Impact of total quality management factors on knowledge creation in the organizations of Bangladesh

Abstract

PurposeTotal quality management (TQM) and knowledge management (KM) are two similar and complementary management philosophies synergistic combinations that can form a cycle of improvement and development. This paper aims to investigate the impact of TQM factors on knowledge creation in the organizations of Bangladesh.Design/methodology/approachA list of TQM factors was identified through reviewing the relevant literature. Knowledge creation was analyzed through the framework proposed by Nonaka and Takeuchi (1995). Data were collected through a self-administered questionnaire survey among 450 top and mid-level managers of the organizations. A quantitative research approach, namely, structural equation modeling (SEM) was used in the study. The data were analyzed in SmartPLS 3.FindingsFrom the study, it is found that a positive and significant relationship exists between leadership, employee empowerment, benchmarking, customer focus and information technology with the knowledge creation process and four knowledge conversion modes. In contrast, a negative and significant relationship has been found between employee training and continuous improvement with the knowledge creation process and three knowledge conversion modes.Research limitations/implicationsPrevious researches in Bangladesh empirically validated the effect of TQM on organizational performance, competitive advantage, financial performance, market performance and productivity. But, no such study was undertaken to empirically validate the effect of TQM on knowledge creation process for organizations of Bangladesh. Here, the study has a unique contribution. The empirical support for the hypotheses to explain and predict the contribution of the TQM in promoting knowledge creation.Practical implicationsThe findings highlight the role of leadership practices. Organizational leadership needs to focus more on following issues: gathering required knowledge from the superior sources; transforming prevailing knowledge into a meaningful format to perform activities in better and innovative ways; employing opinions from experiences; facilitating mechanism for employees to update their knowledge; creating a virtual network; implementing customer relationship management system and providing tools and technologies to employees for performing KM activities more efficiently. On the other hand, negative effect of employee training and continuous improvement on knowledge creation sheds light on understanding the reasons for this kind of relationship and formulating effective strategies to resolve problems inside the organizations. In this regard, employees need to be well equipped through regular and appropriate training. Also, employees need to use problem-solving approach to identify problems inside the organizational system thereby availing opportunities for continuous improvement.Originality/valueThis study was conducted to identify factors that enable knowledge creation in organizations from developing countries like Bangladesh. TQM has been adopted in many organizations. But, its effect was mostly measured to determine its impact on improving organizational performance or competitiveness or identifying its critical success factors of implementation. Hence, this study sheds light on identifying the effect of TQM from a new perspective.