The Impact of Total Quality Management on Green Performance: The Mediating Role of Green Innovation

The current environment is characterized by complexity and uncertainty, requiring companies to develop new strategic choices and management approaches to remain competitive and fulfill their responsibilities to all stakeholders. Today, customers, investors, and stakeholders are increasingly demanding greater transparency and responsibility from companies, particularly regarding their green practices. Total Quality Management (TQM) and Green Innovation (GI) are considered strategic orientations for adapting to environmental changes and achieving green performance (GP). However, there is a gap in the literature regarding the study of the relationships among these three concepts in a single analysis. To address this gap, we proposed a conceptual model and formulated research hypotheses. The aim of this research is to analyze the relationships between TQM, GI, and GP in the context of an emerging country, namely Tunisia. More specifically, this study highlights the mediating effect of GI between TQM and GP. A questionnaire was administered to top managers of 105 certified manufacturing companies in Tunisia. The data were analyzed using structural equation modeling (SEM) with the PLS approach to examine the effects of TQM on GI and GP. The results demonstrate that TQM positively affects both GI and GP. Additionally, GI positively influences GP. Furthermore, the findings indicate that GI partially mediates the relationship between TQM and GP. This study provides valuable guidance to practitioners on improving green performance by integrating TQM practices and green innovation into their business operations. It encourages managers to understand the potential connection between TQM and green innovation and to leverage this relationship as a catalyst for achieving sustainable performance and gaining a competitive advantage.

Total quality management (TQM), green innovation (GI), Green performance (GP).

1. Abbas, J. (2020), “Impact of total quality management on corporate green performance through the mediating role of corporate social responsibility”, Journal of Cleaner Production, Vol. 242, 118458. [Google Scholar] [Crossref]

2. Abbas, J. and Sagsan, M. (2019), “Impact of knowledge management practices on green innovation and corporate sustainable development: a structural analysis”, Journal of Cleaner Production, Vol. 229 No. 2019, pp. 611-620, doi: 10.1016/j.jclepro.2019.05.024. [Google Scholar] [Crossref]

3. Abbas, J. and Sagsan, M. (2019), “Impact of knowledge management practices on green innovation and corporate sustainable development: a structural analysis”, Journal of Cleaner Production, Vol. 229 No. 2019, pp. 611-620, doi: 10.1016/j.jclepro.2019.05.024. [Google Scholar] [Crossref]

4. Aftab, J., Abid, N., Sarwar, H., & Veneziani, M. (2022). Environmental ethics, green innovation, and sustainable performance: Exploring the role of environmental leadership and environmental strategy. Journal of Cleaner Production, 378, 1–15. https://doi.org/10.1016/j.jclepro. 2022.134639 [Google Scholar] [Crossref]

5. Akanmu, M.D., Hassan, M.G., Mohamad, B. and Nordin, N. (2023), "Sustainability through TQM practices in the food and beverages industry", International Journal of Quality & Reliability Management, Vol. 40 No. 2, pp. 335-364 [Google Scholar] [Crossref]

6. Albloushi, B., Alharmoodi, A., Jabeen, F., Mehmood, K., & Farouk, S. (2023). Total quality management practices and corporate sustainable development in manufacturing companies: the mediating role of green innovation. Management Research Review, 46(1), 20-45. [Google Scholar] [Crossref]

7. Aquilani, B., Silvestri, C., & Ruggieri, A. (2016). Sustainability, TQM and value co-creation processes: The role of critical success factors. Sustainability, 8(10), 995. [Google Scholar] [Crossref]

8. Asadi, S., Pourhashemi, S. O., Nilashi, M., Abdullah, R., Samad, S., Yadegaridehkordi, E., Aljojo, N., & Razali, N. S. (2020). Investigating influence of green innovation on sustainability performance: A case on Malaysian hotel industry. Journal of Cleaner Production, 258, 120860. [Google Scholar] [Crossref]

9. Azam, T., Songjiang, W., Jamil, K., Naseem, S., & Mohsin, M. (2023). Measuring green innovation through total quality management and corporate social responsibility within SMEs: green theory under the lens. The TQM Journal, 35(7), 1935-1959. [Google Scholar] [Crossref]

10. Castillo-Rojas, S. M., Casadesús, M., Karapetrovic, S., Coromina, L., Heras, I., & Martín, I. (2012). Is implementing multiple management system standards a hindrance to innovation?. Total Quality Management & Business Excellence, 23(9-10), 1075-1088. [Google Scholar] [Crossref]

11. Chaher D., & Lakhal, L. (2024). The impact of TQM on financial and non-financial performance: the mediating role of corporate social responsibility. The TQM Journal. [Google Scholar] [Crossref]

12. Chang, C.-H. (2011), “The influence of corporate environmental ethics on competitive advantage: the mediation role of green innovation”, Journal of Business Ethics, Vol. 104, pp. 361-370. [Google Scholar] [Crossref]

13. Chen, Y. S., Lai, S. B., & Wen, C. T. (2006). The influence of green innovation performance on corporate advantage in Taiwan. Journal of 1648 Business Ethics, 67(4), 331–339. https://doi.org/10.1007/s10551- 006-9025-5 [Google Scholar] [Crossref]

14. Chen, Y. S., Lai, S. B., & Wen, C. T. (2006). The influence of green innovation performance on corporate advantage in Taiwan. Journal of Business Ethics, 67(4), 331–339. https://doi.org/10.1007/s10551- 006-9025-5 [Google Scholar] [Crossref]

15. Chin, W. W. (1998). The partial least squares approach for structural equation modeling. In G. A. Marcoulides (Ed.), Modern methods for business research (pp. 295–336). Lawrence Erlbaum Associates. [Google Scholar] [Crossref]

16. Fornell, C. and Larcker, D.F. (1981).Evaluating structural equation models with unobservablevariables and measurement error. Journal of Marketing Research, Vol. XXVII, February, pp. 39-50. [Google Scholar] [Crossref]

17. Hair, J.F., Risher, J.J., Sarstedt, M. and Ringle, C.M. (2019), “When to use and how to report the results of PLS-SEM”, European Business Review, Vol. 31 No. 1, pp. 2-24. [Google Scholar] [Crossref]

18. Hair,J., Sarstedt, M.and Ringle, C. (2018), “When to use and how to report the results of PLSSEM”. European Business Review, Doi.org/10.1108/EBR-11-2018-0203 [Google Scholar] [Crossref]

19. Hassis, S.M., Othman, M.A., Saleh, Y. (2023), "The impact of total quality management on corporate sustainability in the manufacturing sector: corporate social responsibility as a mediator", The TQM Journal, Vol. 35 No. 8, pp. 2572-2597. [Google Scholar] [Crossref]

20. Hur, W. M., Kim, Y., & Park, K. (2013). Assessing the effects of perceived value and satisfaction on customer loyalty: a ‘green’perspective. Corporate social responsibility and environmental management, 20(3), 146-156. [Google Scholar] [Crossref]

21. Hussain, Y., Abbass, K., Usman, M., Rehan, M., & Asif, M. (2022). Exploring the mediating role of environmental strategy, green innovations, and transformational leadership: the impact of corporate social responsibility on environmental performance. Environmental science and pollution research, 29(51), 76864-76880. [Google Scholar] [Crossref]

22. Le, T.T. (2022), “How do corporate social responsibility and green innovation transform corporate green strategy into sustainable firm performance?”, Journal of Cleaner Production, Vol. 362, p. 132228, doi: 10.1016/j.jclepro.2022.132228. [Google Scholar] [Crossref]

23. Li, D., Zhao, Y., Zhang, L., Chen, X., & Cao, C. (2018). Impact of quality management on green innovation. Journal of cleaner production, 170, 462-470. [Google Scholar] [Crossref]

24. Li, D., Zheng, M., Cao, C., Chen, X., Ren, S., & Huang, M. (2017). The impact of legitimacy pressure and corporate profitability on green innovation: Evidence from China top 100. Journal of cleaner production, 141, 41-49. [Google Scholar] [Crossref]

25. Makhlouf, H., Chatti, N., & Lakhal, L. (2023). The impact of TQM and green innovation on corporate sustainability: the mediating role of green supply chain management. International Journal of Quality & Reliability Management, 40(10), 2592-2611. [Google Scholar] [Crossref]

26. Manders, B., de Vries, H. J., & Blind, K. (2016). ISO 9001 and product innovation: A literature review and research framework. Technovation, 48, 41-55. [Google Scholar] [Crossref]

27. Nazarian, A., Shahzad, M., Ding, X., & Appolloni, A. (2024). Do TQM instigate sustainable development: Identifying the Key Role of Green Innovation and Knowledge Management. Journal of the Knowledge Economy, 15(1), 2499–2524 [Google Scholar] [Crossref]

28. Padilla-Lozano, C. P., & Collazzo, P. (2022). Corporate social responsibility, green innovation, and competitiveness – Causality in manufacturing. Competitiveness Review, 32(7), 21–39. https://doi.org/10.1108/CR- 12-2020-0160 [Google Scholar] [Crossref]

29. Prajogo, D. I., & Sohal, A. S. (2001). TQM and innovation: a literature review and research framework. Technovation, 21(9), 539-558. [Google Scholar] [Crossref]

30. Przychodzen, W., Przychodzen, J., & Lerner, D. A. (2016). Critical factors for transforming creativity into sustainability. Journal of cleaner production, 135, 1514-1523. [Google Scholar] [Crossref]

31. Qasrawi, B.T., Almahamid, S.M. and Qasrawi, S.T. (2017), “The impact of TQM practices and KM processes on organisational performance: an empirical investigation”, International Journal Quality Reliability Management, Vol. 34, pp. 1034-1055. [Google Scholar] [Crossref]

32. Roscoe, S., Subramanian, N., Jabbour, C.J.C., Chong, T., 2019. Green human resource management and the enablers of green organisational culture: enhancing a firm’s environmental performance for sustainable development. Bus. Strat. Environ. 28 (5), 737e749 [Google Scholar] [Crossref]

33. Rossiter, W., & Smith, D. J. (2018). Green innovation and the development of sustainable communities: The case of Blueprint Regeneration’s Trent Basin development. The International Journal of Entrepreneurship and Innovation, 19(1), 21-32. [Google Scholar] [Crossref]

34. Shafiq, M., Lasrado, F., & Hafeez, K. (2019). The effect of TQM on organisational performance: empirical evidence from the textile sector of a developing country using SEM. Total Quality Management & Business Excellence, 30(1-2), 31-52. [Google Scholar] [Crossref]

35. Shahzad, M., Qu, Y., Javed, S.A., Zafar, A.U. and Rehman, S.U. (2020), “Relation of environment sustainability to csr and green innovation: a case of Pakistani manufacturing industry”, Journal of Cleaner Production, Vol. 253, 119938. [Google Scholar] [Crossref]

36. Singh, S. K., Del Giudice, M., Chiappetta Jabbour, C. J., Latan, H., &Sohal, A. S. (2022). Stakeholder pressure, green innovation, and performance in small and medium-sized enterprises: The role of green dynamic capabilities. Business Strategy and the Environment, 31(1), 500–514. https://doi.org/10.1002/bse.2906 [Google Scholar] [Crossref]

37. Steiber, A., & Alänge, S. (2013). A corporate system for continuous innovation: the case of Google Inc. European Journal of Innovation Management, 16(2), 243 264. [Google Scholar] [Crossref]

38. Tasleem, M., Khan, N. and Nisar, A. (2018), “Impact of total quality management and environmental management system on sustainable performance of selected industries in Pakistan”, Journal of Environmental Science and Management, Vol. 21, pp. 30-38. [Google Scholar] [Crossref]

39. Xie, X., Huo, J., & Zou, H. (2019). Green process innovation, green product innovation, and corporate financial performance: A content analysis method. Journal of business research, 101, 697-706. [Google Scholar] [Crossref]

40. Yu, W., Ramanathan, R., Nath, P., 2017. Environmental pressures and performance: an analysis of the roles of environmental innovation strategy and marketing capability.Technol. Forecast. Social Change 117, 160–169 [Google Scholar] [Crossref]

41. Zeng, J., Zhang, W., Matsui, Y., & Zhao, X. (2017). The impact of organizational context on hard and soft quality management and innovation performance. International journal of production economics, 185, 240-251. [Google Scholar] [Crossref]

42. Zhang, Y., Song, Y. and Zou, H. (2020), “Transformation of pollution control and green development: evidence from China’s chemical industry”, Journal of Environmental Management, Vol. 275, 111246. [Google Scholar] [Crossref]

• Empowering SME Performance Through Social Media: The Mediating Role of Entrepreneurial Orientation in Malaysian Manufacturing SMEs
• Effective School Bullying Prevention Strategies: A Thematic Review
• Impact of Workplace Conflict on the Operational Performance of Deposit Money Banks in Enugu State.
• Towards Digital Financial Solutions: A Conceptual Model of SME Strategies and Strategic Development
• Effect of Work-Life Balance and Affective Commitment on Employee Performance in the Hotel Industry in Plateau State