How do TQM’s critical success factors affect organisational performance? A configurational approach

Purpose

– This paper aims to illustrate a possible combination of critical success factors (CSFs) that best enhance firm performance and compare configurations of CSFs in ISO-9001-2015 certified and non-ISO firms in Bangladesh.

Design/methodology/approach

– The study sample comprises individuals from the service and manufacturing sectors and ISO-9001-2015 certified and non-ISO firms. We have collected data from 229 respondents from 134 firms, including 64.5% from ISO-certified and the remaining 35.5% from non-ISO-certified categories. In this exploratory study, we performed a fuzzy-set qualitative comparative analysis (fsQCA) to identify the combinations of success factors that enhance performance.

Findings

- The Results of this study capture the causal complexity surrounding the CSFs and firm performance. We found six configurations for ISO firms and five for non-ISO firms that enhance firm performance. Besides, the necessary conditions for firm performance of ISO firms slightly differ from those of non-ISO firms. Thus, the empirical results highlight the importance of equifinality and complementary relationships between conditions relating to quality management systems to increase firm performance. A significant difference was found between ISO-9001:2015 certified firms and non-ISO firms.

Research limitations/implications –

A significant limitation arises from the sample’s inclusion of only Bangladeshi firms; a cross-cultural study could add new dimensions to the configurations. Understanding how these CSFs vary and need a longitudinal approach is essential.

Originality/value

– Our configurational approach provides new insights into the complex dynamics of eight CSFs with a holistic approach. Instead of focusing on the additive linear net effects of CSFs on firm performance, we explain how the CSFs of TQM implementation combine into multiple combinations. By doing so, we show multiple equifinal pathways to firm performance.