Abstract
The study intended to investigate the factors that affect the total quality management (TQM) process in the 1,800 firm Thai auto parts industry. Automotive parts export shipments from Thailand are ranked 13th globally and are destined for over 100 countries, with Thailand’s combined automotive industry representing 12% of GDP. Therefore, with the authors understanding the importance of this economic sector, a research tool was developed, which contained a five-level scale to investigate 455 auto parts managers, executives, and owners’ opinions. Topics surveyed included the respondents’ opinions on the effects of knowledge management (KNG), product quality (QLY), strategic planning (STY), and technology and innovation (TIN) on the Thai auto part industry TQM process. The study’s eight hypotheses made use LISREL 9.1 software to analyze the final structural equation model (SEM). Results showed that all the model's variables had a positive influence on TQM, which can be combined to explain the variance of the factors affecting TQM (R2) by 78%. Additionally, the variables affecting TQM ranked in importance were STY, KNG, QLY, and TIN. Disruptive change has also arrived within the automotive sector, as Industry 4.0 technologies, the Internet of Things (IoT), and artificial intelligence (AI) are being used in the development of a new generation of autonomous and electric vehicles (EVs), making many current manufacturers' technologies and processes obsolete. Therefore, management and vendors must embrace these changes for their survival. The study's results highlight the necessity for international firms to embrace innovation and technological change to retain a competitive advantage or even their survival. Governments and educational institutions must also go the ‘extra mile' to support their domestic automotive and auto parts sectors.
Highlights
Thailand is the 13th biggest vehicle parts exporter in the world, whose exports reach over 100 countries worldwide
Part two contained three items about strategic planning (STY), part three contained five items concerning technology and innovation (TIN), part four contained five items related to total quality management (TQM), part five was concerned with product quality (QLY), and part six had three items about knowledge management (KNG)
The study investigated how total quality management was affected by knowledge management, product quality, strategic planning, and technology and innovation within the Thai auto parts industry
Summary
Thailand is the 13th biggest vehicle parts exporter in the world, whose exports reach over 100 countries worldwide. 60 of the 100 biggest global auto part suppliers are currently producing in Thailand, with 90% of the parts manufactured used in auto vehicle production domestically. In 2017, Thailand held 12th place in global vehicle production with 1.989 million units, this was significantly lower than the peak years of 2012 and 2013, in which 2.454 and 2.457 million units were produced, respectively [1]. Today, Thailand is the largest vehicle producer within Southeast Asia [2], with 21 vehicle assembly plants and 11 motorcycle plants. Thailand possesses the most significant automotive cluster in Southeast Asia, employing 850,000 people and contributing 12% to the country's GDP [2], [4], [5]. The Federation of Thai Industries (FTI) estimates exports of automotive products were at $30.192 billion in 2018, up from $29.906 billion in 2017
Sign-in/Register to view highlights & summary Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callMore From: International Journal of Online and Biomedical Engineering (iJOE)
Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
