IMPACT OF TOTAL QUALITY MANAGEMENT DETERMINANTS ON ORGANISATION PERFORMANCE IN BANKING SECTOR: A SMART PLS APPROACH
Dr. Mehak Gulati1, Dr. Anju Singh2, Dr. Surbhi Mathur3, Dr. Aditi Kaushik4
1,3Faculty of Management, Manipal University Jaipur, India
2Dean, Indian Institute of Gems and Jewellery, Mumbai (Sponsored by Ministry of Commerce and Industry), India
4Assistant Professor, United World Institute of Management, Karnavati University, Gandhinagar, Gujarat, India
Abstract: Total Quality Management has been widely used by organisations for maintaining the quality, increasing productivity leading to increased customer satisfaction and profitability. The application of the TQM in service sector has also been quite evident with focus on leadership, continuous improvement in service quality and business performance. The banking sector has always been in immense pressure to improve the service quality. As banking involves personal involvement of the employees in providing the services to the customer, it is necessary that the middle level managers are also well trained and aware of the implementation of TQM. Earlier studies confirm the role of certain critical factors of TQM which are implemented organisation wide for its success. The present study aims to examine the impact of some of the determinants of Total Quality Management on the organisation Performance. Primary data has been collected from 350 branch managers of the banks from Jaipur city through a questionnaire. The dimension of Total Quality Management includes continuous improvement, Employee Training, Product Quality, Employee Empowerment and Customer Focus. The organisation performance is measured as Service Performance, Financial Performance and Managerial Performance. Smart PLS 3.0 has been used to determine the model to study the impact of TQM dimensions on Organisational Performance. The findings of the study indicate the overall effect of TQM on organisational performance with most of the dimensions having significant impact except amenities.
Keywords: Total quality management, Organisation Performance, Banking sector, Employee empowerment, SMART PLS