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CHAPTER II

REVIEW OF LITERATURE

The review of literature in the present study serves two purposes. It is

important to have an overview of existing research in order to establish a good

base in understanding the TQM concept. On the other hand, one of the objectives

of this study is to analyse the various aspects of the employee’s involvement in

TQM programme. The review of literatures in the present study has been divided

into five distinct research domains. These studies, including contributions to

multiple categories, are listed according to the main objectives of the study.

(1) Historical analysis of the development and diffusion of the TQM concept

(2) Empirical studies on implementation of TQM

(3) Studies concerning employee attitude towards TQM

(4) Studies concerning the various aspects of employee involvement in TQM

(5) Studies concerning change in organisation culture and TQM

The researcher focuses on the main studies involved in each category and

the overall contribution of these studies to the practical development of the TQM

concept. The extent of TQM related research makes a comprehensive review

impractical. The main emphasis is placed on studies published in highly regarded

TQM research journals, but few insightful articles in sociological oriented

literature are noted.

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2.1 Historical analyses of the development and diffusion of the TQM concept

This stream of review focuses on the early development of the concept of

TQM and it provides the core foundation for contemporary TQM. The purpose of

focusing on historical analysis is to understand the emergence of the concept and

how TQM has been shaped since the late 1980’s by various forces in India.

Juran’s (1996)1 analysis on the history of TQM starts from the pre-

industrial age, covers the development of TQM concept and gives a prognosis

about the future of TQM. The most relevant articles for the research consider the

evolution of TQM from Quality Control. The origin of TQM is generally

considered to be Japanese industry practices, which were heavily influenced by

Deming and Juran.

Dale et al. (1998)2 provides a good overview, which also includes the

development path from quality control to TQM and clarify the different

definitions employed by academics and practitioners. Feigenbaum and Ishikawa

are perhaps the greatest contributors to the development of the term. The other

recognised quality management gurus such as Crosby, Deming and Juran have

shaped the dimensions, practices and mechanism which underpin the concept,

but it is noted that none of these three actually uses the TQM term. TQM started

to be used in the mid- 1980s and only became a recognized part of the quality

related language in the late 1980s. The name TQM was first suggested by Nany

Warren, a behavioural scientist in the United States Navy.

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Jagadeesh (1999)3 presented an overview of TQM’s progress in India

starting from its initiation to its current status and also describes how the

organizational attempts by various agencies enabled the establishment of TQM

culture. For that purpose, he analyzed the surveys conducted by the researchers

and business publications in India. He mentioned that initiatives first set by the

Confederation of Indian Industries (CII) in the early 1980s, was the pioneering

efforts in promoting awareness about quality among Indian industries. Further

analyses show that the Indian industries and business people are showing a keen

interest in improving the quality of products through TQM. It was actively

propagating through a variety of training and educational programmes. Further

he suggested the requirements for quality to succeed in Indian organizations.

Such as focus to customer and quality, enforcements of standards, avoidance of

multiple grading of quality and improvement in the services.

An exclusive coverage on the development of TQM concept in the sea

food trade published in the Financial daily (2001)4. For the sustainable growth of

seafood trade from India, the introduction of the TQM concept has been

sanctioned by the Indian Council of Agricultural Research to the Cochin

University of Science and Technology (CUSAT). The TQM concept

implemented in the seafood processing plants, involves evaluating the processing

and packaging operations of seafood and to evaluate the quality cost involved in

their production and marketing. It was aimed at developing quality management

models and systems appropriate for sustaining the international trade and at the

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same time for domestic markets. The models and systems developed to improve

the conditions of processing and marketing of fish and fish products would be

communicated to all concerned and training programmes would be organized

jointly by ICAR and CUSAT in all major processing centres.

An article by Jamshed Siddiqui and Zillur Rahman (2007)5 gives a

detailed description of the introduction of TQM for the Information Systems (IS)

in India. They evaluated the extent of their relationship in terms of awareness and

utility. The study indicates the TQM awareness amongst IS professionals and

TQM benefits for IS functions such as improved customer satisfaction, enhanced

quality of products and services delivered to the customer, and increased

flexibility in meeting the customer demands. However, regarding the perception

of implementation of TQM concepts for IS functions, listening to the customer

topped the list, followed by employee empowerment, continual development and

then top management leadership. Other tools/concepts likely to be implemented

are identifying the customer, group decision making, process analysis,

benchmarking, statistical process control and concurrent engineering.

Historical analyses provide us with a deeper understanding of the original

scope and context in the applications of quality concepts and development of

TQM concept in India. Usha Manjunath et al. (2007)6 studied the diffusion of

TQM concept in south Indian hospital industry by using the Malcolm Baldridge

National Quality Award (MBNQA) criteria. The study identifies critical factors

for better framework to implement quality practices and measure performance in

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hospitals. The study has important implications beyond the hospital industry

because the same processes have influenced the development of the discipline

since its foundation in repetitive manufacturing environment. The gestation of

most TQM approaches, values and principles was in a repetitive manufacturing

environment, where it was applied in a more focused manner to control technical

oriented production processes.

Rajan (2008)7 studied diffusion of TQM concept in the Cheruvannur-

Nallalam Grama Panchayat in Kozhikode district as a tool for attaining good

governance. The Grama Panchayat proved how TQM could be adapted to a local

government situation and implemented for effective public administration.

Perhaps, this is the first Panchayat in Kerala or in India to apply TQM for

improving the service delivery system. With the introduction of TQM, order is

maintained in the Panchayat office. The budgets are made realistic, accounts are

updated, record management is in place, diary system for staff is in practice,

movement of files is recorded and office appearance is improved. These steps

have resulted in improving the morale of the staff, elected representatives and the

clients. The evils of bureaucracy and red-tapism are brought down. The

Panchayat is now able to ensure quality and timeliness in delivery of services.

Objectivity is also assured in the delivery of services. Hearing about these

changes, the Panchayats from nearby areas have started enquiring about TQM.

The more important is the attitude change and willingness of the members and

other functionaries towards TQM.

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The diffusion of TQM concept in different sectors in India shows that ,

TQM is applied not only for manufacturing industries, but it is applied to any

type of industries in regard of its size and type of activities. The ultimate goal of

the TQM concept is to create quality consciousness to each and everyone in the

organisation.

2.2 Empirical studies on implementation of TQM

This stream of review focuses on the implementation of TQM concept in

the organisation. The implementation strategies followed by the various

organizations are analysed. Robin Mann and Dennis Kehoe (1995)8 studied the

characteristics of an organization which affect the implementation of TQM. He

used the terms ‘quality activity’ (to describe a distinguishable tool or method

used for quality improvement) and ‘Quality Critical Organizational

Characteristic’ (QCOC) (to describe a characteristic that influences the

effectiveness of a quality activity. For example, the level of education of

employees, the organization’s management style, etc). Structured interviews

were undertaken at 21 leading TQM organizations. Interviews involved the

‘steerers’ and ‘planners’ of TQM and investigated the factors affecting the

success of TQM and other quality activities.

A detailed analysis of the study shows that approximately half of the

companies had entered the operational stage of TQM and of these most had only

recently completed the implementation. The results reveal that the management

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style and shared values of the organization were the most commonly reported

primary factors of QCOC. Further, the most commonly reported secondary

factors of QCOC were the management board’s attitude to change, and trade

union support. Finally they mentioned that the following QCOC factors were

identified in the study organization: Process factors, Type of employees, Shared

values, Management style, Organizational structure, Number of employees,

Industrial relations and Quality development. The authors recommended that

companies which experiencing a high implementation difficulty recommended

that the management board play a more prominent role in the implementation.

This may take the form of the management board being involved not only in the

steering of TQM but also in its management on a daily basis. This may require its

involvement in lower-level teams, education and training and recognition

activities.

Gunasekaran (1999)9 in his research paper discussed the major enablers

and proposed a framework in the successful implementation of TQM in a

manufacturing company. By applying case study method, structured

questionnaires were used to collect data from the employees and staffs on TQM

implementation. The results of the study show that communication between

managers/supervisors and staffs being seen as the major enabler in the

implementation of TQM. However, this is not as good as they should achieve at

the case study organization. The major observations are that the lack of internal

communication, training and attitudes towards their work need to be improved by

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changing the culture of the company. Managers need to possess skills to

communicate and motivate all the employees in the team. Finally, the author

proposed the framework for the implementation of TQM in a manufacturing

company with some basic points concerned with the cultural and behavioural

issues of the TQM implementation process.

Yusof and Elaine (2001)10 studied the implementation of TQM in small and

medium-sized automotive enterprises in UK. Further, the study developed the

framework for the TQM implementation. The study analyzed how the company

had implemented TQM and why had the company chosen the particular

approach. In addition to these, the study also investigated the feasibility of the

proposed implementation framework in terms of its strengths, weaknesses,

simplicity, practicality, etc. This was the study conducted in ten automotive

companies implemented TQM by applying the case study approach. At the end

of the case study, the companies were classified as either ``TQM’’ or ``lesser

TQM’’ companies. A TQM company was defined as one that had achieved an

advanced level of TQM adoption whereby many of the different quality

initiatives are implemented and the number of years for implementing these

initiatives is longer. ``Lesser TQM’’ companies were those that had much fewer

initiatives implemented, and were still at an early stage in their quality journey.

The basis on which they were judged was on the case study results, observations

at the premises, and on their actual progress after implementing these activities,

especially with regard to the outcome of the quality initiatives, such as reduction

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in rejects (e.g. parts per million). The case study results show that there are some

similarities in the approaches adopted by the companies and it classified three

main areas, namely:

(1) People focus as the vehicle for cultural transformation;

(2) QS 9000 as the major system for achieving quality improvement; and

(3) Continuous and progressive implementation of initiatives based upon

resource availability.

To show the differences that exist between them, ‘TQM companies’ are

those that have implemented a broad range of quality initiatives tools with longer

years in implementation, while ``lesser TQM companies’’ are the ones which

have shorter experience and have adopted fewer initiatives. Finally, the authors

recommend that the guidance and baseline to gauge the level achieved by the

case study companies should take as reference and then formulate strategies to

move forward towards TQM.

Hansson and Bengt (2003)11 studied small organisations in Sweden, which

successfully implemented TQM. A multiple case study of nine organisations in

Sweden are selected to study the TQM implementation processes. Three different

data collection methods have been chosen: interviews, documentation collection

and to a certain extent direct observations. The interview questions were related

to the organizational implementation process and the actual quality development

work started to the point of receiving the award. The comparison between the

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cases shows that there are significant similarity in the core values such as

committed leadership, everybody’s commitment and customer orientation while

implementation process. The study further indicated that some of the core values

were problematic to implement in the organization, from that one similarity

between the cases is process focus. The authors analyzed the cases and various

literatures and developed model structure in three phases for implementing the

TQM in the small organizations. Finally they concluded that core value-based

model consisting of the three phases is an overarching recommendation for how

to implement TQM in small organizations.

To know the state of quality management efforts in the Indian service

sector, and its impact at a firm level studied by Banerji et al. (2005)12. They used

the questionnaire contained 69 items that addressed Quality Management (QM)

practices used by organizations, QM outcomes and organizational information.

The target sample for this study was a convenient sample drawn from executives

attending management training at a leading Management Institute in India.

Regression analyses were used to assess whether interventions associated with

quality affected firm performance as measured by improvements in quality of

products and services relative to the industry, profitability compared to the

previous year, and productivity relative to competitors. Quality interventions

were categorized as participation, training, compensation, quality meetings,

measurement, benchmarking and quality strategy. The findings of the study

found that certain quality management practices had a significant impact on firm-

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level performance in terms of quality, profitability and productivity. For instance,

compensation and performance appraisal linked to quality were found to be

motivating to middle managers; leadership from senior management was seen

through their interest in linking profitability to quality; the importance of training

and quality related meetings is visible; and continuous improvement and

benchmarking techniques, are being used as ways of learning to improve quality

of services

Yang (2006)13 investigated the relationships between HRM practices and

TQM practices, the relationships between HRM practices and quality

performance and the effect of HRM practices on the implementation of TQM.

The questionnaires were sent to 300 high tech companies located in the Science-

Based Industrial Park in the so-called ‘Silicone Valley’ of Taiwan. There were 62

valid questionnaires in the 64 responses, representing a response rate of 20.66 per

cent, which is moderate given a relatively lengthy questionnaire. The results of

the study on the effect of various HRM practices on individual TQM practices

show that the implementation of HRM has a positive and significant effect on the

performance of TQM except the practice of ‘employee relations’, which has a

tiny influence on all TQM practices.

The effect of HRM practices on the implementation of TQM show that the

greatest influence on the implementation of TQM was the practice of ‘training

and education’, followed by such practices as incentive compensation, employee

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development, and recruiting and selection. In the implementation of many TQM

programs – such as the adoption of new quality concepts, the set-up and practice

of customer satisfaction systems, the use of Statistical Quality Control (SQC), a

change in culture, and Quality Control Circle (QCC) – employee training and

education was fundamental. TQM emphasizes employee involvement and

teamwork, and this was encouraged by a good incentive system. The effect of

implementation of HRM on quality performance depicted that performing HRM

practices can have significant effects on employee satisfaction and customer

satisfaction. HRM also positively affects employees’ quality awareness and

company image – which were also key factors in performing TQM and attracting

customers. The author concluded the study as the practices of ‘training and

education’, ‘incentive compensation’, and ‘employee development’ produced the

greatest influences on TQM. The HRM implementation significantly affected the

TQM practices of ‘culture change and development’, ‘customer satisfaction

management’, and ‘statistical quality control’ to a greater extent than the other

TQM practices. The study also analyzed the effects of HRM and TQM on quality

performance. Both HRM and TQM significantly affected these quality

performances, especially with regard to ‘customer satisfaction’ and ‘employee

satisfaction’. Finally he comments that HRM and TQM combined to give total

quality and organization performance.

Kakkar and Narag (2007)14 studied the implementation of TQM concept

and its impact on the Indian organizations’ overall performance. This study also

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aims to prescribe a TQM model for Indian organizations in order to maximize the

impact of TQM with predefined concentrated efforts. A questionnaire survey was

conducted by using convenient sampling method. The questionnaire consists of

11 Contributing Variables and nine Contribution Variables. The results of the

study reveal that more than 20 percent of the variance comes from factors related

to quality improvement through cost and waste reduction, resources conservation,

etc. This is expected, as the quality of the product and the process leading to it

are the topmost characteristics of TQM. Safety also comes under this category.

The second and third components contribute almost equally, and these are

related to the customers and employees of the organization, including the top

management. The fourth component involves both the suppliers and has a strong

emphasis on team building and human resource development. The focus on

widespread employee involvement in improvement through teams, the emphasis

on employee development through training and the deployment of systematic

fact-based decision making, driven by objective data and information, is also

clear from these components. Finally the authors proposed that TQM in Indian

organizations can be summed up in four components i.e. Process and Efficiency,

Customer Focused Performance, People Management and Team Building and

Business Partner Development. These four components are the four basic pillars

of the Indian TQM movement. These pillars are to be strongly built in the

organizations’ operations structure to maximize the impact of TQM on the

performance of the organizations.

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Karuppusami and Gandhinathan (2007)15 assessed the status of quality

management in Indian industries. The survey based on Visual Basic (VB)

software has been developed for collecting responses through e-mail and internet

to meet the respondent’s convenience of answering and also for a faster response

rate. Three hundred e-mails with the survey questionnaire file attached were sent

to selected ISO 9001 certified companies in India. A total of 104 responses were

received and were analyzed using the SPSS statistical package. The analysis

indicates that top management in Indian manufacturers expressed a high

commitment to quality management. Managers had strong quality awareness and

were willing to take responsibility for quality improvement. Further the study

found that Indian manufacturers provide enough on-the-job training in quality

management for employees. Most Indian manufacturers have implemented

effective quality management programmes and have set clear specifications for

their products and services.

The above review on implementation of TQM covers the various points to

be considered while implementation of TQM concept. Further, it covered the

successful factors for implementation of TQM concept. Some of the studies

conducted in India pictured the quality management practices adopted in the

organizations.

2.3 Studies concerning employee attitude towards TQM

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This stream of review focused on the attitude of the employees towards

the implementation of the TQM concept. Zeitz (1996)16 studied employee

attitudes toward TQM implementation in a government service agency. Data

were collected by using questionnaire method, interviews and personal

observation. The analysis reveals that middle managers are found to have

relatively positive views of TQM because of the higher level of TQM training

that managers received. Clericals with positive attitudes choose training and

course instruction further enhances their attitudes. Employees have favourable

comments about the other features of TQM, including increased employee

empowerment, properly run teams and closeness to consumer. A large number

think TQM is an excellent idea implemented in the organisation. Finally, the

author expressed that the types of activities that TQM brought them, such as

group discussion and report preparation, were more consistent with their existing

work responsibilities and style and thus less diverting from their real work.

Guimaraes (1996)17 in his study assessed the impact of TQM on employee

task characteristics, career satisfaction, job satisfaction, job involvement,

commitment to the organization and intention to leave. The author in this study

hypothesized that turnover intentions would be lower after TQM. The study was

conducted in chemical manufacturing plant located in the south eastern portion of

the USA. The data was collected before and after TQM implementation by using

survey questionnaires. As an exploratory nature of the study, to test the proposed

hypotheses, two tailed t-tests were used to identify any differences in turnover

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intentions and its determinants before and after the TQM changes, for the 73

employees in both groups. The results reveal that the career satisfaction, job

satisfaction, job involvement and organization commitment are determinants of

employee turnover intentions in the study organization. Analysis shows that job

involvement, job satisfaction, and organizational commitment are higher after

TQM. The study concluded that employee turnover intentions are lower after

TQM. On an average, the TQM has significantly increased the level of job

satisfaction, job involvement, organizational commitment and intention to stay

with the organization among employees. Finally, the results show that TQM does

have a significant impact on personnel attitudes towards their jobs and their

organizations.

A study by Langan-Fox et al. (2002)18 investigates attitudes and perceptions

of various aspects of employee participation in TQM programmes. The study

conducted in a government business enterprise in the communications industry

of Australian State, which had a total of 10,000 employees. The sample consisted

of 388 employees including shop floor workers, supervisors and executives.

Questionnaire method and series of personal interviews were adopted to collect

data. The findings of the study shows that managers had a more positive attitude

than other workers toward employee participation and the shop floor workers

reported less personal support for employee participation and perceived less

organizational support for participation. Further the results reveal that those who

have prior experience in an employee participation team tend to perceive that

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they have more status and influence and to have more commitment to

participation. Such an effect was not found for those with teamwork training,

suggesting that confidence and commitment may come only after the employee

has been fully immersed in the participation process. Finally the authors suggest

that organizations need to ensure that there is carryover (transfer) from training

to workplace. Further, training design needs carefully to focus on the link

between training and on-the-job tasks, and what can be planned during training

which will ensure skill and motivation transfer.

Glover and Mike (2005)19 studied shop-floor employees’ responses to TQM

initiatives. By applying case study method the data were collected by using semi

structured interviews, questionnaires and documents. The analysis reveals that

shop-floor workers were broadly receptive to the promise of TQM and principles

associated with it. Involvement in problem solving was perceived not only as

having the potential to create more interest from work, but also as a way of

ironing-out irritating glitches in production and fostering closer working

relationships. Finally the authors stressed the importance of effective

communication both about day-to-day activities and in receiving information

about the state of the business. The majority of workers interviewed expressed

interest in opportunities for training and development and stated a preference for

a management style that encouraged mutual respect and celebrated achievement.

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Boon et al. (2005)20 seeks to investigate the effects of soft total quality

management (TQM) on employees’ attitudes, namely job involvement, career

satisfaction, and organizational commitment. Also, this research attempts to

identify and investigate areas of prominent improvement in employees’ attitudes.

Data were collected from employees within various departments of a large TQM

prize-winning (i.e. Quality Management Excellence Award) semiconductor

subcontracting organization located in the state of Perak, Malaysia. Out of the

300, 230 questionnaires were returned. The SPSS program was used for the

questionnaire data analysis. The analysis reveals that a positive perception of

individual employees on the soft TQM concepts leads to a higher level of

employees’ work-related attitudes Thus, soft TQM has a significant impact on

employees’ attitudes, namely job involvement, career satisfaction, and

organizational commitment. Broadly, the results provide empirical support for

the essential role of soft TQM in positive attitudes and perceptions in the

workplace. The result of multiple regression analysis confirmed that all of the

employees’ attitudes variables were significantly related to the perception of soft

TQM. The impact on perceptions of soft TQM was largest for career satisfaction,

on the overall, employees reported higher job involvement, career satisfaction

and commitment to the organization, within their organization.

Karia et al. (2006)21 examined the impact of TQM practices on employees’

work-related attitudes in the Malaysian setting. More specifically, it examines

employees’ job involvement, job satisfaction, career satisfaction, and

organizational commitment as a result of TQM practices. Five public-sector

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companies and five private-sector companies were randomly selected and

questionnaire survey was used for data collection. The questionnaires were

distributed to employees of various levels and functions within their

organizations. The results of the study shows that, on the basis of the correlation

analysis, ‘training and education’, ‘empowerment and teamwork’, and

‘continuous improvement and prevention’ have a significant positive correlation

with ‘job involvement’, ‘job satisfaction’, ‘career satisfaction’, and

‘organizational commitment’. These aspects of ‘job-related’ attitudes are thus

enhanced as TQM practices increase. It is recommended that human resources

departments should review and enhance the motivation, training, and retention of

good employees, and that unions and employees should support the concept of

TQM. They concluded that TQM practices encourage employees’ participation,

promote empowerment, recognize that employees play an important role in

achieving the organizations’ objectives, and treat employees as primary resources.

Finally he summarized that TQM practices enhance job involvement, improve

the level of job and career satisfaction, and encourage greater organizational

commitment.

Macky and Peter (2007)22 in their research paper, investigated the

relationships between commonly cited High Performance Works (HPWS)

practices and a cluster of important employee attitudes: job satisfaction,

organizational commitment and trust in management. This paper also aims to

examine associations between an index of HPWS practices and the employee

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attitudes, as a test for additive relationships. The research design for this study

involved a cross-sectional, self-completion postal questionnaire administered to a

national sample of employees by using random sampling method. The results

indicate that a significant but weak correlation was found between organizational

size and employee trust in management and behavioural commitment.

Employees in larger firms are slightly more likely to report lower levels of trust

in their managers and stronger intentions to remain. Employees in larger firms

are also more likely to report experiencing more high-performance work

practices, while older workers report fewer. Further, it is clear that job

satisfaction, trust in management and organizational commitment are not

independent of an employee’s exposure to high-performance work practices,

even after controlling for the variance common to these attitudinal variables. The

direction of the parameter estimates for age in relation to trust in management

and organizational commitment indicate that older employees are more likely to

trust their managers. They suggested that adding more HPWS practices should

lead, via job satisfaction and thence, both directly and indirectly through

increased trust in management and affective commitment, to employees having

stronger intentions to remain with their employer.

The study conducted by Alexandros and Wilkinson (2007)23 investigated

the hidden agenda of managers’ attitudes towards the adoption of TQM. The

qualitative research methodology was followed based on semi structured

interviews with managers working in Greek public and private organizations.

The research findings of the study shows that Greek managers are aware but do

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not fully understand ‘soft’ TQM principles and, consequently, do not apply them

in their day-to-day work. The ‘hard’ side of TQM is seen as the key to

organizational performance and processes. Regarding the awareness of TQM

managers from both sectors had negative responses in the ‘soft’ side of TQM. In

managers’ minds ‘soft’ TQM principles are of little importance, and ‘hard’ TQM

is seen as being critical for both sectors of employment although familiarity and

use of TQM techniques and tools is lower in the public sector. In conclusion,

there is a strong belief shared among managers working in both sectors of

employment that TQM may have some potential to succeed, but this only relates

to the ‘hard’, technocratic side. In contrast, ‘soft’ principles and ideas are not

seen as overcoming a well-established autocratic and power-oriented business

culture.

The reviews in this stream covered employee’s responses to TQM

initiatives, factors influencing attitude of the employees in TQM programmes

and the impact of TQM on employee. The studies show that initial attitude of the

employee is to be considered very important in the implementation of the TQM

concept. Further it reveals that job satisfaction, team work, and organizational

commitment influence the attitude of the employee in TQM initiatives.

2.4 Studies concerning the various aspects of employee involvement in TQM

This stream of review focuses studies on various aspects of employee

involvement in TQM initiatives. The proponents of TQM believe that if

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organizations will change their management systems to be more participative by

involving employees in problem solving, decision making, and strategy

formulation it will improve their performance. It has been found that

organizations with a commitment to employee involvement also have a

commitment to total quality. However, when both of these two elements are not

there, any TQM programme is bound to fail.

Magjuka (1993)24 in his study identified the employee involvement

programme design and administration issues that contribute to continuous

improvement. The researcher collected data through mailed questionnaire to

employee involvement programme administrators in the manufacturing firms. By

analyzing the responses the author identified ten themes that influence the

effectiveness of the employee involvement programme teams in TQM

environments. The ten dimensions of employee involvement processes are

addressing employee involvement team, team staffing policies, team membership

status, resources allocating for teams, training, access to information, rewards,

link between the employee involvement efforts and performance management

systems, goal setting practices and team leadership. The survey results provide a

framework for examining employee involvement design and administration.

These programmes are linked tightly to continuous improvement strategies,

employee involvement becomes a necessary part of the corporate culture. Further

the author comments that these 10 themes provide the human resources

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practitioners with a road map for developing training programmes for managers

and workers on employee involvement and TQM practices.

O’Brien (1995)25 investigated the contribution of employee involvement

and commitment to quality performance in British Industry. The main objective

of the study is to analyze the key structural factors which have a direct bearing on

employee commitment, such as job mastery, the reward system, levels of job

responsibility and the condition of local labour markets, to identify and measure

employee commitment and to compare the behavioural analysis with measurable

evidence of quality achievement. The study was based on detailed observation

and data collection by using questionnaire to examine quality awareness and

impact as well as employee commitment to quality in the organization and the

work team. The findings of the study showed that employees are willing, even

enthusiastic, to contribute to process improvement initially as a matter of pride,

and perceiving themselves to be ‘quality employees’. Further it demonstrated a

high level of job involvement (85 per cent feel satisfaction with a job well done)

– based on their own individual performance, rather than the performance of their

team. Relationship to the organization generally, and senior management in

particular, is significantly affected by persistent ‘us and them’ perceptions across

the whole sample. Finally the author concluded that, employees agree to be co-

operative and participate in new process improvement programmes in terms of

intellectual and affective contribution. To become committed to quality or any

form of process improvement persistently over a long period of time, however,

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requires a higher level of personal involvement. This research has begun to

explore some concepts which are relatively new to the work environment.

Collinson, et al. (1998)26 in their study explored the extent and nature of

employee involvement in quality initiatives under unionized environment and the

contextual factors shaping the degree of employee involvement. The study was

conducted in six organizations which implemented TQM concepts and

questionnaire survey was used to collect responses. The results show that, all the

organizations could claim distinctive benefits from their quality programmes.

Employees are favourable to quality initiatives and felt their own level of

involvement in problem solving has increased. Further the results show that

training in quality concepts, teamwork and increase in communication by

management with employees are associated with the favourable views of quality

initiatives. Increased trust on management, satisfied job, job security and increase

in the level of motivation are the outcome of the quality initiatives in employee

involvement programme. Finally the authors concluded that the existence of

strong cooperative relationships with the relevant unions eased the acceptance of

TQM in the study organizations.

The study by Silos (1999)27 demonstrated the effectiveness of the TQM

concept of employee involvement in a problem-solving situation. In this study

the research question is whether the use of an employee involvement team in a

problem-solving situation yields better and longer results compared to traditional

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problem solving by management alone. The study conducted in public sector

organization by applying case study method and comparative analysis by using

Line Production system. The outcome of the study showed that the results of the

employee involvement team were measurably greater than the results of

traditional management intervention in solving the stated problem. The results of

the study also showed that participatory management, teamwork and regular

meetings among the workers leads to more employee involvement.

Coyle-Shapiro (1999)28 examines the process of employee involvement in

implementing TQM by using a longitudinal research design. This study was

conducted at U.K.-based engineering and electrical components industry by

using questionnaire method to collect data. The results show that supervisors

have a positive role to play in getting employees involved in TQM. The extent of

employee involvement is positively related to the assessment of benefits of TQM.

Furthermore, how employees assess the beneficial impact of TQM is more

important in predicting subsequent participation in TQM than is their initial

participation. Finally, no relationship is found between employee participation in

TQM and organizational commitment.

Shapiro (2000)29 in his study explored the relationship between the way in

which organizations implemented TQM to gain commitment for employee

involvement from diverse members of staff. The author argues that employee

involvement promoting the team structures and encouraging staff to use their

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experience and creativity to contribute to organizational improvements. He

highlights the differences that exist between staff for example, in their functional

specialism, hierarchical level and educational background. This paper also

highlights how the lack of managerial skills and capabilities may lead to

employee involvement opening a diversity ``Pandora's Box'' within many firms,

which in turn may lead to involvement gaps occurring. The term ``Pandora's

Box'' is used here as a metaphor in order to highlight the issues of diversity

management that may arise as a result of pursuing employee involvement

initiatives within firms.

This study adopted a qualitative research design, with in-depth semi-

structured interviews from 14 organizations across eight European Union

Members States. The study was designed to take into account the perspectives of

employees at various levels throughout the organization and to include trade

union representatives. Overall between 15 and 25 interviews were conducted in

each firm. The results of the study indicate an interesting relationship between

the development of employee involvement, the exposure of employee diversity

and an organization’s capability to positively manage diversity. The

involvement-diversity relationship implies that unless organizations take explicit

consideration of the differences that exist between employees in terms of their

needs and aspirations, they will have difficulty in meeting key corporate

improvement objectives. Finally, the author comments that in order to positively

manage diversity and to ensure all employees are able to use their full skills and

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abilities, changes in the approach of management to be considered. Further he

comments that if the current trend is reversed, employees should bring their

outside skills and identities into the workplace.

Hongyi Sun et al. (2000)30 investigated the empirical relationship between

Employee Involvement (EI) and TQM. He views EI as that the people closest to

a problem or opportunity are in the best position to make decisions for

improvement if they have control of the improvement process. The study is based

on a survey of 180 manufacturing organisation in Norway. By using the

questionnaire method, which covers questions related to employee involvement

and people satisfaction.

The study revealed that EI is positively related to various aspects of

quality management and the results suggest it should be implemented in

combination. In order to participate in the business, employees at all levels must

have power, information, knowledge and rewards all of which should be

incorporated in quality management programmes. Increased involvement means

more responsibility, which in turn requires a higher level of skills. Training

should be provided to allow employees to attain higher skills and should include

training in both techniques and managerial skills in decision making, leadership,

team building. The study concluded that to implement the employee involvement,

management needs to have a new attitude towards employees and they should be

provided with the necessary authority, information, skills, and reward.

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The study conducted by Preuss and Brenda (2002)31, examines the effect

of employee involvement and job insecurity on employee satisfaction and

commitment. . The study was conducted among hospital workers across seven

occupational groups within a single metropolitan region in the United States. The

findings show that employee involvement has direct effects on employee

outcomes. Enhanced employee involvement within the unit is correlated with

higher satisfaction and commitment, although this depends on the form of EI in

workplace. Further, findings indicate the employee perception of management

effort to maintain employment security, however, is based on past downsizing

within the organization, thus raising the potential that continued downsizing will

increase insecurity and therefore will decrease both employee desire to

participate in decision-making, as well as employee satisfaction and commitment

to the organization.

Sasmita Palo and Nayantara Padhi (2003)32 examined role of training and

its effectiveness in successful implementation of TQM concept in a leading

Public sector enterprise in India. They collected data by using structured

questionnaire from the employees selected on the basis of stratified random

sampling method across the levels and department of the study organizations.

The findings of the study indicate that there was a significant relationship

between TQM training with teamwork and skill development. The results also

implied that TQM training has not reduced the stress level of employees

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associated with TQM Implementation. Further, the analysis reveals that sufficient

training was not provided to employees to manage and improve their

communication competence, which constitutes the very essence of TQM. Finally

the authors concluded that training is an effective medium of creating awareness,

developing organizational communication, competence building, generating

enthusiasm and commitment for effective TQM implementation.

Tonnessen (2005)33 studied the participatory approach in improving the

companies’ innovative ability. A case study approach has been used. The study

was conducted in ten companies situated in the western part of Norway. Both

large companies and small to medium-sized enterprises are represented. The

findings of the case studies showed companies need a systematic process for

continuous improvements like TQM. Further it reveals that a better utilization of

the potentials of company wide employee participation in innovation gives

efficiency as well as working environment improvements. Employee

participation in innovation should take place in the immediate work situation

where employees may make improvements without having to ask or involve

others – ‘self determination’ and through proposing changes or improvements

through management or staff – ‘line of command’.

Subathra Vellapan et al. (2006)34 studied the relationship between TQM

practices and employees' propensity to remain within a large Malaysian

semiconductor packaging organization. By using self-completed questionnaires,

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230 responses were collected within the organization. The results revealed that

customer focus, organizational trust, organizational communication, employee

involvement and empowerment are positively associated with employees'

propensity to remain. It is also found that organizational trust was the decisive

factor in determining the success of the increased propensity to remain amongst

employees within the organization.

Finally, the authors suggested that the top management in the organization

should conduct formal TQM programs for all new employees and provide their

existing employees with continuous formal training program (on-the-job as well

as off-the-job) in order to gain employees’ commitment and subsequently reduce

their turnover rate.

Ehrlich (2006)35 studied the instruments measuring the motivational

aspects of the employees based on the EFQM model criteria. There are nine

criteria in this model, of which the two are concerning the employees of an

organization. Criteria three, in which an organization describes the measures it

has taken to improve their Human Resource Management, and Criteria seven, in

which it states the results in respect of their employees. These results can be

divided into results measuring satisfaction and motivational aspects of the

employees. To measure the employee motivation at work based on the above

criteria, the author used ‘cognitive motivation model’ by Heckhausen and

Rheinberg. This model describes central ‘expectations’ of employees with a vital

114

influence on the motivation of employees. Based on this theoretical approach, the

author identified the six motivation potentials such as

1. Clearly defined areas of responsibilities

2. Employees’ conception of optimal work-results and appropriate measures

to reach them

3. Consideration of employees’ positive experiences with similar work-tasks

4. Importance of work-results for subdominant goals

5. Transparent and performance-oriented incentive system

6. Opportunity of choosing between alternative extrinsic rewards

He analyzed how far these measures can be found in Criteria 3 in the

EFQM-Model. He found that there are some similarities between the stated

measures of the EFQM-Model to achieve people orientation and the described

measures to improve the motivational potentials of the questionnaire. Therefore,

he concluded that an integration of this questionnaire and its measures to

improve the motivation potentials is first of all possible and does shift the focus

of the measurements described in Criteria 3 more towards improving motivation.

Finally the author mentions that major problem of the EFQM-Model, which with

respect to work motivation has been solved by this present questionnaire.

The study by Vouzas and Psychogios (2007)36 analyzed the rationale and

the development of a measure that can be used in assessing managerial

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awareness and understanding of the concept of total quality management (TQM)

within organizations. The study was based on a survey method, which aimed at

providing a wide range of data concerning TQM awareness based on managers

working in the Greek service industry. The data collection was based on a

questionnaire, designed to investigate the awareness of above mentioned items

among the 400 managers. The findings of the study show that statistical analysis

provided a distinctive and consistent, statistical measurement of the ‘soft’ side of

TQM. This measure consists of three items: continuous improvement and

training, total employee empowerment and involvement and quality driven

culture, which represent the whole concept of TQM approach.

Keng Boon Ooi et al. (2007)37 in their study investigated the relationship

between TQM practices and employees’ job satisfaction. The authors identified

the key practices of TQM, which support an organization’s business strategy

towards the increase in employees’ job satisfaction. These elements are:

customer focus, teamwork, organizational culture, reward and recognition and

organizational trust. The study explored the relationship between these element

and job satisfaction. Data were collected from employees within various

departments of a large award-winning TQM organization in Malaysia. The

questionnaires were distributed to all employees from different job levels and

functions within the Organization. The results of this study revealed that where

teamwork was perceived as a dominant TQM practice, there was a strong

association with job satisfaction. The result implies that TQM recognizes and

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emphasizes the importance of teamwork to facilitate employees’ ability to work

together to get a job done.

The reviews in this stream covered the various dimensions of the

employee involvement process such as training, team work and participatory

management. Employee commitment in the performance improvement of the

organisation and effectiveness of participation of the employees in problem

solving are highlighted. Positive effects of employee involvement in TQM

initiatives and motivation aspects involved the employee involvement process.

Finally, awareness and understating of the TQM concept by the employees were

assessed.

2.5 Studies concerning change in organisation culture and TQM

This stream of review focuses on the efforts to change the organizational

culture by implementing the TQM concept. Company wide implementation of

the concept essentially required the change in the organisation culture especially

individual culture in terms of adaptation to the concept. Manley (2000)38

presents case study focused on TQM strategy used in the study organization,

differential effects of TQM program across positions, workplace restructuring

effort and existing power relationships. The study contributes to an

understanding of the complexities of work place transformation in professional

organization. As a case study, interview and participant observation method are

used for data collection over a 2 year of period in the 250 bed hospital. The

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author participated in the various TQM initiative programmes and meetings

organized by the hospital since its implementation.

The case study illustrates that the organization took a cost-conscious

strategy toward implementing the TQM. The complexities and dynamics of

knowledge organizations where authority must be delegated, but where

administrators are pressured to cut costs, increases revenues, improve customers

(patient) satisfaction and generally find ways to better-managed hospitals and

evaluate professionals. Further, the organization did not introduce the new

management strategy systematically, the experience was typical of many such

attempts to transform the organization is not more flexible and customer focused

entities.

The further analysis shows that the various committees and problem

solving team members unanimously praised and supported TQM. TQM training

inculcated corporatist notions of cooperation and offered mechanisms to increase

the teamwork. Many managers reported that they are able to settle disputes and

establish good working relations with other department managers. The motives

of some administrators and top managers were decidedly non-TQM in

orientation, such as blaming physician and others for team failures. The

administration’s action support less enthusiastic evolutions of workplace

transformations that predict increased centralized control. The willingness of

managers to successfully negotiate TQM projects in the organization with the

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absence of clearly specified goals resulted failure in not only in a variety of

project team results, but in a variety of assessments efforts. Finally the study

concluded that, growing concerns over the availability and cost of professional

services spark pressure to transform professional bureaucracies into more

‘businesslike’ entities. Although the employees are likely to be at the heart of

these changes, many in different organizational levels have found ways to

negotiate these transformation plans.

Coyle-Shapiro (2002)39 examined that training and education will lead to

effective change at the individual level in relation to the goals of TQM. The data

for this study were obtained from a sample of employees in two independent

production sites of U.K. automotive and aerospace industries. The results of

Study indicate that employee participation in a TQM intervention can enhance

the development of a continuous improvement orientation in tune with the

pursuance of TQM. In turn, this provides initial empirical support for training

and education reinforced through TQM practices as a lever for change. The

findings tentatively suggest that different types of change can achieve broadly

similar outcomes. While a TQM intervention may achieve attitudinal change

primarily by relying on the intrinsic motives of employees, this may need to be

supplemented in the longer term with change that carries with it extrinsic benefits

so as to help ensure the sustainability of change.

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The study by Gallear and Abby (2004)40 examines the channels that

facilitate the development of a total quality culture based on the findings of an

investigation of an international sample of organisations widely regarded as

leading exponents of TQM. Structured postal questionnaire were used to collect

data. The response shows that fourteen necessary conditions were considered to

be channels that facilitate organisational culture change in the context of a total

quality management. Three of them rated as very important directly concerned

the top management of the organization. These were leadership and vision from

the top, active and visible participation of top management, and commitment to

and promotion of the TQM concept by the Chief Executive to all levels of the

organization. Finally they suggest that although it is their immediate supervisors

and peers that employees interact with on the more regular basis, top

management perspectives can have a potentially greater influence on the

organization as a whole.

Naceur Jabnoun and Khalefa Sedrani (2005)41 investigated TQM practices,

corporate culture, and performance in UAE manufacturing firms. A survey

including 20 cultural items was distributed among the managers belongs to all

functional areas. Out of the 300 questionnaires distributed, 81 responses were

collected and factor analysis, one sample T test and one way ANOVA are used to

analyse the data.

The results revealed that UAE manufacturing firms extensively used all

these dimensions; however, customer focus and continuous improvement were

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used more than the other dimensions. Customer focus and continuous

improvement had the highest correlation coefficient with all performance

measures. Managers should therefore pay extra attention to the implementation

of this dimension, which is at the heart of TQM. Management commitment to

quality was also significantly correlated with all quality and business

performance improvements. The correlation of this dimension with business

performance can be explained by the fact this dimension includes items that tie

quality objectives to business objectives, something that contributes to business

objectives. Benchmarking was correlated to the three measures of quality

performance in addition to the business performance measure of profitability.

Training was found to correlate with quality performance but not with business

performance. Training and benchmarking should therefore be looked at more

strategically, not just as tools that may enhance quality performance.

The responses of the culture items were factor analyzed. This analysis

resulted in five dimensions: people oriented, inward oriented, task oriented,

outward oriented, and competitiveness. These dimensions were all reliable, and

they were shared within UAE manufacturing firms. Competitiveness and, to a

lesser extent, people oriented existed less than other culture dimensions in UAE

manufacturing firms. Managers should make more effort to enhance the culture

dimension of people oriented, particularly since this dimension had the strongest

correlation coefficients with most TQM practices. Such efforts may include

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training workshops for employees and managers, and certain adjustments in the

reward systems in order to reinforce the values and behaviours of people oriented.

Mosadegh Rad (2006)42 in his descriptive and cross-sectional study was to

investigate the relationship between organizational culture and TQM success in

twelve Isfahan university hospitals, Iran. Overall, this study explores the effects

of cultural values on the TQM success. A self-administrated questionnaire was

used to assess the characteristics of different dimensions of organizational culture

of Isfahan university hospitals. The questionnaire provided the basis for

describing employee’s perceptions of TQM in their hospital Organizational

culture.

This research showed that the success of TQM in organic hospitals with

stronger organizational culture was higher than Mechanistic and bureaucratic

hospitals with weak organizational culture. It seems that paying more attention to

details leads to more stability in hospitals. In a stable organization, employees

will have more collaboration, creativity and risk taking activities. All of these

will produce an organic culture, which is helpful for TQM success. This study

also demonstrates that those hospitals with high power distance are more likely

to have centralized control over decision-making that leads to failure in TQM

implementation.

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Organizational culture has a significant effect on the successful TQM

implementation. For TQM programs to succeed, a collaborative and corporate

organizational culture supported by long-term management and employees

commitment and involvement, organizational learning, innovation and

entrepreneurship, team working and collaboration, open communication, risk

taking, continuous improvement, and monitoring and evaluation of quality

should be developed.

Kumar and Shankar (2007)43 assessed how the Indian culture compares

with the cultural requirement of TQM and what aspects of Indian culture need to

be modulated so as to lead to successful TQM implementation. By analysing

various literatures the authors found that there are two cultural requirements for

successful TQM implementation: one is collectivistic culture and another is

empowering and participative style of management. However, collectivistic

society tends to be more hierarchical, i.e. high on power distance that does not

support empowering and participative style of management and thus is not

conducive for TQM implementation. Therefore, the author explains how these

two apparently contradictory cultural requirements of TQM can be dealt with in

the context of Indian culture.

For that purpose the authors compared the Indian work culture with the

Japanese work culture. The analysis shows that the common theme between the

Japanese and the Indian culture is harmony among group members and respect

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for superiors. Japan has exploited this cultural trait for TQM implementation.

The problem with the Indians is that their group affiliation is not work based; it is

based on ethnic consideration of ‘own-others’. They suggested that dependence

proneness and personalised relationship can modify the group affiliation of

Indians from ethnic to work based groups. This way, Indian TQM initiatives too

can profit from harmony among group members (collectivism) and respect for

superiors (hierarchy).

Therefore, this paper has argued against the conventional wisdom in TQM

literature that hierarchy is not conducive for TQM implementation and shown

how in the Indian context, hierarchy, operationalised through the guru-shishya

relationship based on the nurturance of subordinates can aid the learning

orientation of organizational members and facilitate TQM implementation.

Similarly, by superimposing the element of ‘equity’ on the ‘personalized

relationship’ dimension of hierarchy, in a collectivistic society like India, it is

possible to elevate the aspect of ‘personalized relationship’ between superior and

subordinate to the status of ‘individualized consideration’ dimension of

transformational leadership.

The reviews in this stream covered the changes in organizational culture

by implementation of the TQM concept. The studies reveal that organisation-

wide culture changes required in terms of top management commitment towards

quality and individual changes through training and workshops. It also reveals

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the factors influencing the change in organisation culture and conducive

organisation culture for implementation of the TQM concept.

2.6 Conclusion

The purpose of this chapter is to review the key features of the TQM

literature, to identify gaps and thereby to locate the contributions of the present

study. The reviews in this chapter are focused on the early development of the

concept of TQM, historical analysis and diffusion of TQM concept in different

sectors in India. Some of the studies conducted in India pictured the Total

Quality Management practices adopted in the organisation. Further, the factors’

influencing attitude of the employee’s in TQM programmes and various

dimensions of the employee involvement are covered. Finally, it covered the

factors influencing the change in organisation culture and conducive organisation

culture for implementation of the TQM concept.

Most of the researches in TQM are technical and management research

oriented. The researches conducted by social scientist in this field are very few.

These factors motivated the researcher to choose the topic. The most of the

studies on employee involvement in TQM are in theoretical base and covered

only few aspects of the employee involvement. The influences of social factors in

employee performance in TQM initiatives, changes in individual culture in TQM

are not covered in the previous research. In order to overcome the limitations

mentioned, the present study attempts to cover the attitude of the employee in

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TQM implementation and employee participation in TQM initiatives. The

research further analyzed the changes in workplace and personal life of the

employee.

126

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