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Mediator effect of statistical process control between TQM and business performance in Malaysia Automotive Industry

Ahmad, Mohd Fauzi and Rasi, R.Z. and Zakuan, Norhayati and Hisyamudin, M.N.N. (2015) Mediator effect of statistical process control between TQM and business performance in Malaysia Automotive Industry. In: International Conference on Mechanical Engineering Research (ICMER), 18-19 August 2015, Kuantan, Pahang.

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Abstract

In today’s highly competitive market, Total Quality Management (TQM) is vital management tool in ensuring a company can success in their business. In order to survive in the global market with intense competition amongst regions and enterprises, the adoption of tools and techniques are essential in improving business performance. There are consistent results between TQM and business performance. However, only few previous studies have examined the mediator effect namely statistical process control (SPC) between TQM and business performance. A mediator is a third variable that changes the association between an independent variable and an outcome variable. This study present research proposed a TQM performance model with mediator effect of SPC with structural equation modelling, which is a more comprehensive model for developing countries, specifically for Malaysia. A questionnaire was prepared and sent to 1500 companies from automotive industry and the related vendors in Malaysia, giving a 21.8 per cent rate. Attempts were made at findings significant impact of mediator between TQM practices and business performance showed that SPC is important tools and techniques in TQM implementation. The result concludes that SPC is partial correlation between and TQM and BP with indirect effect (IE) is 0.25 which can be categorised as high moderator effect.

Item Type: Conference or Workshop Item (Paper)
Uncontrolled Keywords: TQM; SPC; SEM; Automotive
Subjects: H Social Sciences > HD Industries. Land use. Labor > HD28 Management. Industrial Management
Divisions: Faculty of Technology Management and Business > Department of Production and Operation Management
Depositing User: Normajihan Abd. Rahman
Date Deposited: 23 Sep 2015 07:23
Last Modified: 23 Sep 2015 07:23
URI: http://eprints.uthm.edu.my/id/eprint/7237
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