Modeling the Impact of Total Quality Management (TQM) Practices on Service Quality in Service Organizations (Case Study: Isfahan Refah Kargaran Bank)

Abstract

Purpose: purpose of the present survey is to determine degree of relationship and impact of total quality management (TQM) practices on service quality in service organizations.

Research methodology: this survey was conducted using descriptive-field method. Its primary data was obtained through field study by two TQM and service quality questionnaires among seventeen selected branches of Refah Kargaran Bank in Isfahan province. Volume of sample included sixty three (63) persons. Multiple regression method, F-test and T-test, ANOVA and correlation tables were used in the survey.

Findings: continuous improvement with β=-0.537 and training with β=0.409 are two primary effective factors on increasing of service quality among seven independent variables (training, management commitment, employees’ empowerment, customer focus, information, continuous improvement and employees' involvement). Its regression model is as below:

Y=1/876+0.543X Where X shows continuous improvement and Y is service quality.

Conclusion: given to obtained results it could be claimed that it is possible to achieve a desirable level of success in business through a more precise planning, focusing on several more important and effective principles due to prioritization of effective factors on service quality during a shorter period of time and paying lower costs.

Key words: total quality management (TQM), total quality management (TQM) practices, service quality