Determining the Performance of Small and Medium Enterprises Influenced by Total Quality Management Practices and Organizational Learning: Mediating Role of Organizational Excellence among Furniture Industry of Pakistan

The prime focus of present research entails empirical investigation of quality management practices and learning capabilities of firms to increase organizational success and excellence. The study intends to determine the SMEs performance influenced by TQM practices, learning capabilities and organizational excellence among furniture industry of Punjab, Pakistan. The study contributed to the body of knowledge by explaining and empirically examining the relationship between TQM practices, organizational learning and excellence of firms that further contributes for performance of firms. The researcher collected data from SMEs of furniture industry of Pakistan and data was collected through questionnaires from 311 respondents. The collected data was analyzed through SMART-PLS. The results of study reported that TQM practices based on customer focus and continuous improvement influences the organizational excellence and organizational level also predicts the organizational excellence. The organizational excellence level positively influences the SMEs performance level. The mediation role of organizational was investigated between exogenous and endogenous constructs of study. The study found positive significant relationship between TQM practices and organizational excellence as hypothesis H1, the direct relationship between organizational learning and excellence found significant in H2 investigated; the hypothesis H3 investigated the relationship between organizational excellence and SMEs performance, the result of structural equation model observed statistically significant. The mediation role of organizational excellence was investigated and found statistically significant as hypothesis H4 and H5 predicted the relationship.