Many companies in this management environment are using factors of total quality management to maximize their business performance. This means that there is significant relationship between main factor of quality operation strategy and business perfor...
Many companies in this management environment are using factors of total quality management to maximize their business performance. This means that there is significant relationship between main factor of quality operation strategy and business performance.
In this situation, it's the purpose of this study that investigate the relationship between main factor of quality operation strategy and business performance to boost competitiveness of the business in automobile parts industry.
So this study analyzed that how do factors of total quality management affect business performance through research model design and hypothesis verification aimed at automobile parts companies obtained quality certification.
Based on preceding research, factors of total quality manageme
nt segment leadership of CEO, think of customer-centered, manag
ement of supply company, attendance of worker, analysis and use of quality information. And factors of business performance segm
ent financial result, non-financial result, organizational effec
tiveness.
And we practiced regression analysis to find out the relations
hip between factors of total quality management and business performance. Summarizing the results of this study as below.
First, as for the CEO's leadership, it has effect on financial result and non-financial result. Especially, we could know that business performance is higher since CEO takes part in quality improvement activity or supports some materials resource to improve quality.
Second, as for the think of customer-centered, it has effect on financial result and non-financial result. Especially, we could know that business performance is higher since understand expectation of customer and try total quality management to make customer satisfaction.
Third, as for the management of supply company, it has effect on financial result and non-financial result. Especially, it shows that automobile parts company ask raw material supplier to continuous efforts to improve quality and would gladly pay for quality raw materials.
Fourth, as for the attendance of worker, it has effect on just non-financial result. Especially, use of worker's idea affects non-financial result. So it shows that if site workers try to improve their enthusiastic attitude, it has impact on non-financial result. But attendance of worker has limits to make a higher year on year business performance and business result.
Fifth, as for the analysis and use of quality information, it has effect on just non-financial result. Especially, if workers use effectively database of customer satisfaction, it can maximize the business performance.
We could assure some implications as below by actual proof analysis to find out the purpose of this study
First, if CEO and workers among the factors of total quality management affected financial result and non-financial result understand expectation of customer and use the database of customer satisfaction effectively, it has impact on business performance. For that, if harmonious communication between CEO and workers makes organized work system, it can improve business performance.
However, attendance of worker has the limit. So will & belief of CEO, realization of quality & customer satisfaction and effort of unstinting support are very important.
Second, automobile parts company receives principal components from primary supplier and will make other parts to deliver automobile manufacturer. So we could know that automobile parts company realizes how important the quality of principal components from primary supplier. In this situation, automobile parts company asks primary supplier to improve the quality. And if automobile parts company could receive quality components, automobile parts company was inclined to pay for this.
Therefore, it's very important that intensify vendor selection and join quality control in the interest of maintenance continuous partnership with supplier.
Third, we have to realize that sharing information & using information of quality in automobile parts company involves attendance of worker and sense of responsibility in the field.
Finally this study has the limit like as below.
First, sample objects of companies were focused just particular area like Hwaseong, Ansan, Sihwa and etc. So this makes the limit to understand general flow and generalize the relationship between activity of total quality management and business performance.
For hereafter research, we need to investigate more area and companies to find out the relationship between activity of total quality management and business performance.
Second, most of respondent are executive level and department head level (each recorded at 33%). This was showed by analysis of actual proof. For example, leadership of CEO affects financial result and non-financial result, while attendance of worker affects only non-financial result. Therefore we need to aim every workers in automobile parts company and investigate activity of total quality management each level of workers thinks highly.