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Total quality management, high-commitment human resource strategy and firm performance: An empirical study

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ROUTLEDGE JOURNALS, TAYLOR & FRANCIS LTD
DOI: 10.1080/1478336042000309875

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high-commitment management; financial performance; interaction effect; total quality management

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The literature on TQM widely accepts that the success of TQM is guaranteed when responsiveness for quality is extended throughout all the levels in the organization. For this reason, social aspects are given greater consideration during the implementation of a TQM strategy. Numerous authors in the field of TQM have recommended human resource practices that theoretically best shape a quality culture. A high-commitment strategy represents the system that draws from these suggestions. As far as this approach guarantees employee commitment towards quality goals, it can be expected that the influence of TQM on organizational results will be greater when its implementation is supported by a high-commitment strategy. In a sample of 222 Spanish service firms, we found a significant interaction effect between TQM and a high-commitment strategy on financial results. That is, a high-commitment strategy acts as a moderator variable between TQM and organizational performance.

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