To investigate which aspects of TQM practices support or hinder technological innovation in the Portuguese footwear industry. Some small to medium sized units of the Portuguese footwear industry with a lack of resources for radical technological innovation were, however, successful in constantly introducing changes in process and product designs by developing a close relationship with customers, suppliers, competitors, and institutions. This observation, coupled with the prevailing view that the impact of TQM on innovation is controversial, triggered a survey to investigate whether two key TQM principles, i.e., people management and work organization, support technological innovation. The survey was administered to 16 small and medium size footwear firms using a designed questionnaire. The preliminary findings show that the level of adoption of TQM principles is low, and higher levels of communication, consultation, and qualitative flexibility, and lower level of formalization enable innovation adoption. (32 refs.)
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