Hostname: page-component-848d4c4894-jbqgn Total loading time: 0 Render date: 2024-06-22T18:18:22.890Z Has data issue: false hasContentIssue false
  • English
  • Français

Does the isomorphic implementation of the tqm philosophy effectively lead to the simultaneous attainment of legitimacy and efficiency targets?

Published online by Cambridge University Press:  02 December 2019

Francisco J. Carmona-Márquez ,
Antonio L. Leal-Rodríguez Open the ORCID record for Antonio L. Leal-Rodríguez [Opens in a new window] ,
Antonio G. Leal-Millán  and
Adolfo E. Vázquez-Sánchez
Francisco J. Carmona-Márquez
Affiliation:
Universidad de Sevilla, Seville, Spain
Antonio L. Leal-Rodríguez*
Affiliation:
Universidad de Sevilla, Seville, Spain
Antonio G. Leal-Millán
Affiliation:
Universidad de Sevilla, Seville, Spain
Adolfo E. Vázquez-Sánchez
Affiliation:
Universidad de Sevilla, Seville, Spain
*
*Corresponding author. Email: lealrodriguez@us.es
Get access Rights & Permissions [Opens in a new window]

Abstract

Drawing on the new institutional theory and the resources based view of the firm (RBV), this study tries to shed light upon the idea that isomorphic organizational changes seek legitimacy over efficiency. Using data from 102 Spanish companies and employing partial least squares, a variance-based structural equation modeling technique, this study concludes that both objectives are achievable simultaneously when firms implement total quality management (TQM) as an integrative stream of both theories. Furthermore, empirical results reveal that: (i) institutional pressures (IP) condition significantly the implementation of TQM, (ii) TQM exerts a double mediating role in the IP-legitimacy and IP-efficiency relationships, and (iii) both efficiency and legitimacy objectives are achieved by means of TQM. However, we observe a dual phenomenon: (i) while we find a significant positive effect of TQM on overall performance (OP) via efficiency and (ii) we failed to find support for the TQM-OP link via legitimacy.

Keywords

quality managementinstitutional theoryorganizational performancestructural equation modeling
Type
Research Article
Information
Journal of Management & Organization , Volume 28 , Issue 6 , November 2022 , pp. 1256 - 1279
Copyright
Copyright © Cambridge University Press and Australian and New Zealand Academy of Management 2019

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

References

Bada, A. O., Aniebonam, M. C., & Owei, V. (2004). Institutional pressures as sources of improvisations: A case study from a developing country context. Journal of Global Information Technology Management, 7(3), 27–44.CrossRefGoogle Scholar
Barroso, C., Cepeda-Carrión, G., & Roldán, J. L. (2010). Applying maximum likelihood and PLS on different sample sizes: Studies on SERVQUAL model and employee behavior model. In Esposito Vinzi, V., Chin, W.W., Henseler, J., & Wang, H. (Eds.), Handbook of partial least Squares: Concepts, methods and applications (pp. 427–447). Berlin, Germany: Springer-Verlag.CrossRefGoogle Scholar
Carmona-Márquez, F. J., Leal-Millán, A. G., Vázquez-Sánchez, A. E., Leal-Rodríguez, A. L., & Eldridge, S. (2016). TQM and business success: Do all the TQM drivers have the same relevance? An empirical study in Spanish firms. International Journal of Quality & Reliability Management, 33(3), 361–379.CrossRefGoogle Scholar
Corredor, P., & Goñi, S. (2011). TQM and performance: Is the relationship so obvious?. Journal of Business Research, 64(8), 830–838.CrossRefGoogle Scholar
de Abreu, M. C. S., Albuquerque, S. C., & Oliveira, M. C. (2016). Institutional pressures on disclosure of carbon control issues by oil and gas companies. BASE-Revista de Administração e Contabilidade da Unisinos, 13(1), 79–91.Google Scholar
Deephouse, D. L. (1996). Does isomorphism legitimate?. Academy of Management Journal, 39(4), 1024–1039.CrossRefGoogle Scholar
Deephouse, D. L. (1999). To be different, or to be the same? It's a question (and theory) of strategic balance. Strategic Management Journal, 20(2), 147–166.3.0.CO;2-Q>CrossRefGoogle Scholar
Deephouse, D. L., & Suchman, M. (2008). Legitimacy in organizational institutionalism. In Greenwood, R., Oliver, C., Sahlin, K., & Suddaby, R. (Eds.), The SAGE handbook of organizational Institutionalism (Vol. 49, p. 77). Thousand Oaks, CA: Sage.Google Scholar
Delmas, M. A., & Toffel, M. W. (2008). Organizational responses to environmental demands: Opening the black box. Strategic Management Journal, 29(10), 1027–1055.CrossRefGoogle Scholar
Déniz-Déniz, M., & García-Cabrera, A.M. (2014). Management and ownership control in foreign investments: An analysis of the influence of isomorphism and quality of institutions. Journal of Management & Organization, 20(6), 764–783.CrossRefGoogle Scholar
Díez-Martín, E., Díez-de-Castro, E., & Vázquez-Sánchez, A. (2018) Refocusing isomorphism to explain organizational legitimacy: A new approach. In Díez-De-Castro, E. & Peris-Ortiz, M. (Eds.), Organizational legitimacy (pp. 22–43). Cham: Springer.CrossRefGoogle Scholar
Díez-Martín, F., Blanco-González, A., & Prado-Román, C. (2010). Legitimidad como factor clave del éxito organizativo. Investigaciones Europeas de Dirección y Economía de la Empresa, 16(3), 127–143.CrossRefGoogle Scholar
DiMaggio, P., & Powell, W. W. (1983). The iron cage revisited: Collective rationality and institutional isomorphism in organizational fields. American Sociological Review, 48(2), 147–160.CrossRefGoogle Scholar
Dirsmith, M. W., Fogarty, T. J., & Gupta, P. (2000). Institutional pressures and symbolic displays in a GAO context. Organization Studies, 21(3), 515–537.CrossRefGoogle Scholar
Donaldson, L. (1995). American anti-management theories of organization. Cambridge, UK: Cambridge University Press.Google Scholar
Dowling, J., & Pfeffer, J. (1975). Organizational legitimacy: Social values and organizational behavior. Pacific Sociological Review, 18(1), 122–136.CrossRefGoogle Scholar
Du, Y., Yin, J., & Zhang, Y. (2016). How innovativeness and institution affect ISO 9000 adoption and its effectiveness: Evidence from small and medium enterprises in China. Total Quality Management & Business Excellence, 27(11–12), 1315–1331.CrossRefGoogle Scholar
Dubey, R., Gunasekaran, A., Childe, S. J., Papadopoulos, T., Hazen, B. T., & Roubaud, D. (2018). Examining top management commitment to TQM diffusion using institutional and upper echelon theories. International Journal of Production Research, 56(8), 2988–3006.CrossRefGoogle Scholar
Easterby-Smith, M., Thorpe, R., & Jackson, P. R. (2012). Management research. London: Sage.Google Scholar
Felipe, C. M., Roldán, J. L., & Leal-Rodríguez, A. L. (2016). An explanatory and predictive model for organizational agility. Journal of Business Research, 69(10), 4624–4631.CrossRefGoogle Scholar
Fombrun, C., & Shanley, M. (1990). What's in a name? Reputation building and corporate strategy. Academy of Management Journal, 33(2), 233–258.CrossRefGoogle Scholar
Freeman, R. E. (1984). Strategic management: A stakeholder approach. Boston: Pitman.Google Scholar
Freeman, R. E., Harrison, J. S., & Wicks, A. C. (2007). Managing for stakeholders: Survival, reputation, and success. New Haven, CT, US: Yale University Press.Google Scholar
Fuentes, M.M., Llorens, F.J., & Molina, L.M. (2006). Total quality management, strategic orientation and organizational performance: The case of Spanish companies. Total Quality Management, 17(3), 303–323.CrossRefGoogle Scholar
George, D., & Mallery, M. (2010). SPSS for windows step by step: A simple guide and reference, 17.0 update (10th ed.) Boston: Pearson.Google Scholar
Gil, M. A., Jiménez, J. B., & Lorente, J. C. (2001). An analysis of environmental management, organizational context and performance of Spanish hotels. Omega, 29(6), 457–471.Google Scholar
Gotzamani, K. D., & Tsiotras, G. D. (2002). The true motives behind ISO 9000 certification: Their effect on the overall certification benefits and long term contribution towards TQM. International Journal of Quality & Reliability Management, 19(2), 151–169.CrossRefGoogle Scholar
Guo, H., Tang, J., & Su, Z. (2014). To be different, or to be the same? The interactive effect of organizational regulatory legitimacy and entrepreneurial orientation on new venture performance. Asia Pacific Journal of Management, 31(3), 665–685.CrossRefGoogle ScholarPubMed
Hafeez, K., Malak, N., & Abdelmeguid, H. (2006). A framework for TQM to achieve business excellence. Total Quality Management and Business Excellence, 17(9), 1213–1229.CrossRefGoogle Scholar
Hair, J. Jr., Sarstedt, M., Hopkins, L., & , G., & Kuppelwieser, V. (2014). Partial least squares structural equation modeling (PLS-SEM) An emerging tool in business research. European Business Review, 26(2), 106–121.CrossRefGoogle Scholar
Hair, J.F., Hult, G.T., Ringle, C.M., & Sarstedt, M. (2016). A primer on partial least squares structural equation modeling, (PLS_SEM) (2nd ed.). Thousand Oaks: Sage.Google Scholar
Henseler, J., Ringle, C. M., & Sarstedt, M. (2015). A new criterion for assessing discriminant validity in variance-based structural equation modeling. Journal of the Academy of Marketing Science, 43(1), 115–135.CrossRefGoogle Scholar
Heugens, P. P., & Lander, M. W. (2009). Structure! agency! (and other quarrels): A meta-analysis of institutional theories of organization. Academy of Management Journal, 52(1), 61–85.CrossRefGoogle Scholar
Honig, B., & Karlsson, T. (2004). Institutional forces and the written business plan. Journal of Management, 30(1), 29–48.CrossRefGoogle Scholar
Hoque, Z., & Alam, M. (1999). TQM adoption, institutionalism and changes in management accounting systems: A case study. Accounting and Business Research, 29(3), 199–210.CrossRefGoogle Scholar
Horne, J. R. (2016). The nine critical questions managers should ask-A proposal for evaluating organizational efficiency. Journal of Strategic Innovation and Sustainability, 11(1), 20.Google Scholar
Huang, Y. C., & Yang, M. L. (2014). Reverse logistics innovation, institutional pressures and performance. Management Research Review, 37(7), 615–641.CrossRefGoogle Scholar
Huo, B., Han, Z., Zhao, X., Zhou, H., Wood, C. H., & Zhai, X. (2013). The impact of institutional pressures on supplier integration and financial performance: Evidence from China. International Journal of Production Economics, 146(1), 82–94.CrossRefGoogle Scholar
Jabnoun, N., & Sedrani, K. (2005). TQM, culture, and performance in UAE manufacturing firms. The Quality Management Journal, 12(4), 8.Google Scholar
Jaeger, M., & Adair, D. (2016). Perception of TQM benefits, practices and obstacles: The case of project managers and quality management representatives in Kuwait. The TQM Journal, 28(2), 317–336.CrossRefGoogle Scholar
Johansen, S. T., Olsen, T. H., Solstad, E., & Torsteinsen, H. (2015). An insider view of the hybrid organisation: How managers respond to challenges of efficiency, legitimacy and meaning. Journal of Management & Organization, 21(6), 725–740.CrossRefGoogle Scholar
Kennedy, M. T., & Fiss, P. C. (2009). Institutionalization, framing, and diffusion: The logic of TQM adoption and implementation decisions among US hospitals. Academy of Management Journal, 52(5), 897–918.CrossRefGoogle Scholar
Kline, R. B. (2015). Principles and practice of structural equation modeling. New York: Guilford Publications.Google Scholar
Kostova, T., & Roth, K. (2002). Adoption of an organizational practice by subsidiaries of multinational corporations: Institutional and relational effects. Academy of Management Journal, 45(1), 215–233.CrossRefGoogle Scholar
Lee, V. H., Ooi, K. B., Sohal, A. S., & Chong, A. Y. L. (2012). Structural relationship between TQM practices and learning organisation in Malaysia's manufacturing industry. Production Planning & Control, 23(10–11), 885–902.CrossRefGoogle Scholar
Liu, H., Ke, W., Wei, K. K., Gu, J., & Chen, H. (2010). The role of institutional pressures and organizational culture in the firm's intention to adopt internet-enabled supply chain management systems. Journal of Operations Management, 28(5), 372–384.CrossRefGoogle Scholar
Llorens, F.J., & Verdú, A. J. (2004). Total quality management, institutional isomorphism and performance: The case of financial services. The Service Industries Journal, 24(5), 103–119.Google Scholar
Luke, B., Barraket, J., & Eversole, R. (2013). Measurement as legitimacy versus legitimacy of measures: Performance evaluation of social enterprise. Qualitative Research in Accounting & Management, 10(3/4), 234–258.CrossRefGoogle Scholar
MacLean, T. L., & Behnam, M. (2010). The dangers of decoupling: The relationship between compliance programs, legitimacy perceptions, and institutionalized misconduct. Academy of Management Journal, 53(6), 1499–1520.CrossRefGoogle Scholar
Mahoney, J. T., & Pandian, J. R. (1992). The resource-based view within the conversation of strategic management. Strategic Management Journal, 13(5), 363–380.CrossRefGoogle Scholar
Mariotti, F., Kadasah, N., & Abdulghaffar, N. (2014). Motivations and barriers affecting the implementation of ISO 14001 in Saudi Arabia: An empirical investigation. Total Quality Management & Business Excellence, 25(11–12), 1352–1364.CrossRefGoogle Scholar
Meyer, J. W., & Rowan, B. (1977). Institutionalized organizations: Formal structure as myth and ceremony. American Journal of Sociology, 83(2), 340–363.CrossRefGoogle Scholar
Mizruchi, M. S., & Fein, L. C. (1999). The social construction of organizational knowledge: A study of the uses of coercive, mimetic, and normative isomorphism. Administrative Science Quarterly, 44(4), 653–683.CrossRefGoogle Scholar
Nohria, N., & Green, S. E. (1996). Efficiency and legitimacy: The adoption of TQM by large industrial corporations. Division of Research, Harvard Business School.Google Scholar
Oliver, C. (1990). Determinants of interorganizational relationships: Integration and future directions. Academy of Management Review, 15(2), 241–265.CrossRefGoogle Scholar
Oliver, C. (1991). Strategic responses to institutional processes. Academy of Management Review, 16(1), 145–179.CrossRefGoogle Scholar
Pfeffer, J. (1981). Power in organizations (Vol. 33). Marshfield, MA: Pitman.Google Scholar
Powell, T. C. (1995). Total quality management as competitive advantage: A review and empirical study. Strategic Management Journal, 16(1), 15–37.CrossRefGoogle Scholar
Powell, T. C., & Dent-Micallef, A. (1997). Information technology as competitive advantage: The role of human, business, and technology resources. Strategic Management Journal, 18(5), 375–405.3.0.CO;2-7>CrossRefGoogle Scholar
Prajogo, D. I., & Sohal, A. S. (2003). The relationship between TQM practices, quality performance, and innovation performance: An empirical examination. International Journal of Quality and Reliability Management, 20(8), 901–918.CrossRefGoogle Scholar
Prajogo, D. I., & Sohal, A. S. (2006). The relationship between organization strategy, total quality management (TQM), and organization performance––the mediating role of TQM. European Journal of Operational Research, 168(1), 35–50.CrossRefGoogle Scholar
Preacher, K. J., & Hayes, A. F. (2008). Asymptotic and resampling strategies for assessing and comparing indirect effects in multiple mediator models. Behavior Research Methods, 40(3), 879–891.CrossRefGoogle ScholarPubMed
Purvis, R. L., Zagenczyk, T. J., & McCray, G. E. (2015). What's in it for me? Using expectancy theory and climate to explain stakeholder participation, its direction and intensity. International Journal of Project Management, 33(1), 3–14.CrossRefGoogle Scholar
Reed, R., Lemak, D. J., & Montgomery, J. C. (1996). Beyond process: TQM content and firm performance. Academy of Management Review, 21(1), 173–202.CrossRefGoogle Scholar
Ringle, C. M., & Sarstedt, M. (2016). Gain more insight from your PLS-SEM results: The importance-performance map analysis. Industrial Management & Data Systems, 116(9), 1865–1886.CrossRefGoogle Scholar
Ringle, C. M., Wende, S., & Becker, J. M. (2015). SmartPLS 3. Boenningstedt: SmartPLS GmbH. Retrieved from http://www.smartpls.com.Google Scholar
Riquel-Ligero, F. J. (2010). Análisis institucional de las prácticas de gestión ambiental de los campos de golf andaluces (Doctoral dissertation). Universidad de Huelva.Google Scholar
Riquel-Ligero, F. J. R., & Vargas-Sánchez, A. V. (2013). Las presiones institucionales del entorno medioambiental: Aplicación a los campos de golf. Revista Europea de Dirección y Economía de la Empresa, 22(1), 29–38.CrossRefGoogle Scholar
Roldán, J. L., Leal-Rodríguez, A. L., & Leal, A. G. (2012). The influence of organisational culture on the total quality management programme performance. Investigaciones Europeas de Dirección y Economía de la Empresa, 18(3), 183–189.CrossRefGoogle Scholar
Roldán, J. L., & Sánchez-Franco, M. J. (2012). Variance-based structural equation modeling: guidelines for using partial least squares in information systems research. In Mora, M., Gelman, O., Steenkamp, A. & Raisinghani, M. (Eds.), Research methodologies, innovations and philosophies in software systems engineering and information systems (pp. 193–221). Hershey: IGI Global.CrossRefGoogle Scholar
Sabaté, J. M., & Puente, E. (2003). Empirical analysis of the relationship between corporate reputation and financial performance: A survey of the literature. Corporate Reputation Review, 6(2), 161–177.CrossRefGoogle Scholar
Sadikoglu, E., & Zehir, C. (2010). Investigating the effects of innovation and employee performance on the relationship between total quality management practices and firm performance: An empirical study of Turkish firms. International Journal of Production Economics, 127, 13–26.CrossRefGoogle Scholar
Sax, L. J., Gilmartin, S. K., & Bryant, A. N. (2003). Assessing response rates and nonresponse bias in web and paper surveys. Research in Higher Education, 44(4), 409–432.CrossRefGoogle Scholar
Scott, W. R. (1995). Institutions and organizations. Thousand Oaks: Sage.Google Scholar
Shipilov, A. V., & Danis, W. M. (2003). Institutional pressures and business goals: A comparative study of American and Hungarian managers. Journal of East-West Business, 8(2), 63–84.CrossRefGoogle Scholar
Sila, I. (2007). Examining the effects of contextual factors on TQM and performance through the lens of organizational theories: An empirical study. Journal of Operations Management, 25(1), 83–109.CrossRefGoogle Scholar
Suchman, M. C. (1995). Managing legitimacy: Strategic and institutional approaches. Academy of Management Review, 20(3), 571–610.CrossRefGoogle Scholar
Taylor, W.A., & Wright, G.H. (2003). A longitudinal study of TMQ implementation: Factors influencing success and failure. Omega, 31(2), 97–111.CrossRefGoogle Scholar
Tolbert, P. S., & Zucker, L. G. (1983). Institutional sources of change in the formal structure of organizations: The diffusion of civil service reform, 1880–1935. Administrative Science Quarterly, 28, 22–39.CrossRefGoogle Scholar
Vargas-Sánchez, A., & Riquel-Ligero, F. (2015). Golf tourism, its institutional setting, and environmental management: A longitudinal analysis. European Journal of Tourism Research, 9, 41–56.CrossRefGoogle Scholar
Weber, M. (1968). Economy and society: An outline of interpretive sociology. New York: Bedminster Press.Google Scholar
Westphal, J. D., Gulati, R., & Shortell, S. M. (1996). The institutionalization of total quality management: The emergence of normative TQM adoption and the consequences for organizational legitimacy and performance. In Keys, J. B. & Dosier, L. N. (Eds.), Academy of management proceedings (Vol. 1996, No. 1, pp. 249–253). Statesboro, GA: College of Business Administration at Georgia Southern University.Google Scholar
Westphal, J. D., Gulati, R., & Shortell, S. M. (1997). Customization or conformity? An institutional and network perspective on the content and consequences of TQM adoption. Administrative Science Quarterly, 42(2), 366–394.CrossRefGoogle Scholar
Yang, S. B. (2007). The diffusion of organizational practice: Institutional factors affecting the adoption of self-managed work teams. International Review of Public Administration, 12(1), 93–103.CrossRefGoogle Scholar
Zbaracki, M. J. (1998). The rhetoric and reality of total quality management. Administrative Science Quarterly, 43(3), 602–636.CrossRefGoogle Scholar
Zhang, J., Jiang, Y., Shabbir, R., & Duan, Y. (2015). How perceived institutional pressures impact market orientation: An empirical study of Chinese manufacturing firms. Asia Pacific Journal of Marketing and Logistics, 27(2), 267–293.CrossRefGoogle Scholar
Zhu, Q., & Sarkis, J. (2007). The moderating effects of institutional pressures on emergent green supply chain practices and performance. International Journal of Production Research, 45(18–19), 4333–4355.CrossRefGoogle Scholar
Zsidisin, G. A., Melnyk, S. A., & Ragatz, G. L. (2005). An institutional theory perspective of business continuity planning for purchasing and supply management. International Journal of Production Research, 43(16), 3401–3420.CrossRefGoogle Scholar
Zucker, L. G. (1987). Institutional theories of organization. Annual Review of Sociology, 13(1), 443–464.CrossRefGoogle Scholar