Total Quality Management, Employee Outcomes, and Environmental Uncertainty: Unveiling the Dynamic Nexus for Sustainable Organizational Performance in Palestinian Service Sector رسالة ماجستير

Abstract

Total quality management (TQM) has been identified as an essential pillar of organizational performance, competitive advantage, and excellence. TQM follows a systematic approach that aims to achieve long-term organizational goals, and it believed to be applicable in manufacturing and service sectors. In this study, TQM has been investigated to understand its contributions to the Sustainable organizational performance (SOP) and employee outcomes (EMO) in the context of the Palestinian service sector. In today’s business environment, SOP has become of a great interest and gain a high priority; it is the corner stone of the business survival. On the other hand, this study adopts EMO to highlight the role of employees in the organization. TQM and human resource management (HRM) intersect in the role of developing human resource practices. Many TQM elements involve human factors, such as employee involvement and empowerment, teamwork, internal communication, and management support. TQM is context-dependent. Different contextual factors play a role in the success degree of TQM implementation and it will be risky to accept a standardized conceptualization of any TQM model. This research assesses the contingent effect of environmental uncertainty on the relationship between EMO and SOP. Different theories have been adopted in this research, including quality management theory, resource based view theory (RBV), the ability, motivation, and opportunity model (AMO), and contingency theory, to theorize the relationships between the research variables. This study provide some beneficial insights that highlights the major role that TQM practices play in improving EMO and SOP, which reflects on customer satisfaction and other organizational aspects. It also show the effect of EU on organizations. Causal research was conducted to VI investigate the relationships between research variables. Quantitative data underlying this study was collected using questionnaires. The responses of 123 high-level employees from different Palestinian service sectors were collected and analyzed using the partial least squares structural equation modeling (PLS-SEM). It was found that TQM practices positively affect employee outcomes and SOP. It was also proved that environmental uncertainty moderates the relationship between EMO and SOP. On the other side, the results indicate a negative relationship between employee outcomes and sustainable organizational performance. It also shows that employee outcomes do not mediate the relationship between TQM and SOP. This study contributes to TQM and HRM literature, and provides a beneficial insights about SOP and EMO improvement through the adoption of TQM practices. Some limitations faced the implementation of the research including the political situation in the West Bank and Gaza Stripe that obstruct the data collection process. Further future researches are suggested to cover other contextual aspects using different contingent variables, other future researches could also consider a broader range of respondents to get a broader understanding of this topic.