The Analysis of Employees Perspective Toward Quality

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THE ANALYSIS OF EMPLOYEES PERSPECTIVE TOWARD QUALITY

MANAGEMENT IN TELECOMMUNICATION SERVICE COMPANY IN

INDONESIA: A CASE STUDY IN PT NOKIA SIEMENS NETWORKS

A THESIS

Presented as a Partial Fulfillment of the Requirements

to Obtain the Bachelor Degree in Accounting Department

By

Name : Amita Pramasufi

Student Number : 04312009

Department : Accounting

DEPARTEMENT OF ACCOUNTING

INTERNATIONAL PROGRAM

FACULTY OF ECONOMICS

UNIVERSITAS ISLAM INDONESIA

YOGYAKARTA

2008



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By:

AMITA PRAMASUFI

Student Number: 04312009

Approved by

Content Advisor,

Primanita Setyono Dra., MBA., Ak.

Language Advisor,

Febriyanti D.L, SS.



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A BACHELOR DEGREE THESIS

By

AMITA PRAMASUFI

Student Number: 04312009

Defended before the Board of Examiners

On May 30, 2008

and Declared Acceptable

Board of Examiners

Examiner 1

Yuni Nustini Dra., MAFIS., Ak.

Examiner 2

Primanita Setyono Dra., MBA., Ak.

Yogyakarta, May 2008

International Program

Faculty of Economics Universitas Islam Indonesia

Dean,

Asma’i Ishak, Drs., M.Bus., Ph.D.



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DECLARATION OF AUTHENTICITY

Herein I declare the originality of this thesis; I have not presented anyone else’s

work to obtain my university degree, nor have I presented anyone else’s words,

ideas or expression without acknowledgement. All quotations are cited and listed

or expression without acknowledgement. All quotations are cited and listed in the

bibliography of this thesis.

If in the future this statement is proven to be false, I am willing to accept any

sanction complying with the determined regulation for its consequence.

Yogyakarta,

Amita Pramasufi



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ACKNOWLEDGEMENT

Alhamdulillahirobbil’alamin, all praise to Allah SWT for guiding and

blessing so that this thesis can be finished. Shalawat and salam to Muhammad

SAW, the messenger for all people in this world.

The writer would like to express sincerely appreciation to those who gave

significant contributions for the thesis, because without those people this thesis

would be nothing.

1. Allah SWT The Almighty, The One who gives me strength and direction

in my life and loves me well.

2. Mrs. Primanita Setyono, Dra., MBA, Ak., my content advisor who always

motivates and guides me in this thesis. I have learned many things from

you. Thank you very much for the opportunity and for your kindness.

3. Mrs. Febriyanti D.L, SS, my language advisor who always stays tuned to

help me correcting my thesis. Thank you very much for your willingness

and kindness.

4. My beloved father, A. Haryono, S.E. (rahimahullah) and my beloved

mother, Sri Mumpuni, the best parents in the world who always support

me and pray for me in every single second in my life, even though my

father could only accompany me in the first 20 years I had in my life. I

love you both so much. My younger brother, Wikantaka Ridhatullah, I



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hate to have fighting with you actually, but someday we’ll be missing

those times.

5. PT Nokia Siemens Networks in Jakarta, especially for Mr. Thomas

Schneider, thank you for your help and kindness.

6. Om Emryas Imsak Soeleiman and family; and Pakde Budi Haryono and

family; who helped me to encourage me to finish this thesis, thank you so

much.

7. Ajeng Aryani Putri (Ajelangkung) and Nency Ayu Widyaningrum

(Koneng), thank you for helping me with the ‘olah data’ things. 4 years

with u, girls, like I spent a whole life with supportive friends. I love you a

lot!!

8. Enggar Kartika Cahyaning (Ikow), Fushiko Binar Ardani (Uchi) and

Bertia Roten Setaria (Tia). Thanks a lot for the laughs, tears, struggles and

hopes. All these years were really great, and thank you for the nice

friendship and sisterhood that I’ve got. Friends in need are friends in

deed, girls. I love you all…

9. FOSMA crews (too many names to be mentioned here), the second best

family after my own family. Allahu Akbar!!!

10. KENDI community the 1st and only CSR organizer in Yogyakarta

(again,, too many names to be mentioned here), thank you for all of the

times we spent, for a better Indonesia!!!



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11. PETASAN (Pemuda Pemudi Tiyasan), sorry for my absent in the

activities that held by Petasan. It’s all because this thesis, dudes! But, I’m

coming back soon!

12. All of IP management, Pak Win, Mbak Alfi, Mbak Yani, Mbak Citra,

Mas Erwan, Mbak Fani, Mbak Ilham, thank you for helping me.

13. All of IP students especially for Accounting 2004: Ikow, Ajeng, Koneng,

Uchi, Tia, Dily, Amung, Andru, Iyak, Oesrox, Dicie, Astri, Rahma, Sari,

Wule’, Putri, Rika, Arum, Dika, Dyat, Seto, Novie, Desti, Ju’, Lala, Nuri,

Rakhman and Owsow. We’ll be missing the time we spent together. All

members of Management 2004, thanks a bunch! (especially for Ria and

her Mom duet ibu+anak yang super canggih, so many thanksssss…)

14. All people and parties that I can not mentioned one by one, thank you.

The writer realizes that this thesis is far from the word of perfect. Critics

and suggestions are needed to improve this thesis. Nevertheless, the writer hope

this thesis could gives inspiration and motivation to any parties in the future.

Yogyakarta, May 5, 2008

The writer

Amita Pramasufi



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TABLE OF CONTENTS

Page

Page of Title ........................................................................................... i

Approval Page ........................................................................................ ii

Legalization Page ................................................................................... iii

Declaration of Authenticity .................................................................... iv

Acknowledgement ................................................................................. v

Table of Content .................................................................................... viii

List of Tables ......................................................................................... xi

List of Figures ........................................................................................ xii

Abstract (In English) ............................................................................. xiii

Abstract (In Indonesia) .......................................................................... xiv

Dedication Page ……………………………………………………….. xv

CHAPTER I: INTRODUCTION

1.1 Study Background ........................................................................... 1

1.2 Problem Identification .................................................................... 4

1.3 Limitation of Research Area ........................................................... 4

1.4 Research Objective ......................................................................... 5

1.5 Research Contribution .................................................................... 5

1.6 Systematical Writing …................................................................... 6



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CHAPTER II: REVIEW OF RELATED LITERATURE

2.1 Total Quality Management ……………………………………..... 8

2.2 TQM and Strategy ………………………………..……….……… 9

2.3 TQM and Leadership ………………...…………………………... 10

2.4 TQM and Management of Human Resource ……..…..………….. 11

2.5 TQM and Culture ………………………………………………… 13

2.6 TQM and Infrastructure ……………..…………………………… 13

2.7 From TQM to International Standards and Excellence Models ….. 14

2.7.1 International Organization for Standardization (ISO) …….... 14

2.7.2 Malcolm Baldrige National Quality Award (MBNQA) ……. 16

2.7.3 European Foundation for Quality Management (EFQM) …... 16

2.8 Hypothesis Formulation …………………………………………… 17

CHAPTER III: RESEARCH METHOD

3.1 Research Subject ……...................................................................... 21

3.2 Research Instrument ……................................................................. 22

3.2.1 Collecting Data Instrument …………………………………. 22

3.2.2 Collecting Data Instrument Test ……………………………. 23

3.3 R

esearch Variable ............................................................................ 24

3.4 Research Procedure ......................................................................... 26



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CHAPTER IV: RESEARCH ANALYSIS

4.1 Company Profile .............................................................................. 28

4.2 Data Description …………………………………………………. 29

4.3 Analysis Prerequisite Test ………………………………………… 30

4.3.1 Normality Test ………………………………………………. 30

4.3.1 Linearity Test …………………………………..……………. 32

4.4 Validity Test ………………………………………………………. 32

4.4.1 Validity Test of Leadership …………………………………. 33

4.4.1 Validity Test of Strategy ………….…………………………. 34

4.4.1 Validity Test of Total Quality Management ……………...…. 35

4.5 Reliability Test …………………………………………………….. 36

4.6 Hypothesis Testing ………………………………………………… 37

4.6.1 Hypothesis I …………………………………………………. 38

4.6.1 Hypothesis II ……………………..…………………………. 39

4.7 Discussion …………………………………………..………….….. 39

CHAPTER V: CONCLUSIONS AND RECOMMENDATIONS

5.1 Conclusions................................................................................... 41

5.2 Recommendations........................................................................ 41

REFERENCES ………………………………………………………. 43



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APPENDIXES ……………………………………………………….. 45

LIST OF TABLES

Table 4.1 …………………………………………………………………. 30

Table 4.2 …………………………………………………………………. 31

Table 4.3 …………………………………………………………………. 33

Table 4.4 …………………………………………………………………. 34

Table 4.5 …………………………………………………………………. 35

Table 4.6 …………………………………………………………………. 37



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LIST OF FIGURES

Figure 2.1 ………………………………………………………………... 17

Figure 2.2 ………………………………………………………………... 17



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ABSTRACT

The implementation of Total Quality Management within a company has

been a major issue nowadays. Due to that fact, it is therefore important to

understand how and what determinant factors influence the implementation of

total quality management in a company. Prior researches in this area have

identified several perceptions (such as leadership and strategy of the company)

that are believed to impact the quality management implemented in the company.

The main purpose of this research is to know the relationship between the

leadership and the strategy implemented in the company toward the

implementation of total quality management. Beside that, it investigated the

perception of all level employees of PT Nokia Siemens Networks Indonesia

toward the implementation of total quality management and the factors affected.

Moreover, there are three focuses that construct the implementation of total

quality management, which are the culture of the company, the management of

human resources, and the infrastructure of the company. The findings indicate

that strategy play an important role in the quality management implemented in

the company. Meanwhile, the relationship between leadership and strategy show

a positive relationship but it is not significant. This, in turn, could help to

determine the measures that need to improve quality management implemented.

Keywords: Total Quality Management (TQM), Leadership, Strategy, Culture, Infrastructure, Human Resource



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ABSTRAKSI

Penerapan Total Quality Management pada sebuah perusahaan tengah

menjadi isu pokok baru-baru ini. Mengacu pada realitas tersebut, maka sangat

penting bagi kita untuk mengetahui bagaimana dan faktor apa saja yang

mempengaruhi penerapan total quality management pada sebuah perusahaan.

Penelitian-penelitian terdahulu dalam bidang ini telah menemukan beberapa

persepsi (seperti kepemimpinan dan strategi perusahaan) yang mempengaruhi

penerapan manajemen kualitas pada perusahaan. Tujuan utama penulisan

penelitian ini adalah untuk mengetahui hubungan antara kepemimpinan dan

strategi terhadap total quality management. Di samping itu, penelitian ini

mengkaji persepsi seluruh level pekerja pada PT Nokia Siemens Networks

Indonesia terhadap penerapan total quality management dan faktor-faktor yang

mempengaruhi. Terlebih lagi, total quality management memiliki tiga fokus

masalah yang mempengaruhi pada penerapannya, yakni kultur perusahaan,

manajemen sumber daya manusia, dan infrastruktur perusahaan. Hasil penelitian

mengindikasikan bahwa strategi perusahaan mempunyai peran penting pada

penerapan total quality management pada sebuah perusahaan. Sementara itu,

hubungan antara kepemimpinan dan strategi menunjukkan hubungan yang

positif tetapi tidak signifikan. Penelitian ini dapat membantu pengukuran yang

perlu digunakan agar dapat meningkatkan manajemen kualitas yang diterapkan.

Kata kunci: Total Quality Management (TQM), Kepemimpinan, Strategi, Kultur,

Infrastruktur, Sumber Daya Manusia



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This thesis is dedicated to

My Dad (rahimahullah) and my Mum

Allahummaghfirlii wali walidayya warham humaa

kamaa robbayani shaghiiroo…



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CHAPTER 1

INTRODUCTION

1.1 Study Background

The development of business industry at present and in the future will be

influenced by the changing from production economy to the market economy.

The competition is not only about the level of producer productivity but it is also

stressed on the product or the service provided by the company, the easiness, the

comfort, and the effectiveness of how to get the product or the service. To keep

the consistency of the quality of the product or service produced, the company

should do the quality control of the process activity in delivering the product or

the service.

The influence of quality on a company and its future development has

been realized in the first half of 1980s by almost all level of managers. All this

combined with stiffening rivalry from Japan and shifting quality requirements of

customers increased the interest in quality issues among top executives. Since

then, the concept of quality has expanded into service organizations. It had

become clear that service organizations should also be managed systematically

and must embrace the whole organization rather than only front office personnel

(Sandholm, 2000).

Quality needs continuous improvement process with a measureable

individual, corporate, and national objective performance. The support from the



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management, employee, and government to the improvement of quality is very

important in terms of effective competition in global market.

Definitions of quality vary from the very detailed to the very simple

including one extremely simple definition that defines quality as “survival”

(Kaplan, 2003). Older definitions of quality emphasize conformance to an

established set of final standards and/or specifications that are compiled from

database information presumably that references customer’s wants, needs, and

interest. Current definitions include such terms as complete customer satisfaction,

excitement, or delight. For this to occur, the final product or service must evolve

from this basic understanding of the customer’s needs and requires the

organization itself to create, implement, and operate with high quality internal

systems. This organizational requirement for absolute customer satisfaction while

meeting the needs of all organizational stakeholders drives the concepts

contained in the total quality movement. However, there is a different term of

quality that is used to define the quality itself in which one is focused on quality

from a perspective of absolute customer satisfaction while others focus on

systems controls with an emphasis on quality assurance of products and services.

Quality first became a concern in the 1960s when Japan began to

introduce quality circles. The concept of quality has been successfully

implemented in Japan as a way of encouraging innovation from the workforce.

The members of quality circles develop ideas that allow the organization to

improve products, service, and processes. This largely involves the simplification

of processes and cycle-time analysis. In Japan such an obsession is known as



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kaizen (DiPietro, 1993). Meanwhile, quality circles have not enjoyed the same

success in Western countries such as The United States, Australia, and Britain, as

they have in Japan. The causes might be due to lack of management support, lack

of training, inadequate resources, or a perception of inadequate empowerment.

As the international competitive hostility increases, companies tend to

enhance their quality systems in terms of both infrastructure and core practices

(Zhao, Yeung, and Lee, 2004). Quality Management (QM) has become one of the

most widely accepted philosophies in organizations and one of the most popular

research fields (Hardjono and Marrewijk, 2001).

The total quality management (TQM) itself is an organizational

intervention that is concerned with quality. TQM can also be defined as an

approach to doing business that attempts to maximize the competitiveness of an

organization through the continual improvement of the quality of its products,

services, people, processes, and environment of the company. (Goetsch, David,

and Davis, 2000)

TQM is an approach to improving the competitiveness, effectiveness, and

flexibility of an organization for the benefit of all stakeholders. It is way of

planning, organizing, and understanding each activity, and of removing all the

wasted effort and energy that is routinely spent in organizations. It ensures the

leaders adopt a strategic overview of quality and focus on prevention not

detection of problems. Leaders must take responsibility for preparing, reviewing,

and monitoring the policy, plus take part in regular improvements of it and ensure

that it is understood at all levels of the organization. Therefore, in this research,



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the researcher puts TQM as the management performance measurement as it is to

support the management to achieve the company goals.

1.2 Problem Identification

The implementation of good TQM in an organization or a company is

very necessary to support and improve the management performance. So, it is

important to understand how the employees within a company accept and

understand the quality policies that are made by the management to achieve the

company’s goals. Therefore, the question of this research is how the company

manages quality as to achieve the company’s goals based on the perspective

among its employees. Moreover, this research analyzes the following questions to

be able to answer the main research question:

• What is the significance and role of leadership in achieving quality?

•

What is the effect of strategy in adopting quality?

• How are employees committed to quality?

1.3 Limitation of Research Area

Several limitations should be acknowledged to maintain the focus of the

research. And the limitation of the research area is that it is subjected to all levels

of employees in PT Nokia Siemens Networks as one of telecommunication

service companies in Indonesia. To examine the research question which is about

how the company manages quality, it is necessary to gather the data from all

levels of employees in PT Nokia Siemens Networks because the TQM policies



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are implemented in all levels of the company. So, all levels of employees in PT

Nokia Siemens Networks are qualified to be examined. The questionnaire will be

distributed to the all levels of employees (from top level managers to front level

employees).

1.4 Research Objective

The overall objective of the research is to measure the implementation of

quality management in PT Nokia Siemens Networks as one of

telecommunication service companies in Indonesia among the perspective of its

employees. Furthermore, the specific objective is to examine whether there are

relationships between the leadership and strategy in a company with the

implementation of total quality management.

The research model will be built to reflect the company and theory on

Total Quality Management (TQM). Hence, the research will deduce on developed

quality system from the collected sample that is held in PT Nokia Siemens

Networks. It will also identify whether the suggested research model gives a good

framework for assessment or it is too general and needs additional concepts for

justified conclusions.

1.5 Research Contribution

This research is expected to be able to add the literature about the

implementation of TQM policies within a company. It can be used as further

information to decide the effective ways to improve the management



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performance in PT Nokia Siemens Networks. Beside that, this can be as a tool to

measure the efficiency and effectiveness of management performance in PT

Nokia Siemens Networks as a telecommunication service company among the

perspective of its employees.

1.6 Systematical writing

This research consists of five chapters which will discuss different topics

within each chapter.

The first chapter is about the introduction that provides information about

the study background, the problem identification, the limitation of research area,

the research objective, the research contribution, and the systematical writing of

this paper.

The second chapter will discuss about the research model framework,

previous study and hypothesis formulation including the review of related

literature.

The third chapter is concerned with the research methodology. In order to

achieve the research’s result, this chapter will explore the method of the research

by providing the information of the research method, population and sample, and

also operational hypothesis.

The fourth chapter covers about practical part, which is the

implementation of the theory in the third chapter. It states the process of

analyzing the data and the result of the calculation that will be done.



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The last is chapter five. This chapter consists of conclusion,

recommendation, and the result of research.



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CHAPTER 2

REVIEW OF RELATED LITERATURE

2.1 Total Quality Management

Total Quality Management (TQM) has been defined as a management

philosophy embracing all activities through which the needs of the customer and

the community and the objectives of the organization are satisfied in the most

efficient and cost effective way by maximizing the potential of all employees in

continuing drive for improvement. It is the definition that is explained by the

British Standard Institution from the Quality Vocabulary. TQM itself has been

the fundamental business strategy within organizations or companies throughout

the 1980s. In Japan, a number of organizations or companies have adopted TQM

as a way of life for the continuous improvement of the quality of their products

and services they offer.

To insert the concept of quality, i.e. a system of values cultural fabric and

transform its members’ ways of perceiving, thinking and acting, requires a certain

method (Carnison, 1996). Samson and Terziovski (1999) literature review

identified over a thousand articles on TQM philosophy and its method. There are

a number of empirical studies supporting the relationship between TQM and

improved organizational performance, competitive advantage, and sustainability.

The TQM concept has been successfully implemented in Japan, on the other side;

TQM practices are hardly adopted in Western organizations, or will necessitate

an organizational revolution (Kunst & and Lemmink, 1992).



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2.2 TQM and Strategy

TQM provides a combined structure of background and direction for

resources improvement as a variety of good management practices. TQM also

provides the whole range of competitive advantages to the company, such as cost

or differentiations based, and as a result it produces barriers for imitation. But

those factors are largely depending on the firm orientation, environment, firm

strategy, and executive commitment. Quality should be included into strategy and

thus become important on the strategic level. Beside that, the implementation of

total quality management within a company is in line with the strategy

implemented.

TQM is a philosophy that organizations can use to improve their

performance, but often there is an overemphasis on its tool and techniques, which

may take precedence over the need to create a culture that is open to change. The

following measures are essential to obtaining cultural change:

• The organizations policies, procedures, and processes must emphasize

quality.

• Everyone in the organization must have a clear understanding of the

importance of quality in achieving their business objectives.

• People at all levels must be aware of the requirements and needs of the

customer.

• The structure of the organization should allow for continuous

improvement.



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• There should be integration of internal and external customer

requirements in the business plan; use of customer-based measures of

performance is important.

• There is a need to develop strong communication lines.

• Customer commitment should be fostered.

• Emphasis on customer-oriented values and beliefs must be supported by

top management. (Irani, Beskese, & Love, 2004)

2.3 TQM and Leadership

To achieve total quality, top managers must clarify quality goals, treat

quality as a strategic issue, set quality as a priority, allocate adequate resources to

quality improvement efforts, and evaluate employees based on their quality

performance. (Jun, Chai, and Shin, 2005). They can also lead by, for example,

providing training and education, and hence supporting the team can flourish

(Reed, Lemak, and Mero, 2000). Because of its connection to customer

satisfaction, the most important components of TQM are top management

leadership and employee empowerment. There is a positive correlation between

top management leadership, employee empowerment, job satisfaction, and

customer satisfaction. Those factors influence the organizational climate that

emphasizes total quality and customer satisfaction.

The philosophy in TQM can only be run well if there is support and

responsibility from the top level management and also being supported by the

middle and lower management. Top management as the summit of the leader



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introduces TQM as a philosophy by constructing the goal and planning the

strategy. Then, middle management continues it with implementing the quality

management as a program. Lower management or supervisory management is the

one who monitors and controls the quality that is implemented in the company.

In some cases, the mistake that is becoming common is that the top

management is showing little interest in undertaking quality improvement. They

ignore their fundamental role to inspire and guide in the necessary cultural

change towards total quality as a main method for continuous company

improvement.

2.4 TQM and Management of Human Resource

Based on the human resources (HR) point of view, TQM is a management

philosophy to authorize employees of an organization, as well as their frustration

and fear to change in order to promote long-continuous improvement (Au and

Choi, 1999). HR-related TQM practices could be identified as infrastructure

practices that support the core quality management practices. TQM in HR

division consists of employee training, employee empowerment, and employee

involvement. Rewards systems, leadership, teamwork, and training are

considered as more important factors for providing quality in service by

employee (Reed et al., 2000). Here, the human resources can be concluded as one

of the factors that influence the total quality management.

The human resource is important in implementing the TQM in a

company. When implementing TQM, all of the components in the company



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should understand well about the concept and the strategy implementation. All of

the components in the company should take parts with the company’s activity

and the TQM implementation. Without the participation of the company’s

component, the TQM can not be implemented well. The task of the management

of human resources is to ensure that all components of the company have taken

their own parts and have been involved in the company’s activities in order to

achieve the goal of the company. As a matter of fact, before the company

measures the quality from the customers’ satisfaction, the company should give

the employees satisfaction first by giving them trust in taking parts in the

company’s activities. Some ways to increase the employee’s ability in taking

parts in the company are giving the training for the employees, employee

empowerment, and also giving rewards. Those are the important factors for

providing quality in service by employee.

Beside that, there is another factor that affects to the employee

improvement efforts. This is called the participation in decision-making (PDM).

There is a comprehensive survey of Fortune for 1000 companies applying TQM

and PDM together in line had a strong relationship with organizational

performance. It is because the PDM is the most important component of TQM

process that affects improvement efforts and individual performance, because its

influence on participation in PDM is higher than that of Quality Management

(Stashevki and Elizur, 2000). PDM itself is to denote a style of management that

calls for a high level of workers and supervisors in decisions that affect their

work (Wikipedia, 2008).



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The HR managers usually face common problems while evaluating the

HR performance in TQM frames. It is laying all responsibility on the worker for

an error, though the result of it could be system and applying control measure

over employee.

2.5 TQM and Culture

The role of communication in the process of TQM is important and

organizational culture affects the quality commitment, production and practices.

The culture in a company will give effect to the company’s policy. Some

researchers believe that a firm’s success with TQM is contingent upon the fit

among the firm’s structure, strategy, and environmental conditions or culture.

The culture here will be considered as a part of the total quality management and

it covers the organizational policies, norms and values.

Corporate culture with continuous improvement and TQM improves

companies abilities and especially for innovation (Irani et al., 2004).

2.6 TQM and Infrastructure

The technology and physical aid can fulfill a key function creating the

desired human behavior (Normann, 1991). Technological environment could

produce advantages in costs or differentiation, and information system provides

data for quick and effective solutions in order to reach continues improvement

(Camison, 1996). Infrastructure in the company plays an important role in the

implementation of the total quality management. It drives the objective that will



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be achieved by the company. Here, the infrastructure also becomes one of the

factors that included in the total quality management.

2.7 From TQM to International Standards and Excellence Models

2.7.1 International Organization for Standardization (ISO)

ISO 9000 is one of the ways for the company to get the customers who

are usually in order to get the quality assurance. There are two characteristics of

quality assurance, internal and external. In the internal characteristic, quality

assurance gives the assurance to the management in the company. Meanwhile,

the external characteristic means giving the assurance to the customers.

The benefits of ISO 9000 systems are associated with more transparent

processes within the organization that enable controlled changes. It is also

suitable for continuous improvement actions by means of performance indicators

(Geraedts, Montenarie, and van Rijk, 2001).

The main concepts of ISO referring to the Quality Management Principles

(2001) based on the ISO 9000 standards:

• Customer focus

It claims that organizations depend on their customers and thus they

should understand what the customer needs and wants. It can enhance the

customer satisfaction and increase customer loyalty.

• Leadership

Its functions are as the direction of the organization and to establish unity

of company purpose. With a good leadership, the miscommunication



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between levels of a company will be minimized and the activities are

evaluated and implemented in a unified way.

• Involvement of people

This concept can gain motivated, committed, responsible and involved

people, whose innovation and creativity could put forward the

organization’s objective.

• Process approach

It claims that a desired result is achieved more efficiently when activities

and related resources are managed as a process.

• System approach to management

It identifies, understands, and manages interrelated processes as a system

contributes to the company’s effectiveness and efficiency in achieving its

objectives.

•Continual improvement

The benefit of this concept are improving the company performance

capabilities, improving activities alignment at all levels to a company

strategic intent, and increasing the flexibility to react quickly to

opportunities.

• Factual approach to decision making

It increases the ability of the company to demonstrate the effectiveness of

past decisions through reference to factual records and increase ability to

review, challenge and change opinions and decisions.



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• Mutually beneficial supplier relationships

It enhances the ability of both the company and the supplier to create

value.

2.7.2 Malcolm Baldrige National Quality Award (MBNQA)

MBNQA is an award that is given to the leading company in the

management application in relation with quality management performance. There

are so many US companies applied the criteria that are declared by MBNQA.

Zhao et al. (2004) in his theoretical review states that MBNQA is used in a

number of TQM studies as a mean to measure quality practices and performance.

The criteria for performance excellence:

• Leadership

• Strategic planning

•Customer and market focus

• Information and analysis

• Human resources focus

• Process management

• Business / organizational performance results

2.7.3 European Foundation for Quality Management (EFQM)

According to Carnison (1996), EFQM is a management system that

emphasizes a leadership for achieving quality, policy and strategy formulation for

followers, employing and developing the appropriate personnel and resources and



17

guiding the design of all the processes in the organization towards attaining

excellence in results: customer satisfaction, personnel satisfaction, a positive

social impact and key economic results in achieving competitive advantage.

Source: Sandholm, 2000, p.42

2.8 Hypothesis Formulation

The focus of this study is specifically on all level of employees in PT

Nokia Siemens Networks as one of the telecommunication service company in

Indonesia.

The research model that is used in this research is:

Figure 2.2: Theoretical Model Framework

Leadership Strategy

Total Quality Management

(TQM)

- Human Resources

- Culture

- Infrastructure

H1 H2



18

1. Leadership

Leadership, as recognized by all major researchers, is the first and the

most important factor driving organization towards TQM (Reed et al,

2000 and Kaynak, 2003). In this study, the leadership here refers to the

level of management where its functions are about the manager’s

commitment to quality, manager as a change agent, aim formation,

empowerment, and communication. Those functions give effect to the

strategy that will be used in the company. This includes top and middle

level managers’ commitment and ability to commit others toward

excellence. They have to set and incorporate the value of quality in a

strategic direction into the organizational culture and be able to undergo a

number of changes through organizational learning and personal

development. In other words, by a good leadership that is implemented by

the management, it will increase the strategy which is becoming greater. It

can be concluded that the leadership will positively give direct influence

to the company strategy.

The hypothesis can be formulated as:

H 1: There is a positive relationship between company leadership and the

strategy of the company that affect the implementation of quality

management



19

2. Strategy

The second viable concept of TQM that was observed by most of the

authors is the strategy on a business level. According to Zhaoa (2004), to

make quality more visible and top management commitment viable it

should be incorporated with a strategy. The strategy itself will be more

stressed on the company’s priorities and success factors. It means that the

strategy of a company will give effect to the success of the company

itself. When the company is implementing a good strategy, the company’s

priorities and the success will be achieved. The strategy that is shown in

figure 2.2 will influence TQM itself that has three focuses, namely human

resources, company culture, and company infrastructure.

The hypothesis can be formulated as follows:

H 2: There is a positive relationship between company strategy and the

implementation of quality management

3. Human Resources

In this study, the management of human resources is specifically

identified as the way of the management to conduct the human resources

interest. It is one of the factors that construct the implementation of

quality management within a company. The concept of human resources

will observe how the company commits their employees in terms of

training, motivation, and involvement. With those ways, the management

hopes that the employees can increase their ability in performing their job



20

so that they can achieve the goal of the company. Here, the human

resources concept will be one of total quality management measurement.

4. Culture

In this study, the concept of culture will show the perception of quality by

people and its significance. The output of the culture will affect the

quality policy. Whenever the culture of a company is conducive to all

level employees, the company will achieve its objective and increase the

performance due to total quality management. The same with human

resources, the culture in a company is one of the factors that construct the

quality management.

5. Infrastructure

The concept of infrastructure will estimate the environment that supports

employees in accomplishing their daily work. Beside that, this concept

will examine the value of developed network of partners and suppliers,

the efficiency of technical environment and informational systems that are

developed in the company. Infrastructure itself will be one of the factors

that construct the quality management in a company.



21

CHAPTER 3

RESEARCH METHOD

3.1 Research Subject

a. Population

Based on Sekaran (2000), the definition of population is the entire group

of people, events, or things of interest that the researcher wishes to

investigate. All level of employees of PT Nokia Siemens Networks is the

population of this research.

b. Sample

Sekaran (2000) mentioned that the definition of sample is a subset of the

population. It comprises some members selected from the population. In

other words, some, but not all, elements of the population would be from

the sample. The sample used in this research is gathered by non

probability sampling technique and the method used is convenience

sampling, a sample which is determined by calling the practical sample

unit. The sample obtained in this research is 100 respondents who actively

work in PT Nokia Siemens Networks in the last several years. But the

questionnaires returned are 97. The researcher chose the employees as the

research subject because one of the factors that influence the

implementation of good TQM in a company is the employees. Beside

that, TQM can be measured as a tool of management performance in the



22

perspective of employees. Therefore, the employees will be a good

measurement agent of TQM implementation in a company.

3.2 Research Instrument

3.2.1 Collecting Data Instrument

Instruments that are used to collect data in the research are as follows:

a. Questionnaire

This research uses primary data that was complied from constructed

questionnaire to all levels of employees in PT Nokia Siemens Networks

as one of the telecommunication service company in Indonesia. The

research model was used as a basis for developing the questionnaire.

Therefore, the link between the questions asked in the questionnaire and

the different concepts of the research model have to be discussed.

b. Interview

It is done by raising questions and gets the answers from respondent or

direct interview with the respondent to get certain information that are not

found or attached through questionnaire.

c. Library Research

The library research is meant to support the theory and to help

comprehensively to analyze the data that is obtained in this research. In

addition, previous research was used to help support this research.



23

3.2.2 Collecting Data Instrument Test

a. Validity Test

According to Sekaran (2000), validity is related to the measurement tool

used to measure the concept that will be measured. It refers to the ability

of a scale to measure the intended concept. Based on Sugiyono (2006), an

item can be said as a valid item if the P < 0.05. Validity coefficient is

measured by correlating the score in each item with the total score in each

attribute. A validity item can be measured empirically by using SPSS

13.0.

b. Reliability Test

Sekaran (2000) said that reliability indicates the extent to which the

measurement is without bias (error free) and hence offers consistent

measurement across time and across the various items in the instruments.

In other words, the reliability of a measure indicates the stability and

consistency with which instrument measures the concept and helps assess

the reliability of a measure. This reliability test is used to test the

consistency level of the instruments that measure concept. Reliability is a

condition required to achieve validity for a special purpose questionnaire.

Cronbach’s Coefficient Alpha with SPSS is used to test the reliability.

The result is reliable if the value of Cronbach Alpha’s correlation

coefficient is ≥ r table (α = 5%) so that the instrument can be declared as

reliable instrument, meaning that the instrument can measure consistently

(Santoso, 2003).



24

3.3 Research Variable

According to Sugiyono (2006) “a variable is any observable characteristic

of the case.” The variables used in this research were dependent and independent

variable.

a. Independent variable

Independent variable is a variable that provides the basis for estimation.

The independent variable used in this research is:

• Leadership

The leadership in a company can influence almost all aspects in

the company itself. Good leadership in a company can lead to

effective and successful implementation in total quality

management. It is the prerequisite for a company to achieve its

goal. Leadership by top management results in the company

strategy that will be implemented in all aspects of the company

activities. In this study, leadership is treated as independent

variable. It is because in the research model, we can see that

leadership will give effect to the strategy that is implemented in

the company.

b. Dependent variable

Dependent variable is the variable that is being practiced and estimated.

The dependent variable of this research is:



25

• Total quality management

The dependent variable is the total quality management itself. It is

the result from all of the concepts that is implemented in the

company. The TQM is directly influenced by the company culture,

the management of human resources, and also the company

infrastructure. In the research model, the three factors does not

included into the hypothesis because it directly affect the total

quality management. Those factors are included into the total

quality management questions in the questionnaire. Those factors

are also not included as separate variables.

c. Mediator variable

The mediator variable that connects independent variable and dependent

variable in the research are:

• Strategy

As we have seen in the research model, the strategy is treated as

both independent and dependent variables. Strategy was

significant and strong in determining the company’s priorities and

success factors. It means when the strategy implemented in the

company is suitable and can increase the performance of the

employees; it will be a good way to achieve a good total quality

management in the company. One of the research objectives is to

measure whether the TQM in PT Nokia Siemens Networks has



26

been in line with the implementation of company strategy or not.

The strategy is treated as independent variable because the

strategy can affect the human resources, the company culture, and

the company infrastructure. The strategy becomes a dependent

variable when it is influenced by the leadership.

3.4 Research Procedures

In order to answer the research problems, it is imperative to construct

research procedures. The procedures are arranged as follows:

1) Statement of purpose where the purpose and the problem of the research

are defined

2) Define relevant variables

3) Develop questions. The questions were structured to measure the attitudes

on scale of five: completely agree, agree, uncertain, disagree, and

completely disagree.

4) Construct questionnaire

• The questions were structured as short as possible in order to

avoid vagueness.

• They were designed to look attractive and formal.

• The questionnaire was divided into parts to reflect the subject of

the group of questions.

5) Pretest questionnaire, its function is to avoid any mistakes and

inconsistencies.



27

6) Analyzing and interpreting data

7) Deriving conclusion and any other findings



28

CHAPTER 4

RESEARCH ANALYSIS

4.1 Company Profile

PT Nokia Siemens Networks is one of the telecommunication service

companies in Indonesia. The company comprises the former Networks Business

Group of Nokia and the carrier-related business of Siemens. With pro forma

revenues of approximately EUR 17bn for the calendar year 2006, the company is

one of three vendors in the telecommunications infrastructure industry and

continues the legacy of two industry champions – Nokia and Siemens. Siemens

has been a frontrunner in the communications industry since the mid 19th

century,

while Nokia pioneered the development of mobile communications and became

the world leader in the telecommunication field.

Nokia Siemens Networks recognizes that its own long-term interests and

those of its stakeholders depend on compliance with the highest standards of

ethical conduct and applicable law. It also respects the privacy and integrity of its

stakeholders and endeavors to adhere to strict standards when processing

personal data and product information. All personal data collected and held by

Nokia Siemens Networks will be processed fairly, lawfully, and carefully and in

way that protects the privacy of individuals, including this research.

Nokia Siemens Networks’ headquarter is in Germany, but it has a branch

office in Indonesia as one part of the Nokia Siemens Networks Asia Pacific. In

Indonesia, its office is in South Tower Plaza Kuningan 7th

-10th

floor Jl. Rasuna



29

Said kav 11-14, Kuningan, South Jakarta. It also has several branch offices in

some provinces in Indonesia that is divided by two regions, which are west

region and east region. West region consists of Palembang, Pekanbaru, Medan,

Bandung, and Jakarta. East region consists of Surabaya, Semarang, Yogyakarta,

Malang, Denpasar, Makassar, and Balikpapan.

Based on Nokia Siemens Networks’ overview, quality management plan

is an integration of target driven system, TQM principles of continuous

improvement program, work improvement team, and also ISO 9001:2000

standard methodology. Nokia Siemens Networks Indonesia has implemented

total quality management system since 1984. It has several actions that are done

by Nokia Siemens Networks to increase the total quality management in the

company, for example hold a training management for the employees, control of

non conforming products, control of design and development changes, etc.

4.2 Data Description

Sampling method used in the research as mentioned in Chapter 3 is

convenience sampling by distributing questionnaire. The subjects of the

questionnaire are some employees who work in PT Nokia Siemens Networks in

all level employees that are aimed to fulfill minimum amount of sample required

or other criteria. From 100 questionnaires distributed, the questionnaires returned

are 97.



30

Table 4.1

Research Sample

Sex

Questionnaires

Returned

Percentage of

Questionnaire Returned

Female 33 34.02%

Male 64 65.97%

Total 97 100%

The questionnaires distributed to all level employees in the company, the

composition of each level employee are 87 questionnaires from lower level

management and the rest is from mid level management and top management.

4.3 Prerequisite Test Analysis

Total questions in the questionnaire are 45 questions that consist of 6

questions about leadership, 18 questions about company strategy, 21 questions

about the total quality management that consist of three factors, which are

culture, infrastructure, and human resources. Before analyzing the hypothesis

test, the researcher has to analyze the normality test and the linearity test.

4.3.1 Normality Test

The normality test is used to see whether the spread of the subject answers

are following the curve or not. The spread of subject answers shows the

representative of the entire data. The limitation of the normality test is P > 0.05 so

the spread is normal, but if the P < 0.05 so the spread is abnormal.



31

The result of the normality test of the variable of leadership is 2.449 for

the KSZ (Kolgomorov-Smirnov Z) with P = 0.000. And the result of the

normality test of strategy is 1.974 for the KSZ with P = 0.001. The result of the

normality test of the total quality management is 1.326 for the KSZ with P =

0.059.

From the result of the normality test, it can be concluded that the variable

of leadership and the variable of strategy is abnormal. It means that the

calculation of the data analysis should use the Spearman Rank calculation.

Different from those two factors, the variable of total quality management is

normal because the value of P is higher than 0.05.

Table 4.2

Normality Test

Variable KSZ P Spread

Leadership 2.449 0.000 Abnormal

Strategy 1.974 0.001 Abnormal

Total Quality Management 1.326 0.059 Normal

Explanation:

KSZ : Kolmogorov-Smirnov Z

P : Probability of fault



32

4.3.2 Linearity Test

The linearity test is used to see the correlation between each of the

variables. Do both variables have a linier correlation or not? It can show the

linearity through the value of F. If p > 0.05, so the correlation is linier, but if P <

0.05, so the correlation is not linier.

The analysis result of the relation between the variable of leadership and

the variable of strategy are F = 3.329 and P = 0.001. Because P < 0.05, so the

correlation of both variable is not linier. It means that the increasing of the

variable of leadership does not affect the increasing of the variable of strategy. In

this case, even though the leadership in Nokia Siemens Networks is good, it does

not mean the strategy implemented in the company is good as well.

The analysis result of the relation between the variable of strategy and the

variable of total quality management are F = 2.447 and P = 0.003. Because P <

0.05, so the correlation of both variables is not linier. The same result as the first

both variables of leadership and strategy means that the increasing of the variable

of strategy does not affect the increasing of the variable of total quality

management of the company.

4.4 Validity Test

A validity item can be measured empirically by using Alpha Cronbach

analysis. The items are analyzed by score correlations in each statement items in

every variable with the total score of each statement items for every variable. The



33

statement item of validity can be determined by looking at the correlation

coefficient.

4.4.1 Validity Test of Leadership

The analysis of data instrument, which consists of 31 questions, test

resulted that the entire question are valid with the P < 0.05. As we know,

the question item will be valid if the P < 0.05, but if the P > 0.05, the item

will be not valid.

Table 4.3

Validity Test

No Questions Sig. Status

1 L1 0.000 Valid

2 L2 0.000 Valid

3 L3 0.000 Valid

4 L4 0.000 Valid

5 L5 0.040 Valid

6 L6 0.010 Valid

Based on the table 4.4 above, it can be known that L1, L2, L3, L4, L5, and

L6, which are indicators of leadership variable, are stated as valid indicators

because those items have P < 0.05.

4.4.2 Validity Test of Strategy

The strategy variable consists of 18 questions.



34

Table 4.4

Validity Test


1 S1 0.733 Not valid



4 S4 0.001 Valid




8 S8 0.015 Valid

9 S9 0.000 Valid

10 S10 0.001 Valid

11 S11 0.000 Valid

12 S12 0.037 Valid

13 S13 0.004 Valid

14 S14 0.000 Valid

15 S15 0.005 Valid

16 S16 0.004 Valid

17 S17 0.001 Valid

18 S18 0.000 Valid



35

Based on the table 4.5 above, there are some questions that are not valid,

which are S1, S2, S3, S5, S6, and S7. The value of P is more than 0.005.

The rests are valid.

4.4.3 Validity Test of Total Quality Management

The strategy variable has 21 questions to be examined.

Table 4.5

Validity Test


1 C1 0.030 Valid

2 C2 0.000 Valid

3 C3 0.000 Valid

4 C4 0.000 Valid

5 C5 0.012 Valid

6 C6 0.085 Not valid

7 C7 0.000 Valid

8 C8 0.038 Valid

9 I1 0.021 Valid

10 I2 0.004 Valid

11 I3 0.000 Valid

12 HR1 0.495 Not valid

13 HR2 0.000 Valid




36


16 HR5 0.000 Valid





21 TQM1 0.006 Valid

Based on the table 4.6 above, there are some questions that are not valid. It

is because the different interpretation of the respondents.

4.5 Reliability Test

Reliability test in the research uses SPSS 13.0 that is aimed to know how

far the result of measurement is consistent with twice or more measurements

toward the same nature and same instrument. The researcher does the reliability

test by calculating Cronbach’s Alpha from each item of a variable. Instrument

used on a variable is reliable if the Cronbach’s Alpha is more than 0.60

(Sugiyono, 2006).

Reliability test is only done toward all questions that have passed from

validity test. The criteria that is used to know the reliability level is the value of

Cronbach’s Alpha. If the value of Cronbach’s Alpha is close to 1, the instrument

has a high reliability. The value of Cronbach’s Alpha between 0.80 to 1.0 can be

categorized as good reliability. The value of Cronbach’s Alpha is between 0.60 to



37

0.79 can be categorized as an acceptable reliability, and the value of Cronbach’s

Alpha lower than 0.60 can be categorized as less reliable (Sekaran, 2000). The

result of reliability test of research variables is as follow:

Table 4.6

Summary Result of Reliability Test of Research Variables

No. Variable Cronbach’s

Alpha

Explanation

1 Leadership (L) 0.795 Accepted Reliability

2 Strategy (S) 0.846 Good Reliability

3 Total Quality Management (TQM) 0.806 Good Reliability

Based on Table 4.5 above, it can be seen that all questions used to measure

each research variable are reliable because the Cronbach’s Alpha values are

above the critical value (> 0.60). The reliability test shows the interaction or

correlation of each question in one variable on the questionnaire.

4.6 Hypothesis Testing

In the hypothesis testing, the item that should be noticed is the probability

(p) value. If p > 0.05, it means that independent variable does not influence the

dependent variable. If p < 0.05, it means that independent variable influences the

dependent variable. The correlation analysis which is used in this research is the

formulation of Spearman because two variables from three variables are spread

abnormally.



38

4.6.1 Hypothesis I

According to the theoretical review and theoretical framework in the

previous chapter, the formulation of the hypothesis is as follows:

H1: There is a positive relationship between company leadership and the


management

According to the data analysis with variable of leadership and strategy, the

result of the analysis are r = 0.191 and p = 0.062. Because of p > 0.05, so

the correlation between leadership and strategy is not significant. It means

that there is a positive relationship between company leadership and the


management but the value is only 19.1%.

Thus, it can be concluded that the first hypothesis which interprets a

positive relationship between leadership and strategy is supported by the

analysis result. The result of this hypothesis testing is having a bit different

with the research of Arefjev and Strucheuskaya (2006) which stated that

there is a significant positive relationship between leadership and strategy.

The different is in the significance. In the Arefjev and Strucheuskaya’s

research, the correlation was positive significant. But in this research, it is

not significant but still having a positive relationship.



39

4.6.2 Hypothesis II

According to the theoretical review and theoretical framework in the

previous chapter, the formulation of the hypothesis is as follows:

H2: There is a positive relationship between company strategy and the

quality management

The analysis of the second hypothesis has the result of r = 0.544 and p =

0.000. The value of p < 0.05, it means that the correlation is significant. It

can be concluded that the relationship between the strategy and the quality

management is positive.

It can be interpreted that the second hypothesis which pointed out the

posititive influence of strategy toward quality management was supported.

This result of the hypothesis testing is consistent with the study of Arefjev

and Strucheuskaya (2006).

4.7 Discussion

From the analysis above, it can be stated that leadership does not have

significant influence toward strategy, but leadership still has a positive

relationship with strategy. The second analysis states that strategy has a

significant positive relationship with the quality management.

In the hypothesis testing, the first hypothesis is having a bit different

with the prior research. The leadership and the strategy indicate a different sign

and implication from prior research. Even though it has a positive correlation, the



40

influence of leadership toward strategy is not significant. It is possibly caused by

respondents’ perception.

Different from the first hypothesis, the second hypothesis is consistent

with the prior research. There is a significant positive relationship between the

strategy and the quality management that is implemented in the company. It

means that the increasing of the strategy will be followed by the increasing of the

quality management.



41

CHAPTER 5

CONCLUSION AND RECOMMENDATION

5.1 Conclusion

According to the hypothesis testing as explained in Chapter 4, the

conclusions are as follows:

1. There is no significant influence with a positive direction between

leadership and strategy. It means that leadership variable does not

influence the strategy significantly.

2. There is a significant influence with positive direction between strategy

and quality management that is implemented in the company. It means the

higher the strategy of a company, the higher the implementation of quality

management within a company, and vise versa.

5.2 Limitation and Recommendation

There are some suggestions needed to be considered for the next research

and the company in the future:

1. There are still some doubts from the employees about the leadership in

the company. Some of the managers do not successfully lead the bottom

line of the organizational chart among the perception of its employees.

2. The implementation of quality management in Nokia Siemens Networks

is doing great based on the employees’ perception, but it is necessary for

the company to increase the performance of management.



42

3. The scope of this research was limited only to the employees of Nokia

Siemens Networks in Jakarta. There are several branch offices of Nokia

Siemens Networks in Indonesia, and this sample is employed not more

than half of the total number of the employees. Due to that fact, the

researcher expects that the next research would employ more and wider

scopes of samples.

4. The next research could develop for future study by looking for other

variables that are not observed by this research such as the learning and

innovation of the company. In addition, an appropriate model is needed to

develop in order to identify those factors affecting the quality

management implemented in the company.



43

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QUESTIONNAIRE

We guarantee a total privacy and insure that the results will be used only in a systemized way

and not a single questionnaire or name will be revealed. The results of the questionnaire

might be used for suggestions on further improvement of organizational performance and

daily operations.Hence, we kindly ask for sincere answers and are thankful for devoting your precious time

for carefully completing this questionnaire as it will help us to write a thesis.

Respondent Identity

1. Position :

2. Start working at :

3. Age :

4. Sex : Male Female

Leadership

1. My direct manager is fully committed to achieve high level of quality

Strongly agree Strongly disagree Uncertain

Agree Disagree

2. I feel a huge commitment towards the changes in the company


Agree Disagree

3. I know and clearly understand the goals of my company and how my work

contributes to its achievement


Agree Disagree

4. I know and clearly understand how my work contributes to the achievement of goals

of my company


Agree Disagree

5. I have a full capacity to try out my ideas


Agree Disagree

6. I find out about the processes, decisions, and changes in the company mostly from:

Data base Direct Manager Other ………

Rumors Org. Letters



Human Resources

1. During the last year I participated in trainings

Yes No

If ‘yes’ go on with question 2, if ‘no’ skip it and go to 3rd

question.

2. Thinking about training that you have had in the last year, please indicate whether or

not any of the following statements apply to you as a result.

Strongly Agree Uncertain Disagree Strongly

Agree Disagree

a) I was able to do job better

b) I felt more frustrated by our work

procedures

c) I understood more clearly what we are

trying to achieve as a business

d) I felt more able to meet the needs

of our customer

3. The social benefits, which company provides me, fully satisfy me


Agree Disagree

4. I feel highly motivated to do my job properly


Agree Disagree

5. Involvement


Agree Disagree

a) Any personal problems at work

are always taken into consideration

b) There is always someone to discuss

any problems I have with my work



Strategy

1. What do you think are the actual priorities of the company?


Agree Disagree

a) Making high profit

b) Keeping costs down

c) Keeping customers satisfied

d) Getting repeat business from

old customers

e) Getting a high volume of work

f) Having a keen workforce

2. What do you think the company sees as the most important factors?

1= Very important 3= Uncertain 5= Not important at all

2= Important 4= Not important

1 2 3 4 5

a) Our prices are low

b) We achieve our sales target

c) We are technically excellent

d) We provide a high quality service

e) We have a strong leadership

f) Our staff is highly motivated

g) Our workforce is stable

h) We work to rigorous standard

i) We are friendly and approachable

j) Our staff is very well trained

k) We value our customers as individuals

l) We guarantee a good service

Culture

1. Please indicate, how important you think each statement is in describing what quality

means in your job. Quality in our organization means:




Agree Disagree

a) Always maintain high standards

b) Do what is necessary to keep

customers happy

c) Encourage more customers to use

our service

d) Give our customers confidence

in what we do

e) Meet the satndards of our industry

f) Avoiding making mistakes

g) Monitor all our procedures

(quality control)

h) Make sure that I feel committed

to my work

Infrastructure

1. I feel that our network of partners and suppliers fully contribute to the achievement of

our company and accomplishment of my work


Agree Disagree

2. I think that I am fully equipped to accomplish my daily work


Agree Disagree

3. I think that I am supported with all necessary information needed to accomplish my

daily task or make an important decision


Agree Disagree

Date post:	17-Feb-2018
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The Analysis of Employees Perspective Toward Quality

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