The impact of TQM practices and KM processes on organisational performance

Abstract

Purpose The purpose of this paper is to investigate the impact of total quality management (TQM) practices in terms of leadership, strategic planning, customer focus, teamwork, process management, information, and analysis on organizational performance in Jordanian telecommunications companies. In addition, the mediating effect of knowledge management (KM) processes is tested. Design/methodology/approach A survey instrument was used to gather empirical data, and it was distributed to all managerial and non-managerial employees. A total of 477 questionnaires were valid for analysis, resulting in a response rate of (97 percent). Factor analysis and multiple regression analyses were used to test the study’s hypotheses. Findings Customer focus and process management were found to have an insignificant impact on organizational performance, while teamwork had the strongest impact on KM processes. The results also revealed that only knowledge sharing and application processes had a significant impact on organizational performance. More importantly, KM processes fully mediated the impact of TQM practices on organizational performance, except for teamwork, which had a partial mediating effect. Research limitations/implications This study was limited to a survey of the headquarters of three telecommunication companies: Zain, Orange, and Umniah, in Amman City. Originality/value Originality of the paper lies in testing the influence of TQM practices on organizational performance in a novel context, where most TQM initiatives fail for one reason or another.