The Effect of Total Quality Management Towards Sustainable Business Performance: (In the Case of Linssen Roses Ethiopia)
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Date
2023-11-07
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Addis Ababa University
Abstract
Total Quality Management (TQM) is a management philosophy that helps to increase
organizational performance with a focus on continuous improvement and proactively detecting
and avoiding errors in the process of delivering goods or services. Ethiopia's cut flower production
and market contribute to the Ethiopian export sector. The country has seventy-two active flower
farms and is the second largest producer and exporter of flower next to Kenya. It is known for
supplying high-quality flowers but is a small player in the world market. This study examines the
effect of Total Quality Management on sustainable business performance in Linssen Roses
Ethiopia, including customer focus, commitment from top management, continuous improvement,
best practices, employee focus, and which factors have a higher influence. This study used a
quantitative research approach to generate numerical data from a large-scale survey and
close ended questionnaires and/or structured interviews. It used an explanatory research design to
investigate the objective and test the hypothesis. The sample size is determined by the formula at
95% confidence and 5% precision to ensure reliable results. This study used a convenience method
to select 306 Linssen Roses Ethiopia staff members from different departments in Addis Alem
Town, Ethiopia. Primary data was collected through structured questionnaires to extract
customers' experience of Total Quality Management dimensions. Data analysis was conducted
using regression and correlation models to examine the relationship between TQM dimensions
and sustainable business performance. Tools such as tables and percentages were used to ensure
accuracy. Based on the empirical research findings in this study, Total Quality Management has
a positive and significant effect on sustainable business performance.