THE IMPACT OF TOP MANAGEMENT LEADERSHIP ON TOTAL QUALITY MANAGEMENT: AN EMPIRICAL STUDY OF USA VS. CHINA

摘要

Existing literature on total quality management (TQM) assumed that the most effective TQMleadership style would be universal across international boundaries. The purpose of this study is to investigate the universal applicability of TQM-leadership style, specifically by comparing USA-based firms and China-based firms. A survey was conducted in these two countries and structural equation modeling (SEM) was adopted to test the developed hypotheses. The study results did not support the universality of TQM practices. For instance, the results reveal that in the USA-based firms, transformational leadership has a more significant positive influence on TQM practices, while in the China-based firms, transactional leadership has a more significant positive impact on TQM practices. These findings imply that the effective leadership style for successful implementation of TQM practices could be contingent on the cultural background embedded within the firms.