Comparative Study of TQM Practices between Japanese and Non-Japanese Companies: Proposed Conceptual Framework

Abstract

In todays highly competitive market, the demand for quality is a critical factor for organization to survive in the ever-expanding global marketplace. The concept of total quality management (TQM) has been developed as a result of intense global competition. Japanese companies have had superior achievement, and left their counterparts, non-Japanese far behind. One of the TQM strength practices in Japanese companies is technical aspects; tools and techniques namely statistical process control (SPC), total productive maintenance (TPM) and lean production. The purpose of this paper is to compare TQM practices between Japanese and non-Japanese companies, and develop the conceptual framework based on extensive review of the literature. Three theories; institutional theory, system theory and contingency theory have been identified and applied in this study for developing conceptual framework. Based on literature review, Japanese companies have higher TQM practices compared to non-Japanese companies. Furthermore, this study proposes that SPC, TPM and lean production are mediators for TQM in Japanese companies. This proposed research will help the academicians and industry players to have better understanding of TQM implementation in order to improve business performance effectively in the future.