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A structural analysis of the impact of quality management practices in purchasing on purchasing and business performance

By: SÁNCHEZ-RODRÍGUEZ, Cristóbal.
Contributor(s): HEMSWORTH, David.
Material type: materialTypeLabelArticlePublisher: UK : Routledge, March 2005Subject(s): Quality management | Purchasing function | Business performance | Structural equationsTotal Quality Management & Business Excellence 16, 2, p. 215 - 230Abstract: Purchasing management and total quality management (TQM) can help provide organizations with a sustainable competitive advantage by improving product quality and service while reducing cost. Although the literature has emphasized that purchasing and quality management are essential competencies to supply chain success, there is a lack of empirical evidence that tests the impact of quality management practices in purchasing (QMPP) on business performance. Therefore, the objective of this research was to empirically examine a mediational model in which QMPP have a direct impact on purchasing performance and an indirect impact on business performance mediated through purchasing performance. The proposed model was tested by means of structural equation modelling. The study showed that the implementation of quality management practices in purchasing has a significant positive impact on purchasing and business performance.
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Purchasing management and total quality management (TQM) can help provide organizations with a sustainable competitive advantage by improving product quality and service while reducing cost. Although the literature has emphasized that purchasing and quality management are essential competencies to supply chain success, there is a lack of empirical evidence that tests the impact of quality management practices in purchasing (QMPP) on business performance. Therefore, the objective of this research was to empirically examine a mediational model in which QMPP have a direct impact on purchasing performance and an indirect impact on business performance mediated through purchasing performance. The proposed model was tested by means of structural equation modelling. The study showed that the implementation of quality management practices in purchasing has a significant positive impact on purchasing and business performance.

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