The Islamic University - Gaza Higher Education Deanship Faculty of Engineering Civil Engineering Construction Management Program الجامعة الاسلامية-غزة عمادة الدراسات العليا كلية الهندسه الهندسة المدنيه برنامج ا دارة التشييد Critical Success Factors of TQM Implementation on Construction Projects in Gaza Strip عوامل النجاح الحاسمة في تطبيق إدارة الجودة الشاملة على مشاريع التشييد في مدينة غزة Submitted By Mustafa Al-Tayeb Supervised By Dr. Jihad T. Hamed Dr. Salah R. Agha A thesis Submitted in partial Fulfillment of the Requirement for the Degree of Master of Science in Construction Management 1429 ه - 2008 م
بسم االله الرحمن الرحيم ( قل ا ن ص ل ات ي و ن س ك ي و م ح ي اي و م م ات ي ل له ر ب ال ع ال م ين لا ش ر يك ل ه و ب ذ ل ك ا م ر ت و ا ن ا ا ول ال م س ل م ين ) (الا نعام: 163-162 ). عن ا مير المو منين ا بي حفص عمر بن الخطاب رضي االله عنه قال سمعت رسول االله صلى االله عليه وسلم يقول "ا نما الا عمال بالنيات وا نما لكل امري ما نوى فمن كانت هجرته ا لى االله ورسوله فهجرته ا لى االله ورسوله ومن كانت هجرته ا لى دنيا يصيبها و امرا ة ينكحها فهجرته ا لى ما هاجر ا ليه " متفق عليه. II
Acknowledgments I am grateful to my supervisors Dr. Jihad Hamed and Dr. Salah Agha for their professional advice, useful guidance, and excellent support through all stages of preparing this thesis. My deep thanks to Prof. Adnan Enshassi, Prof. Rifat Rustom, Dr. Kamalain Sha'ath and Dr. Said Ghabayen for their sincere support and help. Special thanks for statistician (Dr. Samir Saffi) who supported me very much. Special thanks to Palestinian contractors, consultants and owners for their participation in filling the questionnaire and providing important information for this study. Finally, very special thanks to my parents, wife, and family for their never ending patience, and understanding. III
Abstract The construction industry has been one of the most important industries for the development of the Palestinian infrastructure and economy. The Total Quality Management TQM is considered as one of the most important approaches to success of construction industry. The findings of available research revealed the importance of TQM implementation. The aim of research is to determine the success factors necessary for the implementation of TQM at various phases of the project planning, design and construction in Gaza Strip. Then develop a computer model to assess an organization s present strengths and weaknesses with regard to its use of quality management methods. The questionnaire is used as a tool to data collection. The research determines a total of 8 main factors with 81 sub factors were considered in the questionnaire obtained from an extensive review of TQM literature from quality gurus, quality award models, other quality management research and experts. A factor analysis was carried out on the collected data, after conducted on the reliability and validity analysis of the results and the Pareto principle was used to identified the critical success factors of TQM implementation on construction projects in Gaza Strip. A model has been developed. This model designed to run under Microsoft Excel. Microsoft Excel is used in developing model as most organizations in Gaza Strip are familiar with it. The results of the study clearly indicate that there are seven critical success factors with 38 critical sub factors were needed for the successful implementation of TQM in Gaza Strip organizations. IV
الخلاصة تعتبر صناعة التشييد واحده من أهم الصناعات المو ثره في تطوير الاقتصاد والبنية التحتية الفلسطينية. آما و تعتبر إدارة الجودة الشاملة واحدة من أهم العناصر المو دية لنجاح صناعة التشييد و البحوث المتاحه التي تم مراجعتها تعكس أهميه تطبيق إدارة الجودة الشاملة. يهدف هذا البحث لتحديد عوامل النجاح الحاسمه اللازمة لتطبيق إدارة الجودة الشاملة في المراحل المختلفة للمشاريع في قطاع غزه سواء في مرحله التخطيط أو التصميم أو التنفيذ و اعتمادا على العوامل الحاسمة لنجاح إدارة الجودة الشاملة تم تطوير نموذج محوسب يساعد المنظمه في تحديد مواطن القوة والضعف بالنسبه لكيفيه استخدام اساليب ادارة الجوده. تم استخدام الاستبيان آاداة لجمع البيانات حيث أن الاستبيان يحتوي على 8 عوامل ري يسية متضمنة ل 81 عامل فرعي تم تحديدها من خلال استعراض واسع النطاق للمراجع و الا بحاث والنظريات والنماذج ذات الصلة با دارة الجودة الشاملةو استشاره الخبراء في هذا ا ال. تم تحليل الاستبيان بعد جمعه وبعد التحقق من عامل الاتفاق الداخلي والثبات في الاستبيان آما واستخدم مبدأ باريتو لتحديد العوامل الحاسمه في تطبيق إدارة الجودة الشاملة على مشاريع التشييد في مدينه غزه. النموذج الذي تم تطويره مصمم على برنامج مايكروسوفت اآسل حيث أن هذا البرنامج يعد من أآثر البرامج المستخدمة لدى المنظمات في قطاع غزه حيث إ ا على دراية باستخدامه. نتاي ج الدراسة تشير بوضوح الى ان هناك سبعة عوامل حاسمه للنجاح تتضمن 38 عنصر من العناصر الفرعيه الحاسمه لتطبيق ادارة الجوده الشامله على المنظمات في قطاع غزة بشكل ناجح. V
Abbreviations AHP BS CSF CSsF ECDAR Analytic Hierarchy Process British Standards Critical Success Factors Critical Success sub Factors Palestinian Economic Council for Development & Reconstruction EFQM EN EQA GDP ISO MCSsF PCBS QA QC European Foundation for Quality Management European Norm European Quilt Association Gross Domestic Product International Organization for Standardization Modify critical success sub factors Palestinian Central Bureau of Statistics Quality Assurance Quality Control VI
Table of Contents Dedication.......Π Acknowledgments....Ш Abstract...... IV Arabic Abstract.........V Abbreviations...VI Table of Contents.......VII List of Tables..... XII List of Figures......XIV Chapter 1 Introduction...1 1.1 The nature of the construction industry..1 1.2 Total Quality Management.....1 1.3 Construction industry and economy in Palestine...2 1.4 Research aim and objectives...........3 1.4.1 Research Aim.......3 1.4.2 Research Objectives...3 Chapter 2 Literature review...4 2.1 Quality definitions.....4 2.1.1 Transcendent approach......4 2.1.2 Product-based approach....4 2.1.3 User-based approach...4 2.1.4 Value-based approach...5 2.1.5 Manufacturing-based approach...5 2.2 Historical development of quality management......5 2.2.1 Quality inspection stage...5 2.2.2 Quality control stage.......6 2.2.3 Quality assurance stage....6 2.2.4 Total quality management stage....7 VII
2.3 Quality cost........7 2.3.1 Prevention cost...7 2.3.2 Appraisal cost......7 2.3.3 Internal failure costs....7 2.3.4 External failure cost......7 2.3.5 Economic model for optimum quality costs.....8 2.4 Total Quality Management gurus........8 2.5 Construction vs. manufacturing.. 12 2.6 Quality cost of TQM..13 2.7 Quality award models....13 2.7.1 Malcolm Baldrige national quality award.....14 2.7.2 European quality award...... 15 2.7.3 Deming application prize......16 2.8 Success factors of TQM implementation on construction projects....17 2.8.1 Leadership......17 2.8.2 Resource management..18 a) Human resources.... 19 b) Information resources... 19 c) Financial resources....19 d) Material resources.19 e) Technological resources 19 2.8.3 Strategic and plan.19 2.8.4 Process management.20 a) Quality process system..20 b) Customer relationship management..21 c) Coordination and structure....21 2.8.5 Customer satisfaction.......21 2.8.6 Training and education. 22 2.8.7 Continuous improvement.23 2.8.8 Communication....23 2.9 Conclusions...23 VIII
Chapter 3 Methodology...25 3.1 Research procedures.25 3.2 Research population.....26 3.3 Sample size...27 3.4 Sample selection... 27 3.5 Questionnaire design.....28 3.6 Pilot study......29 3.7 Empirical study.29 3.7.1 Validity of questionnaire..29 a) Criterion related validity......29 b) Structure validity of the questionnaire.....30 3.7.2 Validity test..30 3.7.3 Reliability of the research...31 3.7.4 Reliability test...31 3.8 Data collection...32 3.9 Statistical analysis tools....32 3.9.1 Cronbach's alpha...32 3.9.2 The relative importance index.......33 3.9.3 Spearman rank correlation coefficient....33 3.9.4 Degree of agreement/disagreement among raters...34 Chapter 4 Analysis and discussion...35 4.1 Study population... 35 4.1.1 Type of organization...35 4.1.2 Years of experience...36 4.1.3 Full time employees...36 4.1.4 Companies classification...37 4.1.5 Respondent position...38 4.1.6 Projects executed...38 4.1.7 Construction dollar value...39 IX
4.2 Sub success factors of TQM implementation...40 4.2.1 Leadership...40 4.2.2 Resource management...43 a) Human resources...43 b) Information resources...44 c) Financial resources...45 d) Material resources...46 e) Technological resources...47 4.2.3 Strategy and plan...48 4.2.4 Process management... 49 a) Quality process system...49 b) Customer relationship... 51 c) Coordination and structure... 51 4.2.5 Customer satisfaction... 52 4.2.6 Training and education... 53 4.2.7 Continuous improvement... 55 4.2.8 Communication... 56 4.3 Main success factors of TQM implementation...57 4.3.1 Leadership...58 4.3.2 Resource management...58 4.3.3 Strategy and plan... 59 4.3.4 Process management... 59 4.3.5 Customer satisfaction...60 4.3.6 Training and education...60 4.3.7 Continuous improvement...61 4.3.8 Communication...62 4.4 Degree of agreement among the different types of organizations...62 4.5 Means differences of the organization type...63 4.6 Correlation between each main factor in part three of the questionnaire and the corresponding factor in part two...64 X
Chapter 5 Model Development...66 5.1 Model development steps...66 5.2 Model application...81 5.3 Model verification...81 5.4 Using the model...81 Chapter 6 Conclusions and Recommendation...82 6.1 Conclusions...82 6.2 Recommendation...84 References...85 List of Appendixs...90 Appendix (A) Questionnaire...91 Appendix (B) Validity of Questionnaire...104 Appendix (C) Excel Model...112 XI
List of Tables Table 2.1: Fundamental factors for effective TQM implementation......9 Table 2.2 Malcolm Baldrige national quality model...14 Table 2.3: European quality model...15 Table 3.1: Sample size for each organization...27 Table 3.2: Likert scale...28 Table 3.3: Correlation coefficient of each item of Leadership and the total of this field...30 Table 3.4: Cronbach's Alpha for each field of the questionnaire and the entire questionnaire...31 Table 3.5: Number of the questionnaire respondents...32 Table 4.1: Leadership sub-factors according to overall respondents opinions...42 Table 4.2: Human resources sub-factors according to the overall respondents' opinion...44 Table 4.3: Information resources sub-factors according to the overall respondents opinion...45 Table 4.4: Financial resources sub-factors according to the overall respondents' opinion...46 Table 4.5: Material resources sub-factors according to the overall respondents' opinion...47 Table 4.6: Technological resources sub factors according to the overall respondents' opinion...47 Table 4.7: Strategy and plan sub-factors according to the overall respondents' opinion...49 Table 4.8: Quality process system sub-factors according to the overall respondent opinion...50 Table 4.9: Customer relationship sub-factors according to the overall respondent opinion...51 Table 4.10: Coordination and structure sub-factors according to the overall respondent opinion...52 Table 4.11: Customer satisfaction sub-factors according to the overall respondent opinion...53 Table 4.12: Training and education sub-factors according to the overall respondent opinion...54 Table 4.13: Continuous improvement sub-factors according to the overall respondent opinion...56 Table 4.14: Communication sub-factors according to the overall respondents opinion...57 Table 4.15: Main total quality management factors according to the overall respondents' opinion...57 Table 4.16: Kendall's Coefficient of Concordance for each group...63 Table 4.17: Kruskal- Wallis test for factors affecting the TQM implementation in construction projects...64 Table 4.18: Correlation between each main factor influencing the implementation of TQM and the corresponding field...64 Table 5.1: The importance percentage for the main factors...67 Table 5.2: the importance percentages for groups factors under process management...68 XII
Table 5.3: The importance percentages for group factors under resource management...68 Table 5.4: The importance percentage for sub-factors...69 Table 5.5: Cumulative percentages of sub-factors in descending arrangement...73 Table 5.6: Modify critical success sub factors of TQM implementation...78 XIII
List of Figures Fig. 2.1: Economic of quality of conformance...8 Fig. 3.1: The methodology flow chart...26 Fig. 4.1: Distribution of organization based on type...35 Fig. 4.2: Percentage of respondents related to experience years...36 Fig. 4.3: Number of full time employees vs type of organization...37 Fig. 4.4: The percentage of respondent according to the classification...37 Fig. 4.5: Respondent position vs type of organization...38 Fig. 4.6: Number of projects executed between 1998 to 2008...39 Fig. 4.7: The dollar value of construction projects performed between 1998 to 2008...39 Fig. 5.1: Pareto chart for TQM sub factors number...77 Fig. 5.2: Pareto chart for TQM sub factors percentage...78 Fig. 5.3: Critical success factors of TQM implementation...80 XIV
Chapter 1 Introduction 1.1 The nature of the construction industry A construction project usually spans several years and goes through many phases. They are typically described as engineering planning, concept design, bid and proposal, engineering design, procurement, construction, acceptance and test, pilot run, etc. These individual phases can be carried out by different organizations at different stages. The performance of each phase will affect the quality of the project (Tan and Lu, 1995). The quality of construction problems can invariably be traced back to the problem of the quality of design, such as error, incompleteness, and lack of constructability. Since the cost of the design phase accounts for only about 3-10 per cent of the project on average, most of the research into and discussion of the quality of construction projects have focused on the construction phase, and seldom on the design phase. The quality of design of projects leads to the quality of the construction design and the competitiveness of the engineering firms. On the other hand the construction industry is typified by a highly differentiated, fragmented and loosely structured system. The skills, loyalty and orientation of professionals and practitioners in the industry have developed in an environment of specialization, differing traditions and often opposing interests. Attempts at integration, if any, are presently weak. In addition, the short-term nature of construction projects does not help to make things better. New methods of procurement are therefore required to help overcome the inhibitive tendencies posed by the complex nature of construction. There is an urgent need to look at the right ways of delivering buildings to facilitate doing the right things right rather than simply doing them right (Pheng and Ke-Wei 1996). 1.2 Total Quality Management Total Quality Management (TQM) appears to be a concept which is difficult to summarize in a short definition. TQM is a process lead by senior management to obtain involvement of all employees in the continuous improvement of the performance of all activities (Harris et al 2006). TQM is a continuous process of incremental improvements. TQM may take years to be put in place within an organization but a start could be made with fruitful short-term successes. 1
It should be remembered at this phase that TQM is a process-oriented and not so much result-oriented. If the processes are right, the results (i.e. quality improvements) are likely to follow. TQM gives an organization a competitive edge. It refines the quality of work life by getting management and employees involved in identifying and solving work problems. Its prevention-based approach adds to organizational strength and improves morale and productivity. Good quality work promotes a sense of pride. Any organization which ignores TQM has a less opportunity of competitiveness. This would, of course, include the construction industry. Clearly, the whole construction industry is project-oriented, so improved quality performance must be project-related and include the whole project team. The main contractors, suppliers, subcontractors, consultants, and above all the owners must be involved in the process. The TQM philosophy, if interpreted effectively, would generate a mutually rewarding scenario for all parties in the construction industry. It will help to encourage the open addressing of problems, place value on long-term relationships, enhance professionalism and skills in all of the construction sector and in the final analysis, help to achieve the intended project objectives and benefits (Pheng and Ke-Wei 1996). 1.3 Construction industry and economy in Palestine Palestine is almost totally dependent on the economy of Israeli occupation. This situation did not come about by accident: it was created to serve the interests of the occupying power. More than 80% of exports are directed to Israel, from which about 90% of imports originate. Palestine experiences a trade deficit with Israel because, after years of neglect, it lacks a broad, competitive industrial and agricultural base. This situation is further compounded by Israeli restrictions on the volume, destination and sources of Palestinian trade (PECDAR, 2007) The construction sector in Palestine experienced a considerable growth in the aftermath of 1967; its share of GDP increased from less than 9 % in 1985 to more than 23 % in 1995. During that period the sector's contribution fluctuated in an upward long-run trend bounded by 9 % and 19 % from 1970 to 1980, and by 15,2 % and 23 % from 1989 to 1995. However, it appears that in 2006 the construction sector's contribution to the GDP was reduced to 12 % due to the second Intifada in Palestine (PCBS, 2007). 2
1.4 Research aim and objectives 1.4.1 Research Aim The aim of this study is to determine the critical success factors necessary for the implementation of total quality management at various phases of the project planning, design and construction and to develop a model based on these factors assess an organization s to implementing TQM on construction industry in Gaza Strip. 1.4.2 Research Objectives 1. Define the critical success factors that affect the quality during project phases. This serves as the basis and reference point for implementing total quality management in the construction industry; 2. Study the degree of consistency in terms of perceptions of quality between the construction team and other related teams during the project phases; 3. Derive the relative weights of the impacting factors to provide the guidelines to implementing total quality management; 4. Develop a model to help in implementing TQM during the different phases of the project in Gaza Strip. 3
Chapter 2 Literature Review 2.1 Quality definitions Quality is an important issue in the modern competitive business world. Like the 'theory of relative' quality is sometimes expressed as a relative concept and can be different things to different people, contexts, and industry. Quality is defined based on five approaches (Dahlgaard et al, 2005): 2.1.1 Transcendent approach Walter Shewhart, (1931) first defined quality as "the goodness of a product" this view referred to as the transcendent "transcends, to rise above or extend notably beyond ordinary limit" definition of quality (Evans and Lindsay, 2001). The transcendent definition of quality is derived from philosophy and borrows heavily from Plato s discussion of beauty. From this view point, quality is synonymous with innate excellence. The assumption is that quality is both absolute and universally recognizable. It is clear that approach to defining quality is highly subjective (Dahlgaard et al, 2005). 2.1.2 Product-based approach Another definition of quality is that it is a function of a specific, measurable variable and that differences in quality reflect differences in quantity of some product. The product-based approach has its roots in economics. Differences in the quantity of some ingredient or attribute possessed by the product are considered to reflect differences in quality. This view of quality, based on a measurable characteristic of the product rather than on preferences, enables a more objective assessment of quality. As a result, quality is often mistakenly assumed to be related to price, the higher the price, the higher the quality (Evans and Lindsay, 2001). 2.1.3 User-based approach In the user-based definition, quality is the extent to which a product or service meets and/or exceeds customers expectations. This approach is marketing-based, and emerged primarily out of the services marketing literature. As the service sector grew in the US and other economies, the customer s perspective became increasingly more important in determining quality. However, the impact of the customer s viewpoint can be seen in several of the early definitions and discourses on quality. For example, In 1951, Juran conceptualized 4
that quality was composed of two parts: the quality of design and the quality of conformance. The quality of design, in essence, referred to providing satisfaction to customers by designing products that meet their needs. The user-based definition is widely accepted and considered one of the key concepts of TQM (Sebastianelli and Tamimi, 2002). 2.1.4 Value-based approach The value-based definition equates quality with performance at an acceptable price, or alternatively conformance at an acceptable cost. This definition is derived from traditional economic models, and is based on the notion that consumers often consider quality in relation to price. In 1951, Feigenbaum introduced this idea when he defined quality as best for certain customer conditions, the conditions being the actual use and selling price of the product. Here, the notion of worth is incorporated into the definition of quality, making this more subjective than objective (Sebastianelli and Tamimi, 2002). 2.1.5 Manufacturing-based approach A fifth approach of quality is manufacturing-based approach. That is, quality is defined as the desirable outcome of engineering and manufacturing practices, or conformance to specifications (Evans et al, 2001). This definition is basis for statistical quality control. It has an internal focus, in contrast to the external focus of the user-based approach, and quality is considered an outcome of engineering and manufacturing practices. Deviations from design specifications result in inferior quality, and consequently increased costs due to scrap, rework or product failure. This definition allows for the precise and objective measurement of quality, although it has limited applicability for services (Sebastianelli and Tamimi, 2002). 2.2 Historical development of quality management The development of quality management can be defined in four stages: quality inspection, quality control, quality assurance, and total quality management (Dale, 2003). 2.2.1 Quality inspection stage Quality management started with simple inspection-based systems. Under such a system, one or more characteristics of a product are examined, measured or tested and compared with specified requirements to assess its conformity with specification or performance standards. This system is used to appraise the input, output and assemblies in the 5
production process. It is undertaken mainly by staff employed specifically for this purpose. The work which does not conform to specifications may be reworked or causes claim. In some cases, inspection is used to grade the finished products. The system is an after-thefact screening process with no prevention content other than, perhaps, the identification of suppliers, operations or workers non-conforming products. Simple inspection-based systems are usually wholly in-house and do not directly involve suppliers or other external party (Dale, 2003). 2.2.2 Quality control stage Quality control is defined in BS, EN, ISO 8402 as "The operational techniques and activities that are used to fulfill requirements for quality"(mccabe, 1998). Under a system of quality control, product testing and documentation control became the ways to ensure greater process control and reduced non-conformance. Typical characteristics of such systems are performance-data collection, feedback to earlier stages in the process, and self-inspection. While screening inspection is again the main mechanism for preventing products which are outside the specification from being shipped to customers, quality control measures lead to greater process control and a lower incidence of non-conformance (Dale, 2003). In construction, this process includes first, setting specific standards for construction performance, usually through the plan and specifications; second, measuring variances from the standard; third, taking action to correct or minimize adverse variance; and finally, planning for improvements in the standards themselves and conformance with the standards (Barrie and Paulson, 1992). 2.2.3 Quality assurance stage Quality assurance is defined in BS, EN, and ISO 8402 as "All those planned and systematic actions necessary to provide adequate confidence that a product or service will satisfy given requirements for quality". The quality assurance stage came with the change away from product quality towards system quality. In this stage, an organization sets up a system for controlling what is being done and the system is audited to ensure that it is adequate both in design and execution. Characteristics of this stage are the use of quality manuals, procedures, work instructions, quality planning, quality audits, etc. The fundamental difference is that quality assurance is prevention-based while quality control is inspectionbased (McCabe, 1998). 6
2.2.4 Total quality management stage Total quality management (TQM) stage is the highest level, involving the application of quality management principles to all aspects of the business. TQM requires that the principles of quality management be applied in every branch and at every level in an organization. ISO 8402:1994 defines TQM as a management approach of an organization centered on quality, based on the participation of all its members and aiming at long-term success. This is achieved through customer satisfaction and benefits to all members of the organization and to society (Dale, 1999). 2.3 Quality cost The cost of quality is generally classified into four categories (Juran and Gryna, 1993): 2.3.1 Prevention cost: Are all of the costs expended to prevent errors from occurring in all functions within an organization. They include quality planning cost, new product review cost, process control cost, quality audit cost, supplier quality evaluation cost and training cost. 2.3.2 Appraisal cost: These include all activities undertaken while conducting inspections, tests and other planned evaluations used to determine whether products and/or services conform to their requirements. Requirements include specifications, as well as engineering documents and information pertaining to procedures and processes. All documents that describe the conformance of the product or service are included. 2.3.3 Internal failure costs: Include scrap cost, loss cost, rework cost, failure analysis cost, re-inspection and retesting cost and downgrading cost. 2.3.4 External failure cost: Are the costs that are associated with defects that are found after using the product. They may include warranty charges cost, complaint adjustment cost, returned material cost and allowances cost. 7
2.3.5 Economic model for optimum quality costs. This model shows three curves: failure costs, costs of appraisal plus prevention, and sum of the curves. Failure costs are zero when the product is 100 percent good. As nonconformance increases, the failure costs rise rapidly. At 100 percent nonconformance (the left-hand boundary of the chart), the product is 100 percent defective. At this point, none of the units are good, and the failure cost per good unit becomes infinite. When the product is 100 percent defective, the cost of appraisal plus prevention is zero (left-hand boundary of Fig. 2.1). To improve conformance, costs of appraisal and prevention are increased until perfection is approached. The costs of appraisal and prevention rise asymptotically, becoming infinite at 100 percent conformance. The total quality cost curve (summation of failure, appraisal and prevention costs) represents the total quality cost per good unit. Fig. 2.1: Economic of quality of conformance (Juran and Gryna, 1993) 2.4 Total quality management gurus TQM is a relatively new concept in the construction industry, but it has made a significant impact during the past two decades. Conceived by (Deming, 1986) shortly after World War II, TQM was first applied in the manufacturing sector. The principles of TQM helped the companies regain their edge in the highly competitive worldwide manufacturing arena. Soon after the construction companies began to recognize the benefits of TQM in their market sector (Gould and Joyce, 2003). 8
An extensive review of literature was carried out to study the concept of TQM from quality gurus such as Deming, Juran, Crosby, and Ishikawa. Their propositions are the foundation for understanding the concept of TQM. Table 2.1 presents the main principles and practices of TQM proposed by these quality gurus. Table 2.1: Fundamental factors for effective TQM implementation Quality gurus Deming lists the essential fourteen points a company must integrate into its system to become TQM successful (Gitlow et al, 1995) Fundamental factors for effective TQM implementation Point 1: Create constancy of purpose towards improvement of product and service, with the aim to become competitive and to stay in business, and to provide jobs Point 2: Adopt the new philosophy. We are in a new economic age. Global management must awaken to the challenge, must learn their responsibilities, and take on leadership for change Point 3: Cease reliance on mass inspection to achieve quality. Eliminate the need for inspection on a mass basis by building quality into the product in the first place Point 4: End the practice of awarding business on the basis of price tag. Instead, minimize total cost. Move toward a single supplier for any one item, on a long term relationship of loyalty and trust Point 5: Improve constantly and forever the system of production and service, to improve quality and productivity, and thus constantly decrease costs Point 6: Institute training on the job Point 7: Institute leadership. The aim of supervision should be to help people and machines and tools to do a better job. Point 8: Drive out fear, so that everyone may work effectively for the company Point 9: Break down barriers between departments. People in research, design, sales, and production must work as a team, to foresee problems of production and in use that may be encountered with the product or service Point 10: Eliminate exhortations and targets for the work force asking for zero defects and new levels of productivity Point 11: Eliminate work standards (quotas) on the factory floor. Point 12: Remove barriers that rob the hourly workers of their right to pride of workmanship. The responsibility of supervisors must be changed from mere numbers to quality. Remove barriers that rob people in management and in engineering of their right to pride of workmanship Point 13: Encourage education and self-improvement for everyone Point 14: Take action to accomplish the transformation 9
Table 2.1(Cont.): Fundamental factors for effective TQM implementation Quality gurus Juran considers quality management as three basic processes(juran and Gryna, 1993). Crosby defined 14 steps for quality improvement (McCabe, 1998). Fundamental factors for effective TQM implementation Quality planning Quality control Quality improvement Establish the quality goal Identify customers Discover customer needs Develop product features Develop process features Establish process controls and transfer to operations Choosing the control subject Choosing a unit of measure Set goals Creating a sensor Measuring actual performance Interpret the difference Taking action on the difference Prove the need Identify projects Organize project teams Diagnose the causes Provide, remind, prove that the remedies are effective Deal with resistance to change Control to hold the gains (1) Demonstrate management commitment in every possible way (2) Encourage every employee by using quality improvement team (3) Use quality measurement to show what needs to be done, and to indicate progress (4) Evaluate the cost of quality to demonstrate any savings when they start to occur (5) Use quality awareness to remind people what they are expected to contribute (6) Aim to prevent problems by taking corrective actions (7) Establish a committee for the zero defects (8) Educate employees and give them appropriate training 10
Table 2.1(Cont.): Fundamental factors for effective TQM implementation Quality gurus Crosby defined 14 steps for quality improvement (McCabe, 1998). Ishikawa defined six fundamental principles of total quality control (Zhang, 2001). Taguchi s quality concepts (Zhang, 2001). Feigenbaum Fourstep approach (McCabe, 1998). Fundamental factors for effective TQM implementation (9) Arrange a special day discussion and presentation (10) Set goal to provide targets for improvement (11) Remove the causes of error by making improvement and communicate them to all concerned (12) Recognise the efforts of those who make the greatest contribution (13) Formulate the efforts of those in a quality councils consisting of representatives from all areas of the organization (14) Do it all over again Quality first - not short-term profits first Customer orientation - not producer orientation The next step is your customer - breaking down the barrier of sectionalism Using facts and data to make presentations - utilization of statistical methods Respect for humanity as a management philosophy, full participatory management Cross - functional management Quality improvement should concentrate on reducing the variation of the product s key performance characteristics with regard to their target values The loss suffered by a customer due to a product s performance variation is often approximately proportional to the square of the deviation of the performance characteristics from its target value The final quality and cost of manufactured products are determined to a large extent by the engineering design of the product and the manufacturing process A product s or process s performance variation can be reduced by exploiting the non-linear effects of the product or process parameters on the performance characteristics Statistically planned experiments can be used to identify the settings of product/process parameters that reduce performance variation (1) Setting quality standards (2) Appraising conformance to these standards (3) Acting when standards are not met (4) Planning for improvement in these standards 11
On the other hand, in 2004 Baidoun identify fundamental factors for effective TQM implementation West Bank organizations. These factors are (Baidoun 2004): Top management commitment and involvement Middle managers and employee commitment and involvement Communication Training and education Quality infrastructure Formal documented quality management system 2.5 Construction vs. manufacturing The design and construction of a building or civil engineering project is one of the most complex and difficult industrial undertakings (Willis et al, 1996). A construction project usually spans several years and goes through many phases. They are typically described as engineering planning, concept design, bid and proposal, engineering design, procurement, construction, acceptance and test, pilot run, etc. These individual phases can be carried out by different organizations at different stages. The performance of each phase will affect the quality of the project (Tan and Lu, 1995). The construction industry is different from manufacturing due to the fragmented structure of the construction industry, often small in size and less inclined to formal methods of work study and management; (Jaafari, 1996) Diffused responsibility, that is, on normal construction projects typically many individual professionals and firms share the responsibility for the specifications, design and construction of these projects. Prototype nature, that is, projects typically resemble prototype products in the manufacturing industry, often carrying unique design features, site characteristics and functions. Transient and itinerant labour force, who are not trained to operate under the quality assurance mode of construction, that is, the training in the skilled labour has generally been based on learning how to do the work, not necessarily being one s own inspector to produce zero defect. Lack of research and development. Subcontracting who need to perform most specialist tasks have been employed as and when required (Langford et al, 1995). 12
2.6 Quality cost of TQM Management needs to implement TQM throughout the organization with the overall corporate goals to improve efficiency and reduce failure cost while improving current quality and customer service levels. One of the most difficult aspects of co-ordinating the implementation of TQM is to keep the delicate balance between maintaining the creative momentum of people without neglecting the fiscal responsibility entrusted to management. It is of interest to note that the need for management to motivate people for heightened performance within budgetary constraints is a basic requirement to enhance organizational effectiveness. This is no coincidence - academia and business increasingly recognize that the concept of TQM consists of applying sound business practices and quality tools to improve organizational performance. TQM has been introduced along with the quality cost concept do not lose the support of management. The point is that the quality cost concept strengthens the pertinence of TQM within the organization, much as it generally justifies the use of a quality approach in its own right (Laszlo, 1997) Management can thus support quality cost not as a charity or a contribution to society but as a legitimate business investment for which a fair return is to be expected. That is the very essence of TQM - involving everyone in the quest for continuous improvement. 2.7 Quality award models World-wide, there are several Quality Awards, such as the Malcolm Baldrige National Quality Award in the United States of America; the European Quality Award in Europe And the Deming Prize in Japan. The broad aims of these awards are described as follows: (1) Increase awareness of the importance of quality management because of its important contribution to superior competitiveness (2) Encourage systematic self-assessment against established criteria and market awareness simultaneously (3) Stimulate sharing and dissemination of information on successfully deployed quality strategies and on benefits derived from implementing these strategies (4) Promote understanding of the requirements for the attainment of quality excellence and successful deployment of quality management 13
(5) Stimulate organizations to introduce a quality management improvement process Each award is based on a perceived model of total quality management. They do not focus solely on either product or service perfection or traditional quality management methods, but consider a wide range of management activities, behavior and processes which influence the quality of the final offerings (Zhang, 2001). 2.7.1 Malcolm Baldrige national quality award In 1987, the US Congress passed the Malcolm Baldrige national quality improvement Act, and thus established an annual quality award in the USA. The aim of the award is to stimulate American organizations to improve quality, satisfy customers, and improve overall company performance and capabilities. The model framework may be used to assess an organization s current quality management practices, benchmark performance against key competitors and world-class standards, improve relations with suppliers and customers. The model framework is in Table 2.2 (Zhang, 2001). Table 2.2: Malcolm Baldrige national quality model (Zhang, 2001) Main factors Leadership Strategic planning Customer and market focus Information and analysis Human resource development and management Process management Leadership system Sub factors Company responsibility and citizenship Strategy development process Company strategy Customer and market knowledge Customer satisfaction and relationship enhancement Selection and use of information and data Selection and use of comparative information and data Analysis and review of company performance Work systems Employee education, training, and development Employee well-being and satisfaction Management of product and service processes Management of support processes Management of supplier and partnering processes 14
Customer satisfaction results Financial and market results Business results Human resource results Supplier and partner results Company-specific results 2.7.2 European quality award The European Quality Award was officially launched in 1991. The primary purpose of the award is to support, encourage and recognize the development of effective total quality management by European companies. The model of the European Quality Award is divided into two parts: enablers and results. The enablers are leadership, people management, policy & strategy, resources, and processes. The results are people satisfaction, customer satisfaction, impact on society, and business results which are the measure of the level of output attained by the organization. The model consists of nine primary elements which are further divided into a number of secondary elements (EFQM, 1994). The primary and secondary elements are shown in Table 2.3 (Zhang, 2001). Table 2.3: European quality model (EFQM, 1994) Main factors Leadership Policy and strategy Sub factors Visible involvement in leading total quality A consistent total quality culture Timely recognition and appreciation of the effects and successes of individuals and teams Support of total quality by provision of appropriate resources and assistance Involvement with customers and suppliers Active promotion of total quality outside the organization How policy and strategy are based on the concept of total quality How policy and strategy are formed on the basis of information that is relevant to total quality How policy and strategy are the basis of business plans How policy and strategy are communicated How policy and strategy are regularly reviewed and improved 15
People management Resources Processes How continuous improvement in people management is accomplished How the skills and capabilities of the people are preserved and developed through recruitment, training and career progression How people and teams agree targets and continuously review performance How the involvement of everyone in continuous improvement is promoted and people are empowered to take appropriate action How effective top-down and bottom-up communication is achieved Financial resources Information resources Material resources and fixed assets The application of technology How processes critical to the success of the business are identified How the organization systematically manages its processes How process performance measurements, along with all relevant feedback are used to review processes and to set targets for improvement How the organization implements process changes and evaluates the benefits 2.7.3 Deming application prize The Deming Prize was established by the Board of Directors of the Japanese Union of Scientists and Engineers in 1951. Its primary purpose was to spread the quality management by recognizing performance improvements issuing from the successful implementation of company-wide or total quality control based on statistical quality control techniques. The Deming Prize proved to be an effective instrument for spreading quality management methods throughout the Japanese industries. There are ten primary elements in the Deming Application Prize. There is also a checklist which is used to evaluate the performance of senior executives. This checklist emphasizes the importance of top management s active participation in quality management activities and understanding of the main requirements of quality improvement programs. Also, the checklist provides the senior executives with a list of what they need to do. The primary elements in the Deming Application Prize and the checklist used to evaluate senior executives are listed below. 16
(a) Policies (b) The organization and its operations (c) Education and dissemination (d) Information gathering, communication and its utilization (e) Analysis (f) Standardization (g) Control/management (h) Quality assurance (i) Effects (j) Future plans The primary elements in the checklist used to evaluate the performance of senior executives are as follows: (a) Understanding and enthusiasm (b) Policies, objectives and targets (c) The organization, systems and human resources (d) Education, dissemination and thorough implementation (e) Implementation (f) Future policies, plans and measures 2.8 Critical success factors of TQM implementation From an extensive review of TQM literature from quality gurus, quality award models, other quality management research and study of local construction industry. The success factors of TQM implementation on construction projects included the following main factors. 2.8.1 Leadership Top management leadership is one of the most important factors to implementing TQM in construction industry. Leadership, considered as the most influential TQM element, affects in the other elements of the organization. The degree of visibility and support that management takes in implementing a total quality management is critical to the success of TQM implementation. To implement TQM in the organization successfully, top management has to believe in it - be committed to it and to demonstrate the belief - the commitment to it. The foundation of an effective total quality management effort is commitment. 17
Many research discuss the leadership success factors such as ( Zhang, 2001); (Antony et al, 2002); (Jung and Wang 2006); (Hides et al, 2000); (Chow and Lui,2001); and (Sarros et al, 2006). The important factors as in these researches are: Top management commitment Middle management and employees commitment Ability of top management to identify the responsibilities for quality performance Ability to distribute the responsibilities for quality on the department heads Attached to quality by the top management in relation to cost and schedule objectives Involvement with customers and suppliers Support of total quality in organization culture Involvement in total quality objective task definition, budgeting, and measurement Develop a long-term vision strong character of leaders such as (humility, courage, integrity, compassion, humour, passion, and wisdom) 2.8.2 Resource management Resource management is a range of TQM strategies, processes, and activities designed to support corporate objectives by integrating the needs of the customers, the organization, and the individuals working in the organization. Both (Bryde and Robinson, 2007) and (Abu-Hamatteh et al, 2003) defined the resource development and management as the one of the important factors to implementing the TQM. This factor include sub factors focuses on having and implementing a clear methodology to plan, develop, enhance, and review the resources (e.g., human, information, financial, materials and technological) needed to succeed. Resource management Human resources Information resources Financial resources Material resources Technological resources 18
a) Human resources Methodology for collecting and analyzing information Welfare program Training needs and evaluating Incentives system b) Information resources Information system Program for specifying the needs for information system Information system covering most of the duties c) Financial resources Methodology of preparing budget Plans to increase income, cut down on expenditure Corrective action to control project cost Meet the budget d) Material resources Specifying the required material Storage system System for the best use of material resources e) Technological resources Specifying the need for new technologies Transferring technology and to focusing on research and development System for the best use of technology Corrective action to improve the technical requirements control 2.8.3 Strategies and plan Quality Strategies and Plans are activities that establish the objectives and requirements for implementing TQM. The plans should be made in such a way that they can be implemented in practice, and should focus on eliminating the major problem areas. When quality plans are drawn up, how to implement them should be well developed. They are useless if they cannot be implemented in practice. All international model such as Deming; Juran; and EQA model focused on this factor because of its importance (Zhang, 2001). 19
Quality planning includes: Establishing strategic base on the concept of total quality management Establishing strategic base on information relevant to total quality Identifying the goals Identifying the organization mission and vision Identifying customers and their need Analysis of internal and external environment Control and improve of plans Communication strategies 2.8.4 Process management This factor focuses on the extent of the company s commitment in setting and implementing a comprehensive methodology to plan, execute, and develop work systems for all activities within the company. This factor also focuses on promoting excellent policies, procedures, documents and organizational methods. This factor focuses on the organizational structure within the company, and the pursuit of maximum efficiency of coordination between all levels. It points out the importance of having a comprehensive methodology in running the customers affairs and requirements (Abu-Hamatteh et al, 2003). Abu-Hamatteh (2003) suggests the following three main factors under process management and each of the main contains number of sub factors. Process management Quality Process system Customer Relation management Coordination and structure On the other hand Abdul-Aziz (2002); and (Tan and Lu, 1995) identify a number of sub factors under the process management main factors. a) Quality process system Achieve project s mission Conformance to codes and standards Conformance to owner s requirements 20
Time focus Conformance to control Conformance to safety process Conformance to design processes and procedures Engineering drawings based on local standard. Conformance to documentation Conformance to calculation standards b) Customer relationship management Methodology for collection and analyzing information System to specify needs System for suggestions and complaints c) Coordination and structure Methodology for setting and improving the organization structure Mechanism of coordination between different project parties and levels Mechanism for ensuring coordination Methodology for authority delegation Job description 2.8.5 Customer satisfaction Customer satisfaction is one of the most important key elements in TQM, an approach that emphasizes overall satisfaction through the continuous improvement of products. Construction companies are adopting TQM to improve their performance. However, construction is different from other industries in implementing TQM because of its inability to accurately determine customer requirements. In order to achieve customer satisfaction in construction, the customer must be identified. A customer may be defined as the owner of the project. In simple terms, the customer is the buyer of the product or service. The wider perspective on the customer includes: the cocontractors and partners, project director, project team members, contractors and subcontractors, vendors and suppliers, users of the product and services and society (Taylorand Wright, 2003). 21
Karna, (2004) and (Bryde and Robinson 2007) defined the factors that achieve customer satisfaction in construction as the follow: The contractor s abilities to cooperate and the skills of the contractor s workers and supervisors Measure overall customer satisfaction Response time for customer requests Achieve the plane Continuity and future work with same customer 2.8.6 Training and education Education and training form a vital part of TQM. Education and training are one of the key elements of total quality in which many people are involved, so the success of the implementation depends directly on how well they have been done. Many research results reveal that education and training are one of the most important elements in a successful implementation of total quality management. The research confirms what most organizations already realize, namely, that education and training are an integral and essential part of the TQM initiative Zhang (2001). In 2002 Antony et al, identify the following education and training important elements which would lead to successful implementation of total quality management. Develop team work between employees Training given to managers, supervisors and employees related to quality Training in the total quality concept Employees receive training in specific skills (technical and vocational) Training in statistical improvement techniques Availability of resources for employee training in the company Training in interactive skills such as communication skills, meeting skills, and leadership skills Training in problem identification and solving skills, quality improvement skills 22
2.8.7 Continuous improvement Continuous improvement is one of the most important key elements in TQM. Continuous improvement is adopting TQM to improve their performance. Continuous improvement would yield excellence in plan, design, construction and create a teamwork spirit in construction. (Antony et al, 2002) and (Pheng and Ke-Wei 1996) defined the following keys to achieve the continuous improvement in the construction process: Searching for root causes when diagnosing the system malfunction Benchmarking to improve a systems or subsystems and implement/monitor programs working smoothly in teams Gradual future change Regular evaluation for the operating system The quality of data used to evaluate supervisor and managerial performance 2.8.8 Communication The communication process at industry level must improve to create a shared vision for the necessity of implementing the TQM principle and improving the construction processes. The purpose of the communication is not to impose a rigid system from the top, but to prepare the environment for implementing the TQM with support and guidance. Antony et al, (2002) and (Oakland and Aldridge, 1995) defined the factors that achieve good communication in construction as follows: Good communications between different departments Quality techniques/tools to solve problems Effective top-down and bottom-up communication Formal feedback Feedback on quality issues 2.9 Conclusion From an extensive review of TQM literature, the main group of success factors of TQM implementation on construction projects included the following. 1. Leadership 2. Quality planning 3. Resource management 4. Process management 23
5. Customer satisfaction 6. Training and education 7. Continuous improvement 8. Communication There are number of sub factors under each main group. However the resource management main group contains five sub-groups (human, information, financial, materials and technological), on the other hand process management main group contains three sub-groups (quality process system, customer relationship management, and coordination and structure), and each sub group contain a number of sub factors. The relative important index for these factors will be determine to provide the guidelines to implementing total quality management and study the degree of consistency in terms of perceptions of quality between the construction team. 24
Chapter 3 Methodology This chapter describes the methodology used in this research. It includes research strategy and design, sample size, questionnaire design, validity content, pilot study, and reliability. It also describes the approach of data collection and data analysis. 3.1 Research procedures As shown in Fig. 3.1 the first phase of the thesis -after topic selection- was identified and defined the problem and the objectives study of this research to develop a research proposal and plan. The second phase of the research included a summary of a comprehensive literature review to determine the success factors of TQM implementation. The third phase of the research includes a field survey which was conducted with expert. The forth phase of the research focused on design of the questionnaire through distributing it to a group of experts and a pilot study was made to test the wording of the questions, identify ambiguous questions, test the techniques used to collect data. Furthermore, pilot study was an opportunity for improving the questionnaire, filling in gaps and determining the time required for completing the questionnaire. In addition, it was important to ensure that all information received from contractors, consultant, and owners was useful to achieve the research objective. The questionnaire was modified based on the results of the pilot study. The fifth phase of the research focused on distributing questionnaire. A structured questionnaire was used in this research which is the most widely used data collection technique for conducting surveys. The sixth phase of the research was data analysis and discussion. Then a model was developed to assess an organization s present strengths and weaknesses with regard to its use of quality management methods. The final phase includes the conclusions and recommendations. 25
Fig. 3.1: The methodology flow chart 3.2 Research population Three targets of population were considered in this study. The first target populations include the contractors who have a valid registration at the Contractors Union in the Gaza Strip on November 2007. The selected contractors are classified under the first and second classes in the following fields: building, roads, water and sewage. This target group was 56 contractors companies. Contractors that are registered under the third, fourth, and fifth classes were neglected due to the limited practical and administrative experience of their companies in the critical success factors of TQM implementation. The second target is the consulting engineering offices, which were registered by the engineering association in Gaza Strip at year 2007. All the consulting engineering used in this study 17 Consulting Offices, which have a valid registration in the following fields: building, roads, project management, water, and sewage. The third target group was the owners' agencies consisting of government agencies, ministries, municipalities class A and B. This target group was 25 owners 26
3.3 Sample size The sample size was chosen according to first, second, and third population (contractor, consultant, and owner). The formulas 3.1 and 3.2 shown below were used for unlimited population (Creative Research System, 2008). m = Z ² P (1 - P) (3.1) ε 2 n = m/ (1+ m-1) (3.2) N Where m = sample size n = correction for limited population N= population Z = value related to the confidence level (e.g. 1.96 for 95% confidence level) P = degree of variance between the elements of population (0.5) ε = maximum error (0.05) m = (1.96) ² 0.5 (1 0.5) = 385 (0.05)2 n = m/ (1+ m-1) = 385/ (1+ 385-1) = 78 N 98 3.4 Sample selection The samples were selected randomly from the three populations. The contracting companies consist of two classes. Due to this formation, the stratified random sampling was used to identify the number of organization needed for each population as shown in Table (3.1). Table 3.1: Sample size for each organization Type of organization No. needed from No. of Percent, related to the sample Organization the total size(78) Contractor First 40 42*98/100=41% 78*0.41=32 Second 16 16*98/100=16% 78*0.16=13 Consultant 17 17*98/100=17% 78*0.17=13 Owner 25 25*98/100=25% 78*0.25=20 Total 98 100% 78 27
3.5 Questionnaire design The questionnaire was design base on an extensive review of TQM literature from quality gurus, quality award models, other quality management research, and study of local construction industry and together with input, revision and modifications by local experts. The success factors of TQM implementation on construction projects were divided into 8 main groups: leadership, quality planning, resource management, process management, customer satisfaction, training and education, continuous improvement, and communication. Quantitative research is selected to determine the critical success factors of TQM implementation because of its advantages such as, economy, and time saving. Quantitative research is used for descriptive and analytical surveys in order to find out facts, opinions and views (Naoum, 1998), enhancing confidentiality, supporting internal and external validity, and facilitating analysis (Pilot et al, 1985). The questionnaire was built mainly using closed questions, and it was divided into three sections as the follow Section one: Organization profile, which include 7 items Section two: Sub success factors of TQM implementation on construction projects in Gaza Strip, which include 8 main groups. Section three: Main factors of TQM implementation on construction projects in Gaza Strip, which include 81 sub factors. The questionnaire was developed in both English and Arabic language as shown in Appendix (A), to be understood by all respondents and to help in documenting this research. Close-ended questionnaire was used for its advantages as it is easy to ask and quick to answer, they require no writing by either respondents or interviewer, the respondents were asked to use Likert scale to rank the importance of each items as shown in Table 3.2. Table 3.2: Likert scale Item Very important Important Medium importance low importance Very low importance Scale 5 4 3 2 1 28
A questionnaires survey were conducted to determine the opinion of contractors, consultants, and owners regarding the success factors of TQM implementation; 56 questionnaires were delivered to contractor companies (40 for the first class, and 16 for the second class), 17 questionnaires to consultant offices and 25 questionnaires to owners. 3.6 Pilot study A pilot study was made to test the word of the questions, identify ambiguous questions, test the techniques which used to collect data and measure the effectiveness of standard invitation to respondents. Furthermore, pilot study was used to improve the questionnaire, filling in gaps and determining the time required for completing the questionnaire. In addition, it was important to ensure that all information received from contractors, consultant, and owners was useful to achieve the research objective. Twenty questionnaires were distributed for piloting in the three populations. The piloting process was conducted through interviewing the concerned managers about the questionnaire and they were briefed about the inclusion of the data and the objectives of conducting study. 3.7 Empirical study 3.7.1 Validity of questionnaire Validity refers to the degree to which an instrument measures what it is supposed to be measuring (Pilot et al, 1985). Validity has a number of different aspects and assessment approaches. Statistical validity is used to evaluate instrument validity, which include criterion-related validity and construct validity. To ensure the validity of the questionnaire, two statistical tests were applied: a) Criterion related validity Criterion-related is validity test (Spearman test) which measures the correlation coefficient between each paragraph in one field and the whole field. This test measures the internal consistency of the questionnaire by a scouting sample, which consisted of 20 questionnaires through measuring the correlation coefficients between each paragraph in one field and the whole filed. 29
b) Structure validity of the questionnaire Structure validity is the second statistical test that is used to test the validity of the questionnaire structure by testing the validity of each field and the validity of the whole questionnaire. It measures the correlation coefficient between one field and all the fields of the questionnaire that have the same level of Likert scale. 3.7.2 Validity test P-value (Sig.) was used to measure the validity of the questionnaire between each field and the mean of all fields of the questionnaire. Table 3.3 clarifies the correlation coefficient for each item of the leadership and the total of the field by a scouting sample. The p-values (Sig.) are less than 0.01 or 0.05, so the correlation coefficients of this field are significant at α = 0.01 or 0.05. So it can be said that the paragraphs of this field are consistent and valid to be measured. Note: The p-values (Sig.) are less than 0.01 or 0.05 for all the factors as shown in Appendix (B). Table 3.3: Correlation coefficient of each item of Leadership and the total of this field No. Item Spearman P-Value Correlation (Sig.) Coefficient 1. Top management commitment to TQM 0.416 0.000** 2. Middle management and employees commitment 0.345 0.001** 3. Ability of top management to identify the responsibilities for quality performance 0.538 0.000** 4. Ability to assign the responsibilities for quality on the department heads 0.638 0.000** 5. Attached to quality by the top management in relation to cost and schedule objectives 0.383 0.000** 6. Involvement with customers and suppliers 0.395 0.000** 7. Support of TQM by provision of appropriate resources and assistance 0.436 0.000** 8. Active promotion of TQM outside the organization 0.415 0.000** 9. Support of total quality in organization culture 0.557 0.000** 10. Involvement in total quality objective task definition, budgeting, and measurement 0.502 0.000** 11. Development of long-term vision 0.451 0.000** 12. Strong character of leaders 0.193 0.045* ** Correlation is significant at the 0.01 level * Correlation is significant at the 0.05 level 30
3.7.3 Reliability of the research The reliability of an instrument is the degree of consistency, which measures the attribute, it is supposed to be measuring (Polit et al, 1985). The less variation in an instrument produces in repeated measurements of an attribute, the higher its reliability. Reliability can be equated with the stability, consistency, or dependability of a measuring tool. The test is repeated to the same sample of people on two occasions and then compares the scores obtained by computing a reliability coefficient (Polit et al, 1985). 3.7.4 Reliability test Cronbach's Alpha was used to measure reliability of the questionnaire between each field of the questionnaire and the entire questionnaire. Table (3.4) shows the values of Cronbach's Alpha for the fields, values of Cronbach's Alpha were in the range from 0.548 and 0.877. This range is considered high; the result ensures the reliability of each field of the questionnaire. Cronbach's Alpha equals 0.934 for the entire questionnaire, which indicates an excellent reliability of the entire questionnaire. Thereby, the questionnaire was valid, reliable, and ready for distribution for the population sample. Table 3.4: Cronbach's Alpha for each field of the questionnaire and the entire questionnaire No. Field Cronbach's Alpha 1. Leadership 0.769 2. Human Resources 0.736 3. Information Resources 0.683 4. Financial Resources 0.548 5. Material Resources 0.728 6. Technological Resources 0.821 7. Resource Management 0.846 8. Quality Strategy and Plan 0.783 9. Quality Process System 0.827 10. Customer Relationship Management 0.740 11. Coordination and Structure 0.725 12. Process Management 0.877 13. Customer Satisfaction 0.843 14. Training and Education 0.875 15. Continuous Improvement 0.835 16. Communication 0.876 17. Total Quality Management 0.826 Total 0.934 31
3.8 Data collection To ensure obtaining a complete and meaningful response to the questionnaire an interview was conducted with each respondent to explain the objective of the study. Details of the respondents who agreed to cooperate in filling the questionnaire are shown in Table 3.5. Table 3.5: Number of the questionnaire respondents. Type of organization Concerned Sample Size No. Respondent Percentage Contractor First 39 32 82% Second 16 13 81% Consultant 15 13 87% Owner 22 20 91% Total 94 78 Average= 82% 3.9 Statistical analysis tools Qualitative and quantitative data analysis methods were used to analyze the data. Data analysis was made using (SPSS 15). Factor Analysis was performed to allow finding a small number of underlying dimensions from among a large number of variables, and the following statistical tools: 3.9.1 Cronbach's alpha Cronbach's alpha (George and Mallery 2003) is designed as a measure of internal consistency in order to ensure all items within the instrument measure the same thing. Alpha typically varies between 0 and 1. The closer Alpha to 1, is the greater the internal consistency of items in the instrument being assumed. Make use of the items (variables), k, in the scale and the average of the inter-item correlations, r kr α= (3.3) 1 + k 1 r ( ) As the number of items (variables) in the scale (k) increases the value α becomes large and if the inter correlation between items is large, the corresponding α will also be large. The most identical values of alpha and standardized alpha indicate that the mean and variances in the original scales do not differ much, and thus standardization does not make a great difference in alpha. 32
3.9.2 The relative importance index The Relative Importance Index RII methods are used to determine the ranks of all TQM factors. The relative importance index is computed as (Iyer and Jha, 2005): where: RII = A W N (3.4) W is the weight given to each factor by the respondents (ranging from 1 to 5) A = the highest weight (i.e. 5 in this case) N = the total number of respondents The RII value had a range from 0 to 1 (0 not inclusive), higher the value of RII, more important was the cause or effect. 3.9.3 Spearman rank correlation coefficient Spearman rank correlation coefficient was used to determine whether there is evidence of a linear relationship between two ordinal variables. The sample spearman correlation coefficient is denoted r s and is given by: = n 2 i i= 1 ( ) 6 d rs 1 n n 2 1 (3.5) r s = Spearman s rank correlation coefficient d = the difference in ranking between the usage and effectiveness of factors n = the number of factors To test the hypothesis to verify the association between two variables, the following equation is used (Saleh, 2001): t = r n 2 s 2 1 rs (3.6) 33
3.9.4 Degree of agreement/disagreement among raters To test the degree of agreement/disagreement between contractors and consultants regarding the ranking of key TQM implementation indicators is used. To determine whether there is a significant degree of agreement among the three groups (Owners, Contractors and Consultants) Kendall's Coefficient of Concordance is used as a measure of agreement among raters. For each variable, the sum of ranks is computed. Kendall's W, is ranges between 0 (no agreement) and 1 (complete agreement). To determine whether there is degree of agreement among the levels of each of the factors affecting the TQM implementation of construction projects for Owners, Contractors and Consultants. Kendall's Coefficient of Concordance says the degree of agreement on a zero to one scale is W Where: 2 ( ) ( ) 12U 3 m n n 1 = 2 m n n 1 = m n U = RI j = 1 i 1 n = number of factors; m = number of groups; i=the groups 1,2,.m; j = the factors 1,2,,n. 2 (3.7) (3.8) 34
Chapter 4 Analysis and Discussion In this chapter, the results of the field survey are analyzed and discussed. The Chapter illustrates and discusses the characteristics of the study population and the need to identify the critical success factors of TQM implementation on construction projects in Gaza Strip. Descriptive statistics and inferential statistics methods were used to analysis the data. 4.1 Study population The general characteristics of the study population were investigated including the type of organization, years of experience in the construction field, full time employees, companies classification, respondent position, projects executed, construction dollar value. This section will discuss and analyze the first part of the questionnaire which consists of seven questions that focus on the organization profile. 4.1.1 Type of organization The type of organization was the first question in this section. This question identifies the percentage of each type of organization (owner, contractor and consultant) related to the overall respondents. Fig. 4.1 shows that 57% of the respondents are contractors, 26% are owners, while 17% are consultants Consultant 17% Owner 26% Owner Contractor Consultant Contractor 57% Fig. 4.1: Distribution of organization based on type 35
4.1.2 Years of experience Based on the experience of the organization, three categories were defined as: more than 10 years of experience, between 5 to 10 years of experience, and less than five years of experience. Fig. 4.2 shows that 90% of the respondents have more than 10 years of experience in the construction field, and only 10% have between 5 and 10 years of experience, while none of the respondents has less than 5 years of experience. This result is logical, since the organizations that have been targeted are that of higher classification, and broad experience 1-5 years 0% 5-10 years 10% More than 10 years 90% 1-5 years 5-10 years More than 10 years Fig. 4.2: Percentage of respondents related to experience years 4.1.3 Full time employees Part of the questionnaire refers to the number of full time workers in the organization. Fig. 4.3 shows that the mean numbers of full time employees are 42 in the owners' organizations, 23 in the contractors' organizations, and 22 in the consultants' organization. According to the results above the owner's organization has the largest number of staff. 36
Mean number of the full time employees 45.00 40.00 35.00 30.00 25.00 20.00 15.00 10.00 5.00 0.00 42 23 22 Owner Contractor Consultant Type of organization Fig. 4.3: Number of full time employees vs type of organization 4.1.4 Companies classification This question refers to the percentage of respondents of construction companies according to the Contractors Union in Gaza Strip classification. Fig. 4.4 shows that 72% of contractor's organizations under study are classified as first class and only 28% are classified as second class. Fig. 4.4: The percentage of respondent according to the classification 37
4.1.5 Respondent position Respondents were classified based on their position in their organization. Fig. 4.5 shows that 33% of the owners respondents are managers, 11% are vice managers, and 56% are project managers, on the other hand, Fig. 4.5 shows that 49% of the contractors respondents are managers, 11% are vice managers, 36% are project managers, and 4% are site engineers, while, Fig. 4.5 shows that 67% of the owners respondents are managers, 8% are vice managers, and 25% are project managers. The results show that the highest level of respondents holds positions of project manager in the owners' organization, and manager in the contractors' and consultants' organizations. Percentage 70% 60% 50% 40% 30% 20% 10% 0% 67% 56% 49% 33% 36% 25% 11% 11% 8% 4% 0% 0% Owner Contractor Consultant Type of organization Manager Vice Manager Project Manager Site Engineer Fig. 4.5: Respondent position vs type of organization 4.1.6 Projects executed The results in this part reflect the number of projects executed between 1998 to 2008. Fig. 4.6 shows that 20% of the respondent's organizations executed between 11 and 20 projects during this period, 42% executed between 20 and 30 projects, and 38% of these organizations executed more than 30 projects. 38
11 to 20 projects 20% More than 30 projects 38% 11 to 20 projects 21 to 30 projects More than 30 projects 21 to 30 projects 42% Fig. 4.6: Number of projects executed between 1998 to 2008 4.1.7 Construction dollar value This question in part one of the questionnaire refers to the dollar value of construction projects performed between 1998 to 2008. Fig. 4.7 shows that the dollar value 4% of the projects implemented during this period have a dolar value between 2 and 5 million dollars, 48% between 5 to 10 million dollars, and 48% with more than 10 million dollars. 4% 2 to 5 million dollars 48% 5 to 10 million dollars More than 10 million dollars 48% Fig. 4.7: The dollar value of construction projects performed between 1998 to 2008 39
4.2 Sub success factors of TQM implementation Part two of the questionnaire contains sub success factors under eight groups of main critical success factors of total quality management implementation in construction projects in Gaza Strip. 4.2.1 Leadership Table 4.1 show that under the group of leadership sub-factors, the top management commitment to total quality management is the most important factor related to the other factors. It ranked as first according to the overall opinion of respondents, contractors, and consultants with a relative importance index of 0.918, 0.928, and 0.883 respectively and ranked as second position according to owners' opinion. Top management commitment to total quality management is a critical success factor for TQM implementation. The respondents who answered the questionnaire believed that if it is clearly visible that top management was committed, this will leads to TQM implementation. This result is supported by (Chow and Lui,2001) and (Baidoun, 2004). They identified that top management commitment is critical to the success of the transition to implementing TQM. The overall and contractor respondents ranked strong character of leaders as the second most important factor under the group of leadership. On the other hand, strong character of leaders ranked first according to the opinion of owners and consultants. The relative importance indexes of this factor are 0.905, 0.937, 0.906, and 0.883 according to the overall respondents, owners, contractors, and consultants opinions, respectively. Leaders with character are essential blocks in building to effective TQM implementation in construction projects. A leader's character can be a key source of influence in the development of a TQM concept in organizational culture. It is therefore essential that leaders be aware of their character dimensions, their strengths and weaknesses. For instance, as a component of character, integrity occurs when a leader aligns deeds with words and thereby reinforces followers' views of his or her leadership approach, asserts that leader integrity helps prevent unethical acts by the organization and its workers and customers. This result is supported by a research made in Australia (Sarros et al, 2006). Results indicate that respondents recognized that the characters of a leader attributes as important facets of good management. 40
Middle management and employees commitment was ranked by the overall respondents in the third position under the leadership group with a relative importance index value 0.867, it ranked in the third position according to opinion of owner, and consultant, while it ranked as the fourth position according to the opinion of contractors. The relative importance indexes of this factor are 0.874, 0.868, and 0.850 according to the owners, contractors, and consultants opinions respectively. The middle management commitment is also a critical success factor for TQM implementation. The respondents believe that this factor is close to the top management commitment. The commitment of middle management will assist top management and lead to the TQM implementation. Results are consistent with the results of similar research conducted in the West Bank by (Baidoun, 2004). Baidoun identified middle management and employees commitment is critical to the success of the transition to implementing TQM. The overall respondents ranked "attached to quality by the top management in relation to cost and schedule objectives" as the fourth important factor under the group of leadership. It ranked fourth according to the overall respondents, while it ranked third in the opinion of contractors and fifth and sixth position in the consultants and owners opinions respectively, the relative importance index of this factor is 0.838, 0.768, 0.872, and 0.817 according to the overall respondents, owners, contractors, and consultants opinions. Traditionally, construction performance was evaluated in terms of the iron/golden triangle, which refers to meeting cost, schedule, environment, and safety related criteria. The iron/golden triangle is still regarded as applicable for measuring construction performance. Construction management researchers have explored the factors that influence cost, time and qualityrelated criteria that make up the iron/golden triangle. Links between TQM and the iron/golden triangle have also been explored. (Bryde and Robinson, 2007) considered the impact of the iron/golden triangle in the TQM implementation in UK. The results in Gaza were supported by Bryde results. This is logical especially due to the difficult conditions in Gaza that directly affect the schedule and cost of the project. The ability to assign responsibilities of quality to the department heads and to identify the responsibilities for quality performance are ranked in the 5 th and 6 th positions with relatively high relative importance indexes. The results for both of these two factors are consistent with (Antony et al, 2002) results in Hong Kong. In addition, involvement with customers and suppliers factor is ranked in the 7 th position with relatively high means and relative importance indexes. Although the consultant 41
ranked this factor in 11 th position the relative importance index for overall respondents are very close. This factor is success factor in the European Quality Award model. Although the support of total quality in organization culture, involvement in total quality objective task definition, budgeting, and measurement, and development of a long-term vision and active promotion of total quality outside the organization emerged as factors with low means related to the factors in the leadership. They have high relative importance index. However the 'support of total quality in organization culture is ranked in the sixth position in the owners opinion because the owners organizations are large organization and follow government policy which causes difficulty in change. This is supported by research made in the USA by (Jung and Wang, 2006) which identifies this factor as an important factor in TQM implementation. Development of a long-term vision is ranked in the sixth position in the consultants' opinion. This is because the interest of consultants is in the factors which are associated with planning and this is consistent with the result of the research conducted in the Hong Kong by (Chow and Lui,2001). Table 4.1: Leadership sub-factors according to overall respondents opinions Main factor Leadership Item Top management commitment to total quality management Strong character of leaders such as (humility; courage; integrity; compassion; humour; passion; and wisdom) Middle management and employees commitment Attached to quality by the top management in relation to cost and schedule objectives Ability to assign the responsibilities for quality on the department heads Ability of top management to identify the responsibilities for quality performance Overall Owner Contractor Consultant respondent RII R RII R RII R RII R 0.918 1 0.916 2 0.928 1 0.883 1 0.905 2 0.937 1 0.906 2 0.883 1 0.867 3 0.874 3 0.868 4 0.850 3 0.838 4 0.768 6 0.872 3 0.817 5 0.821 5 0.768 6 0.826 5 0.850 3 0.800 6 0.821 4 0.791 8 0.800 6 Involvement with customers and suppliers 0.787 7 0.779 5 0.800 6 0.750 11 42
Leadership Support of total quality by provision of appropriate resources and assistance Support of total quality in organization culture Involvement in TQM objective task definition, budgeting, and measurement Development of a longterm vision Active promotion of total quality outside the organization 0.777 8 0.716 10 0.796 7 0.800 6 0.767 9 0.768 6 0.766 10 0.767 10 0.762 10 0.695 11 0.783 9 0.783 9 0.756 11 0.747 9 0.749 11 0.800 6 0.623 12 0.632 12 0.600 12 0.700 12 Leadership 0.802 0.785 0.807 0.807 4.2.2 Resource management Resource management includes several sub-factors such as human, information, financial, materials and technological resources. The results of these sub factors are shown in these sections. a) Human resources Table 4.2 shows that five sub factors under the human resource sub group were placed in descending order according to their importance according to the overall respondents and owners opinions as follows: Incentives system, methodology for gathering and analyzing information, training needs and evaluation, suggestions and complaints system and welfare program. Results show that incentives system has a high effect on TQM implementation; the relative importance indexes for this factor are 0.805 and 0.874 according to the overall respondents and owners' opinions. This result can be justified since an incentive system has a very good effect on implementing the TQM. It is thus important for managers to understand the incentives that are likely to encourage individual teams to perform more effectively and to provide a fair reward as perceived by the individual or the team. This result is consistent with the result of the research conducted in Jordan by Abu-Hamatteh et al (2003). However, the contractor and consultant ranked the methodology for gathering and analyzing information sub factor as the most important factor under the group of human resources that because accurate gathering and analyzing information will decrease the unforeseen and contingency cost. 43
Regardless of which type of human resource is more effective, it is essential for TQM as it manages all human resource, and gives them a sense of responsibility. Table 4.2: Human resources sub-factors according to the overall respondents' opinion Main factor Human resources Item Overall Owner Contractor Consultant respondent RII R RII R RII R RII R Incentives system 0.805 1 0.874 1 0.791 2 0.750 3 Methodology for gathering and analyzing information 0.797 2 0.800 2 0.800 1 0.783 1 Training needs and evaluating it 0.736 3 0.758 3 0.719 3 0.767 2 Suggestions and complaints system 0.633 4 0.663 4 0.613 4 0.667 4 Welfare program 0.592 5 0.568 5 0.583 5 0.667 4 Human resources 0.802 0.785 0.807 0.807 b) Information resources Table 4.3 shows that factor of information system under the group of information resource is one of the most important factors. It ranked first according to the opinion of overall respondents. The relative importance index of this factor is 0.792, 0.768, 0.796 and 0.817 according to the Overall respondents, owners, contractors, and consultants opinions, respectively. The respondents ranked information system covering most of the duties as the second most important factor under the group of information resources; it ranked in the second position in the opinion of overall respondents. The relative importance index of this factor is 0.736 according to the overall respondents' opinions, and 0.737, 0.728, 0.767 according to owners, contractors and consultants opinions respectively. Regardless of which type is more effective, information resources are essential for TQM as they manage information resources. This result is consistent with the result the research conducted Jordan by Abu-Hamatteh et al. (2003). Program for specifying the needs for information system, this information program needs quality within its functions to ensure the correct information is present and hence, the correct decision can be made. In TQM based organizations, program of information resource provides accurate information which lead to correct decision-making. 44
Table 4.3: Information resources sub-factors according to the overall respondents opinion Main factor Information resources Item Overall Owner Contractor Consultant respondent RII R RII R RII R RII R Information system 0.792 1 0.768 1 0.796 1 0.817 1 Information system covering most of the duties 0.736 2 0.737 2 0.728 2 0.767 2 Program for specifying the needs for information 0.672 3 0.684 3 0.668 3 0.667 3 system Information resources 0.733 0.730 0.730 0.750 c) Financial resources Table 4.4 shows that under the financial resource sub group, the most important factor is plans to increase income, cut down on expenditure which is ranked as first position according to the overall respondent with relative importance indexes 0.885, 0.874, 0.902, and 0.833 according to the overall respondents, owners, contractors, and consultants opinions. The overall respondents ranked 'methodology of preparing budget as the second most important factor under financial resource subgroup, with relative importance indexes 0.800, 0.800, 0.817, and 0.733 according the overall respondents, owners, contractors, and consultants opinions. The result for both of these two factors is supported by the research conducted in Jordan by Abu-Hamatteh et al. (2003). There are two problems in preparing budgets in Gaza, the first problem is the preparing of project budget in Gaza in terms of contingency allowance. The contingency is included in project cost estimates to accommodate unforeseen events and the resulting costs. Realistically, a budget accounting item for contingency allowance should be established whenever a contingency amount is included in the final cost estimate. A second problem in preparing a project budget in Gaza is the treatment of inflation. Typically, final cost estimates are formed in terms of real money and an item reflecting inflation cost are added as a percentage or lump sum. This inflation allowance would then be allocated to individual cost items in relation to the actual expected inflation over the period for which costs will be incurred. Although the 'corrective action to control project cost', and ' meeting the budget' emerged as factors with lowest mean related to the factors in the financial resources, they have high relative importance indexes, The result for both of these two factors is supported by the research conducted in the UK by (Bryde and Robinson, 2007). 45
Corrective actions to control project cost are primarily intended to identify deviations from the project plan. During the actual construction, changes are likely to delay the project and lead to inordinate cost increases. The focus of project and cost control is on fulfilling of the original design plans or indicating deviations from these plans, rather than on searching for significant improvements and cost savings. It is only when a rescue operation is required that major changes will normally occur in the construction plan. Table 4.4: Financial resources sub-factors according to the overall respondents' opinion Main factor Financial resources Item Overall Owner Contractor Consultant respondent RII R RII R RII R RII R Plans to increase income, cut down on expenditure 0.885 1 0.874 1 0.902 1 0.833 1 Methodology of preparing budget 0.800 2 0.800 2 0.817 2 0.733 2 Meeting the budget 0.715 3 0.768 3 0.702 4 0.683 3 Corrective action to control project cost 0.710 4 0.684 4 0.728 3 0.683 3 Financial resources 0.778 0.782 0.787 0.733 d) Material resources Table 4.5 shows that under the material resource sub group, the most important factor is material storage system, with 0.786 relative importance indexes. This is understandable in that work can not be done without the necessary materials. Material storage rated first among success factors of TQM implementation in Gaza Strip and may be justified in Gaza Strip because most of the materials used in construction project are imported from Israeli occupation and in case of any closure of crossing points between Gaza Strip and Israel, work frozen in a large number of construction projects. Specifying the required materials factor will help storage the needed materials. On the other hand, the system for the best selection of material resources will decrease the cost and increase the quality. 46
Table 4.5: Material resources sub-factors according to the overall respondents' opinion Main factor Material resources Item Overall Owner Contractor Consultant respondent RII R RII R RII R RII R Storage system 0.885 1 0.782 1 0.791 1 0.750 1 Specifying the required material 0.800 2 0.779 2 0.796 2 0.750 1 System for the best selection of material 0.715 3 0.779 2 0.791 3 0.717 3 resources Material resources 0.800 0.754 0.796 0.739 e) Technological resources Table 4.6 shows that under the technological resources sub group, the most important factor is specifying the need for new technologies. It ranked first the opinion of overall respondents, with relative importance indexes of 0.733 according to the overall respondents' opinion, 0.705 according to the owners' opinion, 0.736 according to the contractors' opinion, and 0.767 according to the consultants' opinion. The respondents ranked corrective action to improve the technical requirements control as the second most important factor under the group of information resources. Regardless of which factor is more effective, technological resources are essential for TQM implementation. Table 4.6: Technological resources sub factors according to the overall respondents' opinion Main factor Technological resources Item Specifying the need for new technologies Corrective action to improve the technical requirements control Transferring technology and focusing on research and development System for the best use of technology Overall Owner Contractor Consultant respondent RII R RII R RII R RII R 0.733 1 0.705 1 0.736 1 0.767 1 0.628 2 0.663 2 0.609 2 0.650 3 0.621 3 0.644 3 0.604 3 0.650 3 0.610 4 0.611 4 0.596 4 0.667 2 Technological resources 0.648 0.656 0.636 0.683 47
4.2.3 Strategy and plan Table 4.7 shows that under the group of strategic and plan sub-factors, the most important factor is identifying the goals. It ranked first according to the overall respondent, owners, contractors, and consultants. The relative importance indexes of this factor are 0.893, 0.894, 0.894, and 0.891 according to the overall respondent, owners, contractors, and consultants' opinions, respectively. The results indicate that under the group of quality strategy and plan factors, the first six factors can be placed in descending order according to their importance in the overall respondent opinion as follows: identifying the goals, establishing strategic base on the concept of overall quality management, identifying the organization mission and vision, control and improve of plans, analysis of internal and external environment, and establishing strategic base on information relevant to overall quality. The relative importance index for each factor is very close to the others. The relative importance indexes of these six factors ranged between 0.893 for the most important factor and 0.800 for the least important factor, which are very high, indicating the importance of all the factors in TQM implementation. Strategic planning is a critical success factor of TQM implementation on construction projects. Strategic planning is an organization's process of defining its strategy, or direction, and making decisions on allocating its resources to pursue this strategy. Strategic planning is the formal consideration of an organization's goals. In many organizations, this is viewed as a process for determining where an organization is going over the next year or more -typically 3 to 5 years, although some extend their vision to 20 years. Although communication strategies and identifying customers and their needs are the lowest important factors related to strategic and plan sub-factors, they have high relative importance indexes, which mean all factors are very important to implementing TQM in construction projects. Results are supported by a number of other studies such as those conducted by (Zhang, 2001), and by (Abu-Hamatteh et al, 2003) which identify the factors under strategy planning as one of the most important factors that effect in TQM implementation. 48
Table 4.7: Strategy and plan sub-factors according to the overall respondents' opinion Main factor Strategy and plan Item Overall Owner Contractor Consultant respondent RII R RII R RII R RII R Identifying the goals 0.893 1 0.894 1 0.894 1 0.891 1 Establishing strategic base on the concept of total 0.844 2 0.832 2 0.864 2 0.850 2 quality management Identifying the organization mission and 0.838 3 0.800 3 0.843 4 0.833 3 vision Control and improve ment of plans 0.836 4 0.789 4 0.855 3 0.817 5 Analysis of internal and external environment 0.805 5 0.768 5 0.817 6 0.817 4 Establishing strategic base on information relevant to 0.800 6 0.747 6 0.821 5 0.800 6 total quality Communication strategies 0.692 7 0.716 7 0.698 7 0.633 7 Identifying customers and their needs 0.672 8 0.684 8 0.677 8 0.633 7 Strategy and plan 0.796 0.777 0.809 0.778 4.2.4 Process management These factors include sub-factors focusing on quality process systems, customer relationship management, and coordination and structure. a) Quality process system Table 4.8 shows that under the group of quality process system sub-factors time is one of the most important factors. It ranked first according to contractors, and consultants opinions and second according to the owners' opinions. The relative importance indexes of this factor are 0.921, 0.832, 0.962, and 0.900 according to the overall respondent, owners, contractors, and consultants' opinions. This result can be justified because construction performance was measures in terms of the iron/golden triangle, which refers to meeting time, cost, and quality related criteria. The iron/golden triangle is still regard as applicable for measuring construction performance. Construction management researchers have explored the factors that influence the emphasis given to the time, cost, and quality-related criteria that make up the iron/golden triangle, and there have been studies exploring the links between TQM and iron/golden triangle. One of the studies has considered the impact of iron/golden triangle in the TQM 49
implementation in UK (Bryde and Robinson, 2007), the result of this study supports the result in Gaza. The overall respondents and contractors ranked project objectives of as the second important factor under the group of quality process system. On the other hand, it ranked first in the opinion of the owners. The relative importance index of this factor is 0.905 according to the owners' opinion, 0.838 according to the contractors' opinions and 0.833 according to the consultants' opinions. This result is very close to the results under strategy and planning group. However the eight factors which ranked from the third position to the tenth position are very important factors where the relative importance index of the lowest factor under this group is 0.690. This is considered high, due to the difficult economic condition in Gaza. There is a need to focus on the process management factors. The results for these eight factors are supported by a research prepared by Tan and Lu, (1995). Table 4.8: Quality process system sub-factors according to the overall respondent opinion Main factor Quality process system Item Overall Owner Contractor Consultant respondent RII R RII R RII R RII R Time 0.921 1 0.832 2 0.962 1 0.900 1 Project objectives 0.854 2 0.905 1 0.838 2 0.833 5 Conformance to safety process 0.826 3 0.821 3 0.817 3 0.867 2 Conformance to owner's 0.800 4 0.779 4 0.804 4 0.817 6 Conformance to codes and standards 0.782 5 0.747 5 0.779 6 0.850 3 Conformance to control 0.792 5 0.747 5 0.800 5 0.833 4 Conformance to documentation 0.733 7 0.726 7 0.723 7 0.783 8 Conformance to calculation standards 0.700 8 0.716 8 0.689 8 0.717 9 Engineering drawings based on local standard 0.697 9 0.716 8 0.689 9 0.700 10 Conformance to design processes and procedures 0.690 10 0.663 10 0.677 10 0.783 7 Quality process system 0.779 0.765 0.778 0.808 50
b) Customer relationship Table 4.9 shows that under the customer relationship management subgroup, the most important factor is the methodology of gathering and analyzing information. It ranks first in the opinion of overall respondent, owners, contractors, and consultants. The relative importance indexes of this factor are 0.795, 0.758, 0.800, and 0.833 according to the overall respondent. The factor of the customer relationship management is considered as the more effective. However all other factors are essential for TQM implementation. TQM focuses on the integration and co-ordination, as well as on the continuous improvement of all activities and processes. Customer relationship management is a very recent strategy and philosophy. It is focus on concerned with all integrated internal and external activities within and between organizations. TQM can have a major impact upon an organization by improving customer relationships and satisfaction. Table 4.9: Customer relationship sub-factors according to the overall respondent opinion Main factor Customer relationship Item Overall Owner Contractor Consultant respondent RII R RII R RII R RII R Methodology of gathering and analyzing information. 0.795 1 0.758 1 0.800 1 0.833 1 System to specify needs 0.726 2 0.726 2 0.715 2 0.767 2 System for suggestions and complaints 0.659 3 0.674 3 0.643 3 0.700 3 Customer relationship 0.726 0.719 0.719 0.767 c) Coordination and structure Table 4.10 shows that under the group of coordination and structural job description subfactors consider as the one of the most important factors followed by other factors. It ranked first according to the opinion of the overall respondent, contractors, consultants, and owners. The relative importance indexes of this factor are 0.874, 0.821, 0.894, and 0.883 according to the overall respondent, owners, contractors, and consultants opinions, respectively. Employees are unlikely to recognize problems as they occur due to their limited understanding of the overall process and job description. Even when employees recognize problems, they do not have the authority to correct them without management approval. Organizational control processes are hierarchical and involve vertical coordination and communication, and vertical dependency. 51
Regardless of which factor of coordination and structure is more effective, all factors are essential for TQM implementation. This result is supported by the research conducted in Jordan by Abu-Hamatteh et al. (2003). Organizational structure institutionalizes how people interact with each other, how communication flows, and how power relationships are defined. The structure of an organization reflects how job tasks are formally divided, grouped, and coordinated. TQM also requires a move away from vertical lines of coordination and a move toward coordination across departments, organizational levels, functions, product lines, and locations. These open and informal lines of coordination can help solve problems of change resistance and enable the implementation of TQM. Organizations with job description and good coordination are more likely to be effective at implementing TQM. Table 4.10: Coordination and structure sub-factors according to the overall respondent opinion Main factor Coordination and structure Item Overall Owner Contractor Consultant respondent RII R RII R RII R RII R Job description 0.874 1 0.821 1 0.894 1 0.883 1 Mechanism of coordination between different project 0.821 2 0.789 2 0.838 2 0.800 3 parties and levels Methodology for setting and improving the 0.808 3 0.768 5 0.821 3 0.817 2 organization structure Mechanism for ensuring coordination 0.803 4 0.789 3 0.809 4 0.800 3 Methodology for authority delegation 0.779 5 0.779 4 0.791 5 0.733 5 Coordination and structure 0.817 0.789 0.831 0.807 4.2.5 Customer satisfaction Table 4.11 shows that under customer satisfaction sub-factors, achieve the plan is one of the most important factors. It ranked in the first position in the opinion of the overall respondent, contractors, consultants, and owners. This result is consistent with previous output, which refers to the importance of the planning under strategic plan and quality process system groups. A number of studies such as the research conducted by Zhang (2001), and that in Jordan by (Abu-Hamatteh et al, 2003) support this result, which identify the factors under strategy planning as one of the most important factors that effect in TQM implementation. The overall respondents ranked the "contractor's abilities to cooperate and 52
the skills of the contractor's workers and supervisors" as the second most important factor under the group of customer satisfaction, with relative importance indexes of 0.834, 0.889, 0.826 and 0.783 according to the overall respondent, owners, contractors, and consultants' opinions respectively. Result is consistent with the output, which refers to the importance of the cooperation under coordination and structure group and supported by Karnas' study (2004). Although the response time for customer requests was ranked in the third position by owners and contractors opinions. It has the lowest relative importance index in the consultants opinion where the nature of the construction industry in Gaza is different from other industries and the customer in this industry as the consultant is not very interested in the factor of response time for customer requests. This result is different form that stated in the research conducted in the UK by (Bryde and Robinson 2007). Although measuring overall customer satisfaction and customer retention emerged as factors with the lowest mean related to the factors in the customer satisfaction, they have high relative importance indexes, meaning that all factors under customer satisfaction are very important to implementing TQM in construction projects. Table 4.11: Customer satisfaction sub-factors according to the overall respondent opinion Main factor Customer satisfaction Overall respondent Owner Contractor Consultant Item RII R RII R RII R RII R Achieve the plan 0.860 1 0.889 1 0.864 1 0.800 1 The contractor's abilities to cooperate and the skills of the contractor's workers and supervisors 0.834 2 0.889 2 0.826 2 0.783 2 Response time for customer requests 0.735 3 0.789 3 0.736 3 0.650 5 Measure overall customer satisfaction 0.727 4 0.778 4 0.715 4 0.700 3 Customer retention 0.679 5 0.678 5 0.677 5 0.691 4 Customer satisfaction 0.767 0.804 0.763 0.725 4.2.6 Training and education Table 4.12 shows that under the group of training and education factors, the most important factor is "develop team work between employees" to implement the TQM in the construction industry. The different phases of the project obligations demand that training the human resources be brought together to form the semblance of a coherent team. These 53
teams are formed at the different stages of the project, and thus their very nature is constrained by the life-span of the project. While teamwork may lead to the determination of many key issues, it is vital in the management of continual improvement. Effective management of any project requires the formation and development of teamwork. Without teamwork, then conflict situations may be more common or pronounced. With the use of teams, the business will receive quicker and better solutions to problems. Teams also provide more permanent improvements in processes and operations. In teams, people feel more comfortable bringing up problems that may occur, and can get help from other workers to find a solution and put into place. The results show that under group of training and education factors both training in the total quality concept and training given to managers, supervisors and employees related to quality are ranked in the second and third positions and have very close relative importance index. These factors are very important in that they refer to the importance of training workers to understand the meaning of total quality management. Regardless of which factor of training and education is more effective, all factors are essential for TQM implementation. This result is consistent with the result of the research conducted in Hong Kong by Antony et al, (2002). Table 4.12: Training and education sub-factors according to the overall respondent opinion Main factor Training and education Item Develop team work between employees Training in the "total quality concept" Training given to managers, supervisors and employees related to quality Training in interactive skills such as communication skills, meeting skills, and leadership skills Availability of resources for employee training in the company Employees receive training in specific skills (technical and vocational) Overall Owner Contractor Consultant respondent RII R RII R RII R RII R 0.821 1 0.874 1 0.804 1 0.800 2 0.808 2 0.842 2 0.791 3 0.817 1 0.805 3 0.821 3 0.800 2 0.800 2 0.759 4 0.737 5 0.779 4 0.717 4 0.741 5 0.716 6 0.757 5 0.717 4 0.700 6 0.758 4 0.685 6 0.667 7 54
Training in problem identification and solving skills, quality improvement skills Training in statistical improvement techniques 0.649 7 0.663 8 0.643 7 0.650 8 0.636 8 0.674 7 0.609 8 0.683 6 Training and education 0.740 0.761 0.733 0.731 4.2.7 Continuous improvement Table 4.13 shows that under group of continuous improvement factors searching for root causes by diagnosing the system malfunction is one of the most important factors. It ranked first in the opinion of the overall respondents and contractors. While it ranked second in the opinion of owners and consultants. The relative importance indexes of this factor are 0.821, 0.821, 0.821, and 0.817 according to the overall respondents, owners, contractors, and consultants opinions. This result is logical since this factor helps in developing root solutions to the problems of the system in the organization. "working smoothly in teams" is ranked in the second position according to the overall respondents, and it ranked as first in the owners opinion, while the consultants and contractors ranked it in the third and fourth position respectively. The result of both of the above two factors is supported by (Pheng and Ke-Wei 1996) research. Regardless of position of the respondents, the relative importance index of this factor is very close in the different positions. This relative importance index is consistent with previous output, which refers to the importance of the working smoothly in teams under the training and education group. 55
Table 4.13: Continuous improvement sub-factors according to the overall respondent opinion Main factor Continuous improvement Item Searching for root causes when diagnosing the system malfunction Working smoothly in teams The quality of data which use to evaluate supervisor and managerial performance Regular evaluation for the operating system Benchmarking to improve a systems or subsystems and implement/monitor programs Overall Owner Contractor Consultant respondent RII R RII R RII R RII R 0.821 1 0.821 2 0.821 1 0.817 2 0.815 2 0.853 1 0.804 4 0.800 3 0.808 3 0.800 3 0.821 1 0.767 6 0.797 4 0.768 5 0.813 3 0.783 4 0.792 5 0.779 4 0.783 5 0.850 1 Gradual future change 0.762 6 0.726 6 0.770 6 0.783 4 Continuous improvement 0.799 0.791 0.802 0.800 4.2.8 Communication Table 4.14 shows that both good communications between different departments and effective top-down and bottom-up communication factors are ranked in the first and second positions respectively in the overall respondents, owners, contractors, and consultants opinions. Both these factors have very close relative importance indexes. These factors in communication are very important to breaks down barriers between departments. It also allows dealing with all members, customers, and suppliers in a more professional manner. Both formal feedback and feedback on quality issues factors are ranked under the communication in the first and second positions respectively in the overall respondents, owners, contractors, and consultants opinions. Both these factors have very close relative importance indexes. Formal feedback allows the receiver to acknowledge understanding the content of the received message. If the intended communication did not take place, then the sender can use the feedback to diagnose where the communication failed and how to improve the process. Feedback requires the same communication process as original communication, where the receiver becomes the source. As indicated in Table 4.14, many respondents felt that the feedback factor is a very effective way to communicate. 56
The result for this factor is supported by the research conducted in UK by Oakland and Aldridge, (1995), which identify this factor as an important factor in TQM implementation. Table 4.14: Communication sub-factors according to the overall respondents opinion Main factor Communication Item Good communications between different departments Effective top-down and bottom-up communication Overall Owner Contractor Consultant respondent RII R RII R RII R RII R 0.838 1 0.821 1 0.855 1 0.800 1 0.805 2 0.789 2 0.834 2 0.800 1 Formal feedback 0.795 3 0.768 3 0.804 3 0.767 3 Feedback on quality issues 0.784 4 0.747 4 0.796 4 0.750 4 Quality techniques/tools to solve problems 0.705 5 0.705 5 0.694 5 0.750 4 Communication 0.786 0.766 0.797 0.773 4.3 Main success factors of TQM implementation Part three of the questionnaire contains eight main critical success factors of total quality management implementation on construction projects in Gaza Strip. Table 4.15 shows the analysis of the results of the main critical success factors. Table 4.15: Main total quality management factors according to the overall respondents' opinion Overall Main factor Total Quality Management Owner Contractor Consultant Total Quality respondent Management RII R RII R RII R RII R Leadership 0.951 1 0.958 1 0.957 1 0.917 1 Resource management 0.728 7 0.737 7 0.740 6 0.667 7 Strategy and plan 0.913 2 0.911 2 0.922 2 0.883 2 Process management 0.808 4 0.800 4 0.826 4 0.750 4 Customer satisfaction 0.731 6 0.779 5 0.719 8 0.700 6 Training and education 0.718 8 0.737 8 0.736 7 0.617 8 Continuous improvement 0.826 3 0.832 3 0.830 3 0.800 3 Communication 0.774 5 0.747 6 0.796 5 0.733 5 Total Quality Management 0.806 0.811 0.816 0.758 57
4.3.1 Leadership The results show that leadership is the most important factor. It ranked as first position in the opinion of the overall respondents, owners, contractors, and consultants. The relative importance indexes of this factor are 0.951, 0.958, 0.957, and 0.917 according to the overall respondents, owners, contractors, and consultants opinions. Leadership, considered as the most influential TQM element, affects other elements of the organization. The degree of visibility and support that management takes in implementing a total quality management is critical to the success of TQM implementation. This result is consistent with the result of the research prepared in the West Bank by Baidoun (2004). TQM is a way of life for an organization. It has to be introduced and led by top management. This is a key point. Attempts to implement TQM often fail because top management did not commit to implementing TQM. Commitment and personal involvement are required from top management in creating and deploying clear quality values and goals consistent with the objectives of the organization, and in creating and deploying well-defined systems, methods and performance measures for achieving those goals. Leadership in TQM requires the manager to provide an inspiring vision, and make strategic directions that are understand by all to instill values that guide subordinates. For TQM to be successful, the leader must be committed to leading the employees. A leader must understand TQM, believe in it and then demonstrate through their daily practices of TQM. A leader must have strong character including (courage, integrity, compassion, humour, passion, and wisdom), ability to identify the responsibilities for quality performance, ability to assign the responsibilities for quality to the department heads. The leader makes sure that strategies, philosophies, values and goals are transmit down through out the organization to provide focus, clarity and direction. A key point is that TQM has to be introduced and lead by top management. 4.3.2 Resource management The results show that resource management is one of the most important factors that effect in TQM implementation. The relative importance indexes of this factor are 0.728, 0.737, 0.740, and 0.667 according to the overall respondents, owners, contractors, and consultants opinions respectively. Resource management is a range of TQM strategies, processes, and activities designed to support corporate objectives by integrating the needs of the customers, the organization, and the individuals working in the organization. Both (Bryde 58
and Robinson 2007) and Abu-Hamatteh et al (2003) defined the resource development and management as one of the important factors in implementing TQM. 4.3.3 Strategy and plan The results show that the quality strategy and plan factor is one of the most important factors. It ranked in the second position in the opinion of overall respondents, owners, contractors, and consultants. The relative importance indexes of this factor are 0.931, 0.911, 0.922, and 0.883 according to the overall respondents, owners, contractors, and consultants opinion. Results are supported by a number of other studies such as those conducted by Zhang, (2001), and by Abu-Hamatteh et al, (2003). Strategy and plan is one of the most important factors that effect the implementation of TQM, which enable the institutions to carry out their operations and be prepared for the future. Strategy and planning is an important factor for the organization to improve quality management practices. Strategic quality management concepts must be put into practice by the inclusion of quality objectives in the strategic planning process. Planning develops a long-term road map with the incorporation of core competencies concepts and emphasizes the adoption of new technologies. There is no doubt that the implementation of total quality management requires strategy planning, where TQM may take years to be put it in place within an organization but a start could be made with fruitful short-term successes. TQM implementation requires a long period to change the culture. 4.3.4 Process management The results show that process management is one of the most important factors. The relative importance indexes of this factor are 0.808, 0.800, 0.826, and 0.750 according to the overall respondents, owners, contractors, and consultants opinions respectively. A key part of any total quality strategy is the management of processes. Process refers to some unique combinations of machine, tools, methods, materials, and people engaged in production. Process management focuses on the extent of the company s commitment to setting and implementing a comprehensive methodology to plan, execute, and develop work systems for all activities within the company. This factor also focuses on promoting excellent policies, procedures, documents, organizational methods, organizational structure within the company, and the pursuit of maximum efficiency of coordination between all levels. It points out the importance of having a comprehensive methodology in running the customers affairs and requirements. 59
4.3.5 Customer satisfaction The results show that customer satisfaction is one of the most important factors. The relative importance indexes of this factor are 0.718, 0.779, 0.719, and 0.700 according to the overall respondents, owners, contractors, and consultants opinions respectively. TQM recognizes that a perfectly produced product has little value if it is not what the customer wants. Organizations need to continually gather information by means of focus groups, and customer interviews in order to stay in tune with what customers want. Customer focus can be defined as the degree to which an organization continuously satisfies customer needs and expectations. A successful organization recognizes the need to put the customer first in every decision made. The key to quality management is maintaining a close relationship with the customer in order to fully determine the customer s needs, as well as to receive feedback on the extent to which those needs are being met. Customer needs should be satisfied in the design phase and development process, so that there is a less likelihood of quality problems in the construction phase. Obtaining customer satisfaction information is essential for pursuing customer focus efforts. Intensive examination of finished projects from the viewpoint of the customer can be a useful predictor of customer satisfaction. Such information includes data on field failures, and analysis and reporting of customer attitude trends regarding project quality. Such information is valuable for new product development. The results of customer satisfaction surveys can be used to take immediate action on customer complaints, identify problems requiring generic corrective action, and provide a quantitative measurement of customer satisfaction (Juran and Gryna, 1993). Thus, it is very important to find customer satisfaction and perception of quality. The insights gained can clearly help the firm improve quality. 4.3.6 Training and education The results show that the training and education factor is one of the most important factors. The relative importance indices of this factor are 0.718, 0.737, 0.736, and 0.617 according to the overall respondents, owners, contractors, and consultants opinions respectively. Employees, from top to bottom of an organization, should be provided with the right level and standard of education and training to ensure their general awareness and understanding of quality management concepts. A formal program of education and training needs to be planned and provided on a timely and regular basis to enable people to cope with 60
increasingly complex problems. Without training it is difficult to solve problems, and, without education, behavior and attitude change will not take place. The training program must focus on helping managers to achieve improvements. It also has to be recognized that not all employees will have received and acquired adequate levels of education. The structure of the training program may incorporate some updating of basic educational skills innumeracy and literacy, but it must promote continuing education and self-development. Training refers to the acquisition of specific skills or knowledge. Training programs attempt to teach employees how to perform particular activities or a specific job. Education, on the other hand, is much more general, and attempts to provide employees with general knowledge that can be applied in many different settings. Training is one of the most commonly used TQM implementation practices. Organizations that implement TQM invest heavily in training for employees at different levels. Deming spoke often of the importance of properly training workers in performing their work. Otherwise, it is difficult to improve their work. 4.3.7 Continuous improvement The results show that the continuous improvement factor is one of the most important factors. It ranked in the third position in the opinion of overall respondents, owners, contractors, and consultants. The relative importance indexes of this factor are 0.826, 0.832, 0.830, and 0.800 according to the overall respondents, owners, contractors, and consultants opinion. Continuous improvement of all operations and activities is at the heart of TQM. Once it is recognizes that TQM implementation can only be obtained by satisfying continuous improvement in the organization. As a result, there is a focus on continuous improvement of the organization's processes. This will lead to an improvement in TQM implementation. Traditional systems operated on the assumption that once an organization has achieved a certain level of quality, it was successful and needed no further improvements. Continuous improvement requires that the organization continually strive to be better through learning and problem solving. Because the organization can never achieve perfection, the organization must always evaluate its performance and take measures to improve it. 61
4.3.8 Communication The results show that the communication factor is one of the most important factors. The relative indices of this factor are 0.774, 0.747, 0.796, and 0.733 according to the overall respondents, owners, contractors, and consultants opinions respectively. The communication process is perhaps the vital link between success and failure of any good idea or innovation in which the human factor plays a critical role. It is the most important element in the quality revolution, as it addresses the very issue of changing people s mindsets. The purpose of the communication is not to impose a rigid system from the top, but to prepare the environment for implementing the TQM with support and guidance. Effective communication process has the ability to form the construction organization into a coherent capable of learning and continuous improvement. The communication process at projects level must attempt to create a shared vision for the necessity to embrace TQM principles and improve the construction processes, that is, to prepare the rank and file for cultural changes. It must be honest and positive, convincing people that their future will be better served if they implement the TQM. This result is supported by a number of studies such as the research conducted in UK by Oakland and Aldridge, (1995). 4.4 Degree of agreement among the different types of organizations To determine whether there is a degree of agreement in the levels of each of the factors affecting the total quality implementation among each of the owners, contractors and consultants Kendall's Coefficient of Concordance is used as a measure of agreement among raters. Each case is a judge or rater and each variable is an item or person being judged. For each variable, the sum of ranks is computed. Kendall's W ranges between 0 (no agreement) and 1 (complete agreement). The calculated Kendall's coefficients of concordance for each field are list in Table 4.16. Null Hypothesis: H0: There is an insignificant degree of agreement among the owners, contractors and consultants. Alternative Hypothesis: H1: There is a significant degree of agreement among the owners, contractors and consultants. 62
Table 4.16: Kendall's Coefficient of Concordance for each group No. Field W Chi- Square P-value Decision 1. Leadership 0.797 184.107 0.000 Reject H0 2. Human Resources 0.646 149.226 0.000 Reject H0 3. Information Resources 0.668 154.308 0.000 Reject H0 4. Financial Resources 0.748 172.788 0.000 Reject H0 5. Material Resources 0.727 167.937 0.000 Reject H0 6. Technological Resources 0.502 115.962 0.003 Reject H0 7. Resource Management 0.724 167.244 0.000 Reject H0 8. Quality Strategy and Plan 0.745 172.095 0.000 Reject H0 9. Quality Process System 0.77 177.87 0.000 Reject H0 10. Customer Relationship Management 0.662 152.922 0.000 Reject H0 11. Coordination and Structure 0.796 183.876 0.000 Reject H0 12. Process Management 0.783 180.873 0.000 Reject H0 13. Customer Satisfaction 0.704 162.624 0.000 Reject H0 14. Training and Education 0.706 163.086 0.000 Reject H0 15. Continuous Improvement 0.767 177.177 0.000 Reject H0 16. Communication 0.742 171.402 0.000 Reject H0 17. Total Quality Management Implementation 0.787 181.797 0.000 Reject H0 ALL 0.786 181.566 0.000 Reject H0 * The agreement is significant at level of significant α = 0.05 Since the p-value is less than α = 0.05 (α is the level of significance) the null hypothesis, H 0, is rejected and the alternative hypothesis, H 1, is accepted. Therefore, it can be concluded that there is a significant degree of agreement among the different types of organizations 4.5 Means differences between the organization type The Kruskal-Wallis (KW) is used to compare between ranks means of two or more samples. This test is used in order to examine if there are any significant differences in the point of view of the respondents (Owners, Contractors and Consultants) regarding the levels of each of the factors affecting the TQM implementation in construction projects. The KW results are shown in Table 4.17. As shown in Table 4.17, all p-values for each group are greater than α = 0.05 (α is the level of significance), thus there are no significant differences between the organization types (Owners, Contractors, and Consultants) regarding their responses to all fields. So, it can be concluded that organization types have no effect on the respondents degree. 63
Table 4.17: Kruskal- Wallis test for factors affecting the TQM implementation in construction projects No. Field KW value P-value 1. Leadership 2.379 0.304 2. Human Resources 1.064 0.587 3. Information Resources 0.627 0.731 4. Financial Resources 0.947 0.623 5. Material Resources 0.845 0.655 6. Technological Resources 2.145 0.342 7. Resource Management 1.161 0.560 8. Quality Strategy and Plan 0.970 0.616 9. Quality Process System 1.784 0.410 10. Customer Relationship Management 3.481 0.175 11. Coordination and Structure 5.171 0.075 12. Process Management 3.954 0.139 13. Customer Satisfaction 2.168 0.338 14. Training and Education 1.695 0.429 15. Continuous Improvement 1.353 0.508 16. Communication 0.268 0.874 17. Total Quality Management 3.052 0.217 ALL 1.936 0.380 4.6 Correlation between each main factor in part three of the questionnaire and the corresponding factor in part two. Spearman rank correlation test is used to test if there is a significant relationship between each main factor influencing the implementation of TQM on Construction in part in part three of the questionnaire and the corresponding factor in part two. Results are shown in Table 4.18. Table 4.18: Correlation between each main factor influencing the implementation of TQM and the corresponding field No. Factors Spearman Correlation Coefficient P-value 1. Leadership 0.327 0.002* 2. Resource management 0.125 0.138 3. Strategy and plan 0.256 0.013* 4. Process management 0.341 0.001* 5. Customer satisfaction 0.542 0.000* 6. Training and education 0.451 0.000* 7. Continuous improvement 0.365 0.001* 8. Communication 0.454 0.000* * Correlation is significant at level of significance α = 0.05 64
For all fields except resource management, the p-value ranges between 0.000 and 0.013 which is smaller than α = 0.05 (α is the level of significance). It can thus be concluded that there is a significant relationship between each main factor influencing the implementation of TQM on construction in part three of the questionnaire and the corresponding factor in part two. On the other hand, the p-value =0.138 for resource management which is greater than α = 0.05 (α is the level of significance) thus there an insignificant relationship between resource management as a main factor influencing the implementation of TQM on construction in part three of the questionnaire and the corresponding factor in part two. 65
Chapter 5 Model Development Through this research, a model to measure TQM was developed to be used as a tool to measure TQM in construction projects in Gaza Strip. This Chapter describes the methodology used to develop this model. In 1906, the Italian economist Vilfredo Pareto created a mathematical formula to describe the unequal distribution of wealth in his country, observing that twenty percent of the people own eighty percent of the wealth, which means 20% of factors, achieves 80% of the importance percentage. The Pareto approach was used to develop the model. This approach was developed and applied based on calculating the importance percentages of main and sub-factors. The model represents the critical success factors of TQM implementation on construction projects in Gaza Strip. 5.1 Model development steps A model has been developed to estimate the importance of each of the main factors and sub factors. To develop the model the following steps has been followed: Step1: Calculation of the importance percentages of the main factors according to their impact on the TQM implementation, by summing the RII of the main factors, which were obtained in Chapter 4, then equation 5.1 is used to calculate the importance percentage for each element as shown in the fourth column of Table 5.1. Importance percentage for main factors (β i ) = RII i 8 RII i i = 1 *100% (5.1) i= Main factors j= Group factors k= Sub factors 66
Table 5.1: The importance percentages of the main factors β i = No. Factors RII i RII i 8 RII i y = 1 1. Leadership 0.802 β 1 = 12.942% 2. Resource management 0.726 β 2 = 11.715% 3. Strategy and plan 0.796 β 3 = 12.845% 4. Process management 0.781 β 4 = 12.603% 5. Customer satisfaction 0.767 β 5 = 12.377% 6. Training and education 0.740 β 6 = 11.941% 7. Continuous improvement 0.799 β 7 = 12.893% 8. Communication 0.786 β 8 = 12.684% *100% TQM 8 RI = 6.197 i i= 1 Step2: Calculation of the importance percentage (β ij ) for groups' factors under main factors in reference to their impact on TQM implementation using equation 5.2. (β ij ) = β i * 5 j = 1 RI ij RI ij (5.2) For example to calculate the importance of groups factors under resource management main factor the following procedures can be follow: a. Summation of RII 2j for the resource management sub-groups. Then the G 2j is calculated to representing the percentage for each factor in reference to resource management subgroup as shown in the third column of Table 5.2. Then G 2j is multiplied by β 2 as in equation 5.3 in order to calculate the percentage of each factor in reference to its impact on TQM implementation β ij as in column 4 in Table 5.2 The percentage of group factors under resource management's factor (β 2j ) = β 2 * RI 2 j 5 j = 1 RI 2 j (5.3) 67
Table 5.2: The importance percentages for groups factors under resource management Factors RII 2j RII 2 j 5 j = 1 RII 2 j β 2j = β 2 * RII 2 j 5 j = 1 RII 2 j Human resources 0.713 a 1 = 18.553% β 1a = 2.174% Information resources 0.733 a 2 = 19.074% β 2a = 2.234% Financial resources 0.778 a 3 = 20.245% β 3a = 2.372% Material resources 0.971 a 4 = 25.267% β 4a = 2.960% Technological resource 0.648 a 5 = 16.862% β 5a = 1.975% Resource management 5 2 j i= 1 Also, calculate the importance of groups factors under process management main factor the following procedures can be follow: b. Summation of RII 4j for the process management sub-groups. Then the G 4j is calculated to represent the percentage of each factor in reference to process management subgroup as shown in the third column of Table 5.3. Then G 4j is multiplied by β 4 as in equation 5.4 in order to calculate the percentage of each factor in reference to its impact on TQM implementation as in column 4 in Table 5.3 The percentage of groups' factors under process management's factor (β 4j ) = β 4 * RII 4 j 3 j = 1 RII 4 j Table 5.3: The importance percentages for group factors under process management (G 4j ) = Factors RII 4j RII 4 j 3 j = 1 RII 4 j (5.4) (β 4j ) = β 4 * G 4j Quality process system 0.713 b 1 = 33.549% β 1b = 2.174% Customer relationship 0.733 b 2 = 31.266% β 2b = 2.234% Coordination and structure 0.778 b 3 = 35.185% β 3b = 2.372% Process management 3 Gib = 3.843 i= 1 68
Step3: Calculation of the importance percentage for sub-factors in reference to their impact on TQM implementation by using equation 5.5. The importance percentage of sub-factors = (β ijk ) = β ij * i= Main factors, j= Group factors, and k= Sub factors Table 5.4: The importance percentages for sub-factors Main factor 1. Leadership RII ijk k j = 1 Factors RII ijk k j = 1 Top management commitment to total quality management Strong character of leaders such as (humility; courage; integrity; compassion; humor; passion; and wisdom) Middle management and employees commitment Attached to quality by the top management in relation to cost and schedule objectives Ability to assign the responsibilities for quality on the department heads Ability of top management to identify the responsibilities for quality performance Involvement with customers and suppliers Support of total quality by provision of appropriate resources and assistance Support of total quality in organization culture Involvement in total quality objective task definition, budgeting, and measurement Development a long-term vision Active promotion of total quality outside the organization RII ijk RII ijk RII ijk β ijk (5.5) 0.918 0.0954 β 111 =0.0123 0.905 0.0941 β 112 =0.0122 0.867 0.0901 β 113 =0.0117 0.838 0.0871 β 114 =0.0113 0.821 0.0853 β 115=0.0110 0.800 0.0832 β 116=0.0108 0.787 0.0818 β 117=0.0106 0.777 0.0808 β 118=0.0105 0.767 0.0797 β 119=0.0103 0.762 0.0792 β 1,1,10=0.0102 0.756 0.0786 β 1,1,11=0.0102 0.623 0.0648 β 1,1,12=0.0084 69
2.1 Human resources 2.2 Information resources 2.3 Financial resources 2. Resource management Incentives system 0.918 0.2259 β 211=0.0049 Methodology for gathering and analyzing information 0.905 0.2237 β 212=0.0049 Training needs and evaluating it 0.867 0.2066 β 213=0.0045 Suggestions and complaints system 0.838 0.1777 β 214=0.0039 Welfare program 0.821 0.1662 β 215=0.0036 Information system 0.792 0.3600 β 221=0.0080 Information system covering most of the duties Program for specifying the needs for information system 0.736 0.3345 β 222=0.0075 0.672 0.3055 β 223=0.0068 Plans to increase income, cut down on expenditure 0.885 0.2846 β 231=0.0067 Methodology of preparing budget 0.800 0.2572 β 232=0.0061 Meeting the budget 0.715 0.2299 β 233=0.0055 Corrective action to control project cost 0.710 0.2283 β 234=0.0054 2.4 Material resource 2.4 Technological resources Storage system 0.885 0.3688 β 241=0.0109 Specifying the required material 0.800 0.3333 β 242=0.0099 System for the best selection of material resources 0.715 0.2979 β 243=0.0088 Specifying the need for new technologies 0.733 0.2828 β 251=0.0056 Corrective action to improve the technical requirements control Transferring technology and focusing on research and development System for the best use of technology 0.628 0.2423 β 252=0.0048 0.621 0.2396 β 253=0.0047 0.610 0.2353 β 254=0.0046 70
3. Strategy and plan 4.1 Quality process system 4.2 Customer relationship 4.3 Coordination and structure Identifying the goals 0.893 0.1400 β 311=0.0180 Establishing strategic base on the concept of TQM 0.844 0.1323 β 312=0.0170 Identifying the organization mission and vision 0.838 0.1313 β 313=0.0169 Control and improve of plans 0.836 0.1310 β 314=0.0168 Analysis of internal and external environment 0.805 0.1262 β 315=0.0162 Establishing strategic base on information relevant to TQM 0.800 0.1254 β 316=0.0161 Communication strategies 0.692 0.1085 β 317=0.0139 Identifying customers and their need 0.672 0.1053 β 318=0.0135 4. Process management Time 0.921 0.1182 β 411=0.0050 Project objectives 0.854 0.1096 β 412=0.0046 Conformance to safety process 0.826 0.1060 β 413=0.0045 Conformance to owner's 0.800 0.1026 β 414=0.0043 Conformance to codes and standards 0.782 0.1003 β 415=0.0042 Conformance to control 0.792 0.1016 β 416=0.0043 Conformance to documentation 0.733 0.0940 β 417=0.0040 Conformance to calculation standards 0.700 0.0898 β 418=0.0038 Engineering drawings based on local standard 0.697 0.0894 β 419=0.0038 Conformance to design processes and procedures 0.690 0.0885 β 4,1,10=0.0038 Methodology for gathering and analyzing information. 0.795 0.3647 β 421=0.0144 System to specify needs 0.726 0.3330 β 422=0.0131 System for suggestions and complaints 0.659 0.3023 β 423=0.0119 Job description 0.874 0.2140 β 431=0.0095 Mechanism of coordination between different project parties and levels Methodology for setting and improving the organization structure Mechanism for ensuring coordination Methodology for authority delegation 0.821 0.2010 β 432=0.0089 0.808 0.1978 β 433=0.0088 0.803 0.1966 β 434=0.0087 0.779 0.1907 β 435=0.0085 71
5. Customer satisfaction 6. Training and education 7. Continuous improvement Achieve the plane 0.860 0.2243 β 511=0.0278 The contractor's abilities to cooperate and the skills of the contractor's workers and supervisors Response time for customer requests. Measure overall customer satisfaction Continuity and future work with same customer 0.834 0.2175 β 512=0.0269 0.735 0.1917 β 513=0.0237 0.727 0.1896 β 514=0.0235 0.679 0.1771 β 515=0.0219 Develop team work between employees 0.821 0.1387 β 611=0.0166 Training in the "total quality concept" 0.808 0.1365 β 612=0.0163 Training given to managers, supervisors and employees 0.805 0.1360 related to quality β 613=0.0162 Training in interactive skills such as communication skills, meeting skills, and leadership 0.759 0.1282 β 614=0.0153 skills Availability of resources for employee training in the 0.741 0.1252 company β 615=0.0149 Employees receive training in specific skills (technical and 0.700 0.1183 vocational) β 616=0.0141 Training in problem identification and solving skills, 0.649 0.1096 quality improvement skills β 617=0.0131 Training in statistical improvement techniques 0.636 0.1075 β 618=0.0128 Searching for root causes when diagnosing the system 0.821 0.1712 malfunction β 711=0.0221 working smoothly in teams 0.815 0.1700 β 712=0.0219 The quality of data which use to evaluate supervisor and 0.808 0.1685 managerial performance β 713=0.0217 Regular evaluation for the operating system 0.797 0.1662 β 714=0.0214 Benchmarking to improve a systems or subsystems and 0.792 0.1652 implement/monitor programs β 715=0.0213 Gradual future change 0.762 0.1589 β 716=0.0205 72
8. Communication Good communications between different departments 0.838 0.2134 β 811=0.0271 Effective top-down and bottomup communication 0.805 0.2050 β 812=0.0260 Formal feedback 0.795 0.2024 β 813=0.0257 Feedback on quality issues 0.784 0.1996 β 814=0.0253 Quality techniques/tools to solve problems 0.705 0.1795 β 815=0.0228 Step4: The sub-factors are organized in a descending order of priority and the sub factors' cumulative percentage is calculated to use the Pareto principle, which states that 20% of the factors achieve 80% of the importance percentage to find the critical success factors of TQM implementation. Table 5.5 shows the Cumulative percentages of sub-factors in descending arrangement Table 5.5: Cumulative percentages of sub-factors in descending arrangement Sub factor Cumulative percentage NO Factors β ijk Sub factor related to percentage TQM 1. Achieve the plan β 511 0.02776 0.02776 2. Good communications between different β 811 0.02707 0.05482 departments 3. The contractor's abilities to cooperate and the skills of the contractor's workers and β 512 0.02692 0.08174 supervisors 4. Effective top-down and bottom-up communication β 812 0.02600 0.10774 5. Formal feedback β 813 0.02568 0.13342 6. Feedback on quality issues β 814 0.02532 0.15874 7. Response time for customer requests. β 513 0.02372 0.18246 8. Measure overall customer satisfaction β 514 0.02346 0.20592 9. Quality techniques/tools to solve problems β 815 0.02277 0.22869 10. Searching for root causes when diagnosing the system β 711 0.02208 0.25077 malfunction 11. working smoothly in teams β 515 0.02191 0.27268 12. Continuity and future work with same customer β 712 0.02191 0.29460 73
13. The quality of data which use to evaluate supervisor and managerial performance 14. Regular evaluation for the operating system 15. Benchmarking to improve a systems or subsystems and implement/monitor programs 16. Gradual future change 17. Identifying the goals β 713 0.02173 0.31632 β 714 0.02143 0.33775 β 715 0.02130 0.35905 β 716 0.02049 0.37954 β 311 0.01798 0.39752 18. Establishing strategic base on the concept of total β 312 0.01699 0.41451 quality management 19. Identifying the organization mission and vision β 313 0.01687 0.43138 20. Control and improve of plans β 314 0.01683 0.44821 21. Develop team work between employees β 611 0.01656 0.46478 22. Training in the "total quality concept" β 612 0.01630 0.48108 23. Training given to managers, supervisors and employees β 315 0.01624 0.49732 related to quality 24. Analysis of internal and external environment β 613 0.01621 0.51352 25. Establishing strategic base on information relevant to β 316 0.01611 0.52963 total quality 26. Training in interactive skills such as communication skills, meeting skills, and β 614 0.01531 0.54494 leadership skills 27. Availability of resources for employee training in the β 615 0.01495 0.55989 company 28. Methodology for gathering and analyzing information. β 421 0.01437 0.57426 29. Employees receive training in specific skills (technical β 616 0.01412 0.58839 and vocational) 30. Communication strategies β 317 0.01393 0.60232 31. Identifying customers and their need β 318 0.01353 0.61585 32. System to specify needs β 422 0.01312 0.62897 74
33. Training in problem identification and solving skills, quality improvement skills 34. Training in statistical improvement techniques 35. Top management commitment to total quality management 36. Strong character of leaders such as (humility; courage; integrity; compassion; humour; passion; and wisdom) 37. System for suggestions and complaints 38. Middle management and employees commitment 39. Attached to quality by the top management in relation to cost and schedule objectives 40. Ability to assign the responsibilities for quality β 617 0.01309 0.64206 β 618 0.01283 0.65489 β 111 0.01235 0.66724 β 112 0.01217 0.67941 β 423 0.01191 0.69132 β 113 0.01166 0.70299 β 114 0.01127 0.71426 β 115 0.01104 0.72530 on the department heads 41. Storage system β 241 0.01092 0.73621 42. Ability of top management to identify the responsibilities for quality performance 43. Involvement with customers and suppliers 44. Support of total quality by provision of appropriate resources and assistance 45. Support of total quality in organization culture 46. Involvement in total quality objective task definition, budgeting, and measurement β 116 0.01076 0.74697 β 117 0.01058 0.75756 β 118 0.01045 0.76801 β 119 0.01032 0.77833 β 1,1,10 0.01025 0.78857 47. Development a long-term vision β 1,1,11 0.01017 0.79874 48. Specifying the required material β 242 0.00987 0.80861 49. Job description β 431 0.00949 0.81810 50. Mechanism of coordination between different project β 432 0.00891 0.82701 parties and levels 75
51. System for the best selection of material β 243 0.00882 0.83583 resources 52. Methodology for setting and improving the organization β 433 0.00877 0.84460 structure 53. Mechanism for ensuring coordination β 434 0.00872 0.85331 54. Methodology for authority delegation β 435 0.00846 0.86177 55. Active promotion of total quality outside the β 1,1,12 0.00838 0.87015 organization 56. Information system β 221 0.00804 0.87819 57. Information system covering most of the duties β 222 0.00748 0.88567 58. Program for specifying the needs for information β 223 0.00683 0.89250 system 59. Plans to increase income, cut down on expenditure β 231 0.00675 0.89924 60. Methodology of preparing budget β 232 0.00610 0.90534 61. Specifying the need for new technologies β 251 0.00559 0.91093 62. Meeting the budget β 233 0.00545 0.91638 63. Corrective action to control project cost β 234 0.00541 0.92180 64. Time β 411 0.00500 0.92679 65. Incentives system β 211 0.00490 0.93170 66. Methodology for gathering and analyzing information β 212 0.00485 0.93655 67. Corrective action to improve the technical β 252 0.00479 0.94134 requirements control 68. Transferring technology and focusing on research and β 253 0.00473 0.94607 development 69. System for the best use of technology β 254 0.00465 0.95072 70. Project objectives β 412 0.00463 0.95535 71. Training needs and evaluating it β 213 0.00448 0.95983 72. Conformance to safety process β 413 0.00448 0.96431 73. Conformance to owner's β 414 0.00434 0.96865 74. Conformance to control β 416 0.00430 0.97295 76
75. Conformance to codes and standards β 415 0.00424 0.97719 76. Conformance to documentation β 417 0.00398 0.98117 77. Suggestions and complaints system β 214 0.00386 0.98502 78. Conformance to calculation standards β 418 0.00380 0.98882 79. Engineering drawings based on local standard β 419 0.00378 0.99260 80. Conformance to design processes and procedures β 4,1,10 0.00377 0.99637 81. Welfare program β 215 0.00363 1.00000 Step5: Fig. 5.1 and 5.2 show that 80% of the results were achieved by 47 sub factors, meaning that the 80/20 assumption is not applicable. However the critical success sub factors (CSsF) were assumed as the sub factors that meet 70% of the importance of the Pareto Chart which are 38 sub factors according to the Fig. 5.1 and 5.2. Cumulative percentage 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 0 20 40 60 80 100 Number of factors Fig. 5.1: Pareto chart for TQM sub factors number 77
Cumulative percentage 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 0% 20% 40% 60% 80% 100% Percentage of factors Fig. 5.2: Pareto chart for TQM sub factors percentage Step6: After finding the critical success sub factors that effect in the TQM implementation, they are rearranged based on their main group as shown in Table 5.6. The sum of these parameters represents about 70%, to change it to 100% representation the sub factors were multiplied by 100% and divided by the overall total of the percentages as shown in the fourth column of Table 5.6. Table 5.6: Modify critical success sub factors of TQM implementation Main factor Leadership Strategy and plan Factors CSsF i1 CSsF i1 *100 CSsF Top management commitment to TQM β 111 =0.0123 1.76% Strong character of leaders such as (courage; integrity; compassion; humor; passion; and wisdom) β 112 =0.0122 1.73% Middle management and employees commitment β 113 =0.0117 1.66% Identifying the goals β 311=0.0180 2.56% Establishing strategic base on the concept of total quality management β 312=0.0170 2.42% Identifying the organization mission and vision β 313=0.0169 2.40% Control and improve of plans β 314=0.0168 2.39% Analysis of internal and external environment β 315=0.0162 2.31% Establishing strategic base on information relevant to total quality β 316=0.0161 2.29% Communication strategies β 317=0.0139 1.98% Identifying customers and their need β 318=0.0135 1.92% 78
Process management Customer satisfaction Methodology for gathering and analyzing information. β 421=0.0144 2.04% System to specify needs β 422=0.0131 1.87% System for suggestions and complaints β 423=0.0119 1.69% Achieve the plan β 511=0.0278 3.95% The contractor's abilities to cooperate and the skills of the contractor's workers β 512=0.0269 3.83% and supervisors Response time for customer requests β 513=0.0237 3.37% Measure overall customer satisfaction β 514=0.0235 3.34% Continuity and future work with same customer β 515=0.0219 3.12% Develop team work between employees β 611=0.0166 2.36% Training in the "total quality concept" β 612=0.0163 2.32% Training and education Continuous improvement Training given to managers, supervisors and employees related to quality Training in interactive skills such as communication skills, meeting skills, and leadership skills Availability of resources for employee training in the company β 613=0.0162 2.31% β 614=0.0153 2.18% β 615=0.0149 2.13% Employees receive training in specific skills (technical and vocational) β 616=0.0141 2.01% Training in problem identification and solving skills, quality improvement β 617=0.0131 1.86% skills Training in statistical improvement techniques β 618=0.0128 1.83% Searching for root causes when diagnosing the system malfunction β 711=0.0221 3.14% working smoothly in teams β 712=0.0219 3.12% The quality of data which use to evaluate supervisor and managerial β 713=0.0217 3.09% performance Regular evaluation for the operating system β 714=0.0214 3.05% Benchmarking to improve a systems or subsystems and implement/monitor β 715=0.0213 3.03% programs Gradual future change β 716=0.0205 2.91% 79
Communication Good communications between different departments Effective top-down and bottom-up communication β 811=0.0271 3.85% β 812=0.0260 3.70% Formal feedback β 813=0.0257 3.65% Feedback on quality issues β 814=0.0253 3.60% Quality techniques/tools to solve problems β 815=0.0228 3.24% TQM CSsF =70.3% =100% From the results it is clear that the critical main factors affect TQM implementation are leadership, strategy plan, process management, customer satisfaction, training and education, continuous improvement, and communication. Fig. 5.3 shows the importance percentage of each main critical success factors of TQM implementation. Fig. 5.3: Critical success factors of TQM implementation 80
5.2 Model application In order to create a practical, easy to use model that measures TQM implementation an Excel form was developed. The model was developed base on the modified importance percentage for the critical success sub-factors. The critical success factor are answered by the user, who suggests a value that quantifies the extent to which the organization has achieved on this factor X, the model then calculate the organization s achievement of the TQM by multiplying the modified importance percentage by X. 5.3 Model verification Model verification was considered to ensure the soundness and usefulness of the model. A North Gaza Emergency Sewage Treatment Project, which has both a quality control manager and skilled staff, was chosen to che ck the model. The owner, consultant and contractor were given the model and the data to fill out. The results were achieved by 72%, 73% and 72% according to the owner, contractor and consultant respectively. These percentages may be considered as relatively high and are very close which reflect the close views of the three types of organizations. 5.4 Using the model The results of this chapter clearly indicate that there are seven critical success factors with 38 critical sub factors were needed for the successful implementation of TQM in Gaza Strip organizations. From the results a model has been developed. This model describes the primary quality management methods, which may be used to assess an organization s present strengths and weaknesses with regard to its use of quality management methods. The model has a main interface, which contains the seven critical factors as shown in Appendix C. By pressing any of these buttons a new page will appear, the user completes column (X) by a percentage ranging from 0 to 100 based on the extent that the sub factors has been actually applied then the user presses in TQM in the same page to return to the main interface. This is repeated for all the main factors. The final result that represents the percentage of applying TQM by the organization is then displayed. 81
Chapter 6 Conclusions and Recommendations 6.1 Conclusions The findings of thesis revealed the important of TQM implementation. TQM appears to be a concept which is difficult to summarize in a short definition. TQM is a continuous process of incremental improvements. It gives the organization a competitive edge. Any organization, which ignores TQM, is doing itself a disservice. This research determines the success factors necessary for the implementation of TQM at various phases of the project planning, design and construction in Gaza Strip. An extensive review of TQM literature from quality gurus, quality award models, and other quality management research results, reveal 8 main factors with 81 sub factors were defined as a success factors and considered in the questionnaire. A factor analysis was carried out on the collected data, and Pareto principle was used which identified seven critical success factors with 38 sub critical success factors of TQM. The results of the study clearly indicate that continuous improvement is the most critical factor for the successful implementation of TQM in Gaza Strip organizations followed by strategy plan, communication, customer satisfaction, training and education, process management, then leadership. The validity analysis on the results were also conducted to determine whether there is a degree of agreement in the levels of each of the factors affecting the total quality implementation among each of the owners, contractors and consultants. We can be concludes that there is a significant degree of agreement among the different types of organizations. However, in this thesis the following objectives were achieved: The critical success factors that affect the quality during project phases were defined. The degree of consistency in terms of perceptions of quality between the different types of organizations was studded, and there is a significant degree of agreement among the different types of organizations. The relative weights of the impacting factors were derived to provide the guidelines to implementing total quality management. A model has been developed. This model describes the primary quality management methods, which may be used to assess an organization s present strengths and weaknesses with regard to its use of quality management methods 82
The results of the study clearly indicate number of critical sub factors were needed for the successful implementation of TQM in Gaza Strip organizations such as: Top management and employees commitment to implementing TQM on construction projects Strong character of leaders such as (courage; integrity; compassion; humour; passion; and wisdom) Establish strategic goals, mission and vision base on the concept of TQM and bind all parties together including subcontractors these goals. Organizations need to pursue continuous improvement while maintaining a longterm perspective. Improvement will have to be made both in the processes and the organizational system in order for the TQM program to be successful. Educate the managers in a leadership role of quality management principles and techniques. Without this, it is difficult to envisage that managers can provide the vision and leadership necessary to change the culture of the organization. Educate the manager in accomplished first, as managers must fully understand and support the TQM process and actively participate in implementing it. Human resource with appropriate experience of the TQM in construction projects in order to be able to implement it. This human resource must be empowered, involved and trained in the concept of TQM. Develop closer, more productive relationships among owners, consultants, contractors, subcontractors and suppliers. Work on improving human relationships in the same way that they do for their external customers, through effective communication and improved project coordination. However, any attempt to bring about meaningful change with respect to implementing TQM in construction sites will only succeed if top management is committed and involved in the TQM process. 83
6.2 Recommendations The following points can be recommended to all parties in order to implement TQM on construction projects in Gaza Strip. It is recommended to identify the critical success factors of TQM implementation by using AHP approach that because using traditional questionnaire caused the results to be very closed. Investigate the cost of each TQM success factor and using the results in this thesis to develop an optimization model to identify the factor that effect in TQM implementation with least cost. Government is recommended to construct new warehouse in settlement of Gaza Strip to store the required construction materials. This proposal is a partially solution of borders closures matters. Owners are recommended to pre-qualify contractors and consider TQM as criteria in awarding contracts. 84
References Abdul-Aziz, A. (2002) The realities of applying total quality management in the construction industry Structural Survey, Volume 20, Number 2, pp. 88-96. Abu-Hamatteh, Z. S.; Al-Azab, T. A.; and El-Amyan, M. (2003) Total quality management achievement: King Abdullah II Award for Excellence of Jordan as a model Technovation, Volume 23, pp. 649 652. Antony, J.; Leung, K.; Knowles,G.; and Gosh, S. (2002) Critical success factors of TQM implementation in Hong Kong industries International Journal of Quality & Reliability Management, Volume 19, Number 5, pp. 551-566. Baidoun, S. (2004) The implementation of TQM philosophy in Palestinian organization: a proposed non-prescriptive generic framework The TQM Magazine, Volume 16, Number 3, pp. 174-185. Barrie, D. S. and Paulson, B. C. (1992) Professional construction management McGRAW-HILL. Bryde, D. J. and Robinson, L. (2007) The relationship between total quality management and the focus of project management practices The TQM Magazine, Volume 19, Number 1, pp. 50-61. Chow, W. S. and Lui, K. H. (2001) Discriminating factors of information systems function performance in Hong Kong firms practising TQM International Journal of Quality & Reliability Management, Volume 21, Number 5/6, pp. 749-771. Creative Research System, www.surveysystem.com, 2008. Crosby, P.B. (1984) 'Quality Without Tears' McGraw-Hill. 85
Dahlgaard, J. J.; Kanji, G. K.; and Kristensen, K. (2005) First Edition 'Fundamentals of Total Quality Management' Routledge-Taylor & Francis Group. Dale, B. G. (2003) 'Managing Quality' Blackwell Publishing. Dale, B. G. (1999) 'Quality costing' Gower Publishing, Ltd. Deming, W.E.(1986) 'Out of Crisis' Massachusetts Institute of Technology. Evans, J. R. and Lindsay, W. M. (2001) The Management and Control of Quality South-Western pub. Feigenbaum, A.V. (1991) 'Total Quality Control' McGraw-Hill. George, D. and Mallery, P. (2003) SPSS for Window Step by Step Allyn & Bacon. Gould, F. M. and Joyce, J. A. (2003) Construction Project Management Book Prentice Hall Hides, M.T.; Irani, Z.; Polychronakis, I.; and Sharp, J.M. (2000) Facilitating total quality through effective project management International Journal of Quality & Reliability Management, Volume 17, Number 4/5, pp. 407-422. Harris, F.; McCaffer, R.; and Edum-Fotwe, F. (2006) 'Modern Construction Management' Wiley-Blackwell Publishing. Ishikawa, K. (1985) 'What is Total Quality Control?' London Prentice Hall. Iyer, K.C. and Jha, K.N. (2005), Factors affecting cost performance: evidence from Indian construction projects International Journal of Project Management, Volume 23, PP. 283 295. 86
Jaafari, A. (1996) Human factors in the Australian construction industry: Towards Total Quality Management Australian Journal of Management, Volume 21, Number 2, pp. 159-186. Jung, J. Y. and Wang, Y. J. (2006) Relationship between total quality management (TQM) and continuous improvement of international project management (CIIPM) Technovation, pp.716 722. Juran, J. M. and Gryna, F. M (1993) 'Quality Planning and Analysis' McGraw- Hill. Karna, S. (2004) Analyzing customer satisfaction and quality in construction Nordic Journal of Surveying and Real Estate Research, Special Series, Volume 2. Langford, D.; Hancock, M. R.; Fellows, R.; and Gale, A. W. (1995) 'Human Resources Management in Construction' Longman Group limited. Laszlo, G. P. (1997) The role of quality cost in TQM The TQM Magazine, Volume9, Number 6, pp. 410-413. McCabe, S. (1998) 'Quality Improvement Techniques in Construction' Wesley Longman limited. Naoum, S. (1998) 'Dissertation Research and Writing for Construction Student' Reed Education and Professional Publishing Ltd. Oakland, J. S. and Aldridge, A. J. (1995) 'Quality management in civil and structural engineering consulting' International Journal of Quality & Reliability Management, Volume 12, Number 3, pp. 32-48. Palestinian Central Bureau of Statistics (PCBS), Reports, www.pcbs.gov.ps, 2007. 87
Palestinian Economic Council for Development & Reconstruction (ECDAR), Report, ww.pecdar.ps, 2007. Pheng, L. S. and Ke-Wei, P. (1996) A framework for implementing TQM in construction The TQM Magazine, Volume 8, Number 5, pp. 39-46. Poilt, D., and Hungler, B. (1985) 'Essentials of Nursing Research; Methods and Applications' J. B. Lippincott company. Moore, D., McCabe, G., Duckworth, W., Sclove, S. (2003) 'The Practice of Business Statistics' W. H. Freeman and Co. Sarros, J. C.; Cooper, B. K.; and Hartican, A. M. (2006) Leadership and character Leadership & Organization Development Journal, Volume 27, Number 8, pp. 682-699. Sebastianelli, R. and Tamimi, N. (2002) How product quality dimensions relate to defining quality International Journal of Quality & Reliability Management, Volume 19, Number 4, pp. 442-453. Sommerville, J. and Robertson, H. W. (2000) A scorecard approach to benchmarking for total quality construction International Journal of Quality & Reliability Management, Volume 17, Number 4/5, pp. 453-466. Tan, R. R. and Lu, Y. G. (1995) On the quality of construction engineering design projects criteria and impacting factors International Journal of Quality & Reliability Management, Volume 12, Number 5, pp. 18-37. Tari, J. J. (2005) Components of successful total quality management The TQM Magazine, Volume 17, Number 2, pp. 182-194. Taylor, W. A. and Wright, G.H. (2003) Analyzing customer satisfaction and quality in construction International Journal of Management Science, Volume 31, pp. 97 111. 88
Zhang, Z. (2001) Developing a TQM Quality Management Method Model Faculty of Management and Organization University of Groningen. Willis, T. H. and Willis, W. D. (1996) A quality performance management system for industrial construction engineering projects International Journal of Quality & Reliability Management, Volume 13, Number 9, pp. 38-48. 89
List of Appendixes Appendix (A) Appendix (B) Appendix (C) Questionnaire Validity of Questionnaire Excel Model 90
Appendix (A) Questionnaire ISLAMIC UNIVERSITY ENGINEERING FACULTY CIVIL ENGINEERING DEPARTMENT Master Program in Construction Management (Questionnaire) Critical Success Factors of Total Quality Management (TQM) Implementation on Construction Projects in Gaza Strip. عوامل النجاح في تطبيق ا دارة الجودة الشاملة لمشاريع التشييد في قطاع غزة. Researcher Mustafa Al-tayeb Supervisors Dr. Jihad T. Hamed and Dr. Salah R. Agha December /2007 91
Appendix (A) Questionnaire This questionnaire is required to be filled with exact relevant facts as much as possible. يرجى ملء هذا الاستبيان بالحقاي ق المناسبة والدقيقة قدر الا مكان. All data included in this questionnaire will be used only for academic research and will be continue confidential. جميع المعلومات في هذا الاستبيان سوف تستخدم فقط بغرض البحث العلمي وسوف تبقى سريه. After all questioner are collected and analyzed, interested participants of this study will be given feed back on the overall research result. سوف يتم إحاطة جميع المهتمين المشارآين في هذا الاستبيان بالنتاي ج المستخلصة بعد إنهاء الدراسة. 92
Appendix (A) Section 1: Organization profile. Questionnaire ا ولا : السيرة الذاتية للمو سسة Please mark the relevant choice. يرجى اختيار الا جابة المناسبة 1-Type of organization نوع المو سسة Owner Contractor Consultant استشارية ش رآة مالك مقاول خبرة المو سسة في مجال التشييد 2- years of experience in the construction field 5 year or less 5-10 years More than 10 years سنة أو اقل من 5 إلى 10 سنوات أآثر من عشر سنوات عدد موظفي المو سسة 3- Number of the full time employees درجة التصنيف (شركات المقاولات ( companies) 4- Classification (contracting First class Second class درجة اولى درجة ثانية -5 Respondent position المركز الوظيفي لمن يقوم بتعبي ة الاستبيان Manager مدير Vice Manager ناي ب مدير Project Manager مدير مشروع Site Engineer مهندس موقع 93
Appendix (A) Questionnaire 6-Number of projects executed in the last ten years عدد المشاريع التي نفذت خلال العشر ا عوام الماضية Less than 10 أقل من 10 11 to 20 11 إلى 20 21 to 30 21 إلى 30 More than 30 أآثر من 30 7- The dollar value of construction project performed during the last ten years قيمة المشاريع التي نفذت خلال العشر ا عوام الماضية بالدولار Less than 2 million dollars 2 to 5 million dollars 5 to 10 million dollars More than 10 million dollars أقل من 2 مليون دولار 2 إلى 5 مليون دولار 5 إلى 10 مليون دولار أآثر من 10 مليون دولار 94
Appendix (A) Questionnaire Section 2: Sub success factors of Total Quality Management implementation on construction projects in Gaza Strip. Please identify the degree of importance of sub factors influence in implementing Total Quality Management on construction in Gaza. الرجاء حدد درجة الا همية للعوامل الفرعية المو ثرة في تطبيق إدارة الجودة الشاملة في مجال التشييد في قطاع غزة. Very low importance=1 low importance=2 Medium importance=3 Important=4 Very important=5 القيادة 2.1 Leadership Main factor Leadership NO 1. 2. 3. 4. 5. 6. 7. 8. 9. Factors Top management commitment to TQM التزام الا دارة العليا با دارة الجودة الشاملة Middle management and employees commitment التزام الا دارة الوسطى والموظفين Ability of top management to identify the responsibilities for quality performance قدرة الا دارة العليا على تحديد مسو وليات جودة الا داء Ability to distribute the responsibilities for quality on the department heads القدرة على توزيع مسو وليات الجودة على رؤساء الا قسام Attached to quality by the top management in relation to cost and schedule objectives قيام الا دارة العليا بربط الجودة بالتكلفة والجدول الزمني Involvement with customers and suppliers التواصل مع الزباي ن والموردين Support of total quality by provision of appropriate resources and assistance دعم الجودة الشاملة بتوفير الموارد المناسبة والمساعدة Active promotion of total quality outside the organization تعزيز الجودة الشاملة خارج المنظمة Support of total quality in organization culture يكون دعم الجودة الشاملة ضمن ثقافة المنظمة Degree of Importance. 1 2 3 4 5 95
Appendix (A) Questionnaire Leadership 10. 11. 12. Involvement in toal quality objective task definition, budgeting, and measurement المشارآة في وضع أهداف الجودة الشاملة ومفهومها وتكاليفها وقياسها Development a long-term vision وضع رؤية طويلة الا جل strong character of leaders such as (humility; courage; integrity; compassion; humour; passion; and wisdom) قوة القاي د و تمتعه بالصفات التالية (التواضع الشجاعة النزاهة الرحمة الفكاهة العاطفة والحكمة) 2.2 Resource management Resource management Human resources Information resources Financial resources Material resources Technological resources 2.2.1 Human resources Main factor No Factors Degree of Importance. 1 2 3 4 5 Human resources 1. 2. 3. 4. 5. Methodology for collecting and analyzing information وجود منهجيه لجمع المعلومات وتحليلها Welfare program وجود برنامج للخدمات الاجتماعية Suggestions and complaints system وجود نظام للاقتراحات والشكاوى Training needs and evaluating it الاحتياجات التدريبية و تقييمها Incentives system وجود نظام للحوافز 96
Appendix (A) Questionnaire 2.2.2 Information resources Main factor No Factors Degree of Importance. 1 2 3 4 5 Information resources 1. 2. 3. Information system وجود نظام للمعلومات Program for specifying the needs for information system وجود برنامج لتحديد احتياجات نظام المعلومات Information system covering most of the duties وجود نظام معلومات يغطي الجزء الا آبر من الواجبات 2.2.3 Financial resources Main factor No Factors Degree of Importance. 1 2 3 4 5 Financial resources 1. 2. 3. 4. Methodology of preparing budget وجود منهجية لا عداد الميزانية Plans to increase income, cut down on expenditure إعداد خطط لزيادة الدخل وتخفيض النفقات Corrective action to control project cost الا جراءات التصحيحية للتحكم في تكلفة المشروع Meeting the budget الالتزام بالميزانية 2.2.4 Material resources Main factor NO Factors Degree of Importance. 1 2 3 4 5 Material resources 1. 2. 3. Specifying the required material تحديد الحاجات المادية Storage system وجود نظام للتخزين System for the best use of material resources نظام الاستخدام الا مثل للمصادر المادية 97
Appendix (A) Questionnaire 2.2.5 Technological resources Main factor No Factors Degree of Importance. 1 2 3 4 5 Technological resources 1. 2. 3. 4. Specifying the need for new technologies تحديد الاحتياجات التكنولوجية. Transferring technology and focusing on research and development نقل التكنولوجيا و الترآيز على البحث والتطوير System for the best use of technology. نظام من اجل الاستغلال الا مثل للتكنولوجيا Corrective action to improve the technical requirements control الا جراءات التصحيحية للتحكم بالمتطلبات التقنية 2.3 Strategy and plan Main factor No Factors Degree of Importance. 1 2 3 4 5 Strategic and plan 1. 2. 3. 4. 5. 6. 7. 8. Establishing strategic base on the concept of total quality management وضع الاستراتيجيات على قاعدة مفهوم إدارة الجودة الشاملة Establishing strategic base on information relevant to total quality وضع الاستراتيجيات على قاعدة معلومات ذات صلة بالجودة الشاملة Identifying the goals تحديد الا هداف Identifying the organization mission and vision تحديد رسالة المنظمة ورؤيتها Identifying customers and their need تحديد هوية العملاء وحاجتهم Analysis of internal and external environment تحليل البيي ة الداخلية والخارجية للمو سسة Control and improve of plans مراقبة وتحسين الخطط Communication strategies استراتيجيات الاتصال 98
Appendix (A) Questionnaire 2.4 Process management Quality Process system Process management Customer Relation management Coordination and structure 2.4.1 Quality process system Main factor No Factors Degree of Importance. 1 2 3 4 5 Quality process system 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. Project objectives أهداف المشروع Conformance to codes and standards التوافق مع متطلبات القوانين والمعايير الدولية Conformance to owner s التوافق مع المالك. Time الوقت Conformance to control الالتزام بمتطلبات التحكم Conformance to safety process الالتزام بعوامل الا مان Conformance to design processes and procedures. التوافق على تصميم العمليات والا جراءات. Engineering drawings based on local standard. الرسم الهندسي على أساس المعايير المحلية. Conformance to documentation. التوافق مع الوثاي ق Conformance to calculation standards. التوافق مع حساب المعايير. 99
Appendix (A) Questionnaire 2.4.2 Customer relationship management Main factor No Factors Degree of Importance. 1 2 3 4 5 Customer relationship management 1. 2. 3. Methodology for gathering and analyzing information. منهجيه لجمع وتحليل المعلومات System to specify needs. نظام لتحديد الاحتياجات System for suggestions and complaints. نظام للاقتراحات والشكاوى 2.4.3 Coordination and structure Main factor No Factors Degree of Importance. 1 2 3 4 5 Coordination and structure 1. 2. 3. 4. 5. Methodology for setting and improving the organization structure وجود منهجيه لتحديد وتحسين هيكلية المنظمة Mechanism of coordination between different project parties and levels وجود ا لية للتنسيق بين مختلف أطراف المشروع و مستوياته Mechanism for ensuring coordination وجود ا لية لضمان التنسيق Methodology for authority delegation وجود منهجيه للتفويض وإعطاء الصلاحيات Job description وجود وصف وظيفي 100
Appendix (A) Questionnaire 2.5 Customer satisfaction Main factor No Factors Degree of Importance. 1 2 3 4 5 Customer satisfaction 1. 2. 3. 4. 5. The contractor s abilities to cooperate and the skills of the contractor s workers and supervisors قدرة المقاول ومهارته في التعاون مع المقاولين الا خرين والعمال والمشرفين قياس رضا العملاء Measure overall customer satisfaction Response time for customer requests. سرعة تلبية طلبات العملاء Achieve the plan تحقيق ما تم التخطيط له Continuity and future work with same customer الاستمرارية والعمل في المستقبل مع نفس العميل 2.6 Training and education Main factor No Factors Degree of Importance. 1 2 3 4 5 Training and education 1. 2. 3. 4. 5. 6. 7. 8. Develop team work between employees تطوير العمل ضمن فريق Training given to managers, supervisors and employees related to quality تدريب المديرين والمشرفين والموظفين على المواضيع المرتبطة بالجودة Training in the total quality concept التدريب على "مفهوم الجودة الشاملة" Employees receive training in specific skills تدريب موظفي المو سسة على vocational) (technical and مهارات معينة ومتخصصة سواء آانت تقنية أو مهنية Training in statistical improvement techniques التدريب على تحسين التقنيات الا حصاي ية Availability of resources for employee training in the company توافر الموارد اللازمة لتدريب العاملين في الشرآة Training in interactive skills such as communication skills, meeting skills, and leadership skills التدريب على المهارات التفاعلية مثل مهارات الاتصال و مهارات الاجتماع والمهارات القيادية Training in problem identification and solving skills, quality improvement skills التدريب في حل مشكلة تحديد الهوية والمهارات وتحسين نوعية المهارات 101
Appendix (A) Questionnaire 2.7 Continuous improvement Main factor No Factors Degree of Importance. 1 2 3 4 5 Continuous improvement 1. 2. 3. 4. 5. 6. Searching for root causes when diagnosing the system malfunction البحث عن الا سباب الجذرية في تشخيص عيوب النظام Benchmarking to improve a systems or subsystems and implement/monitor programs تحديد معيار لتحسين النظم الري يسية أو الفرعية وتطبيق هذه النظم مع مراقبتها working smoothly in teams العمل ضمن فرق Gradual future change التغيير التدريجي Regular evaluation for the operating system تقييم نظام التشغيل بشكل منتظم The quality of data which use to evaluate supervisor and managerial performance مدى جودة البيانات التي تستخدم لتقييم الا شراف والا داء الا داري 2.8 Communication Main factor No Factors Degree of Importance. 1 2 3 4 5 Communication 1. 2. 3. 4. 5. Good communications between different departments وجود اتصالات جيدة بين مختلف الا دارات Quality techniques/tools to solve problems تقنيات وأدوات الجودة لحل المشكلات Effective top-down and bottom-up communication وجود اتصال فعال من أعلى إلى أسفل و من أسفل إلى أعلى Formal feedback أن تتم التغذية الراجعة بشكل منتظم Feedback on quality issues التغذية الراجعة على المساي ل المتعلقة بالجودة 102
Appendix (A) Questionnaire Section 3: Maine factors of Total Quality Management implementation on construction projects in Gaza Strip. ثالثا : عوامل النجاح الري يسية في تطبيق إدارة الجودة الشاملة لمشاريع التشييد في قطاع غزة. Please identify the degree of importance of main factors influencing the implementation of Total Quality Management on construction in Gaza. الرجاء حدد درجة الا همية للعوامل الري يسية المو ثرة في تطبيق إدارة الجودة الشاملة في مجال التشييد في غزة. Very low importance=1 low importance=2 Medium importance=3 Important=4 Very important=5 Main factor No Factors Degree of Importance. 1 2 3 4 5 Factors of TQM implementation 1. 2. 3. 4. 5. 6. 7. 8. Leadership Resource management Strategy and plan Process management Customer satisfaction Training and education Continuous improvement Communication القيادة تطوير وا دارة المصادر جودة التخطيط ا دارة العمليات رضا العميل التدريب و التعليم التحسين المستمر الاتصال 103
Appendix (B) Validity of Questionnaire P-value (Sig.) was used to measure the validity of the questionnaire between each field and the mean of all fields of the questionnaire. Table 1 clarifies the correlation coefficient for each item of the Human Resources and the total of the field. The p-values (Sig.) are less than 0.01, so the correlation coefficients of this field are significant at α = 0.01, so it can be said that the paragraphs of this field are consistent and valid to be measure what it was set for. Table 1: Correlation coefficient of each item of Human Resources and the total of this field No. Item Spearman Correlation Coefficient P-Value (Sig.) 1. Methodology for gathering and analyzing information 0.417 0.000** 2. Welfare program 0.667 0.000** 3. Suggestions and complaints system 0.649 0.000** 4. Training needs and evaluating it 0.713 0.000** 5. Incentives system 0.581 0.000** ** Correlation is significant at the 0.01 level Table 2 clarifies the correlation coefficient for each item of the Information Resources and the total of the field. The p-values (Sig.) are less than 0.01, so the correlation coefficients of this field are significant at α = 0.01, so it can be said that the paragraphs of this field are consistent and valid to be measure what it was set for. Table 2: Correlation coefficient of each item of Information Resources and the total of this field No. Item Spearman P-Value Correlation (Sig.) Coefficient 1. Information system 0.725 0.000** 2. Program for specifying the needs for information system 0.855 0.000** 3. Information system covering most of the duties 0.726 0.000** ** Correlation is significant at the 0.01 level 104
Appendix (B) Validity of Questionnaire Table 3 clarifies the correlation coefficient for each item of the Financial Resources and the total of the field. The p-values (Sig.) are less than 0.01 or 0.05, so the correlation coefficients of this field are significant at α = 0.01 or 0.05, so it can be said that the paragraphs of this field are consistent and valid to be measure what it was set for. Table 3: Correlation coefficient of each item of Financial Resources and the total of this field No. Item Spearman P-Value Correlation (Sig.) Coefficient 1. Methodology of preparing budget 0.692 0.000** 2. Plans to increase income, cut down on expenditure 0.243 0.016* 3. Corrective action to control project cost 0.696 0.000** 4. Meeting the budget 0.688 0.000** ** Correlation is significant at the 0.01 level * Correlation is significant at the 0.05 level Table 4 clarifies the correlation coefficient for each item of the Material Resources and the total of the field. The p-values (Sig.) are less than 0.01, so the correlation coefficients of this field are significant at α = 0.01, so it can be said that the paragraphs of this field are consistent and valid to be measure what it was set for. Table 4: Correlation coefficient of each item of Material Resources and the total of this field No. Item Spearman P-Value Correlation (Sig.) Coefficient 1. Specifying the required material 0.682 0.000** 2. Storage system 0.708 0.000** 3. System for the best use of material resources 0.867 0.000** ** Correlation is significant at the 0.01 level Table (5) clarifies the correlation coefficient for each item of the Technological Resources and the total of the field. The p-values (Sig.) are less than 0.01, so the correlation coefficients of this field are significant at α = 0.01, so it can be said that the paragraphs of this field are consistent and valid to be measure what it was set for. 105
Appendix (B) Validity of Questionnaire Table 5: Correlation coefficient of each item of Technological Resources and the total of this field No. Item Spearman P-Value Correlation (Sig.) Coefficient 1. Specifying the need for new technologies 0.406 0.000** 2. Transferring technology and focusing on research and development 0.917 0.000** 3. System for the best use of technology. 0.896 0.000** 4. Corrective action to improve the technical requirements control 0.751 0.000** ** Correlation is significant at the 0.01 level Table (6) clarifies the correlation coefficient for each sub field of Resource Management field and the total of the field. The p-values (Sig.) are less than 0.01, so the correlation coefficients of this field are significant at α = 0.01, so it can be said that the paragraphs of this field are consistent and valid to be measure what it was set for. Table 6: Correlation coefficient of each sub field of Resource Management field and the total of this field Table 6: Correlation coefficient of each sub field of Resource Management field and the total of this field No. Sub-Field Spearman Correlation Coefficient P-Value (Sig.) 1. Human Resources 0.612 0.000** 2. Information Resources 0.739 0.000** 3. Financial Resources 0.555 0.000** 4. Material Resources 0.421 0.000** 5. Technological Resources 0.619 0.000** ** Correlation is significant at the 0.01 level Table (7) clarifies the correlation coefficient for each item of Quality Strategy and Plan and the total of the field. The p-values (Sig.) are less than 0.01, so the correlation coefficients of this field are significant at α = 0.01, so it can be said that the paragraphs of this field are consistent and valid to be measure what it was set for. 106
Appendix (B) Validity of Questionnaire Table 7: Correlation coefficient of each item of Quality Strategy and Plan and the total of this field No. Item Spearman P-Value Correlation (Sig.) Coefficient 1. Establishing strategic base on the concept of total quality management 0.702 0.000** 2. Establishing strategic base on information relevant to total quality 0.758 0.000** 3. Identifying the goals 0.573 0.000** 4. Identifying the organization mission and vision 0.740 0.000** 5. Identifying customers and their need 0.454 0.000** 6. Analysis of internal and external environment 0.790 0.000** 7. Control and improve of plans 0.673 0.000** 8. Communication strategies 0.291 0.005** ** Correlation is significant at the 0.01 level Table (8) clarifies the correlation coefficient for each item of the Quality Process System and the total of the field. The p-values (Sig.) are less than 0.01, so the correlation coefficients of this field are significant at α = 0.01, so it can be said that the paragraphs of this field are consistent and valid to be measure what it was set for. Table 8: Correlation coefficient of each item of Quality Process System and the total of this field No. Item Spearman P-Value Correlation (Sig.) Coefficient 1. Project objectives 0.509 0.000** 2. Conformance to codes and standards 0.404 0.000** 3. Conformance to owner s 0.483 0.000** 4. Time 0.271 0.000** 5. Conformance to control 0.558 0.000** 6. Conformance to safety process 0.602 0.000** 7. Conformance to design processes and procedures. 0.645 0.000** 8. Engineering drawings based on local standard. 0.659 0.000** 9. Conformance to documentation. 0.751 0.000** 10. Conformance to calculation standards. 0.619 0.000** ** Correlation is significant at the 0.01 level 107
Appendix (B) Validity of Questionnaire Table (9) clarifies the correlation coefficient for each item of the Customer Relationship Management and the total of the field. The p-values (Sig.) are less than 0.01, so the correlation coefficients of this field are significant at α = 0.01, so it can be said that the paragraphs of this field are consistent and valid to be measure what it was set for. Table 9: Correlation coefficient of each item of Customer Relationship Management and the total of this field No. Item Spearman P-Value Correlation (Sig.) Coefficient 1. Methodology for gathering and analyzing information. 0.673 0.000** 2. System to specify needs. 0.794 0.000** 3. System for suggestions and complaints. 0.883 0.000** ** Correlation is significant at the 0.01 level Table (10) clarifies the correlation coefficient for each item of the Coordination and Structure and the total of the field. The p-values (Sig.) are less than 0.01, so the correlation coefficients of this field are significant at α = 0.01, so it can be said that the paragraphs of this field are consistent and valid to be measure what it was set for. Table 10: Correlation coefficient of each item of Coordination and Structure and the total of this field No. Item Spearman Correlation Coefficient P-Value (Sig.) 1. Methodology for setting and improving the organization structure 0.584 0.000** 2. Mechanism of coordination between different project parties and levels 0.782 0.000** 3. Mechanism for ensuring coordination 0.654 0.000** 4. Methodology for authority delegation 0.576 0.000** 5. Job description 0.502 0.000** ** Correlation is significant at the 0.01 level 108
Appendix (B) Validity of Questionnaire Table (11) clarifies the correlation coefficient for each sub field of Process Management and the total of the field. The p-values (Sig.) are less than 0.01, so the correlation coefficients of this field are significant at α = 0.01, so it can be said that the paragraphs of this field are consistent and valid to be measure what it was set for. Table 11: Correlation coefficient of each sub field of Process Management and the total of this field No. Sub-Field Spearman Correlation Coefficient P-Value (Sig.) 1. Quality Process System 0.824 0.000** 2. Customer Relationship Management 0.588 0.000** 3. Coordination and Structure 0.661 0.000** ** Correlation is significant at the 0.01 level Table (12) clarifies the correlation coefficient for each item of the Customer Satisfaction and the total of the field. The p-values (Sig.) are less than 0.01, so the correlation coefficients of this field are significant at α = 0.01, so it can be said that the paragraphs of this field are consistent and valid to be measure what it was set for. Table 12: Correlation coefficient of each item of Customer Satisfaction and the total of this field No. 1. Item The contractor s abilities to cooperate and the skills of the contractor s workers and supervisors Spearman Correlation Coefficient P-Value (Sig.) 0.704 0.000** 2. Measure overall customer satisfaction 0.864 0.000** 3. Response time for customer requests. 0.850 0.000** 4. Achieve the plane 0.708 0.000** 5. Continuity and future work with same customer 0.713 0.000** ** Correlation is significant at the 0.01 level 109
Appendix (B) Validity of Questionnaire Table (13) clarifies the correlation coefficient for each item of the Training and Education and the total of the field. The p-values (Sig.) are less than 0.01, so the correlation coefficients of this field are significant at α = 0.01, so it can be said that the paragraphs of this field are consistent and valid to be measure what it was set for. Table 13: Correlation coefficient of each item of Training and Education and the total of this field No. Item Spearman P-Value Correlation (Sig.) Coefficient 1. Develop team work between employees 0.438 0.000** 2. Training given to managers, supervisors and employees related to quality 0.663 0.000** 3. Training in the total quality concept 0.636 0.000** 4. Employees receive training in specific skills (technical and vocational) 0.635 0.000** 5. Training in statistical improvement techniques 0.740 0.000** 6. Availability of resources for employee training in the company 0.651 0.000** 7. Training in interactive skills such as communication skills, meeting skills, and 0.473 0.000** leadership skills 8. Training in problem identification and solving skills, quality improvement skills 0.724 0.000** ** Correlation is significant at the 0.01 level Table (14) clarifies the correlation coefficient for each item of the Continuous Improvement and the total of the field. The p-values (Sig.) are less than 0.01, so the correlation coefficients of this field are significant at α = 0.01, so it can be said that the paragraphs of this field are consistent and valid to be measure what it was set for. 110
Appendix (B) Validity of Questionnaire Table 14: Correlation coefficient of each item of Continuous Improvement and the total of this field No. Item Spearman Correlation Coefficient P-Value (Sig.) 1. Searching for root causes when diagnosing the system malfunction 0.550 0.000** 2. Benchmarking to improve a systems or subsystems and implement/monitor programs 0.648 0.000** 3. working smoothly in teams 0.547 0.000** 4. Gradual future change 0.615 0.000** 5. Regular evaluation for the operating system 0.790 0.000** 6. The quality of data which use to evaluate supervisor and managerial performance ** Correlation is significant at the 0.01 level 0.729 0.000** Table (15) clarifies the correlation coefficient for each item of the Communication and the total of the field. The p-values (Sig.) are less than 0.01, so the correlation coefficients of this field are significant at α = 0.01, so it can be said that the paragraphs of this field are consistent and valid to be measure what it was set for. Table 15: Correlation coefficient of each item Communication and the total of this field No. Item Spearman P-Value Correlation (Sig.) Coefficient 1. Good communications between different departments 0.676 0.000** 2. Quality techniques/tools to solve problems 0.793 0.000** 3. Effective top-down and bottom-up communication 0.778 0.000** 4. Formal feedback 0.746 0.000** 5. Feedback on quality issues 0.731 0.000** ** Correlation is significant at the 0.01 level 111
Appendix (C) Excel Model 112
Appendix (C) Excel Model 113
Appendix (C) Excel Model 114