Performance Appraisal in an Organization Using Total Quality Management (TQM)
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Total quality management is a systematic method to ensure high quality performance. The productivity and performance of any organization can also be evaluated on the basis of principles of total quality management provided a devised tool is available for such appraisal. This may reduce the cost by improving the efficiency of organization. Empirical literature review was carried out in order to assess the status of prevailing knowledge about total quality management. Use of financial and operative indicators as primary or secondary variables to appraise organizational performance allows a greater comparison between different types of industries and situations that avoids possible differences in valuation of quantities. A 10 item scale is proposed to appraise performance that includes different indicators of the achievement of the goals promulgated the experts of the total quality management. Cronbach's alpha remained high for initial model appraisal which indicates the dimensions possess with adequate reliability and validity. Index of goodness of fit provides a best fir for the model as well. Excluding three items not fit for this model after validation study, the final scale comprises seven items and is a valid and reliable measure that may be used in future studies of performance appraisal by total quality management.
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