INFLUENCE OF TOTAL QUALITY MANAGEMENT ON COMPETITIVE ADVANTAGE OF TEA PROCESSING COMPANIES IN KENYA
INFLUENCE OF TOTAL QUALITY MANAGEMENT ON COMPETITIVE ADVANTAGE OF TEA PROCESSING COMPANIES IN KENYA
Justus Segera Nyaribo - Master of Business Administration (Strategic Option), Jomo Kenyatta University of Agriculture and Technology, Kenya
Dr. Paul Kariuki, PhD - Lecturer, Jomo Kenyatta University of Agriculture and Technology, Kenya
ABSTRACT
Total Quality Management is an aspect that modern organizations use to enhance their production and management quality thus enhancing their performance and competitiveness. Competitiveness of the tea processing companies is critical in making the livelihoods of the tea growing farmers sustainable as well as contributing to the country’s economy. This has however not been the case where most of the tea processing companies have gone for months without paying the farmers their dues while others subdue the payments due to losses. This study therefore sought to address the influence of total quality management on the competitive advantage of tea processing companies in Kenya. Specifically, the study sought to find out the influence leadership competency on the competitive advantage of tea processing companies in Kenya; examine the influence of employee involvement on the competitive advantage of tea processing companies in Kenya; evaluate the influence of customer focus on the competitive advantage of tea processing companies in Kenya and to determine the influence of continuous improvement on the competitive advantage of tea processing companies in Kenya. The study employed various theories to explain the study variables which include; resource based theory, contingency theory, stakeholder theory, commitment-trust theory and porter’s theory of competitive advantage. Descriptive research design was used while the target population comprised of the 54 tea processing companies registered under KTDA. Census was used where 4 heads of department were surveyed from all the 54 companies. Structured questionnaire was used to collect the data which was analysed through descriptive and inferential statistics by use of SPSS. The findings were presented in form of tables, bar-graphs and pie-charts. The findings revealed that leadership competency had a significant (β = 0.199; P<0.05) influence on the competitive advantage of tea processing companies in Kenya. Employee involvement was also found to have a significant (β = 0.216; P<0.05) influence on the competitive advantage of tea processing companies in Kenya. The findings revealed that customer focus as an aspect of TQM had a significant (β = 0.186; P<0.05) influence on the competitive advantage of tea processing companies in Kenya. The findings further revealed that continuous improvement had a significant (β = 0.226; P<0.05) influence on the competitive advantage of tea processing companies in Kenya. The study concluded that Total quality management through leadership competency, employee involvement, customer focus and continuous improvement was essential in enhancing the competitive advantage of tea processing firms in Kenya. It is therefore recommended that the management of tea processing firms embraces TQM as a way of enhancing the competitiveness of the firms.
