According to W. Edwards Deming, American companies require nothing less than a transformation of management style and of governmental relations with industry. In Out of the Crisis, originally published in 1982, Deming offers a theory of management based on his famous 14 Points for Management. Management's failure to plan for the future, he claims, brings about loss of market, which brings about loss of jobs. Management must be judged not only by the quarterly dividend, but by innovative plans to stay in business, protect investment, ensure future dividends, and provide more jobs through improved product and service. In simple, direct language, he explains the principles of management transformation and how to apply them.

Out of the Crisis

http://files.ferraz8.webnode.com/200000065-e27a6e46de/Artigo2.pdf

Lean manufacturing: context, practice bundles, and performance

Many EDI researchers and practitioners have recognized the importance of high penetration levels for the success of EDI. Unfortunately, such penetration is partly impeded by the resistance of small companies to become EDI capable. To investigate this issue, we identify three major factors that influence the EDI adoption practices of small firms. These factors are: organizational readiness (because of the low levels of IT sophistication and resource availability of small firms), external pressures to adopt (because of the weak market positions of small firms and the network nature of the technology), and perceived benefits (because of the limited impact that IT has on small firms due to under-utilization and lack of integration). By combining the anticipated effects of these factors, we developed a framework of EDI adoption by small businesses. The applicability of this framework is empirically demonstrated using the results of seven case studies. Lastly, recommendations are made for the development of successful EDI partner expansion plans. These include the development of a long term EDI partner expansion plan from the very beginning, the individual assessment of each partner's EDI preparedness level, and the selection of appropriate influence tactics to expedite adoption by small partners. Specifically, it is suggested that EDI initiators pursue promotional efforts to improve partners' perceptions of EDI benefits, provide financial and technological assistance to partners with low organizational readiness, and carefully select and enact influence strategies to reduce resistance.

Electronic data interchange and small organizations: adoption and impact of technology

https://www.tlog.lth.se/fileadmin/tlog/Utbildning/Kurser/Logistik_i_foersoerjningskedjor/Artiklar/JOM-2004-Paulraj.pdf

Towards a theory of supply chain management: the constructs and measurements

The contemporary quality management (QM) literature prescribes various quality improvement strategies. However, it lacks scientifically developed and tested constructs that represent an integrative QM philosophy. Moreover, an impact of the prescribed QM strategies on a firm's product quality has not been analyzed. Through a detailed analysis of the literature, this research identifies 12 constructs of integrated QM strategies. Using a survey of 371 manufacturing firms, the constructs are then empirically tested and validated. LISREL 7 is used for this purpose. Finally, a framework to examine the effects of integrated QM strategies on a firm's product quality is suggested. Comparisons between this and two other comprehensive scales of TQM are made.

Development and Validation of TQM Implementation Constructs

Small firms created more than six million new jobs in the United States in the 1980s. During the same period, Fortune 500 firms reduced employment by more than a million (Holt 1993). In recent years, small firms have accounted for nearly 90 percent of the net new jobs added in the U.S. (Mathis and Jackson 1991). Since small firms employ nearly half of the American workforce (Holley and Wolters 1987), their success is critical for the economy. To be successful in a global market, a small firm needs a highly motivated, skilled and satisfied workforce that can produce quality goods at low costs (Holt 1993). However, to develop such a workforce, a firm has to implement an appropriate human resource management (HRM) strategy. Unlike large businesses, published research further indicates that recruiting, motivating, and retaining employees is one of the biggest problems for small firms (Hornsby and Kuratko 1990, Mathis and Jackson 1991, Gatewood and Field 1987, Verser 1987). These findings are substantiated by a recent study (Hess 1987) which reports that small firms ranked personnel management as the second most important management activity (next to general management). However, in practice, other functional areas such as finance, production, and marketing usually get preference over personnel management (McEvoy 1984). Even textbooks on small business management pay considerably more attention to finance, marketing, and planning than personnel management (Hess 1987). Also, researchers report that managers of small firms lack training in formal personnel management practices and they do not consider the use of generally accepted HRM practices as essential for improving productivity (Amba-Rao and Pendse 1985, McEvoy 1984). This lack of understanding of HRM issues and their importance in the operation of a successful business has impacted many small firms. Inadequate and inefficient management of human resources of firms have often resulted in low productivity, and high dissatisfaction and turnover among the employees (Mathis and Jackson 1991). At least one study has found HRM practices to be the leading cause of small firms' failures (McEvoy 1984). However, there is no consensus among researchers regarding the role of HRM in the success of small firms. A study suggesting that training in personnel management is not as critical as training in finance or marketing for small business owners has added to the confusion regarding the importance of HRM practices in small firms (Curran 1988). To resolve this issue, a comparative study of small and large firms is undertaken. LITERATURE REVIEW A good HRM program will recruit, select, motivate, and retain employees who have the required workforce characteristics (Deshpande, Golhar, and Stamm 1993; Saha 1989). A majority of the published research investigating HRM issues in small businesses is conceptual and has concentrated on diverse HRM topics. Maurer and Fay (1986) examined the legal issues involved in employee selection methods used in small business. Gatewood and Field (1987) proposed a model selection program for small business. Fairfield-Sonn (1987) developed a strategic process model to guide the establishment of small business training and development programs. Curran (1988) suggested various training strategies for small business. Fowler and Murlis (1989) proposed compensation systems for small companies. Cosgrove and Dinerman (1982) addressed industrial relations issues in small firms. Holley and Wolters (1987) examined employment-at-will issues in small businesses. Finney (1987) and Smith (1991) addressed personnel challenges faced by HRM managers of small firms and proposed strategies for effective HRM. On the other hand, some empirical work has also been reported in the literature that examines specific aspects of HRM. McEvoy (1984) studied personnel practices of 84 small businesses near a large midwestern metropolitan area and found that small businesses lacked creative staffing practices. …

HRM Practices in Large and Small Manufacturing Firms: A Comparative Study

Total quality management (TQM) is a revolutionary approach to effective management. The research in TQM has emerged from practical needs of organizations embracing this philosophy, and the literature is mostly conceptual and practitioner-oriented. There is a lack of sound theoretical framework classifying past efforts and guiding future research. To fill the void, a study of the published TQM literature is undertaken. A review, classification, and analysis of the research in TQM spanning the last two decades is presented. A total of 226 TQM-related articles are identified from 44 refereed management journals published from 1970 to 1993. These articles are then classified and analyzed using the following two-dimensional scheme: (1) article orientation (conceptual, case study, empirical, analytical, simulation, and overview) and (2) article focus using the Malcolm Baldrige National Quality Award criteria. The analysis of the literature presents pertinent developments in each of the seven criteria. In addition, it provides future research directions as well as a ready reference of the TQM literature. The suggestions for research should guide future developments in the TQM field and help transform it into a formal discipline.

Total quality management: a literature review and an agenda for future research

The just-in-time (JIT) literature is reviewed to identify 211 refereed articles. To examine the significance of JIT implementation, global productivity comparison articles are summarized. The JIT, MRP and OPT comparisons research is examined. Classification of the JIT-practices-articles according to the topic areas is presented. Critical variables, discussed in the JIT implementation in manufacturing articles, are classified according to the four basic tenets of the JIT philosophy. Eleven critical variables are identified for the elimination of waste tenet. For employee involvement in decision-making, supplier participation and total quality control tenets, five, ten, and eight critical variables, respectively, are listed. To ensure a comprehensive review of the JIT literature, an extensive bibliography and some reviews of books on the JIT philosophy are provided. Future research directions are discussed.

The just-in-time philosophy : a literature review

An Empirical Investigation In the 1980s, the Japanese successfully produced high quality products at relatively low cost, thus capturing a large share of the global market in critical industries such as automotive and electronics. This led to a change in the way western manufacturing firms managed their operations. Analysis of the quality of Japanese firms revealed that a holistic approach to quality such as Total Quality Management (TQM) was instrumental in yielding high quality at a low cost (Ebrahimpour 1985; Garvin 1984). The early success achieved by major U.S. companies such as Ford and Motorola with TQM implementation and the inception of the Malcolm Baldrige National Quality Award (MBNQA) led to a formal recognition of the TQM philosophy. As a result, over the past few years the number of both large and small firms embarking upon formal TQM implementation has grown significantly (Durity 1991). However, many firms launching TQM are failing in their efforts (Fuchsberg 1992; Senge 1993). Many of the disappointments are attributed to the failure to recognize that success with TQM depends on organizational context, including the firm's size, the nature of its products, and industry characteristics (Cole 1993). Hence, empirical investigations of the effectiveness of TQM in various environments are urgently needed (Report of the Quality Leadership Steering Committee 1992; NSF Grant Proposal Guidelines 1994). A few comparative studies that assess only specific issues such as the use of statistical process control (SPC) tools and employee involvement have been reported in the TQM literature (Ebrahimpour 1988; Ebrahimpour and Lee 1988; Modarress and Ansari 1989; Ebrahimpour and Withers 1992; Schroeder et al. 1992). Also, the studies usually compare implementation of specific quality management elements in traditional (non-TQM) and TQM firms. As such, the existing TQM literature does not provide a detailed comparison of the quality strategies implemented in large and small firms. A review of the relative strengths and weaknesses of small firms reveals that the TQM principles such as employee participation and flexibility could, in fact, be more successfully applied in small firms than in large ones (Manoochehri 1988; Sonfield 1984). For example, small businesses tend to encourage innovation and can supply products at lower cost due to low overhead (Sironopolis 1994). On the other hand, researchers argue that small firms lack clout with suppliers and lack sufficient capital (Newmann 1988; Finch 1986). They also lack professional managerial expertise, which accounts for about 90 percent of small business failures (Sironopolis 1994). These are critical aspects for implementing TQM. For example, lack of clout with suppliers could impact a firm's ability to dictate the quality of incoming material. Also, lack of capital may limit a small firm from investing in high quality processes. Furthermore, knowledgeable and committed management is essential for successfully implementing TQM (Garvin 1986). Human resource management priorities and the practices of small firms also differ from those of large firms (Deshpande and Golhar 1994). Small business owners and managers tend to view human resource management strategies as being less important than finance, marketing, and planning (McEvoy 1984). Furthermore, small business managers do not perceive incentives to be critical to improving productivity (Amba-Rao and Pendse 1985). These findings may lead one to believe that the experiences of small firms with TQM implementation may differ widely from large firms. Thus, the size of an organization could perhaps influence the effectiveness of various quality management practices (Cole 1993). Despite the known differences, published research on quality management treats small and large firms as the same. The Baldrige Award uses the same criteria to evaluate quality management effectiveness in both large and small firms (Baldrige Award Guidelines 1994). …

Damodar Y. Golhar

Papers

Development and Validation of TQM Implementation Constructs

HRM Practices in Large and Small Manufacturing Firms: A Comparative Study

Total quality management: a literature review and an agenda for future research

The just-in-time philosophy : a literature review

Quality Management in Large vs Small Firms