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TQM--A predecessor of ERP implementation

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  • Li, Ling
  • Markowski, Carol
  • Xu, Li
  • Markowski, Edward

Abstract

Is total quality management (TQM) a predecessor of enterprise resource planning systems (ERP) implementation? This question draws a lot of interest from business managers. Many firms intend to implement both TQM and ERP systems to match the market competition. The question is: Which system should be implemented first? Using US manufacturing companies that have a focus on TQM and have implemented ERP systems, this study examines the relationship among TQM, ERP implementation, operations performance, customer satisfaction, and a firm's performance and subsequently provides a better understanding about the synergistic relationship between TQM and ERP implementation. Structural equation modeling is applied to analyze the data from 154 manufacturing companies in the US. We argue that TQM is a philosophy that emphasizes process improvement, whereas an ERP system is an IT mechanism that implements enterprise-wide process management. Conceptual development and our findings suggest ERP implementation can be successful if it is preceded by a TQM focus.

Suggested Citation

  • Li, Ling & Markowski, Carol & Xu, Li & Markowski, Edward, 2008. "TQM--A predecessor of ERP implementation," International Journal of Production Economics, Elsevier, vol. 115(2), pages 569-580, October.
    • Handle: RePEc:eee:proeco:v:115:y:2008:i:2:p:569-580
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    References listed on IDEAS

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    Cited by:

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    3. Lin, Shu-Ping & Yang, Chen-Lung & Chan, Ya-hui & Sheu, Chwen, 2010. "Refining Kano's 'quality attributes-satisfaction' model: A moderated regression approach," International Journal of Production Economics, Elsevier, vol. 126(2), pages 255-263, August.
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    5. Choi, Tsan Ming & Chow, Pui Sze & Liu, Shuk Ching, 2013. "Implementation of fashion ERP systems in China: Case study of a fashion brand, review and future challenges," International Journal of Production Economics, Elsevier, vol. 146(1), pages 70-81.

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