EVALUATION OF THE IMPACT OF QUALITY MANAGEMENT SYSTEM ON OPERATIONAL PERFORMANCE: THE CASE OF EAST AFRICA BOTTLING SHARE COMPANY

Abstract

The purpose of this study was established the correlation between Quality management system implementation and organizational performance improvement in the case of East Africa bottling share company. It also required to find out the extent of Quality management system implementation in this institute as well as the challenges faced by institute in implementation. A survey questionnaire was used to collect data. Descriptive statistics was used to evaluate the extent of implementation of Quality management system practices and the challenges during implementation. Performance measures were regressed against the set of practices under Quality management system to evaluate the relationship between the two. A correlation and regression model was used to evaluate the overall association between Quality management system implementation and organizational performance improvement. The results from the study show that Quality management system have varying degrees of implementation in East Africa bottling share company. from the perspective of Quality management system Top management, customer focus, process approach, fact based decision making, continuous improvement and supplier involvement; from the perspective of Operational performance Customer satisfaction, Quality of product, profitability and firm competitiveness having the Very good extent of implementation and on the other hand Employee involvement and Employee satisfaction under Quality management practice and operational performance respectively are good level of implementation. On challenges faced in Quality management implementation, employee’s quality culture, understanding, financial budgeting lower employee satisfaction, gaps in communication and resistance to change are considered. The greatest opportunity was top management commitment and support. Results from the descriptive statistics, correlation and regression analysis show that implementation of Quality management system in east Africa bottling Share Company is significantly related to organizational performance improvement