Do quality management (QM) practices foster or hinder innovation? Attempts have been made to investigate this relationship, but the research has shown inconsistent results. Drawing on a review of related literature, this study proposes a theoretical model and a hypothesis in the Chinese con-text, with the aim of investigating the impact of QM practices on innovation performance. The investigation was made up of 383 questionnaires from nine Chinese provinces and cities. From here, this study further analyses the moderating effects of market turbulence on the relationship be-tween QM practices and innovation performance. The results show that both QM infrastructure practices and core QM practices have a positive effect on innovation performance. Additionally, it is found that market turbulence positively moderates the relationship between the QM infrastructure practices and product innovation performance, but negatively moderates the relationship between core QM practices and process innovation performance. However, market turbulence does not moderate the relationship between infrastructure practices and process innovation performance; also, the moderating effects of core practices and product innovation performance are not significant.
KeywordsDo quality management (QM) practices foster or hinder innovation? Attempts have been made to investigate this relationshipbut the research has shown inconsistent results. Drawing on a review of related literaturethis study proposes a theoretical model and a hypothesis in the Chinese con-textwith the aim of investigating the impact of QM practices on innovation performance. The in-vestigation was made up of 383 questionnaires from nine Chinese provinces and cities. From herethis study further analyses the moderating effects of market turbulence on the relationship be-tween QM practices and innovation performance. The results show that both QM infrastructure practices and core QM practices have a positive effect on innovation performance. Additionally
Santos-Vijande, M.L. and álvarez-González, L.I. (2007) Innovativeness and Organizational Innovation in Total Quality Oriented Firms: The Moderating Role of Market Turbulence. Technovation, 27, 514-532. http://dx.doi.org/10.1016/j.technovation.2007.05.014
Prajogo, D.I. and Sohal, A.S. (2001) Tqm and Innovation: A Literature Review and Research Framework. Technovation, 21, 539-558. http://dx.doi.org/10.1016/S0166-4972(00)00070-5
Slater, S.F. and Narver, J.C. (1994) Does Competitive Environment Moderate the Market Orientation-Performance Relationship? Journal of Marketing, 58, 46-55. http://dx.doi.org/10.2307/1252250
Woodman, R.W., Sawyer, J.E. and Griffin, R.W. (1993) Toward a Theory of Organizational Creativity. Academy of Management Review, 18, 293-321.
Dahlgaard-Park, S.M. (2011) The Quality Movement: Where Are You Going? Total Quality Management & Business Excellence, 22, 493-516. http://dx.doi.org/10.1080/14783363.2011.578481
Flynn, B.B., Schroeder, R.G. and Sakakibara, S. (1995) The Impact of Quality Management Practices on Performance and Competitive Advantage. Decision Sciences, 26, 659-691. http://dx.doi.org/10.1111/j.1540-5915.1995.tb01445.x
Van Der Wiele, T., Van Iwaarden, J., Williams, R. and Eldridge, S. (2011) A New Foundation for Quality Management in the Business Environment of the Twenty-First Century. Total Quality Management & Business Excellence, 22, 587-598. http://dx.doi.org/10.1080/14783363.2011.568264
Hendricks, K.B. and Singhal, V.R. (1997) Does Implementing an Effective TQM Program Actually Improve Operating Performance? Empirical Evidence from Firms that Have Won Quality Awards. Management Science, 43, 1258-1274. http://dx.doi.org/10.1287/mnsc.43.9.1258
Kaynak, H. (2003) The Relationship between Total Quality Management Practices and Their Effects on Firm Performance. Journal of Operations Management, 21, 405-435. http://dx.doi.org/10.1016/S0272-6963(03)00004-4
Reed, R., Lemak, D.J. and Mero, N.P. (2000) Total Quality Management and Sustainable Competitive Advantage. Journal of Quality Management, 5, 5-26. http://dx.doi.org/10.1016/S1084-8568(00)00010-9
Read, A. (2000) Determinants of Successful Organisational Innovation: A Review of Current Research. Journal of Management Practice, 3, 95-119.
Gopalakrishnan, S. and Damanpour, F. (1997) A Review of Innovation Research in Economics, Sociology And Technology Management. Omega, 25, 15-28. http://dx.doi.org/10.1016/S0305-0483(96)00043-6
it is found that market turbulence positively moderates the relationship between the QM infrastructure practices and product innovation performance
but negatively moderates the relationship between core QM practices and process innovation performance. Ho
Drejer, I. (2004) Identifying Innovation in Surveys of Services: A Schumpeterian Perspective. Research Policy, 33, 551-562. http://dx.doi.org/10.1016/j.respol.2003.07.004
Utterback, J.M. and Abernathy, W.J. (1975) A Dynamic Model of Process and Product Innovation. Omega, 3, 639-656. http://dx.doi.org/10.1016/0305-0483(75)90068-7
Amabile, T.M., Conti, R., Coon, H., Lazenby, J. and Herron, M. (1996) Assessing The Work Environment for Creativity. Academy of Management Journal, 39, 1154-1184. http://dx.doi.org/10.2307/256995
Dweck, C.S. and Leggett, E.L. (1988) A Social-Cognitive Approach to Motivation and Personality. Psychological Review, 95, 256. http://dx.doi.org/10.1037/0033-295X.95.2.256
Luthans, F. (2002) The Need for and Meaning of Positive Organizational Behavior. Journal of Organizational Behavior, 23, 695-706. http://dx.doi.org/10.1002/job.165
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, 83-109. http://dx.doi.org/10.1016/j.jom.2006.02.003
Wang, H., Tsui, A.S. and Xin, K.R. (2011) CEO Leadership Behaviors, Organizational Performance, and Employees’ Attitudes. The Leadership Quarterly, 22, 92-105. http://dx.doi.org/10.1016/j.leaqua.2010.12.009
Yang, J.Z., Yang, D.T., Zhao, S.D., Jiang, L.D. and Qin, W.P. (2011) “I Am”, “I Can”, “I Will”—Employee Creativity Psychology and Employee Creativity Behavior. Science of Science and Management of S.&T., 32, 165-172. (In Chinese)
Hult, G.T.M., Hurley, R.F. and Knight, G.A. (2004) Innovativeness: Its Antecedents and Impact on Business Performance. Industrial Marketing Management, 33, 429-438. http://dx.doi.org/10.1016/j.indmarman.2003.08.015
Roffe, I. (1999) Innovation and Creativity in Organizations: A Review of the Implications for Training and Development. Journal of European Industrial Training, 23, 224-241. http://dx.doi.org/10.1108/03090599910272103
Mcadam, R., Armstrong, G. and Kelly, B. (1998) Investigation of the Relationship between Total Quality and Innovation: A Research Study Involving Small Organizations. European Journal of Innovation Management, 1, 139-147. http://dx.doi.org/10.1108/14601069810230216
Lorente, A.R.M., Dewhurst, F. and Dale, B.G. (1999) TQW and Business Innovation. European Journal of Innovation Management, 2, 12-19. http://dx.doi.org/10.1108/14601069910248847
Abrunhosa, A. and Sá, M.E. (2008) Are TQM Principles Supporting Innovation in the Portuguese Footwear Industry? Technovation, 28, 208-221. http://dx.doi.org/10.1016/j.technovation.2007.08.001
Perdomo-Ortiz, J., González-Benito, J. and Galende, J. (2006) Total Quality Management as a Forerunner of Business Innovation Capability. Technovation, 26, 1170-1185. http://dx.doi.org/10.1016/j.technovation.2005.09.008
Liker, J.K. (2004) The Toyota Way: 14 Management Principles from the World’s Greatest Manufacturer. McGraw-Hill, New York.
Nair, A. (2006) Meta-Analysis of the Relationship between Quality Management Practices and Firm Performance— Implications for Quality Management Theory Development. Journal of Operations Management, 24, 948-975. http://dx.doi.org/10.1016/j.jom.2005.11.005
Hoang, D.T., Igel, B. and Laosirihongthong, T. (2006) The Impact of Total Quality Management on Innovation: Findings from a Developing Country. International Journal of Quality & Reliability Management, 23, 1092-1117. http://dx.doi.org/10.1108/02656710610704230
Li, S. and Jiang, Y. (2011) The Correlation Mechanism between Supplier Involvement in NPD and The Enterprises’ Self-Determined Innovation Capability. Science Research Management, 32, 20-28. (In Chinese)
Carson, S.J., Madhok, A., Varman, R. and John, G. (2003) Information Processing Moderators of the Effectiveness of Trust-Based Governance in Interfirm R&D Collaboration. Organization Science, 14, 45-56. http://dx.doi.org/10.1287/orsc.14.1.45.12811
Silvestro, R. (2001) Towards a Contingency Theory of TQM in Services-How Implementation Varies on the Basis of Volume and Variety. International Journal of Quality & Reliability Management, 18, 254-288. http://dx.doi.org/10.1108/02656710110383520
Sousa, R. and Voss, C.A. (2001) Quality Management: Universal or Context Dependent? Production and Operations Management, 10, 383-404. http://dx.doi.org/10.1111/j.1937-5956.2001.tb00083.x
Zhang, D., Linderman, K. and Schroeder, R.G. (2012) The Moderating Role of Contextual Factors on Quality Management Practices. Journal of Operations Management, 30, 12-23. http://dx.doi.org/10.1016/j.jom.2011.05.001
Flynn, B.B. and Saladin, B. (2006) Relevance of Baldrige Constructs in an International Context: A Study of National Culture. Journal of Operations Management, 24, 583-603. http://dx.doi.org/10.1016/j.jom.2005.09.002
López-Mielgo, N., Montes-Peón, J.M. and Vázquez-Ordás, C.J. (2009) Are Quality and Innovation Management Conflicting Activities? Technovation, 29, 537-545. http://dx.doi.org/10.1016/j.technovation.2009.02.005
Santos-Vijande, M.L. and Alvarez-Gonzalez, L.I. (2007) TQM and Firms Performance: An EFQM Excellence Model Research Based Survey. International Journal of Business Science and Applied Management, 2, 21-41.
Scherer, F.M. and Harhoff, D. (2000) Technology Policy for a World of Skew-Distributed Outcomes. Research Policy, 29, 559-566. http://dx.doi.org/10.1016/S0048-7333(99)00089-X
Terziovski, M. and Sohal, A.S. (2000) The Adoption of Continuous Improvement and Innovation Strategies in Australian Manufacturing Firms. Technovation, 20, 539-550. http://dx.doi.org/10.1016/S0166-4972(99)00173-X
Klassen, R.D. and Menor, L.J. (2007) The Process Management Triangle: An Empirical Investigation of Process Trade-Offs. Journal of Operations Management, 25, 1015-1034. http://dx.doi.org/10.1016/j.jom.2006.10.004
Kim, D.-Y., Kumar, V. and Kumar, U. (2012) Relationship between Quality Management Practices and Innovation. Journal of Operations Management, 30, 295-315. http://dx.doi.org/10.1016/j.jom.2012.02.003
Bell, J. (2010) Doing Your Research Project. 5th Edition, Open University Press, Maidenhead.
Martínez-Costa, M. and Martínez-Lorente, A.R. (2008) Does Quality Management Foster or Hinder Innovation? An Empirical Study of Spanish Companies. Total Quality Management, 19, 209-221. http://dx.doi.org/10.1080/14783360701600639
Nunnally, J.C. and Bernstein, I.H. (1967) Psychometric Theory. 3rd Edition, McGraw-Hill, New York.
Woon, K.C. (2000) Assessment of TQM Implementation: Benchmarking Singapore’s Productivity Leaders. Business Process Management Journal, 6, 314-330. http://dx.doi.org/10.1108/14637150010345497
Hair, J.F.J., Anderson, R.E., Tatham, R.L. and Black, W.C. (1995) Multivariate Data Analysis. Prentice Hall, Upper Saddle River.
Choo, A.S., Linderman, K.W. and Schroeder, R.G. (2007) Method and Context Perspectives on Learning and Knowledge Creation in Quality Management. Journal of Operations Management, 25, 918-931. http://dx.doi.org/10.1016/j.jom.2006.08.002
Atuahene-Gima, K. (1996) Market Orientation and Innovation. Journal of Business Research, 35, 93-103. http://dx.doi.org/10.1016/0148-2963(95)00051-8
Chen, C.-J. and Huang, J.-W. (2009) Strategic Human Resource Practices and Innovation Performance—The Mediatingrole of Knowledge Management Capacity. Journal of Business Research, 62, 104-114. http://dx.doi.org/10.1016/j.jbusres.2007.11.016
Li, Z., Su, Q. and Song, Y. (2008) Empirical Study on the Relationship between Quality Management Practice and Business Performance. Science Research Management, 29, 41-48. (In Chinese)
Benner, M.J. and Tushman, M. (2002) Process Management and Technological Innovation: A Longitudinal Study of the Photography and Paint Industries. Administrative Science Quarterly, 47, 676-707. http://dx.doi.org/10.2307/3094913
Chen, X., Xu, S. and Fang, J. (2008) Empirical Methods in Organization and Management Research. 2nd Edition, Peking University Press, Beijing.