Total Quality Management Implementation in Oil and Gas Sector Organisations-A Case Study from the Sultanate of Oman

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Adil Al Busaidi, Mohammed Usman, Norizan Bint Mohd Kassim

Abstract

Total Quality Management (TQM) concept is behind many organisations prosperity. Many researchers have studied the Critical Success Factors (CSF) of TQM implementation in order to enlighten other organisations willing to implement TQM. The context of the organisation will influence the order of priority of the CSF. In this research, the CSF of TQM implementation are explored for a successful oil and gas organisation in the Sultanate of Oman that is already certified to ISO9001 Quality Management Standard. A descriptive type of research is adopted using primary data collected via self-administered survey questionnaire. The collected sample represents 16.4% of the total organisation employees using stratified random sampling approach. An Exploratory Factor Analysis was carried out to confirm the association of the measuring elements with the latent variables. The Common Method Variance was checked and the result proved there is no Common Method Bias in the collected data. The reliability of data was checked using Cronbach Alpha and the variables which scored less than 0.6 were discarded from the analyses. An ANOVA test proved there is no significant difference in responses between the different groups of staff indicating the cohesiveness of the organisation. The arithmetic means of the employees’ responses indicated that the TQM principles are implemented in the organisation. The Linear Regression Analysis results indicated a significant influence of the TQM principles on the organisation’s economic performance concluding them as CSF. Based on their influence significance on the organisation’s economic performance, the CSF was ranked as Culture, Management Commitment and Vision, Information Technology, Process Control and Supplier Management. The organisation Culture was the most important CSF in contrast with the published literature which mostly reports Management Commitment and Vision as the most important CSF. Moreover, the lowest rank CSF was Supplier Management which indicates a room for improvement that need to be further explored by the organisation. The study results confirm the importance of implementing TQM principles for the organisation economic prosperity. Based on the research outcome, a step wise approach was developed for any organisation with a similar context willing to implement TQM. The study was implemented in only one organisation of the oil and gas sector at the Sultanate of Oman. Therefore, a further work is recommended to carry out the study covering more than one successful organisation in the Omani oil and gas sector.

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