The human side of total quality management in Taiwan: Leadership and human resource management

Abstract

Total quality management (TQM) is widely recognized as an effective approach to enhance a firm`s competitive advantage. In addition to technical elements such as statistical process control, product design, etc. the successful implementation of TQM requires senior executive leadership and effective human resources management. Examines the leadership and human resources management of TQM in Taiwan. Data were collected from field interviews and questionnaire surveys conducted in US and Japanese subsidiaries, and local firms. Criteria stipulated in the Malcolm Baldrige National Quality Award of the USA were used to assess the quality of leadership and human resources management. Results of MANOVA (Multivariate analysis of variants) reveal that a company with larger sales revenue, a larger number of employees, or with greater production automation manifests better leadership and human resources management. The chi-square test shows that foreign-invested companies are superior to local firms in leadership. Canonical correlation analysis concludes that both leadership and human resources management are positively correlated with the management effectiveness of the quality department. Discusses the managerial implications of these research findings