Structural relationship between TQM practices and learning organisation in Malaysia's manufacturing industry

Abstract

This article investigates the linkage between the total quality management (TQM) practices and the learning organisation (LO) in the manufacturing sector from the context of a developing nation. The empirical data were gathered from 206 Malaysian manufacturing organisations that have been ISO 9000 certified through the use of structured questionnaire. Structural equation modelling analysis was used to test the research model. The findings indicate that four TQM practices (process management, human resource focus, leadership and information and analysis) are positively related to LO, whereas strategic planning and customer focus have no significant relationships with LO. Theoretically, it provides a clearer perspective as the TQM dimensions chosen are predominantly essential in attaining a high level of LO in a developing country such as Malaysia. Furthermore, it also fills the current literature gap and confirms the linkage between TQM and LO. Practically, the results of this study have proven that four TQM practices positively affects LO and hence management should direct their focus on these practices in order to better manage their firms to attain competitive advantage.