Victoria Pekka Economou, Ph.D., Business, University of Piraeus, 80 Karaoli & Dimitriou Str, Piraeus, 18534, Greece
Gaining company’s sustained competitive advantage, is really a necessary precondition for improved organizational performance? The case of TQM.
by
Victoria Pekka Economou
University of Piraeus
Email: vic_pec@yahoo.com
Chatzikonstantinou G. Pantelis
Email : pantelisxatzh@yahoo.gr
Abstract
During the last decades companies compete in a highly volatile globalized environment due to international competition and to new business approaches. Globalization has transformed the historic patterns of investment, production and distribution of firms and organizations. Enterprises, in order to facilitate their successful existence, and to improve their levels of efficiency focus on maintaining and increasing market shares, on gaining and sustaining competitive advantage. Recent research prevails that over time competitive advantage has become significantly harder to be achieved and moreover to be sustained. Total Quality Management may be considered as an organizational commitment and dedication to produce continuous improved quality goods and services that meet or exceed customers’ expectations through improved processes.
The purpose of this paper is to explore the relationship between Total Quality Management and competitive advantage and to discuss the possibility that through the TQM approach, a firm or an organization can achieve a competitive advantage and also the dynamics to maintain it. In addition, it will be presented, how Total Quality Management can be accepted as a necessary precondition for improved organizational performance.
Keywords: Competitive advantage, Strategic Management, Total Quality Management, Competitiveness, Organizational performance.