Contingency relationships of firm size, TQM duration, unionization, and industry context on TQM implementation—A focus on total effects

TLDR

Past TQM literature has been inconclusive about whether a universalistic or contingency approach best guides implementation. The study uses a total‑effects contingency framework to examine how firm size, TQM duration, unionization, and industry type moderate TQM implementation outcomes. The authors developed a culture‑quality system design‑outcomes framework and tested it with data from 394 manufacturing plants to assess how the four contingencies affect total‑effects relationships. Results show that industry type, firm size, and TQM duration moderate the total‑effects relationships between culture and quality‑system design and final outcomes, with industry type having the strongest influence, and unionization playing a smaller role, thereby advancing contingency theory of TQM implementation.

Abstract

Abstract Past TQM literature has been inconclusive in resolving the validity of the universalistic approach versus the contingency approach of TQM implementation. In this paper we contribute to the resolution of this debate by using a total effects approach within the contingency perspective. We propose a culture‐quality system design‐outcomes framework for TQM implementation. We then use this framework to study the differences in total effects relationships among TQM constructs across four contingencies, firm size, TQM duration, unionization, and industry type. Data from a sample of 394 plants (SIC codes 20 through 39) are used to test the validity of our contingency model. Our results revealed that firm size, TQM duration, and industry type moderate the influence of total effects of culture (top management commitment, customer focus, and trust) on final outcomes (process quality, product quality, and customer satisfaction). These contingencies also moderate the influence of total effects of quality system design (design management, training, empowerment, quality information usage, supplier quality management, and process quality management) on final outcomes. The strongest contributor to variation in total effects across groups was industry type, followed by size and then TQM duration. To a lesser extent, unionization was a moderator in total effects relationships. These findings uniquely contribute to the emerging contingency theory of TQM implementation.