Total Quality Management Practices and Operational Performance of Commercial Banks in Makueni County, Kenya

Abstract

Total Quality Management (TQM) is an integrated organizational effort geared towards ensuring long-term success and competitive advantage by fostering quality at every level of the organisation. Following the radical changes brought about by globalisation and technology in the 21st Century, most organisations have started appreciating the need to embrace TQM practices following its potential to provide them with a sustained competitive edge and improved performance. The main objective of this research project was to determine the influence of TQM practices on the operational performance of commercial banks in Makueni County. The study used a cross-sectional descriptive survey design. This research targeted a total of nine commercial bank branches in Makueni County, and following the small of the target population, a census survey was used. Data for the research was collected using semi-structured questionnaires. Analysis of the data was done using regression analysis with the help of SPSS which produced descriptive statistics and correlation results. The findings of the research revealed that continuous improvement, training and education and employee commitment had a positive impact on the operations performance while customer focus and top management commitment had a negative influence on operations performance. Therefore, the application of TQM practices has a moderate impact on operational performance of commercial banks operating in Makueni County. The research, therefore, recommends that commercial banks operating in Makueni County should consider increasing the adoption of TQM practices in order to improve not only their competitive advantage but also their operational performance. Limitations of the study were that results cannot be used to generalize the impact of TQM practices on Operational Performance in commercial banks in Kenya due to the small sample size involved.