TY - JOUR
T1 - The impact of total quality management adoption on small and medium enterprises' financial performance
AU - Kober, Ralph
AU - Subraamanniam, Thanesvary
AU - Watson, John
PY - 2012
Y1 - 2012
N2 - This paper examines whether the management accounting practice of total quality management (TQM) positively impacts on the financial performance of small and medium enterprises (SMEs). While research has investigated the impact of TQM on larger firms, to date, there has been no comprehensive analysis of the impact of TQM on SMEs’ financial performance. Our analysis of Australian Bureau of Statistics financial data for 3776 SMEs found no evidence that TQM improved financial performance after controlling for size and risk. Our results contribute to literature by highlighting that management accounting practices developed for larger companies may not necessarily be transposable to SMEs.
AB - This paper examines whether the management accounting practice of total quality management (TQM) positively impacts on the financial performance of small and medium enterprises (SMEs). While research has investigated the impact of TQM on larger firms, to date, there has been no comprehensive analysis of the impact of TQM on SMEs’ financial performance. Our analysis of Australian Bureau of Statistics financial data for 3776 SMEs found no evidence that TQM improved financial performance after controlling for size and risk. Our results contribute to literature by highlighting that management accounting practices developed for larger companies may not necessarily be transposable to SMEs.
U2 - 10.1111/j.1467-629X.2011.00402.x
DO - 10.1111/j.1467-629X.2011.00402.x
M3 - Article
SN - 0810-5391
VL - 52
SP - 421
EP - 438
JO - Accounting and Finance
JF - Accounting and Finance
IS - 2
ER -
