THE EFFECT OF TOTAL QUALITY MANAGEMENT ON THE PERFORMANCE OF SMEs THROUGH MEDIATION VARIABLE OF ORGANIZATIONAL COMMITMENT

Lidya Priyanka, Margono Setiawan

Abstract


The purpose of this research is to analyze the impact of Total Quality Management (TQM) on Small-Medium Enterprise (SME) performance through organizational commitment mediation on tempeh chips SME in Sanan, Malang. The research use 30 SMEs sample as respondents, considerating SMEs with PIRT and Halal certificates, data analysis was done with WarpPLS 5.0. The research result show that TQM has positive significant impact on SME organisasional commitment. Organizational commitment has significant impact on SME performance. The result also show that the organizational commitment does not mediate the significant impact of TQM on SME performance.


Keywords


total quality management, performance organization, commitment organizational, small medium enterprise

Full Text:

PDF

References


Ahmad, Mohammad Fauzi, A. H. Nor Aziati, Abdul Talib Bon, Y. Ngadiman and Shiau Wei Chan. 2015. “Review Relationship TPM as Mediator between TQM and Business Performance. Department of Production & Operation Management.” Management Science and Applications. Vol. 349: 991-996.

Allen, Natalie J., and Meyer John P. 1990. The measurement and antecedents of affective, continuance and normative commitment to the organization. Journal of Occupational Psychology (63): 1-18 printed in Great Britain the British Psychological Society.

Bahri, Syamsul, Djabir Hamzah dan Ria Mardiana Yusuf. 2012. Implementation of Total Quality Management and Its Effect on Organizational Performance of Manufacturing Industries through Organizational Culture in South Sulawesi, Indonesia. Hasanuddin University, Indonesia. IOSR Journal of Business and Management (IOSR-JBM) ISSN: 2278-487X. Vol. 5.

Barclay, D., Higgins, C. and Thompson, R. 1995. The Partial Least Square (PLS) Approach to Causal Modeling: Personal Computer Adoption and Use as an Ilustration. Technology Studies (2.2): 285-309.

Besterfield, Dale, H., Carol Besterfield, Glen H. Besterfield, Mary Besterfield. 2003. Total Quality Management. Third Edition. New Jersey: Prentice-Hall, Pearson Education International.

Bon, Abdul Talib dan Esam M.A. Mustafa. 2012. Impact of Total Quality Management on Innovation in Service Organizations: Literature review and New Conceptual Framework, Procedia Engineering (53): 516 – 529.

Chih, TP Wen-Hai F and Yu-An Lin. 2007. “Applying Structural Equation Models to Study the Influence of Leadership, Total Quality Management, and the Organizational Commitment.” Doctoral Program. Department of Business Administration, Nation Dong Hwa University. Da-Hsueh Rd., Shou-Feng, Hualien 97401, Taiwan, Republic of China.

Chin, W.W. 2010, How to write up and report PLS analyses, Handbook of Partial Least Squares: Conceps, Methodes and Applications in Marketing and Related Fieald, Berlin, Heidelberg: Springer.

Cohen, J. 1988. Statistical Power Analysis for the Behavioral Sciences. Hillsdale, New Jersey: Lawrence Erlbaum Associates.

Dinas Koperasi dan UMKM Provinsi Jawa Timur. 2014. Laporan Kinerja Tahun 2014. Jawa Timur.

Fomell dan Larcker. 1981. Evaluation Structural Equation Models with Unobservable Variabels and Measurment Error, Jurnal of Marketing Research (18:1): 39- 50.

Geisser, S. 1974. A Predictive Approach to the Random Effects Model. Biometrika. Journal of the American Statistical Associatian (61:1): 101-107.

Ghozali, Imam and Hengky Latan. 2014. Partial Least Squares. Konsep, Metode dan Aplikasi Menggunakan Program WarpPLS 4.0, Badan Penerbit Universitas Diponegoro, Semarang.

Gonzalez, Lorena Para, Angel Rafael Martinez Lorente, Daniel Jimenez. 2013. Total Quality Management and Its Relationship with Empowerment and Commitment: Their Effects on Firm Performance. Electronic International Interdisciplinary Conference.

Hair, J., F., Ringle, C.M., and Sarstedt, M. 2011. PLS SEM: Indeed a Silver Bullet. Journalof Marketing Theory and Practice (19:2):139-150.

Hatak, Isabella, Teemu Kautonen, Matthias Fink, Juha Kansikas. 2015. Innovativeness and Family-Firm Performance: The Moderating Effect of Family Commitment. Article Technological Forecasting & Social Change.102 (2016) 120–131.

Hulland, J. 1999. Use Partial Least Squares (PLS) in Strategic Management Research: A Review of Four Recent Studies, Strategic Management Journal (20):195-204.

Khan, Muhammad Riaz. Ziauddin. Farooq Ahmed Jam dan M.I. Ramay. 2010. The Impacts of Organizational Commitment on Employee Job Performance. European Journal of Social Sciences – Volume 15, (3): 292-298.

Kock, Ned. 2013. WarpPLS 4.0 User Manual. ScripWarp System, Loredo, Texas USA.

_____. 2015. WarpPLS 5.0 User Manual. ScripWarp System, Loredo, Texas USA.

Kwansik, Cho. 1994. “Impact of Total Quality Management (TQM) on Organizational Performance in the U.S.: An Empirical Investigation of Critical Success Factors”. Dissertation. Abstracts University of Nebraska– Lincoln. DAI-A (55/04):1027.

Luthans, Fred. 2011. Organizational Behavior an Evidence- Based Approach.12th Edition. Published by McGraw-Hill/Irwin, a business unit of The McGraw- Hill Companies, Inc: 1221.

Maholtra, Naresh K. 2004. Marketing Research: An Applied Orientation. New Jersey: Pearson Education, Inc.

Mendes, Luis. Vera Carlos and Luis Lourenço. 2014. The influence of TQM on Organizational commitment, Organizational citizenship Behaviours, and individual Performance. Transylvanian Review of Administrative Sciences, Special Issue/2014: 111-130.

Noermijati. 2008. Aktualisasi Teori Herzberg, Suatu Kajian Terhadap Kepuasan dan Kinerja Spiritual Manajer Operasional (Penelitian di Perusahaan Kecil Rokok Sigaret Kretek Tangan di Wilayah Malang). Disertasi. Universitas Brawijaya. Malang.

Nunnally, J.C., dan Bernstein, I.H. 1994. Psychometric Theory (3rd Ed). New York, McGraw-Hill.

Prajogo, Daniel I., dan Amrik S. Sohal. 2006. The relationship between organization strategy, total quality management (TQM), and organization performance–the mediating role of TQM, European Journal of Operational Research (168): 35–50.

Rahman, Md. Sahidur. Shameema Ferdausy, and Rana Karan. 2015. Determining The Relationships between the Components of organizational commitment and job performance: An empirical study. University of Chittagong and BGC Trust University, Bangladesh. ABAC Journal, Vol. 35, (1): 30-45.

Russel, Benardin H., John. 1993. Human Resources Management. New York Mc. Graw Hill.

Samuel, Hatane, dan Joni Zulkarnain. 2013. Pengaruh Sistem Manajemen Mutu Iso Terhadap Kinerja Karyawan melalui Budaya Kualitas Perusahaan, Jurnal Manajemen dan Kewirausahaan. Malang: PT Otsuka Indonesia.

Stone, M. 1974. Cross-Validatory Choice and Assessment of Statistical Predictions, Journal of the Royal Statistical Society (36):111-147.

Spirtes, P., Glymour, C., and Scheines, R. 1993. Causality, Prediction and Search. Berlin: Springer.

Tenenhaus, M., Esposito, Vinzi, V., Chatelin, Y.M., and Lauro, C. 2005. PLS Modelling, Computational Statistics and Data Analysis, (48:1):159-205.

Wold, Herman. 1982. Soft Modeling the Basic Design and Some Exten, In: Jorekog K.G. and Wold, H (Eds) System Indirect Observation, Causal, Structure, Prediction, Vol. II. North-Hollad, Amsterdam: 1-54.




DOI: http://dx.doi.org/10.18202/jam23026332.15.1.14

Refbacks

  • There are currently no refbacks.