM effectiveness, customer satisfaction was perceived as improving the most. Market share ranked lowest in perceived effectiveness of TQM. Correlation and regression analyses showed that perceived effectiveness was positively correlated with each key TQM component; that the four components were positively correlated with each other; and that perceived effectiveness correlated most highly with employee involvement. Given the high intercorrelation between employee involvement and continuous improvement, both these components are crucial requirements for successful TQM.

Keywords

Commitment,Continuous improvement (CI),Customer focus,Total Quality Management (TQM),Employee involvement (EI),Management,Effectiveness


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