1 全面品管哲學與方法對品質績效的相關性研究 Relationships of TQM Philosophy, Methods and Performance: A Survey in Taiwan NSC H 黃峰蕙 (Fenghueih Huarng) 1 1 南台科技大學企管系 (Department of Business Administration, Southern Taiwan University of Technology, Tainan, Taiwan 710)

2 Literature Review The relationships of CSF and performances –Powell (1995)__USA, N=63 open culture employee empowerment executive commitment quality training process improvement benchmarking –Control variables : years since TQM adoption (experience) number of employees (firm size) industry (manufacturing vs. service) Produce advantage No help

3 –Samson & Terziovski (1999)__ Australian and New Zealand, N=1024, No control variable leadership management of people customer focus –Sun(1999)__Norway, N=316, No control variable quality leadership human resource development quality information Current operational performance Increase customer satisfaction & business performance

4 –Huarng, Horng & Chen(1999) __ISO in Taiwan, N=376 all employee’ empowerment open culture use of information system documentation through auditing quality control activity before ISO –Control variables the age of corporation (experience) the number of employee (firm size) the percentage of overseas sales Quality, cost internationalization sales

5 Research Method literature review & pre-tested by two site managers top 1000 manufacturing firms 1999 on China Credit Information Service,Ltd. data collected in Summer items for implementation practices (cronbach  = ), 1:highly disagree, 4: indifferent, 7: highly agree 16 items for performance (cronbach  = ), 1: highly worsen, 4: remain the same, 7: highly improved Non-response test (73 TQM vs. 142 TQM non-response) -No difference in total sales, # of employees, industry distribution TQM have greater size than non-TQM

6 Results Factor analysis –Table:performance variablesTable:performance variables –Table: implementation practicesTable: implementation practices Factor 1 : employee empowerment Factor 2 : all employee perception through top executive support Factor 3 : training Factor 4 : measuring product and service Factor 5 : benchmarking on quality and service Factor 6 : statistical method Factor 7 : benchmarking on cost Factor 8 : supplier co-operation Factor 9 : employee involvement.

7 Table: performance variables

8 Table: implementation practice

9

10 Table: implementation practice

11 Linear Regression analysis (stepwise) –two control variables C1:starting date of TQM adoption C2:the corporate sales –VIF is for 2 CV & 9 independent variables –α=0.05 BF1: cost reduction BF2: business performance Regression : interaction models BF1:cost reduction BF2:business performance

12 Discussions & conclusions Both TQM philosophy & tools help business performance –Two P’s: employee empowerment (PP1) all employee quality perception through top executive support (PP2) –Four M’s: training (PM1) use of statistical method (PM4) benchmark on cost (PM5) supplier co-operation (PM6)

13 The relationship may vary from country to country –confirm Sun (Norway, 1999) –different from Powell (USA, 1995) & Dow et al (Australian, 1999) Integration of P & M help –PP1 & PM1 integration help cost down »capable employee with empowerment –PP2 & PM6 integration help business perform »cooperation of top executive, employees & suppliers TQM P & M help in all sizes of firms with or without experience of TQM adoption

14 ~ The End ~ Fenghueih Huarng 1

15 Stepwise regression analysis for BF1: cost reduction

16 Stepwise regression analysis for BF2:business performance

17 Interaction regression analysis for (BF1) cost reduction

18 Interaction regression analysis for (BF2) business performance