Understanding the impact of quality practices on firm performance: insights from a structural equation modeling study of young manufacturing enterprises in Tetouan, Morocco

摘要

Young manufacturing enterprises are vital to local and regional development. Through this research, we seek to measure the impact of quality practices on firm performance using the case of young manufacturing enterprises in the region of Tetouan, Morocco. Using partial least squares structural equation modelling on survey data of 116 owners and managers of young manufacturing enterprises, our study finds that quality practices related leadership positively impact firm's strategy and planning, human resources, and partnerships and resources, which in turn, are positively related to process management. Our study also offers evidence to show that quality process management positively contributes to the firm's financial and non-financial performance. The implications and limitations of our study conclude the paper.