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Two are Better Than One: The Link Between Management Systems and Business Performance

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  • Vera Ferrón Vílchez
  • Nicole Darnall

Abstract

Little is known about the complementary performance benefits associated with facilities’ combined use of both quality management systems (QMSs) and environmental management systems (EMSs), and how these performance benefits might differ from those associated with facilities’ use of only one of these management systems (or neither). We suggest that complementarities arise because each management system fosters the development of internal capabilities that facilitates the adoption and routine operationalization of the other, while maintaining differentiated goals that enhance strategic value. We examine these relationships using a sample of 2619 manufacturing facilities operating within six OECD countries, while controlling for self‐selection issues. Our findings support the idea of complementarity, in that facilities that adopt both QMS and EMS are more associated with positive business performance than facilities that adopt either a QMS or an EMS on its own, or no management system. Copyright © 2014 John Wiley & Sons, Ltd and ERP Environment

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  • Vera Ferrón Vílchez & Nicole Darnall, 2016. "Two are Better Than One: The Link Between Management Systems and Business Performance," Business Strategy and the Environment, Wiley Blackwell, vol. 25(4), pages 221-240, May.
  • Handle: RePEc:bla:bstrat:v:25:y:2016:i:4:p:221-240
    DOI: 10.1002/bse.1864
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    5. Aurore Darmandieu & Concepción Garcés‐Ayerbe & Antoine Renucci & Pilar Rivera‐Torres, 2022. "How does it pay to be circular in production processes? Eco‐innovativeness and green jobs as moderators of a cost‐efficiency advantage in European small and medium enterprises," Business Strategy and the Environment, Wiley Blackwell, vol. 31(3), pages 1184-1203, March.
    6. Anton Shevchenko & Xiaodan Pan & Goran Calic, 2020. "Exploring the effect of environmental orientation on financial decisions of businesses at the bottom of the pyramid: Evidence from the microlending context," Business Strategy and the Environment, Wiley Blackwell, vol. 29(5), pages 1876-1886, July.
    7. Ozusaglam, Serdal & Kesidou, Effie & Wong, Chee Yew, 2018. "Performance effects of complementarity between environmental management systems and environmental technologies," International Journal of Production Economics, Elsevier, vol. 197(C), pages 112-122.
    8. José Álvarez-García & María De la Cruz Del Río-Rama & María Del Mar Miras-Rodríguez, 2017. "How Do Quality Practices Affect the Results?: The Experience of Thalassotherapy Centres in Spain," Sustainability, MDPI, vol. 9(4), pages 1-19, April.
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    10. Hernandez-Vivanco, Alfonso & Bernardo, Merce, 2023. "Management systems and productive efficiency along the certification life-cycle," International Journal of Production Economics, Elsevier, vol. 266(C).
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