| Abstract: | The purpose of this research is to explore the influence of TQM practices on organizational effectiveness
at commercial bank of Ethiopia (CBE) Addis Ababa branch offices. This study uses quantitative approach
to achieve the objectives of the research. A questionnaire was used to collect the relevant data for this
study. The study was conducted on 384 employees including top level managers selected from 12
randomly selected sample branches of CBE found in Addis Ababa. The data collected was analyzed by
descriptive and inferential statistical analysis techniques. The results of data analysis show that the level
of TQM practices at CBE was moderate. The multiple regressions analysis was used to explain the
influence of TQM practices on organizational effectiveness at CBE. The findings showed that seven TQM
practices including employee empowerment, employee involvement, customer focus, quality focus,
employee training, reward and recognition and top management commitment had a positive influence on
organizational effectiveness at CBE. In addition, continuous improvement did not have any influence on
organizational effectiveness at CBE. Moreover, the study revealed that some of the obstacles that affected
the achievement of a high level of TQM implementation at CBE were: a lack of training programs relating
to the quality management system, a lack of motivation and reward system, and poor organizational
communication. Finally, on the basis of the research findings, this study recommends the company to
improve its training programs relating to the quality management system, motivation and reward system,
and organizational communication. |
