TQM and Financial Performance: A Research Standard

Abstract

Despite two decades of research, the relationship between TQM and financial performance is still controversial. In fact, both proponents and detractors can marshal an array of studies that provide support for their respective positions. Methodological limitations and differences between studies are often cited as the predominant reason for the varied results. In light of methodological problems found in the TQM–Financial Performance literature, a research standard is proposed – a nine-item research gauntlet that researchers must traverse sequentially, if they are to make a more definitive assessment of the relationship between TQM and subsequent financial performance.

Keywords:

• Total Quality Management
• financial performance
• repeated-measures research
• longitudinal data analysis