The Relationship between TQM Practices and Quality Performance and the Role of Formal TQM Programs: An Australian Empirical Study

This article presents the findings from an empirical study examining the relationship between total quality management (TQM) practices and quality performance in Australian organizations. A comparison is made between organizations that have adopted formal TQM programs and organizations without a formal program in place. It was recognized that the lack of a formal program did not necessarily mean TQM principles were not being practiced. The findings show that the firms adopting formal TQM programs implement several TQM practices at a higher level than those that do not have TQM programs. This difference, however, is not apparent in the case of quality performance. Furthermore, the findings show the strong links between TQM practices and quality performance, and there is no significant difference between organizations implementing formal TQM programs and those organizations simply adopting TQM practices. This suggests that it is the adoption of quality practices that matters rather than formal programs per se.