Decision Sciences Journal
Volume 31, Number 4
Fall 2000
Quality-related Action Programs: Their Impact on Quality
Performance and Firm Performance
Sime Curkovic
Western Michigan University, Haworth College of Business, Management
Department, Kalamazoo, MI 49008, email: sime.curkovic@wmich.edu
Shawnee Vickery and Cornelia Dröge
Michigan State University, Eli Broad Graduate School of Management,
Marketing and Supply Chain Management Department, East Lansing,
MI 48824
ABSTRACT. From analyses of the direct effects of 10
quality action programs on six firm performance outcomes, as
well as their indirect effects through eight quality performance
dimensions, two routes from action programs through quality performance
to firm performance in the automotive supply industry are identified.
The first is the product quality route, whose landmarks are superior
quality performance on Conformance and Design Quality dimensions;
the second is the relationship quality route, with superior Customer
Responsiveness and Service. Both the product quality and the
relationship quality routes lead to superior ROI; the former
also leads to enhanced ROA, and the latter to enhanced market
share performance. Associated key action programs are Committed
Leadership, Cross-Functional Quality Teams, Employee Empowerment,
Supplier Development, and Closer Customer Relationships. The
first three are internally focused, while the latter two are
boundary-spanning supply chain programs.
Subject Areas: Automotive Supply Industry, Manufacturing
Strategy, Quality, and Survey Research. |