Total quality management as a forerunner of business innovation capability

Abstract Although it is true that the issues of quality and innovation have been dealt with extensively from different perspectives, studies on the relationship between the two concepts are few. This study tackles this relationship by analyzing the links between the broader concepts of total quality management (TQM) and business innovation capability (BIC). Specifically, it is argued that TQM can favor the development of BIC. An empirical study of 102 firms in the sectors of machinery and instruments for measurement, analysis and control revealed that, indeed, both concepts are compatible and make it possible to identify which dimensions of TQM explain the generation of BIC.

[1]  R. Hensley.  A review of operations management studies using scale development techniques , 1999 .

[2]  J. Dutton,et al.  The Adoption of Radical and Incremental Innovations: An Empirical Analysis , 1986 .

[3]  Roger G. Schroeder,et al.  A FRAMEWORK FOR QUALITY MANAGEMENT RESEARCH AND AN ASSOCIATED MEASUREMENT INSTRUMENT , 1994 .

[4]  J. Dean,et al.  MANAGEMENT THEORY AND TOTAL QUALITY: IMPROVING RESEARCH AND PRACTICE THROUGH THEORY DEVELOPMENT , 1994 .

[5]  S. Kiesler,et al.  Managerial Response to Changing Environments: Perspectives on Problem Sensing from Social Cognition. , 1982 .

[6]  Carol Reeves,et al.  DEFINING QUALITY: ALTERNATIVES AND IMPLICATIONS , 1994 .

[7]  Rongxin Chen,et al.  Technological Expansion: the Interaction Between Diversification Strategy and Organizational Capability , 1996 .

[8]  Surya Mahdi,et al.  Search strategy in product innovation process: theory and evidence from the evolution of agrochemical lead discovery process , 2003 .

[9]  Rodney McAdam,et al.  Investigation of the relationship between total quality and innovation: a research study involving small organisations , 1998 .

[10]  Roy Rothwell,et al.  Industrial Innovation: Success,Strategy, Trends , 1995 .

[11]  Martin M. Rosner,et al.  Economic Determinants of Organizational Innovation , 1968 .

[12]  John C. Anderson,et al.  A Path Analytic Model of a Theory of Quality Management Underlying the Deming Management Method: Preliminary Empirical Findings* , 1995 .

[13]  Heinz Hollenstein,et al.  A composite indicator of a firm's innovativeness. An empirical analysis based on survey data for Swiss manufacturing , 1996 .

[14]  R. Gulati.  Is Slack Good or Bad for Innovation ? , 2007 .

[15]  Nicolai J. Foss,et al.  Theories of the firm: contractual and competence perspectives , 1993 .

[16]  J. Cockcroft.  The process of technological innovation , 1965 .

[17]  A. V. D. Ven,et al.  Central perspectives and debates in organization theory. , 1983 .

[18]  D. Garvin.  Competing on the Eight Dimensions of Quality , 1987 .

[19]  Karl T. Ulrich,et al.  Special Issue on Design and Development: Product Development Decisions: A Review of the Literature , 2001, Manag. Sci..

[20]  H. K. Tang,et al.  An inventory of organizational innovativeness , 1998 .

[21]  Hale Kaynak,et al.  The relationship between total quality management: practices and their effects on firm performance , 2003 .

[22]  Allan P. Jones,et al.  Psychological climate: Dimensions and relationships of individual and aggregated work environment perceptions☆ , 1979 .

[23]  Barbara B. Flynn.  The Relationship between Quality Management Practices, Infrastructure and Fast Product Innovation , 1994 .

[24]  Barrie Dale,et al.  TQM and business innovation , 1999 .

[25]  Jiju Antony,et al.  Critical success factors of TQM implementation in Hong Kong industries , 2002 .

[26]  M. Aiken,et al.  The Organic Organization and Innovation , 1971 .

[27]  Robert G. Cooper,et al.  New Products: The Key Factors in Success , 1990 .

[28]  Jayant V. Saraph,et al.  An Instrument for Measuring the Critical Factors of Quality Management , 1989 .

[29]  Mike Saren,et al.  A classification and review of models of the intra-firm innovation process , 1984 .

[30]  Jacob Schmookler,et al.  Invention and Economic Growth , 1967 .

[31]  R. Schroeder,et al.  A THEORY OF QUALITY MANAGEMENT UNDERLYING THE DEMING MANAGEMENT METHOD , 1994 .

[32]  J. M. Labeaga,et al.  Estimación de un modelo de ecuaciones simultáneas con variables dependientes limitadas: una aplicación con datos de la industria española , 1994 .

[33]  Paul F. Ross,et al.  Innovation Adoption by Organizations. , 1974 .

[34]  M. J. Guillén,et al.  Productividad, capital tecnológico e investigación en la economía española , 1985 .

[35]  D. Teece,et al.  DYNAMIC CAPABILITIES AND STRATEGIC MANAGEMENT , 1997 .

[36]  R. Lissitz,et al.  Effect of the number of scale points on reliability: A Monte Carlo approach. , 1975 .

[37]  Jacob Schmookler,et al.  Economic Sources of Inventive Activity , 1962, The Journal of Economic History.

[38]  A. Romeo,et al.  Stockholder Control, Uncertainty and the Allocation of Resources to Research and Development , 1978 .

[39]  M. Terziovski,et al.  The relationship between total quality management practices and operational performance , 1999 .

[40]  R. Rothwell.  Towards the Fifth‐generation Innovation Process , 1994 .

[41]  S. Gopalakrishnan,et al.  A review of innovation research in economics, sociology and technology management , 1997 .

[42]  Walter Kuemmerle,et al.  Optimal scale for research and development in foreign environments—an investigation into size and performance of research and development laboratories abroad , 1998 .

[43]  Keith Pavitt,et al.  The Process of Innovation , 2003 .

[44]  T. C. Powell.  Total Quality Management as Competitive Advantage , 1995 .

[45]  Amrik S. Sohal,et al.  The multidimensionality of TQM practices in determining quality and innovation performance — an empirical examination , 2004 .

[46]  F. Damanpour.  Organizational Innovation: A Meta-Analysis Of Effects Of Determinants and Moderators , 1991 .

[47]  Gary D. Scudder,et al.  Innovation in manufacturing , 1989 .

[48]  B. Wernerfelt,et al.  A Resource-Based View of the Firm , 1984 .

[49]  G. Dosi.  Sources, Procedures, and Microeconomic Effects of Innovation , 1988 .

[50]  M. R. Novick,et al.  Statistical Theories of Mental Test Scores. , 1971 .

[51]  Chandrasekharan Rajendran,et al.  An instrument for measuring total quality management implementation in manufacturing-based business units in India , 1999 .

[52]  Roger G. Schroeder,et al.  The Impact of Quality Management Practices on Performance and Competitive Advantage , 1995 .

[53]  K. Atuahene–Gima,et al.  Market Orientation and Innovation , 1996 .

[54]  L. J. Porter,et al.  Identification of the Critical Factors of TQM , 1996 .

[55]  Maurizio Zollo,et al.  Deliberate Learning and the Evolution of Dynamic Capabilities , 2002 .

[56]  Janet F. Forrest.  Practitioners’ forum: Models of the process technological innovation , 1991 .

[57]  Donald Davis,et al.  A STUDY OF MEASURING THE CRITICAL FACTORS OF QUALITY MANAGEMENT , 1995 .

[58]  C. Voss,et al.  Quality management re-visited: a reflective review and agenda for future research , 2002 .

[59]  Tom R. Burns,et al.  The Management of Innovation. , 1963 .

[60]  今井 正明,et al.  Kaizen : la clave de la ventaja competitiva japonesa , 1989 .

[61]  M. Albert.  Análisis microeconómico de los determinantes de la innovación: aplicación a las empresas industriales españolas , 1997 .

[62]  H. Ernst.  Success Factors of New Product Development: A Review of the Empirical Literature , 2002 .

[63]  J. Baldridge,et al.  Organizational Innovation: Individual, Organizational, and Environmental Impacts. , 1975 .

[64]  Amrik S. Sohal,et al.  TQM and innovation: a literature review and research framework , 2001 .

[65]  Isabel Suárez González,et al.  A resource-based analysis of the factors determining a firm's R&D activities , 1999 .

[66]  Geoffrey M. Hodgson,et al.  Evolutionary and competence‐based theories of the firm , 1998 .

[67]  Roberto Filippini,et al.  A replication study of a theory of quality management underlying the Deming management method: insights from an Italian context , 1998 .

[68]  Nabil Tamimi,et al.  A second‐order factor analysis of critical TQM factors , 1998 .

[69]  J. Barney.  Firm Resources and Sustained Competitive Advantage , 1991 .

[70]  C. Freeman.  Economics of Industrial Innovation , 1975 .

[71]  Vicente Salas Fumás,et al.  Innovación y salarios en la manufactura española , 1999 .

[72]  H. K. Tang,et al.  An integrative model of innovation in organizations , 1998 .

[73]  John R. Grandzol,et al.  A survey instrument for standardizing TQM modeling research , 1998 .

[74]  Mark Dodgson,et al.  The Handbook of Industrial Innovation , 1994 .

[75]  Zhihai Zhang,et al.  An instrument for measuring TQM implementation for Chinese manufacturing companies , 2000 .

[76]  A. Sohal,et al.  The relationship between TQM practices, quality performance, and innovation performance: An empirical examination , 2003 .

[77]  Hongyi Sun,et al.  An empirical study on quality management practices in Shanghai manufacturing industries , 2000 .

[78]  J. Kimberly,et al.  Organizational innovation: the influence of individual, organizational, and contextual factors on hospital adoption of technological and administrative innovations. , 1981, Academy of Management journal. Academy of Management.

[79]  Albert N. Link,et al.  An Analysis of the Composition of R&D. Spending. , 1982 .

[80]  John Bessant,et al.  Managing Innovation: Integrating Technological, Market, and Organizational Change, 2nd Edition , 2001 .

[81]  Nagesh Kumar,et al.  Firm size, opportunities for adaptation and in-house R & D activity in developing countries: the case of Indian manufacturing , 1996 .

[82]  Sanjay L. Ahire,et al.  Development and Validation of TQM Implementation Constructs , 1996 .

[83]  D H Gustafson,et al.  Findings of innovation research applied to quality management principles for health care , 1995, Health care management review.

[84]  W. J. Vrakking,et al.  The innovative organization , 1990 .

[85]  J. Galende,et al.  Internal factors determining a firm’s innovative behaviour , 2003 .

[86]  Larry Willmore,et al.  Technological Imports and Technological Effort: An Analysis of Their Determinants in Brazilian Firms , 1991 .