Transformational Leadership, Market-Oriented Culture, and Implementation of Total Quality Management Practices: Proposed Conceptual Model
Keywords:
Total Quality Management, Transformational Leadership, Market, Culture, Market-Oriented Culture
Abstract
The focus of this study was to consolidate the existing knowledge on leadership, market-oriented culture, and TQM by proposing a conceptual model providing a starting point for researchers and practitioners seeking to implement market-oriented culture and TQM in organizations and offering suggestions for future research. A systematic literature review was undertaken to review works published on transformational leadership, market-oriented culture, and TQM practices. The review's key findings show that transformational leadership is required for successful TQM implementation and market-oriented culture in organizations and is critical to sustaining their improvement. This research is based on a systematic literature review of works published on transformational leadership, market-oriented culture, and TQM practices. Transformational leadership is critical for both market-oriented culture and TQM implementation success. There is a need to develop a new model of transformational leadership that encompasses the leadership behavior needed for both market-oriented culture and TQM.
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References
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2. Al-Damen, R. A. (2017). The impact of Total Quality Management(TQM) on organizational performance case of Jordan oil petroleum company. International Journal of Business and Science, 8(1), 192–202.
3. Alharbi, K., Yusoff, R. Z., & Al-Matari, E. M. (2017). The moderating effect of organizational climate on the relationship between total quality management(TQM) and organizational sustainability: The case of the hotel industry in Saudi Arabia. International Business Management, 11(2), 350–356.
4. Alharbi, M., & Yusoff, R. Z. (2012). Leadership styles and their relationship with quality management practices in public hospitals in Saudi Arabia. International Journal of Economics and Management Sciences, 1(10), 59–67.
5. Argia, H. A. A., & Ismail, A. (2013). The influence of transformational leadership on TQM implementation in the higher education sector, 3(1), 136–146.
6. Avolio, B., Bass, B., & Jung, D. (1999). Re-examining the components of transformational and transactional leadership using the multifactor leadership questionnaire. Journal of Occupational and Organizational Psychology, 72, 441–462.
7. Barbosa, F. M., Gambi, L. do N., & Gerolamo, M. C. (2017). Leadership and quality management – a correlational study between leadership models and quality management principles. Gestao. Producao., Sao Carlos, 24(3), 438–449.
8. Barney, J. (1991). Firms’ resources and sustained competitive advantage. Journal of Management, 17(1), 99–120.
9. Bass, B. M. (2000). The future of leadership in learning organizations. Journal of Leadership and Organizational Studies, 7(3), 19–40.
10. Cavallo, A., Sanasi, S., Ghezzi, A., & Rangone, A. (2021). Competitive intelligence and strategy formulation : Connecting the dots. Competitive Review:Journal of International Business, 31(2), 250–275.
11. Chan, P. H., & Ng, P. K. (2012). Identifying the link between leadership styles and TQM practices: A conceptual framework. In 2nd International conference on Design and concurrent Engineering at Melaka, Malassia.
12. Chan, S. W., Tiwari, S. T. D. S., Ramlan, R. binti, & Ahmad, M. F. (2016). The relationship between leadership styles and quality management practices in Malaysian manufacturing firms. In Proceedings of the 2016 International Conference on Industrial Engineering and Operations Management Kuala Lumpur, Malaysia, March 8-10, 2016 (pp. 2167–2173).
13. Crossan, M., Vera, D., & Nanjad, L. (2008). Transcendent leadership : Strategic leadership in dynamic environments. Leadership Quarterly, 19, 569–581.
14. Dale, B. G. (2003). Managing quality (Fourth Edition). Oxford: Wiley-Blackwell.
15. Fotopoulos, C. B., & Psomas, E. L. (2009). The impact of “soft ” and “ hard ” TQM elements on quality management results. International Journal of Quality and Reliability Management, 26(2), 150–163.
16. Gallear, D., & Ghobadian, A. (2004). An emprical investigation of the channels that facilitates a total quality culture. Total Quality Management, 15(8), 1043–1067.
17. Gonzalez, T. F., & Guillen, M. (2002). Perspectives leadership ethical dimension : A requirement in TQM implementation. The TQM Magazine, 14(3), 150–164.
18. Harris, L. C., & Ogbonna, E. (2001). Leadership style and market orientation : An empirical study. European Journal of Marketing, 35(5/6), 744–764.
19. Herold, D. M., Fedor, D. B., Caldwell, S., & Liu, Y. (2008). The effects of transformational and change leadership on employees’ commitment to a change : A multilevel study. Journal of Applied Psychology, 93(2), 346–357.
20. Jansen, J. J. P., Vera, D., & Crossan, M. (2009). Strategic leadership for exploration and exploitation : The moderating role of environmental dynamism. The Leadership Quarterly, 20(1), 5–18.
21. Judge, T. A., & Piccolo, R. F. (2004). Transformational and transactional leadership : A meta-analytic test of their relative validity. Journal of Applied Psychology, 89(5), 755–768.
22. Jung, D. I., Chow, C., & Wu, A. (2003). The role of transformational leadership in enhancing organizational innovation : Hypotheses and some preliminary findings. The Leadership Quarterly, 14, 525–544.
23. Kark, R., Chen, G., & Shamir, B. (2003). The two faces of transformational leadership : Empowerment and dependency. Journal of Applied Psychology, 88(2), 246–255.
24. Kiessling, T., Isaksson, L., & Yasar, B. (2016). Market orientation and CSR : Performance implications. Journal of Business Ethics, 137, 269–284.
25. Kim, D., Kumar, V., & Kumar, U. (2012). Relationship between quality management practices and innovation. Journal of Operations Management, 30(4), 295–315.
26. King, K. (2017). A comparison between administrative leadership in higher education and change-oriented leadership in Banks.
27. Kohli, A. K., & Jaworski, B. J. (1990). Market orientation : The construct, research propositions, and managerial implications. Journal of Marketing, 54(1), 1–18.
28. Kotter, J. P. (1995). Leading Change:Why transformational efforts fail. In Harvard Business Review (pp. 59–67).
29. Kumar, K., Subramanian, R., & Yauger, C. (1998). Examining the market orientation-performance relationship : A context-specific study. Journal of Management, 24(2), 201–233.
30. Kumar, V., & Sharma, R. R. K. (2018). Leadership styles and their relationship with TQM focus for Indian firms : An empirical investigation.International Journal of Productivity and Performance Management. International Journal of Productivity and Performance Management, 67(6), 1063–1088.
31. Lakhe, R. R., & Mohanty, R. P. (1994). Total quality management concepts , evolution and acceptability in developing economies. International Journal of Quality &Reliability Management, 11(9), 9–33.
32. Liaw, Y.-J., Chi, N.-W., & Chuang, A. (2010). Examining the Mechanisms Linking Transformational Leadership , Employee Customer Orientation , and Service Performance : The Mediating Roles of Perceived Supervisor and Coworker Support. Journal of Business Psychology, 25, 477–492.
33. Mikkelsen, A., & Olsen, E. (2018). The influence of change-oriented leadership on work performance and job satisfaction in hospitals – the mediating roles of learning demands and job involvement. Leadership in Health Services.
34. Mosadeghrad, A. M. (2012). Towards a theory of quality management : an integration of strategic management , quality management and project management Ali Mohammad Mosadeghrad. International Journal of Modelling in OOperation Management, 2(1).
35. Narver, J. C., & Slater, S. F. (1990). The effect of a market orientation on business profitability. Journal of Marketing, 54, 20–35.
36. Narver, J. C., & Slater, S. F. (2004). The effect of a market orientation on business profitability. Journal of Marketing, 54(4), 1–22.
37. Narver, J. C., Slater, S. F., & Tietje, B. C. (1998). Creating a market orientation. Journal of Market Focused Management, 2, 241–255.
38. Oakland, J. S. (2003). Total quality management text with cases (Third Edition). Oxford: Butterworth Heinemann.
39. Olavarrieta, S., & Friedmann, R. (1999). Market-oriented culture , knowledge-related resources , reputational assets and superior performance : A conceptual framework. Journal of Strategic Marketing, 228, 215–228.
40. Omar, H. O. (2017). Transformational leadrship in quality management. University of Montana.
41. Özsahin, M., Zehir, C., & Acar, A. Z. (2011). Linking leadership style to firm performance : the mediating effect of the learning orientation. Procedia Sociall and Behavioral Sciences, 24, 1546–1559.
42. Ozsashin, M., Zehir, C., Acar, A. Z., & Sudak, M. K. (2013). The effects of leadership and market orientation on organizational commitment. Procedia-Social and Behavioral Sciences, 99, 363–372.
43. Pereira-Moliner, J., Pertusa-Ortega, E. M., Tarí, J. J., López-Gamero, M. D., & Molina-Azorin, J. F. (2016). Organizational design, quality management and competitve advantage in hotels. International Journal of Contemporary Hospitality Management, 28(4), 1–44.
44. Powell, T. C. (1995). Total quality management as competitive advantage: A review and emprical study. Strategic Management Journal, 16(1), 15–37.
45. Pradhan, B. L. (2017). Confirmatory Factor Analysis of TQM Implementation Constructs : Evidence from Nepalese Manufacturing Industries. An International Journal of Management Review, 12(1), 26–56.
46. Prajogo, D. I., & Sohal, A. S. (2010). The relationship between organization strategy , total quality management ( TQM ), and organization performance –– the mediating role of TQM. European Journal of Operations Research, 168, 36–50.
47. Pulendran, S., Speed, R., & Widing, R. E. (2000). The antecedents and consequences of carket orientation in Australia. Australian Journal of Management, 25(2), 1–27.
48. Rad, A. M. M. (2006). The impact of organizational culture on the successful implementation of total quality management. The TQM Magazine, 18(6), 606–625.
49. Reed, Lemark, D. J., & Mero, N. P. (2000). Total quality management and sustainable competitive advantage. Journal of Quality Management, 5, 5–26.
50. Rougan, D. (2015). A Study on TQM Development , Performance and Sustenance in Service Industries through Effective Communication , Critical Success Factors and Market Orientation. IOSR-Journal of Business and Management, 17(1), 1–12.
51. Samson, D., & Terziovski, M. (1999). The relationship between total quality management practices and operational performance. Journal of Operations Management, 17(1), 393–409.
52. Siam, A. Z., Alkhateeb, K., & Al-Waqqad, S. (2012). The role of information systems in implementing Total Quality Management. American Journal of Applied Science, 9(5), 666–672.
53. Simani, W. L. (2017). TQM perspectives under the competitive strategies and the organization performance in Kenyan manufacturing sector. Journal of Strategic Management, 16(2), 1–20.
54. Slater, S. F., & Narver, J. C. (2015). Customer-led and market-oriented : Let’s not confuse the two. Journal of Strategic Management, 266(December 1998), 1001–1006.
55. Tummala, V. M. R. (1996). Strategic quality management , Malcolm Baldrige and European quality awards and ISO 9000 certification core concepts and comparative analysis. International Journal of Quality and Reliability Management, 13(4), 8–38.
56. Turner, N., Barling, J., Epitropaki, O., Butcher, V., & Milner, C. (2002). Transformational leadership and moral reasoning. Journal of Applied Psychology, 87(2), 304–311.
57. Wang, C., Chen, K., & Chen, S. (2012). Total quality management, market orientation and hotel performance : The moderating effects of external environmental factors. International Journal of Hospitality Management, 31(1), 119–129.
58. Yukl, G. (2012). Effective leadership behavior : What we know and what questions need more attention. Academy of Management Perspective, 66–85.
59. Zhang, Z., Waszink, A., & Wijngaard, J. (2000). An instrument for measuring TQM implementation for Chinese manufacturing companies. International Journal of Quality & Reliability Management, 17(7), 730–755.
60. Zhang, D. di, Bruning, E. R., & Sivaramakrishnan, S. (2007). Differential influences of market and entrepreneurial orientation on firm performance.
61. Zuraik, A., & Kelly, L. (2018). The role of CEO transformational leadership and innovation climate in exploration and exploitation. European Journal of Innovation Management.
2. Al-Damen, R. A. (2017). The impact of Total Quality Management(TQM) on organizational performance case of Jordan oil petroleum company. International Journal of Business and Science, 8(1), 192–202.
3. Alharbi, K., Yusoff, R. Z., & Al-Matari, E. M. (2017). The moderating effect of organizational climate on the relationship between total quality management(TQM) and organizational sustainability: The case of the hotel industry in Saudi Arabia. International Business Management, 11(2), 350–356.
4. Alharbi, M., & Yusoff, R. Z. (2012). Leadership styles and their relationship with quality management practices in public hospitals in Saudi Arabia. International Journal of Economics and Management Sciences, 1(10), 59–67.
5. Argia, H. A. A., & Ismail, A. (2013). The influence of transformational leadership on TQM implementation in the higher education sector, 3(1), 136–146.
6. Avolio, B., Bass, B., & Jung, D. (1999). Re-examining the components of transformational and transactional leadership using the multifactor leadership questionnaire. Journal of Occupational and Organizational Psychology, 72, 441–462.
7. Barbosa, F. M., Gambi, L. do N., & Gerolamo, M. C. (2017). Leadership and quality management – a correlational study between leadership models and quality management principles. Gestao. Producao., Sao Carlos, 24(3), 438–449.
8. Barney, J. (1991). Firms’ resources and sustained competitive advantage. Journal of Management, 17(1), 99–120.
9. Bass, B. M. (2000). The future of leadership in learning organizations. Journal of Leadership and Organizational Studies, 7(3), 19–40.
10. Cavallo, A., Sanasi, S., Ghezzi, A., & Rangone, A. (2021). Competitive intelligence and strategy formulation : Connecting the dots. Competitive Review:Journal of International Business, 31(2), 250–275.
11. Chan, P. H., & Ng, P. K. (2012). Identifying the link between leadership styles and TQM practices: A conceptual framework. In 2nd International conference on Design and concurrent Engineering at Melaka, Malassia.
12. Chan, S. W., Tiwari, S. T. D. S., Ramlan, R. binti, & Ahmad, M. F. (2016). The relationship between leadership styles and quality management practices in Malaysian manufacturing firms. In Proceedings of the 2016 International Conference on Industrial Engineering and Operations Management Kuala Lumpur, Malaysia, March 8-10, 2016 (pp. 2167–2173).
13. Crossan, M., Vera, D., & Nanjad, L. (2008). Transcendent leadership : Strategic leadership in dynamic environments. Leadership Quarterly, 19, 569–581.
14. Dale, B. G. (2003). Managing quality (Fourth Edition). Oxford: Wiley-Blackwell.
15. Fotopoulos, C. B., & Psomas, E. L. (2009). The impact of “soft ” and “ hard ” TQM elements on quality management results. International Journal of Quality and Reliability Management, 26(2), 150–163.
16. Gallear, D., & Ghobadian, A. (2004). An emprical investigation of the channels that facilitates a total quality culture. Total Quality Management, 15(8), 1043–1067.
17. Gonzalez, T. F., & Guillen, M. (2002). Perspectives leadership ethical dimension : A requirement in TQM implementation. The TQM Magazine, 14(3), 150–164.
18. Harris, L. C., & Ogbonna, E. (2001). Leadership style and market orientation : An empirical study. European Journal of Marketing, 35(5/6), 744–764.
19. Herold, D. M., Fedor, D. B., Caldwell, S., & Liu, Y. (2008). The effects of transformational and change leadership on employees’ commitment to a change : A multilevel study. Journal of Applied Psychology, 93(2), 346–357.
20. Jansen, J. J. P., Vera, D., & Crossan, M. (2009). Strategic leadership for exploration and exploitation : The moderating role of environmental dynamism. The Leadership Quarterly, 20(1), 5–18.
21. Judge, T. A., & Piccolo, R. F. (2004). Transformational and transactional leadership : A meta-analytic test of their relative validity. Journal of Applied Psychology, 89(5), 755–768.
22. Jung, D. I., Chow, C., & Wu, A. (2003). The role of transformational leadership in enhancing organizational innovation : Hypotheses and some preliminary findings. The Leadership Quarterly, 14, 525–544.
23. Kark, R., Chen, G., & Shamir, B. (2003). The two faces of transformational leadership : Empowerment and dependency. Journal of Applied Psychology, 88(2), 246–255.
24. Kiessling, T., Isaksson, L., & Yasar, B. (2016). Market orientation and CSR : Performance implications. Journal of Business Ethics, 137, 269–284.
25. Kim, D., Kumar, V., & Kumar, U. (2012). Relationship between quality management practices and innovation. Journal of Operations Management, 30(4), 295–315.
26. King, K. (2017). A comparison between administrative leadership in higher education and change-oriented leadership in Banks.
27. Kohli, A. K., & Jaworski, B. J. (1990). Market orientation : The construct, research propositions, and managerial implications. Journal of Marketing, 54(1), 1–18.
28. Kotter, J. P. (1995). Leading Change:Why transformational efforts fail. In Harvard Business Review (pp. 59–67).
29. Kumar, K., Subramanian, R., & Yauger, C. (1998). Examining the market orientation-performance relationship : A context-specific study. Journal of Management, 24(2), 201–233.
30. Kumar, V., & Sharma, R. R. K. (2018). Leadership styles and their relationship with TQM focus for Indian firms : An empirical investigation.International Journal of Productivity and Performance Management. International Journal of Productivity and Performance Management, 67(6), 1063–1088.
31. Lakhe, R. R., & Mohanty, R. P. (1994). Total quality management concepts , evolution and acceptability in developing economies. International Journal of Quality &Reliability Management, 11(9), 9–33.
32. Liaw, Y.-J., Chi, N.-W., & Chuang, A. (2010). Examining the Mechanisms Linking Transformational Leadership , Employee Customer Orientation , and Service Performance : The Mediating Roles of Perceived Supervisor and Coworker Support. Journal of Business Psychology, 25, 477–492.
33. Mikkelsen, A., & Olsen, E. (2018). The influence of change-oriented leadership on work performance and job satisfaction in hospitals – the mediating roles of learning demands and job involvement. Leadership in Health Services.
34. Mosadeghrad, A. M. (2012). Towards a theory of quality management : an integration of strategic management , quality management and project management Ali Mohammad Mosadeghrad. International Journal of Modelling in OOperation Management, 2(1).
35. Narver, J. C., & Slater, S. F. (1990). The effect of a market orientation on business profitability. Journal of Marketing, 54, 20–35.
36. Narver, J. C., & Slater, S. F. (2004). The effect of a market orientation on business profitability. Journal of Marketing, 54(4), 1–22.
37. Narver, J. C., Slater, S. F., & Tietje, B. C. (1998). Creating a market orientation. Journal of Market Focused Management, 2, 241–255.
38. Oakland, J. S. (2003). Total quality management text with cases (Third Edition). Oxford: Butterworth Heinemann.
39. Olavarrieta, S., & Friedmann, R. (1999). Market-oriented culture , knowledge-related resources , reputational assets and superior performance : A conceptual framework. Journal of Strategic Marketing, 228, 215–228.
40. Omar, H. O. (2017). Transformational leadrship in quality management. University of Montana.
41. Özsahin, M., Zehir, C., & Acar, A. Z. (2011). Linking leadership style to firm performance : the mediating effect of the learning orientation. Procedia Sociall and Behavioral Sciences, 24, 1546–1559.
42. Ozsashin, M., Zehir, C., Acar, A. Z., & Sudak, M. K. (2013). The effects of leadership and market orientation on organizational commitment. Procedia-Social and Behavioral Sciences, 99, 363–372.
43. Pereira-Moliner, J., Pertusa-Ortega, E. M., Tarí, J. J., López-Gamero, M. D., & Molina-Azorin, J. F. (2016). Organizational design, quality management and competitve advantage in hotels. International Journal of Contemporary Hospitality Management, 28(4), 1–44.
44. Powell, T. C. (1995). Total quality management as competitive advantage: A review and emprical study. Strategic Management Journal, 16(1), 15–37.
45. Pradhan, B. L. (2017). Confirmatory Factor Analysis of TQM Implementation Constructs : Evidence from Nepalese Manufacturing Industries. An International Journal of Management Review, 12(1), 26–56.
46. Prajogo, D. I., & Sohal, A. S. (2010). The relationship between organization strategy , total quality management ( TQM ), and organization performance –– the mediating role of TQM. European Journal of Operations Research, 168, 36–50.
47. Pulendran, S., Speed, R., & Widing, R. E. (2000). The antecedents and consequences of carket orientation in Australia. Australian Journal of Management, 25(2), 1–27.
48. Rad, A. M. M. (2006). The impact of organizational culture on the successful implementation of total quality management. The TQM Magazine, 18(6), 606–625.
49. Reed, Lemark, D. J., & Mero, N. P. (2000). Total quality management and sustainable competitive advantage. Journal of Quality Management, 5, 5–26.
50. Rougan, D. (2015). A Study on TQM Development , Performance and Sustenance in Service Industries through Effective Communication , Critical Success Factors and Market Orientation. IOSR-Journal of Business and Management, 17(1), 1–12.
51. Samson, D., & Terziovski, M. (1999). The relationship between total quality management practices and operational performance. Journal of Operations Management, 17(1), 393–409.
52. Siam, A. Z., Alkhateeb, K., & Al-Waqqad, S. (2012). The role of information systems in implementing Total Quality Management. American Journal of Applied Science, 9(5), 666–672.
53. Simani, W. L. (2017). TQM perspectives under the competitive strategies and the organization performance in Kenyan manufacturing sector. Journal of Strategic Management, 16(2), 1–20.
54. Slater, S. F., & Narver, J. C. (2015). Customer-led and market-oriented : Let’s not confuse the two. Journal of Strategic Management, 266(December 1998), 1001–1006.
55. Tummala, V. M. R. (1996). Strategic quality management , Malcolm Baldrige and European quality awards and ISO 9000 certification core concepts and comparative analysis. International Journal of Quality and Reliability Management, 13(4), 8–38.
56. Turner, N., Barling, J., Epitropaki, O., Butcher, V., & Milner, C. (2002). Transformational leadership and moral reasoning. Journal of Applied Psychology, 87(2), 304–311.
57. Wang, C., Chen, K., & Chen, S. (2012). Total quality management, market orientation and hotel performance : The moderating effects of external environmental factors. International Journal of Hospitality Management, 31(1), 119–129.
58. Yukl, G. (2012). Effective leadership behavior : What we know and what questions need more attention. Academy of Management Perspective, 66–85.
59. Zhang, Z., Waszink, A., & Wijngaard, J. (2000). An instrument for measuring TQM implementation for Chinese manufacturing companies. International Journal of Quality & Reliability Management, 17(7), 730–755.
60. Zhang, D. di, Bruning, E. R., & Sivaramakrishnan, S. (2007). Differential influences of market and entrepreneurial orientation on firm performance.
61. Zuraik, A., & Kelly, L. (2018). The role of CEO transformational leadership and innovation climate in exploration and exploitation. European Journal of Innovation Management.
Published
2022-04-30
How to Cite
Yadeta, D. U., Jaleta, M. E., & Melese, M. W. (2022). Transformational Leadership, Market-Oriented Culture, and Implementation of Total Quality Management Practices: Proposed Conceptual Model. European Scientific Journal, ESJ, 18(12), 42. https://doi.org/10.19044/esj.2022.v18n12p42
Section
ESJ Social Sciences
Copyright (c) 2022 Desalegn Urgessa Yadeta, Matiwos Ensermu Jaleta, Mesfin Workineh Melese
This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.
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