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CHAPTER II
REVIEW OF LITERATURE
The review of literature in the present study serves two purposes. It is
important to have an overview of existing research in order to establish a good
base in understanding the TQM concept. On the other hand, one of the objectives
of this study is to analyse the various aspects of the employee’s involvement in
TQM programme. The review of literatures in the present study has been divided
into five distinct research domains. These studies, including contributions to
multiple categories, are listed according to the main objectives of the study.
(1) Historical analysis of the development and diffusion of the TQM concept
(2) Empirical studies on implementation of TQM
(3) Studies concerning employee attitude towards TQM
(4) Studies concerning the various aspects of employee involvement in TQM
(5) Studies concerning change in organisation culture and TQM
The researcher focuses on the main studies involved in each category and
the overall contribution of these studies to the practical development of the TQM
concept. The extent of TQM related research makes a comprehensive review
impractical. The main emphasis is placed on studies published in highly regarded
TQM research journals, but few insightful articles in sociological oriented
literature are noted.
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2.1 Historical analyses of the development and diffusion of the TQM concept
This stream of review focuses on the early development of the concept of
TQM and it provides the core foundation for contemporary TQM. The purpose of
focusing on historical analysis is to understand the emergence of the concept and
how TQM has been shaped since the late 1980’s by various forces in India.
Juran’s (1996)1 analysis on the history of TQM starts from the pre-
industrial age, covers the development of TQM concept and gives a prognosis
about the future of TQM. The most relevant articles for the research consider the
evolution of TQM from Quality Control. The origin of TQM is generally
considered to be Japanese industry practices, which were heavily influenced by
Deming and Juran.
Dale et al. (1998)2 provides a good overview, which also includes the
development path from quality control to TQM and clarify the different
definitions employed by academics and practitioners. Feigenbaum and Ishikawa
are perhaps the greatest contributors to the development of the term. The other
recognised quality management gurus such as Crosby, Deming and Juran have
shaped the dimensions, practices and mechanism which underpin the concept,
but it is noted that none of these three actually uses the TQM term. TQM started
to be used in the mid- 1980s and only became a recognized part of the quality
related language in the late 1980s. The name TQM was first suggested by Nany
Warren, a behavioural scientist in the United States Navy.
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Jagadeesh (1999)3 presented an overview of TQM’s progress in India
starting from its initiation to its current status and also describes how the
organizational attempts by various agencies enabled the establishment of TQM
culture. For that purpose, he analyzed the surveys conducted by the researchers
and business publications in India. He mentioned that initiatives first set by the
Confederation of Indian Industries (CII) in the early 1980s, was the pioneering
efforts in promoting awareness about quality among Indian industries. Further
analyses show that the Indian industries and business people are showing a keen
interest in improving the quality of products through TQM. It was actively
propagating through a variety of training and educational programmes. Further
he suggested the requirements for quality to succeed in Indian organizations.
Such as focus to customer and quality, enforcements of standards, avoidance of
multiple grading of quality and improvement in the services.
An exclusive coverage on the development of TQM concept in the sea
food trade published in the Financial daily (2001)4. For the sustainable growth of
seafood trade from India, the introduction of the TQM concept has been
sanctioned by the Indian Council of Agricultural Research to the Cochin
University of Science and Technology (CUSAT). The TQM concept
implemented in the seafood processing plants, involves evaluating the processing
and packaging operations of seafood and to evaluate the quality cost involved in
their production and marketing. It was aimed at developing quality management
models and systems appropriate for sustaining the international trade and at the
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same time for domestic markets. The models and systems developed to improve
the conditions of processing and marketing of fish and fish products would be
communicated to all concerned and training programmes would be organized
jointly by ICAR and CUSAT in all major processing centres.
An article by Jamshed Siddiqui and Zillur Rahman (2007)5 gives a
detailed description of the introduction of TQM for the Information Systems (IS)
in India. They evaluated the extent of their relationship in terms of awareness and
utility. The study indicates the TQM awareness amongst IS professionals and
TQM benefits for IS functions such as improved customer satisfaction, enhanced
quality of products and services delivered to the customer, and increased
flexibility in meeting the customer demands. However, regarding the perception
of implementation of TQM concepts for IS functions, listening to the customer
topped the list, followed by employee empowerment, continual development and
then top management leadership. Other tools/concepts likely to be implemented
are identifying the customer, group decision making, process analysis,
benchmarking, statistical process control and concurrent engineering.
Historical analyses provide us with a deeper understanding of the original
scope and context in the applications of quality concepts and development of
TQM concept in India. Usha Manjunath et al. (2007)6 studied the diffusion of
TQM concept in south Indian hospital industry by using the Malcolm Baldridge
National Quality Award (MBNQA) criteria. The study identifies critical factors
for better framework to implement quality practices and measure performance in
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hospitals. The study has important implications beyond the hospital industry
because the same processes have influenced the development of the discipline
since its foundation in repetitive manufacturing environment. The gestation of
most TQM approaches, values and principles was in a repetitive manufacturing
environment, where it was applied in a more focused manner to control technical
oriented production processes.
Rajan (2008)7 studied diffusion of TQM concept in the Cheruvannur-
Nallalam Grama Panchayat in Kozhikode district as a tool for attaining good
governance. The Grama Panchayat proved how TQM could be adapted to a local
government situation and implemented for effective public administration.
Perhaps, this is the first Panchayat in Kerala or in India to apply TQM for
improving the service delivery system. With the introduction of TQM, order is
maintained in the Panchayat office. The budgets are made realistic, accounts are
updated, record management is in place, diary system for staff is in practice,
movement of files is recorded and office appearance is improved. These steps
have resulted in improving the morale of the staff, elected representatives and the
clients. The evils of bureaucracy and red-tapism are brought down. The
Panchayat is now able to ensure quality and timeliness in delivery of services.
Objectivity is also assured in the delivery of services. Hearing about these
changes, the Panchayats from nearby areas have started enquiring about TQM.
The more important is the attitude change and willingness of the members and
other functionaries towards TQM.
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The diffusion of TQM concept in different sectors in India shows that ,
TQM is applied not only for manufacturing industries, but it is applied to any
type of industries in regard of its size and type of activities. The ultimate goal of
the TQM concept is to create quality consciousness to each and everyone in the
organisation.
2.2 Empirical studies on implementation of TQM
This stream of review focuses on the implementation of TQM concept in
the organisation. The implementation strategies followed by the various
organizations are analysed. Robin Mann and Dennis Kehoe (1995)8 studied the
characteristics of an organization which affect the implementation of TQM. He
used the terms ‘quality activity’ (to describe a distinguishable tool or method
used for quality improvement) and ‘Quality Critical Organizational
Characteristic’ (QCOC) (to describe a characteristic that influences the
effectiveness of a quality activity. For example, the level of education of
employees, the organization’s management style, etc). Structured interviews
were undertaken at 21 leading TQM organizations. Interviews involved the
‘steerers’ and ‘planners’ of TQM and investigated the factors affecting the
success of TQM and other quality activities.
A detailed analysis of the study shows that approximately half of the
companies had entered the operational stage of TQM and of these most had only
recently completed the implementation. The results reveal that the management
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style and shared values of the organization were the most commonly reported
primary factors of QCOC. Further, the most commonly reported secondary
factors of QCOC were the management board’s attitude to change, and trade
union support. Finally they mentioned that the following QCOC factors were
identified in the study organization: Process factors, Type of employees, Shared
values, Management style, Organizational structure, Number of employees,
Industrial relations and Quality development. The authors recommended that
companies which experiencing a high implementation difficulty recommended
that the management board play a more prominent role in the implementation.
This may take the form of the management board being involved not only in the
steering of TQM but also in its management on a daily basis. This may require its
involvement in lower-level teams, education and training and recognition
activities.
Gunasekaran (1999)9 in his research paper discussed the major enablers
and proposed a framework in the successful implementation of TQM in a
manufacturing company. By applying case study method, structured
questionnaires were used to collect data from the employees and staffs on TQM
implementation. The results of the study show that communication between
managers/supervisors and staffs being seen as the major enabler in the
implementation of TQM. However, this is not as good as they should achieve at
the case study organization. The major observations are that the lack of internal
communication, training and attitudes towards their work need to be improved by
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changing the culture of the company. Managers need to possess skills to
communicate and motivate all the employees in the team. Finally, the author
proposed the framework for the implementation of TQM in a manufacturing
company with some basic points concerned with the cultural and behavioural
issues of the TQM implementation process.
Yusof and Elaine (2001)10 studied the implementation of TQM in small and
medium-sized automotive enterprises in UK. Further, the study developed the
framework for the TQM implementation. The study analyzed how the company
had implemented TQM and why had the company chosen the particular
approach. In addition to these, the study also investigated the feasibility of the
proposed implementation framework in terms of its strengths, weaknesses,
simplicity, practicality, etc. This was the study conducted in ten automotive
companies implemented TQM by applying the case study approach. At the end
of the case study, the companies were classified as either ``TQM’’ or ``lesser
TQM’’ companies. A TQM company was defined as one that had achieved an
advanced level of TQM adoption whereby many of the different quality
initiatives are implemented and the number of years for implementing these
initiatives is longer. ``Lesser TQM’’ companies were those that had much fewer
initiatives implemented, and were still at an early stage in their quality journey.
The basis on which they were judged was on the case study results, observations
at the premises, and on their actual progress after implementing these activities,
especially with regard to the outcome of the quality initiatives, such as reduction
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in rejects (e.g. parts per million). The case study results show that there are some
similarities in the approaches adopted by the companies and it classified three
main areas, namely:
(1) People focus as the vehicle for cultural transformation;
(2) QS 9000 as the major system for achieving quality improvement; and
(3) Continuous and progressive implementation of initiatives based upon
resource availability.
To show the differences that exist between them, ‘TQM companies’ are
those that have implemented a broad range of quality initiatives tools with longer
years in implementation, while ``lesser TQM companies’’ are the ones which
have shorter experience and have adopted fewer initiatives. Finally, the authors
recommend that the guidance and baseline to gauge the level achieved by the
case study companies should take as reference and then formulate strategies to
move forward towards TQM.
Hansson and Bengt (2003)11 studied small organisations in Sweden, which
successfully implemented TQM. A multiple case study of nine organisations in
Sweden are selected to study the TQM implementation processes. Three different
data collection methods have been chosen: interviews, documentation collection
and to a certain extent direct observations. The interview questions were related
to the organizational implementation process and the actual quality development
work started to the point of receiving the award. The comparison between the
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cases shows that there are significant similarity in the core values such as
committed leadership, everybody’s commitment and customer orientation while
implementation process. The study further indicated that some of the core values
were problematic to implement in the organization, from that one similarity
between the cases is process focus. The authors analyzed the cases and various
literatures and developed model structure in three phases for implementing the
TQM in the small organizations. Finally they concluded that core value-based
model consisting of the three phases is an overarching recommendation for how
to implement TQM in small organizations.
To know the state of quality management efforts in the Indian service
sector, and its impact at a firm level studied by Banerji et al. (2005)12. They used
the questionnaire contained 69 items that addressed Quality Management (QM)
practices used by organizations, QM outcomes and organizational information.
The target sample for this study was a convenient sample drawn from executives
attending management training at a leading Management Institute in India.
Regression analyses were used to assess whether interventions associated with
quality affected firm performance as measured by improvements in quality of
products and services relative to the industry, profitability compared to the
previous year, and productivity relative to competitors. Quality interventions
were categorized as participation, training, compensation, quality meetings,
measurement, benchmarking and quality strategy. The findings of the study
found that certain quality management practices had a significant impact on firm-
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level performance in terms of quality, profitability and productivity. For instance,
compensation and performance appraisal linked to quality were found to be
motivating to middle managers; leadership from senior management was seen
through their interest in linking profitability to quality; the importance of training
and quality related meetings is visible; and continuous improvement and
benchmarking techniques, are being used as ways of learning to improve quality
of services
Yang (2006)13 investigated the relationships between HRM practices and
TQM practices, the relationships between HRM practices and quality
performance and the effect of HRM practices on the implementation of TQM.
The questionnaires were sent to 300 high tech companies located in the Science-
Based Industrial Park in the so-called ‘Silicone Valley’ of Taiwan. There were 62
valid questionnaires in the 64 responses, representing a response rate of 20.66 per
cent, which is moderate given a relatively lengthy questionnaire. The results of
the study on the effect of various HRM practices on individual TQM practices
show that the implementation of HRM has a positive and significant effect on the
performance of TQM except the practice of ‘employee relations’, which has a
tiny influence on all TQM practices.
The effect of HRM practices on the implementation of TQM show that the
greatest influence on the implementation of TQM was the practice of ‘training
and education’, followed by such practices as incentive compensation, employee
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development, and recruiting and selection. In the implementation of many TQM
programs – such as the adoption of new quality concepts, the set-up and practice
of customer satisfaction systems, the use of Statistical Quality Control (SQC), a
change in culture, and Quality Control Circle (QCC) – employee training and
education was fundamental. TQM emphasizes employee involvement and
teamwork, and this was encouraged by a good incentive system. The effect of
implementation of HRM on quality performance depicted that performing HRM
practices can have significant effects on employee satisfaction and customer
satisfaction. HRM also positively affects employees’ quality awareness and
company image – which were also key factors in performing TQM and attracting
customers. The author concluded the study as the practices of ‘training and
education’, ‘incentive compensation’, and ‘employee development’ produced the
greatest influences on TQM. The HRM implementation significantly affected the
TQM practices of ‘culture change and development’, ‘customer satisfaction
management’, and ‘statistical quality control’ to a greater extent than the other
TQM practices. The study also analyzed the effects of HRM and TQM on quality
performance. Both HRM and TQM significantly affected these quality
performances, especially with regard to ‘customer satisfaction’ and ‘employee
satisfaction’. Finally he comments that HRM and TQM combined to give total
quality and organization performance.
Kakkar and Narag (2007)14 studied the implementation of TQM concept
and its impact on the Indian organizations’ overall performance. This study also
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aims to prescribe a TQM model for Indian organizations in order to maximize the
impact of TQM with predefined concentrated efforts. A questionnaire survey was
conducted by using convenient sampling method. The questionnaire consists of
11 Contributing Variables and nine Contribution Variables. The results of the
study reveal that more than 20 percent of the variance comes from factors related
to quality improvement through cost and waste reduction, resources conservation,
etc. This is expected, as the quality of the product and the process leading to it
are the topmost characteristics of TQM. Safety also comes under this category.
The second and third components contribute almost equally, and these are
related to the customers and employees of the organization, including the top
management. The fourth component involves both the suppliers and has a strong
emphasis on team building and human resource development. The focus on
widespread employee involvement in improvement through teams, the emphasis
on employee development through training and the deployment of systematic
fact-based decision making, driven by objective data and information, is also
clear from these components. Finally the authors proposed that TQM in Indian
organizations can be summed up in four components i.e. Process and Efficiency,
Customer Focused Performance, People Management and Team Building and
Business Partner Development. These four components are the four basic pillars
of the Indian TQM movement. These pillars are to be strongly built in the
organizations’ operations structure to maximize the impact of TQM on the
performance of the organizations.
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Karuppusami and Gandhinathan (2007)15 assessed the status of quality
management in Indian industries. The survey based on Visual Basic (VB)
software has been developed for collecting responses through e-mail and internet
to meet the respondent’s convenience of answering and also for a faster response
rate. Three hundred e-mails with the survey questionnaire file attached were sent
to selected ISO 9001 certified companies in India. A total of 104 responses were
received and were analyzed using the SPSS statistical package. The analysis
indicates that top management in Indian manufacturers expressed a high
commitment to quality management. Managers had strong quality awareness and
were willing to take responsibility for quality improvement. Further the study
found that Indian manufacturers provide enough on-the-job training in quality
management for employees. Most Indian manufacturers have implemented
effective quality management programmes and have set clear specifications for
their products and services.
The above review on implementation of TQM covers the various points to
be considered while implementation of TQM concept. Further, it covered the
successful factors for implementation of TQM concept. Some of the studies
conducted in India pictured the quality management practices adopted in the
organizations.
2.3 Studies concerning employee attitude towards TQM
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This stream of review focused on the attitude of the employees towards
the implementation of the TQM concept. Zeitz (1996)16 studied employee
attitudes toward TQM implementation in a government service agency. Data
were collected by using questionnaire method, interviews and personal
observation. The analysis reveals that middle managers are found to have
relatively positive views of TQM because of the higher level of TQM training
that managers received. Clericals with positive attitudes choose training and
course instruction further enhances their attitudes. Employees have favourable
comments about the other features of TQM, including increased employee
empowerment, properly run teams and closeness to consumer. A large number
think TQM is an excellent idea implemented in the organisation. Finally, the
author expressed that the types of activities that TQM brought them, such as
group discussion and report preparation, were more consistent with their existing
work responsibilities and style and thus less diverting from their real work.
Guimaraes (1996)17 in his study assessed the impact of TQM on employee
task characteristics, career satisfaction, job satisfaction, job involvement,
commitment to the organization and intention to leave. The author in this study
hypothesized that turnover intentions would be lower after TQM. The study was
conducted in chemical manufacturing plant located in the south eastern portion of
the USA. The data was collected before and after TQM implementation by using
survey questionnaires. As an exploratory nature of the study, to test the proposed
hypotheses, two tailed t-tests were used to identify any differences in turnover
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intentions and its determinants before and after the TQM changes, for the 73
employees in both groups. The results reveal that the career satisfaction, job
satisfaction, job involvement and organization commitment are determinants of
employee turnover intentions in the study organization. Analysis shows that job
involvement, job satisfaction, and organizational commitment are higher after
TQM. The study concluded that employee turnover intentions are lower after
TQM. On an average, the TQM has significantly increased the level of job
satisfaction, job involvement, organizational commitment and intention to stay
with the organization among employees. Finally, the results show that TQM does
have a significant impact on personnel attitudes towards their jobs and their
organizations.
A study by Langan-Fox et al. (2002)18 investigates attitudes and perceptions
of various aspects of employee participation in TQM programmes. The study
conducted in a government business enterprise in the communications industry
of Australian State, which had a total of 10,000 employees. The sample consisted
of 388 employees including shop floor workers, supervisors and executives.
Questionnaire method and series of personal interviews were adopted to collect
data. The findings of the study shows that managers had a more positive attitude
than other workers toward employee participation and the shop floor workers
reported less personal support for employee participation and perceived less
organizational support for participation. Further the results reveal that those who
have prior experience in an employee participation team tend to perceive that
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they have more status and influence and to have more commitment to
participation. Such an effect was not found for those with teamwork training,
suggesting that confidence and commitment may come only after the employee
has been fully immersed in the participation process. Finally the authors suggest
that organizations need to ensure that there is carryover (transfer) from training
to workplace. Further, training design needs carefully to focus on the link
between training and on-the-job tasks, and what can be planned during training
which will ensure skill and motivation transfer.
Glover and Mike (2005)19 studied shop-floor employees’ responses to TQM
initiatives. By applying case study method the data were collected by using semi
structured interviews, questionnaires and documents. The analysis reveals that
shop-floor workers were broadly receptive to the promise of TQM and principles
associated with it. Involvement in problem solving was perceived not only as
having the potential to create more interest from work, but also as a way of
ironing-out irritating glitches in production and fostering closer working
relationships. Finally the authors stressed the importance of effective
communication both about day-to-day activities and in receiving information
about the state of the business. The majority of workers interviewed expressed
interest in opportunities for training and development and stated a preference for
a management style that encouraged mutual respect and celebrated achievement.
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Boon et al. (2005)20 seeks to investigate the effects of soft total quality
management (TQM) on employees’ attitudes, namely job involvement, career
satisfaction, and organizational commitment. Also, this research attempts to
identify and investigate areas of prominent improvement in employees’ attitudes.
Data were collected from employees within various departments of a large TQM
prize-winning (i.e. Quality Management Excellence Award) semiconductor
subcontracting organization located in the state of Perak, Malaysia. Out of the
300, 230 questionnaires were returned. The SPSS program was used for the
questionnaire data analysis. The analysis reveals that a positive perception of
individual employees on the soft TQM concepts leads to a higher level of
employees’ work-related attitudes Thus, soft TQM has a significant impact on
employees’ attitudes, namely job involvement, career satisfaction, and
organizational commitment. Broadly, the results provide empirical support for
the essential role of soft TQM in positive attitudes and perceptions in the
workplace. The result of multiple regression analysis confirmed that all of the
employees’ attitudes variables were significantly related to the perception of soft
TQM. The impact on perceptions of soft TQM was largest for career satisfaction,
on the overall, employees reported higher job involvement, career satisfaction
and commitment to the organization, within their organization.
Karia et al. (2006)21 examined the impact of TQM practices on employees’
work-related attitudes in the Malaysian setting. More specifically, it examines
employees’ job involvement, job satisfaction, career satisfaction, and
organizational commitment as a result of TQM practices. Five public-sector
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companies and five private-sector companies were randomly selected and
questionnaire survey was used for data collection. The questionnaires were
distributed to employees of various levels and functions within their
organizations. The results of the study shows that, on the basis of the correlation
analysis, ‘training and education’, ‘empowerment and teamwork’, and
‘continuous improvement and prevention’ have a significant positive correlation
with ‘job involvement’, ‘job satisfaction’, ‘career satisfaction’, and
‘organizational commitment’. These aspects of ‘job-related’ attitudes are thus
enhanced as TQM practices increase. It is recommended that human resources
departments should review and enhance the motivation, training, and retention of
good employees, and that unions and employees should support the concept of
TQM. They concluded that TQM practices encourage employees’ participation,
promote empowerment, recognize that employees play an important role in
achieving the organizations’ objectives, and treat employees as primary resources.
Finally he summarized that TQM practices enhance job involvement, improve
the level of job and career satisfaction, and encourage greater organizational
commitment.
Macky and Peter (2007)22 in their research paper, investigated the
relationships between commonly cited High Performance Works (HPWS)
practices and a cluster of important employee attitudes: job satisfaction,
organizational commitment and trust in management. This paper also aims to
examine associations between an index of HPWS practices and the employee
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attitudes, as a test for additive relationships. The research design for this study
involved a cross-sectional, self-completion postal questionnaire administered to a
national sample of employees by using random sampling method. The results
indicate that a significant but weak correlation was found between organizational
size and employee trust in management and behavioural commitment.
Employees in larger firms are slightly more likely to report lower levels of trust
in their managers and stronger intentions to remain. Employees in larger firms
are also more likely to report experiencing more high-performance work
practices, while older workers report fewer. Further, it is clear that job
satisfaction, trust in management and organizational commitment are not
independent of an employee’s exposure to high-performance work practices,
even after controlling for the variance common to these attitudinal variables. The
direction of the parameter estimates for age in relation to trust in management
and organizational commitment indicate that older employees are more likely to
trust their managers. They suggested that adding more HPWS practices should
lead, via job satisfaction and thence, both directly and indirectly through
increased trust in management and affective commitment, to employees having
stronger intentions to remain with their employer.
The study conducted by Alexandros and Wilkinson (2007)23 investigated
the hidden agenda of managers’ attitudes towards the adoption of TQM. The
qualitative research methodology was followed based on semi structured
interviews with managers working in Greek public and private organizations.
The research findings of the study shows that Greek managers are aware but do
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not fully understand ‘soft’ TQM principles and, consequently, do not apply them
in their day-to-day work. The ‘hard’ side of TQM is seen as the key to
organizational performance and processes. Regarding the awareness of TQM
managers from both sectors had negative responses in the ‘soft’ side of TQM. In
managers’ minds ‘soft’ TQM principles are of little importance, and ‘hard’ TQM
is seen as being critical for both sectors of employment although familiarity and
use of TQM techniques and tools is lower in the public sector. In conclusion,
there is a strong belief shared among managers working in both sectors of
employment that TQM may have some potential to succeed, but this only relates
to the ‘hard’, technocratic side. In contrast, ‘soft’ principles and ideas are not
seen as overcoming a well-established autocratic and power-oriented business
culture.
The reviews in this stream covered employee’s responses to TQM
initiatives, factors influencing attitude of the employees in TQM programmes
and the impact of TQM on employee. The studies show that initial attitude of the
employee is to be considered very important in the implementation of the TQM
concept. Further it reveals that job satisfaction, team work, and organizational
commitment influence the attitude of the employee in TQM initiatives.
2.4 Studies concerning the various aspects of employee involvement in TQM
This stream of review focuses studies on various aspects of employee
involvement in TQM initiatives. The proponents of TQM believe that if
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organizations will change their management systems to be more participative by
involving employees in problem solving, decision making, and strategy
formulation it will improve their performance. It has been found that
organizations with a commitment to employee involvement also have a
commitment to total quality. However, when both of these two elements are not
there, any TQM programme is bound to fail.
Magjuka (1993)24 in his study identified the employee involvement
programme design and administration issues that contribute to continuous
improvement. The researcher collected data through mailed questionnaire to
employee involvement programme administrators in the manufacturing firms. By
analyzing the responses the author identified ten themes that influence the
effectiveness of the employee involvement programme teams in TQM
environments. The ten dimensions of employee involvement processes are
addressing employee involvement team, team staffing policies, team membership
status, resources allocating for teams, training, access to information, rewards,
link between the employee involvement efforts and performance management
systems, goal setting practices and team leadership. The survey results provide a
framework for examining employee involvement design and administration.
These programmes are linked tightly to continuous improvement strategies,
employee involvement becomes a necessary part of the corporate culture. Further
the author comments that these 10 themes provide the human resources
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practitioners with a road map for developing training programmes for managers
and workers on employee involvement and TQM practices.
O’Brien (1995)25 investigated the contribution of employee involvement
and commitment to quality performance in British Industry. The main objective
of the study is to analyze the key structural factors which have a direct bearing on
employee commitment, such as job mastery, the reward system, levels of job
responsibility and the condition of local labour markets, to identify and measure
employee commitment and to compare the behavioural analysis with measurable
evidence of quality achievement. The study was based on detailed observation
and data collection by using questionnaire to examine quality awareness and
impact as well as employee commitment to quality in the organization and the
work team. The findings of the study showed that employees are willing, even
enthusiastic, to contribute to process improvement initially as a matter of pride,
and perceiving themselves to be ‘quality employees’. Further it demonstrated a
high level of job involvement (85 per cent feel satisfaction with a job well done)
– based on their own individual performance, rather than the performance of their
team. Relationship to the organization generally, and senior management in
particular, is significantly affected by persistent ‘us and them’ perceptions across
the whole sample. Finally the author concluded that, employees agree to be co-
operative and participate in new process improvement programmes in terms of
intellectual and affective contribution. To become committed to quality or any
form of process improvement persistently over a long period of time, however,
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requires a higher level of personal involvement. This research has begun to
explore some concepts which are relatively new to the work environment.
Collinson, et al. (1998)26 in their study explored the extent and nature of
employee involvement in quality initiatives under unionized environment and the
contextual factors shaping the degree of employee involvement. The study was
conducted in six organizations which implemented TQM concepts and
questionnaire survey was used to collect responses. The results show that, all the
organizations could claim distinctive benefits from their quality programmes.
Employees are favourable to quality initiatives and felt their own level of
involvement in problem solving has increased. Further the results show that
training in quality concepts, teamwork and increase in communication by
management with employees are associated with the favourable views of quality
initiatives. Increased trust on management, satisfied job, job security and increase
in the level of motivation are the outcome of the quality initiatives in employee
involvement programme. Finally the authors concluded that the existence of
strong cooperative relationships with the relevant unions eased the acceptance of
TQM in the study organizations.
The study by Silos (1999)27 demonstrated the effectiveness of the TQM
concept of employee involvement in a problem-solving situation. In this study
the research question is whether the use of an employee involvement team in a
problem-solving situation yields better and longer results compared to traditional
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problem solving by management alone. The study conducted in public sector
organization by applying case study method and comparative analysis by using
Line Production system. The outcome of the study showed that the results of the
employee involvement team were measurably greater than the results of
traditional management intervention in solving the stated problem. The results of
the study also showed that participatory management, teamwork and regular
meetings among the workers leads to more employee involvement.
Coyle-Shapiro (1999)28 examines the process of employee involvement in
implementing TQM by using a longitudinal research design. This study was
conducted at U.K.-based engineering and electrical components industry by
using questionnaire method to collect data. The results show that supervisors
have a positive role to play in getting employees involved in TQM. The extent of
employee involvement is positively related to the assessment of benefits of TQM.
Furthermore, how employees assess the beneficial impact of TQM is more
important in predicting subsequent participation in TQM than is their initial
participation. Finally, no relationship is found between employee participation in
TQM and organizational commitment.
Shapiro (2000)29 in his study explored the relationship between the way in
which organizations implemented TQM to gain commitment for employee
involvement from diverse members of staff. The author argues that employee
involvement promoting the team structures and encouraging staff to use their
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experience and creativity to contribute to organizational improvements. He
highlights the differences that exist between staff for example, in their functional
specialism, hierarchical level and educational background. This paper also
highlights how the lack of managerial skills and capabilities may lead to
employee involvement opening a diversity ``Pandora's Box'' within many firms,
which in turn may lead to involvement gaps occurring. The term ``Pandora's
Box'' is used here as a metaphor in order to highlight the issues of diversity
management that may arise as a result of pursuing employee involvement
initiatives within firms.
This study adopted a qualitative research design, with in-depth semi-
structured interviews from 14 organizations across eight European Union
Members States. The study was designed to take into account the perspectives of
employees at various levels throughout the organization and to include trade
union representatives. Overall between 15 and 25 interviews were conducted in
each firm. The results of the study indicate an interesting relationship between
the development of employee involvement, the exposure of employee diversity
and an organization’s capability to positively manage diversity. The
involvement-diversity relationship implies that unless organizations take explicit
consideration of the differences that exist between employees in terms of their
needs and aspirations, they will have difficulty in meeting key corporate
improvement objectives. Finally, the author comments that in order to positively
manage diversity and to ensure all employees are able to use their full skills and
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abilities, changes in the approach of management to be considered. Further he
comments that if the current trend is reversed, employees should bring their
outside skills and identities into the workplace.
Hongyi Sun et al. (2000)30 investigated the empirical relationship between
Employee Involvement (EI) and TQM. He views EI as that the people closest to
a problem or opportunity are in the best position to make decisions for
improvement if they have control of the improvement process. The study is based
on a survey of 180 manufacturing organisation in Norway. By using the
questionnaire method, which covers questions related to employee involvement
and people satisfaction.
The study revealed that EI is positively related to various aspects of
quality management and the results suggest it should be implemented in
combination. In order to participate in the business, employees at all levels must
have power, information, knowledge and rewards all of which should be
incorporated in quality management programmes. Increased involvement means
more responsibility, which in turn requires a higher level of skills. Training
should be provided to allow employees to attain higher skills and should include
training in both techniques and managerial skills in decision making, leadership,
team building. The study concluded that to implement the employee involvement,
management needs to have a new attitude towards employees and they should be
provided with the necessary authority, information, skills, and reward.
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The study conducted by Preuss and Brenda (2002)31, examines the effect
of employee involvement and job insecurity on employee satisfaction and
commitment. . The study was conducted among hospital workers across seven
occupational groups within a single metropolitan region in the United States. The
findings show that employee involvement has direct effects on employee
outcomes. Enhanced employee involvement within the unit is correlated with
higher satisfaction and commitment, although this depends on the form of EI in
workplace. Further, findings indicate the employee perception of management
effort to maintain employment security, however, is based on past downsizing
within the organization, thus raising the potential that continued downsizing will
increase insecurity and therefore will decrease both employee desire to
participate in decision-making, as well as employee satisfaction and commitment
to the organization.
Sasmita Palo and Nayantara Padhi (2003)32 examined role of training and
its effectiveness in successful implementation of TQM concept in a leading
Public sector enterprise in India. They collected data by using structured
questionnaire from the employees selected on the basis of stratified random
sampling method across the levels and department of the study organizations.
The findings of the study indicate that there was a significant relationship
between TQM training with teamwork and skill development. The results also
implied that TQM training has not reduced the stress level of employees
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associated with TQM Implementation. Further, the analysis reveals that sufficient
training was not provided to employees to manage and improve their
communication competence, which constitutes the very essence of TQM. Finally
the authors concluded that training is an effective medium of creating awareness,
developing organizational communication, competence building, generating
enthusiasm and commitment for effective TQM implementation.
Tonnessen (2005)33 studied the participatory approach in improving the
companies’ innovative ability. A case study approach has been used. The study
was conducted in ten companies situated in the western part of Norway. Both
large companies and small to medium-sized enterprises are represented. The
findings of the case studies showed companies need a systematic process for
continuous improvements like TQM. Further it reveals that a better utilization of
the potentials of company wide employee participation in innovation gives
efficiency as well as working environment improvements. Employee
participation in innovation should take place in the immediate work situation
where employees may make improvements without having to ask or involve
others – ‘self determination’ and through proposing changes or improvements
through management or staff – ‘line of command’.
Subathra Vellapan et al. (2006)34 studied the relationship between TQM
practices and employees' propensity to remain within a large Malaysian
semiconductor packaging organization. By using self-completed questionnaires,
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230 responses were collected within the organization. The results revealed that
customer focus, organizational trust, organizational communication, employee
involvement and empowerment are positively associated with employees'
propensity to remain. It is also found that organizational trust was the decisive
factor in determining the success of the increased propensity to remain amongst
employees within the organization.
Finally, the authors suggested that the top management in the organization
should conduct formal TQM programs for all new employees and provide their
existing employees with continuous formal training program (on-the-job as well
as off-the-job) in order to gain employees’ commitment and subsequently reduce
their turnover rate.
Ehrlich (2006)35 studied the instruments measuring the motivational
aspects of the employees based on the EFQM model criteria. There are nine
criteria in this model, of which the two are concerning the employees of an
organization. Criteria three, in which an organization describes the measures it
has taken to improve their Human Resource Management, and Criteria seven, in
which it states the results in respect of their employees. These results can be
divided into results measuring satisfaction and motivational aspects of the
employees. To measure the employee motivation at work based on the above
criteria, the author used ‘cognitive motivation model’ by Heckhausen and
Rheinberg. This model describes central ‘expectations’ of employees with a vital
114
influence on the motivation of employees. Based on this theoretical approach, the
author identified the six motivation potentials such as
1. Clearly defined areas of responsibilities
2. Employees’ conception of optimal work-results and appropriate measures
to reach them
3. Consideration of employees’ positive experiences with similar work-tasks
4. Importance of work-results for subdominant goals
5. Transparent and performance-oriented incentive system
6. Opportunity of choosing between alternative extrinsic rewards
He analyzed how far these measures can be found in Criteria 3 in the
EFQM-Model. He found that there are some similarities between the stated
measures of the EFQM-Model to achieve people orientation and the described
measures to improve the motivational potentials of the questionnaire. Therefore,
he concluded that an integration of this questionnaire and its measures to
improve the motivation potentials is first of all possible and does shift the focus
of the measurements described in Criteria 3 more towards improving motivation.
Finally the author mentions that major problem of the EFQM-Model, which with
respect to work motivation has been solved by this present questionnaire.
The study by Vouzas and Psychogios (2007)36 analyzed the rationale and
the development of a measure that can be used in assessing managerial
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awareness and understanding of the concept of total quality management (TQM)
within organizations. The study was based on a survey method, which aimed at
providing a wide range of data concerning TQM awareness based on managers
working in the Greek service industry. The data collection was based on a
questionnaire, designed to investigate the awareness of above mentioned items
among the 400 managers. The findings of the study show that statistical analysis
provided a distinctive and consistent, statistical measurement of the ‘soft’ side of
TQM. This measure consists of three items: continuous improvement and
training, total employee empowerment and involvement and quality driven
culture, which represent the whole concept of TQM approach.
Keng Boon Ooi et al. (2007)37 in their study investigated the relationship
between TQM practices and employees’ job satisfaction. The authors identified
the key practices of TQM, which support an organization’s business strategy
towards the increase in employees’ job satisfaction. These elements are:
customer focus, teamwork, organizational culture, reward and recognition and
organizational trust. The study explored the relationship between these element
and job satisfaction. Data were collected from employees within various
departments of a large award-winning TQM organization in Malaysia. The
questionnaires were distributed to all employees from different job levels and
functions within the Organization. The results of this study revealed that where
teamwork was perceived as a dominant TQM practice, there was a strong
association with job satisfaction. The result implies that TQM recognizes and
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emphasizes the importance of teamwork to facilitate employees’ ability to work
together to get a job done.
The reviews in this stream covered the various dimensions of the
employee involvement process such as training, team work and participatory
management. Employee commitment in the performance improvement of the
organisation and effectiveness of participation of the employees in problem
solving are highlighted. Positive effects of employee involvement in TQM
initiatives and motivation aspects involved the employee involvement process.
Finally, awareness and understating of the TQM concept by the employees were
assessed.
2.5 Studies concerning change in organisation culture and TQM
This stream of review focuses on the efforts to change the organizational
culture by implementing the TQM concept. Company wide implementation of
the concept essentially required the change in the organisation culture especially
individual culture in terms of adaptation to the concept. Manley (2000)38
presents case study focused on TQM strategy used in the study organization,
differential effects of TQM program across positions, workplace restructuring
effort and existing power relationships. The study contributes to an
understanding of the complexities of work place transformation in professional
organization. As a case study, interview and participant observation method are
used for data collection over a 2 year of period in the 250 bed hospital. The
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author participated in the various TQM initiative programmes and meetings
organized by the hospital since its implementation.
The case study illustrates that the organization took a cost-conscious
strategy toward implementing the TQM. The complexities and dynamics of
knowledge organizations where authority must be delegated, but where
administrators are pressured to cut costs, increases revenues, improve customers
(patient) satisfaction and generally find ways to better-managed hospitals and
evaluate professionals. Further, the organization did not introduce the new
management strategy systematically, the experience was typical of many such
attempts to transform the organization is not more flexible and customer focused
entities.
The further analysis shows that the various committees and problem
solving team members unanimously praised and supported TQM. TQM training
inculcated corporatist notions of cooperation and offered mechanisms to increase
the teamwork. Many managers reported that they are able to settle disputes and
establish good working relations with other department managers. The motives
of some administrators and top managers were decidedly non-TQM in
orientation, such as blaming physician and others for team failures. The
administration’s action support less enthusiastic evolutions of workplace
transformations that predict increased centralized control. The willingness of
managers to successfully negotiate TQM projects in the organization with the
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absence of clearly specified goals resulted failure in not only in a variety of
project team results, but in a variety of assessments efforts. Finally the study
concluded that, growing concerns over the availability and cost of professional
services spark pressure to transform professional bureaucracies into more
‘businesslike’ entities. Although the employees are likely to be at the heart of
these changes, many in different organizational levels have found ways to
negotiate these transformation plans.
Coyle-Shapiro (2002)39 examined that training and education will lead to
effective change at the individual level in relation to the goals of TQM. The data
for this study were obtained from a sample of employees in two independent
production sites of U.K. automotive and aerospace industries. The results of
Study indicate that employee participation in a TQM intervention can enhance
the development of a continuous improvement orientation in tune with the
pursuance of TQM. In turn, this provides initial empirical support for training
and education reinforced through TQM practices as a lever for change. The
findings tentatively suggest that different types of change can achieve broadly
similar outcomes. While a TQM intervention may achieve attitudinal change
primarily by relying on the intrinsic motives of employees, this may need to be
supplemented in the longer term with change that carries with it extrinsic benefits
so as to help ensure the sustainability of change.
119
The study by Gallear and Abby (2004)40 examines the channels that
facilitate the development of a total quality culture based on the findings of an
investigation of an international sample of organisations widely regarded as
leading exponents of TQM. Structured postal questionnaire were used to collect
data. The response shows that fourteen necessary conditions were considered to
be channels that facilitate organisational culture change in the context of a total
quality management. Three of them rated as very important directly concerned
the top management of the organization. These were leadership and vision from
the top, active and visible participation of top management, and commitment to
and promotion of the TQM concept by the Chief Executive to all levels of the
organization. Finally they suggest that although it is their immediate supervisors
and peers that employees interact with on the more regular basis, top
management perspectives can have a potentially greater influence on the
organization as a whole.
Naceur Jabnoun and Khalefa Sedrani (2005)41 investigated TQM practices,
corporate culture, and performance in UAE manufacturing firms. A survey
including 20 cultural items was distributed among the managers belongs to all
functional areas. Out of the 300 questionnaires distributed, 81 responses were
collected and factor analysis, one sample T test and one way ANOVA are used to
analyse the data.
The results revealed that UAE manufacturing firms extensively used all
these dimensions; however, customer focus and continuous improvement were
120
used more than the other dimensions. Customer focus and continuous
improvement had the highest correlation coefficient with all performance
measures. Managers should therefore pay extra attention to the implementation
of this dimension, which is at the heart of TQM. Management commitment to
quality was also significantly correlated with all quality and business
performance improvements. The correlation of this dimension with business
performance can be explained by the fact this dimension includes items that tie
quality objectives to business objectives, something that contributes to business
objectives. Benchmarking was correlated to the three measures of quality
performance in addition to the business performance measure of profitability.
Training was found to correlate with quality performance but not with business
performance. Training and benchmarking should therefore be looked at more
strategically, not just as tools that may enhance quality performance.
The responses of the culture items were factor analyzed. This analysis
resulted in five dimensions: people oriented, inward oriented, task oriented,
outward oriented, and competitiveness. These dimensions were all reliable, and
they were shared within UAE manufacturing firms. Competitiveness and, to a
lesser extent, people oriented existed less than other culture dimensions in UAE
manufacturing firms. Managers should make more effort to enhance the culture
dimension of people oriented, particularly since this dimension had the strongest
correlation coefficients with most TQM practices. Such efforts may include
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training workshops for employees and managers, and certain adjustments in the
reward systems in order to reinforce the values and behaviours of people oriented.
Mosadegh Rad (2006)42 in his descriptive and cross-sectional study was to
investigate the relationship between organizational culture and TQM success in
twelve Isfahan university hospitals, Iran. Overall, this study explores the effects
of cultural values on the TQM success. A self-administrated questionnaire was
used to assess the characteristics of different dimensions of organizational culture
of Isfahan university hospitals. The questionnaire provided the basis for
describing employee’s perceptions of TQM in their hospital Organizational
culture.
This research showed that the success of TQM in organic hospitals with
stronger organizational culture was higher than Mechanistic and bureaucratic
hospitals with weak organizational culture. It seems that paying more attention to
details leads to more stability in hospitals. In a stable organization, employees
will have more collaboration, creativity and risk taking activities. All of these
will produce an organic culture, which is helpful for TQM success. This study
also demonstrates that those hospitals with high power distance are more likely
to have centralized control over decision-making that leads to failure in TQM
implementation.
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Organizational culture has a significant effect on the successful TQM
implementation. For TQM programs to succeed, a collaborative and corporate
organizational culture supported by long-term management and employees
commitment and involvement, organizational learning, innovation and
entrepreneurship, team working and collaboration, open communication, risk
taking, continuous improvement, and monitoring and evaluation of quality
should be developed.
Kumar and Shankar (2007)43 assessed how the Indian culture compares
with the cultural requirement of TQM and what aspects of Indian culture need to
be modulated so as to lead to successful TQM implementation. By analysing
various literatures the authors found that there are two cultural requirements for
successful TQM implementation: one is collectivistic culture and another is
empowering and participative style of management. However, collectivistic
society tends to be more hierarchical, i.e. high on power distance that does not
support empowering and participative style of management and thus is not
conducive for TQM implementation. Therefore, the author explains how these
two apparently contradictory cultural requirements of TQM can be dealt with in
the context of Indian culture.
For that purpose the authors compared the Indian work culture with the
Japanese work culture. The analysis shows that the common theme between the
Japanese and the Indian culture is harmony among group members and respect
123
for superiors. Japan has exploited this cultural trait for TQM implementation.
The problem with the Indians is that their group affiliation is not work based; it is
based on ethnic consideration of ‘own-others’. They suggested that dependence
proneness and personalised relationship can modify the group affiliation of
Indians from ethnic to work based groups. This way, Indian TQM initiatives too
can profit from harmony among group members (collectivism) and respect for
superiors (hierarchy).
Therefore, this paper has argued against the conventional wisdom in TQM
literature that hierarchy is not conducive for TQM implementation and shown
how in the Indian context, hierarchy, operationalised through the guru-shishya
relationship based on the nurturance of subordinates can aid the learning
orientation of organizational members and facilitate TQM implementation.
Similarly, by superimposing the element of ‘equity’ on the ‘personalized
relationship’ dimension of hierarchy, in a collectivistic society like India, it is
possible to elevate the aspect of ‘personalized relationship’ between superior and
subordinate to the status of ‘individualized consideration’ dimension of
transformational leadership.
The reviews in this stream covered the changes in organizational culture
by implementation of the TQM concept. The studies reveal that organisation-
wide culture changes required in terms of top management commitment towards
quality and individual changes through training and workshops. It also reveals
124
the factors influencing the change in organisation culture and conducive
organisation culture for implementation of the TQM concept.
2.6 Conclusion
The purpose of this chapter is to review the key features of the TQM
literature, to identify gaps and thereby to locate the contributions of the present
study. The reviews in this chapter are focused on the early development of the
concept of TQM, historical analysis and diffusion of TQM concept in different
sectors in India. Some of the studies conducted in India pictured the Total
Quality Management practices adopted in the organisation. Further, the factors’
influencing attitude of the employee’s in TQM programmes and various
dimensions of the employee involvement are covered. Finally, it covered the
factors influencing the change in organisation culture and conducive organisation
culture for implementation of the TQM concept.
Most of the researches in TQM are technical and management research
oriented. The researches conducted by social scientist in this field are very few.
These factors motivated the researcher to choose the topic. The most of the
studies on employee involvement in TQM are in theoretical base and covered
only few aspects of the employee involvement. The influences of social factors in
employee performance in TQM initiatives, changes in individual culture in TQM
are not covered in the previous research. In order to overcome the limitations
mentioned, the present study attempts to cover the attitude of the employee in
125
TQM implementation and employee participation in TQM initiatives. The
research further analyzed the changes in workplace and personal life of the
employee.
126
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