Contribution of Quality Management Practices to Sustainability Performance of Vietnamese Firms

Abstract

This study seeks to investigate the relationship between quality management practices and sustainability performance as well as the moderating effects from quality management implementation timeline, type of industry, and firm size on this relationship. Data were collected from enterprises in Vietnam from July 2016 to March 2017. Based on a sample of 144 valid responses, empirical results indicate that quality management practices have mixed impacts on economic performance and environmental performance, while show positive impact on social performance. The results found four quality management practices that have significantly positive impact on sustainability performance: top management support for quality management, design for quality, quality data and reporting, and continuous improvement. These practices could be considered as critical quality management factors that significantly contribute to sustainability goals. Furthermore, the study found significant moderating effects of three contextual factors on the relationship between quality management practices and sustainability performance. The study enriches the literature on quality management and sustainability management, and offers some important insights into efficient allocation of resources to achieve sustainability goals.