Nexus between total quality management and competitive advantage in Jordanian banking sector: The mediating effect of quality performance

Download This Article

Mohammad Ali Ibrahim Al Khasabah, Hayatul Safrah Salleh ORCID logo, Nik Hazimah Nik Mat ORCID logo, Siti Nur Atikah Zulkiffli ORCID logo

https://doi.org/10.22495/cgobrv6i2sip3

Creative Commons License
This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

Competitive advantage expresses the extent to which the organization has higher capabilities than its competitors in exploiting the available opportunities and limiting the potential effects. Its importance also enables the organization to make better use of its material, human and technological resources than its competitors by providing the best services and the best products to its customers. This lofty goal prompted Jordanian banks to adopt total quality management (TQM) and quality performance as crucial factors to achieve a superior competitive advantage for an organization. Thus, the purpose of this study is to examine the mediating effect of quality performance on the relationship between total quality management and competitive advantage. This study employed a questionnaire survey with a sample of 336 managers of the Jordanian banking sector. The study model is validated and tested using the partial least squares structural equation modeling. The result of this study showed that total quality management has a positive significant effect on competitive advantage and quality performance mediated the relationship between TQM and competitive advantage in the Jordanian banking sector.

Keywords: TQM, Competitive Advantage, Quality Performance, Jordanian Banking Sector

Authors’ individual contribution: Conceptualization — M.A.I.A.K. and H.S.S.; Methodology — M.A.I.A.K. and H.S.S.; Formal Analysis — M.A.I.A.K. and H.S.S.; Writing — Original Draft — M.A.I.A.K. and H.S.S.; Writing — Review & Editing — H.S.S., N.H.N.M., and S.N.A.Z.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: M1, M2, M3

Received: 14.02.2022
Accepted: 13.05.2022
Published online: 16.05.2022

How to cite this paper: Al Khasabah, M. A. I., Salleh, H. S., Mat, N. H. N., & Zulkiffli, S. N. A. (2022). Nexus between total quality management and competitive advantage in Jordanian banking sector: The mediating effect of quality performance [Special issue]. Corporate Governance and Organizational Behavior Review, 6(2), 193–205. https://doi.org/10.22495/cgobrv6i2sip3