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Aligning Operational Practices To Competitive Strategies To Enhance The Performance of Indian Manufacturing Firms
Aligning Operational Practices To Competitive Strategies To Enhance The Performance of Indian Manufacturing Firms
https://www.emerald.com/insight/1463-5771.htm
1. Introduction
Recent trend of globalization challenges manufacturing firms to become more than ever
competitive (Hallgren and Olhager, 2009; Jung et al., 2009; Yunis et al., 2013; Deif and Beek,
2019). In response to such rapidly changing marketplace environment, most firms are likely
to form a business strategic orientation in response to their market reality and this strategic
orientation is about the business direction and objectives driven by the top management of
the firm (Morgan and Strong, 2003; Hong et al., 2014). Competitive strategies are concerned
about how a firm develops a competitive advantage in an industry relative to its competitors
(Danso et al., 2019). Competitive priorities of a company are measures of market
competitiveness (external) and operational competence (internal) (Singh et al., 2008). With
the emergence of several operational improvement philosophies, the alignment of firm’s
competitive strategy (external) and operational practices (internal) becomes a challenging
new task (Qi et al., 2011; Kharub et al., 2019). Competitive strategy refers to the basis on which
Benchmarking: An International
a firm can achieve and maintain a competitive advantage through differentiation, cost Journal
leadership or focus (Porter, 1980; Miller and Roth, 1994; Qi et al., 2011; Jayaram et al., 2014; Vol. 28 No. 1, 2021
pp. 131-165
Herzallah et al., 2017). A firm’s competitive strategy drives its manufacturing (or operational) © Emerald Publishing Limited
1463-5771
strategy leading to operations decision that results in some desired business performance DOI 10.1108/BIJ-03-2020-0128
BIJ (Prajogo and Sohal, 2006; Amoaka-Gyampah and Acquaah, 2008; Qi et al., 2011; Jayaram et al.,
28,1 2014; Kharub et al., 2019).
In operations management (OM) literature, three operational practices namely lean
practices (LEAN), total quality management practices (TQM) and supply chain management
practices (SCM) are widely adopted by manufacturers in developed countries, and share a
common theme consistent with sustainable creation of customer value and continuous
improvement that are replicable across a variety of departments, projects, processes and
132 products within an organization and across the value chain (Jayaram et al., 2014). The
alignment between the firm’s competitive strategy and operational practices has gained
considerable attention since Skinner’s (1969) seminal article. One assumption is that the
competitive strategy and operational practices of the organization complement each other
basically as both are considered to establish a competitive advantage for the business that is a
cumulative outcome of deliberate actions and decisions made by senior management
personnel and several employees from various functional departments on a regular basis and
over the years (Jayaram et al., 2014; Dubey et al., 2018). The development of operational
strategies in alignment to firm’s competitive strategy can serve to improve and tailor the
product offering for customers as well as improve the internal efficiency and effectiveness of
manufacturing plants (Robson et al., 2013). Therefore, an operational strategy is a subset of a
firm’s competitive strategy.
However, in OM literature, there are conflicting pieces of evidence concerning the strategic
orientation that drives a firm’s business performance. One group of scholars argue that TQM
fits the differentiation strategy (Prajogo and Sohal, 2006; Prajogo, 2007; Amoaka-Gyampah
and Acquaah, 2008; Jung et al., 2009; Yunis et al., 2013; Jayaram et al., 2014; Herzallah et al.,
2017), and thus the other group hold that quality is positively related to cost reduction, and
thus TQM supports the cost leadership strategy (Zatzick et al., 2012; Yunis et al., 2013;
Jayaram et al., 2014; Kurt and Zehir, 2016; Herzallah et al., 2017; Kharub et al., 2019). While
Hallgren and Olhager (2009) have argued that lean practices fit the cost leadership strategy.
To the contrary, Jayaram et al. (2014) have argued that operational practices of lean are not
related to the competitive strategy of cost leadership and differentiation. However, in their
research, they found that the operational practices of SCM are positively related to the
competitive strategy of differentiation and focus. More importantly, the OM literature has
shown conflicting arguments concerning the strategic orientation that drives quality
management adoption, particularly between differentiation and cost leadership. While
numerous classical studies (Table 1) are conducted in different contexts involving
competitive strategy, operational practices and the performance (FP) of the firm,
researchers either reported ambiguous results or did not focus on how these three
management domains are linked together. Research has also been deficient in understanding
the linkages between competitive strategy and operational practices in emerging economies
such as India (Shavarini et al., 2013; Jayaram et al., 2014; Bayraktar et al., 2016; Kharub et al.,
2019). As a consequence, the confusion and ambiguity about the linkages between
competitive priorities and operational practices seriously inhibit its effective dissemination in
the practical world.
The increased competition brought about by globalization and economic reforms requires
that manufacturing companies in India and similar dynamic environment not only have to
develop appropriate strategies but they also need to understand how these strategies affect
performance. In economic environments when manufacturers are undergoing several
changes, Hayes (1985) argued that building operational competence can be a means by which
their competitive strategy can be developed and leveraged to enhance the firm performance
(FP) (Amoaka-Gyampah and Acquaah, 2008). In many cases, manufacturing firms are not
able to adapt an operational approach to their unique competitive priorities, which results in a
lack of strategic alignment (Brown et al., 2007; Shavarini et al., 2013; Yunis et al., 2013;
Sr. Article – Author (Year) and
No. research objectives Variables (constructs) of the study Research approach/Methodology Research findings
1 (1) Prajogo and Sohal (2006) (1) Organization strategy (1) Empirical survey data of 194 (1) TQM practices shown to have a significant and
(2) To examine the (differentiation strategy/cost Australian firms (manufacturing positive relationship with differentiation
relationship among leadership strategy) and non-manufacturing) strategy
organization strategy, (2) TQM practices (leadership, (2) Survey data were collected from (2) TQM practices shown to have an insignificant
TQM, and organizational strategic planning, customer middle/senior-level managers (no) relationship with cost leadership strategy
performance focus, information and (3) Survey data analyzed using (3) TQM practices and differentiation strategy are
(3) To examine the mediating analysis, people management structural equation modeling significantly and positively related to three
role of TQM between and process management) organizational performance measures
organization strategy and (3) Organizational performance (4) Cost leadership strategy is shown to have an
organizational (product quality, product insignificant (no) relationship with three
performance innovation and process organizational performance measures
innovation) (5) TQM partially mediates the relationship
between differentiation strategy and
organizational performance measures
2 (1) Prajogo (2007) (1) Competitive strategy (1) Empirical survey data of 102 (1) Quality performance is strongly predicted by
(2) To examine the link (differentiation strategy/cost Australian manufacturing firms differentiation strategy
between quality leadership strategy) (2) Majority of the respondents was (2) Cost leadership strategy did not show a
performance and two (2) Quality performance small- and medium-sized significant effect on quality performance
competitive strategies (reliability, performance, enterprises (3) Examining the co-alignment between cost
(cost leadership and durability and conformance to (3) Survey data were collected from leadership and differentiation strategy, the
differentiation) specification) middle/senior-level managers results of the study indicate that when cost
(3) To examine the co- (4) Statistical tools such as bivariate leadership is high, the positive relationship
alignment between correlation and hierarchical between differentiation and quality
differentiation and cost multiple regression was used to performance is stronger
leadership strategies in examine the hypothesized
predicting quality relationship between competitive
performance strategy and quality
performance
(continued )
strategies
competitive
Operational
133
practices and
and operational
Research evidences on
competitive strategy,
the linkages between
Table 1.
performance
operational practices
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134
Table 1.
Sr. Article – Author (Year) and
No. research objectives Variables (constructs) of the study Research approach/Methodology Research findings
3 (1) Amoaka-Gyampah and (1) Competitive strategy (1) Empirical survey data of 180 (1) Competitive strategy of a firm is positively
Acquaah (2008) (differentiation strategy/cost manufacturing and service associated with manufacturing strategy
(2) To examine the leadership strategy) organizations in Ghana (2) Out of four manufacturing strategy
relationship between (2) Manufacturing strategy (cost, (2) Survey data analyzed using components, only quality appears to influence
manufacturing strategy delivery, flexibility and quality) structural equation modeling firm performance
and competitive strategy (3) Firm performance (market (3) Competitive strategy does not directly affect
and their influence on firm share and sales growth) firm performance, it does so indirectly through
performance quality
(4) Among the four manufacturing strategy
components, a low-cost manufacturing
strategy provides the strongest link with cost
leadership strategy
(5) All the four manufacturing strategy
components are strongly related to
differentiation strategy, the strongest links are
with quality and flexibility
4 (1) Hallgren and Olhager (1) Competitive intensity of (1) Empirical survey data collected (1) Competitive intensity positively impacts both
(2009) industry from 211 manufacturing plants cost leadership (moderate impact) and
(2) To investigate internal (2) Competitive strategy (from electronics, machinery, and differentiation (weak impact) as competitive
and external factors that (differentiation/cost leadership) auto suppliers operating sectors) strategies
drive the choice of lean and (3) Operations characteristics located in Austria, Finland, (2) The choice of a cost leadership strategy fully
agile operations (lean/agile) Germany, Japan, South Korea, mediates the impact of competitive intensity of
capabilities and their (4) Operational performance (cost, Sweden and USA industry as a driver of lean manufacturing
respective impact on quality, delivery and flexibility) (2) Survey data analyzed using (3) Agile manufacturing is directly affected by
operational performance structural equation modeling both internal and external drivers, i.e. a
(3) To analyze the differences differentiation strategy as well as the
between lean and agile competitive intensity of the industry
manufacturing practices (4) Lean manufacturing is positively associated
with cost leadership strategy (moderate) and
differentiation strategy (weak)
(continued )
Sr. Article – Author (Year) and
No. research objectives Variables (constructs) of the study Research approach/Methodology Research findings
(continued )
strategies
competitive
Operational
135
practices and
Table 1.
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136
Table 1.
Sr. Article – Author (Year) and
No. research objectives Variables (constructs) of the study Research approach/Methodology Research findings
6 (1) Qi et al. (2011) (1) Competitive strategy (1) Empirical survey data collected (1) The results of the study show significant
(2) To investigate the (differentiation/cost leadership) from Chinese manufacturing moderating effects of external environment on
relationships among (2) Environmental uncertainty firms the relationship among competitive strategy,
competitive strategy, (demand uncertainty, supply (2) 604 responses were collected supply chain strategy and business
supply chain strategy, and uncertainty, and technological from middle/senior-level performance
business performance uncertainty) managers (in most case plant (2) Firms that primarily focus on a differentiation
while examining the (3) Supply chain strategy (lean manager, general manager, strategy emphasize an agile supply chain
moderating effect of supply chain strategy and agile president or production strategy
environmental uncertainty supply chain strategy) manager) (3) Cost leaders are inclined to implement both
(4) Business performance (return (3) Survey data analyzed using lean and agile supply chain strategies, but their
on investment, return on assets, structural equation modeling emphasis on agile strategy is significantly
market share, growth in ROI, greater in a volatile environment than in a
growth in ROA and growth in stable environment
market share (4) The choice of supply chain strategy does not
appear to be an “either-or” decision and firms
could adopt either a lean or an agile strategy, or
both, depending on the environment
7 (1) Zatzick et al. (2012) (1)Performance (1) Survey data collected from 780 (1) TQM is positive related to performance of cost
(2) This paper explores how (2)TQM Canadian manufacturing firms leaders
fit with the organization’s (3)Cost leadership (2) Use of longitudinal data for (2) TQM is negatively related to performance of
strategic orientation (4)Differentiation analysis differentiators
relates to performance (5)Layoff rate (3) Survey data analyzed using
following TQM (6)Prior performance hierarchical ordinary least
implementation (7)Union density square (OLS) regression
(8)Organization size statistical tool
(9)Multisite operations
(10) Organization age
(11) New technology
implementation
(12) Compete internationally
(13) Compete nationally
(continued )
Sr. Article – Author (Year) and
No. research objectives Variables (constructs) of the study Research approach/Methodology Research findings
8 (1) Yunis et al. (2013) (1) Cost leadership strategy (low (1) Survey data collected from (1) TQM influences strategy formulation process
(2) To examine the role of prices, price-cut decisions and companies located in USA, and it is dynamic resources that contributes to
TQM in strategy-TQM- cost control system) Mexico, Korea and China the achievement of a sustainable competitive
performance relationship (2) Differentiation strategy (2) 268 responses were collected advantage
model (aggressive competition, from middle/senior-level (2) Soft TQM has a higher impact than hard TQM
(3) Theoretical Support: innovation and risk taking) managers on competitive strategy formulation and on
Resource-based view of (3) Quality management (3) Survey data analyzed using performance
firm theory and (leadership, customer/supplier structural equation modeling (3) Soft TQM is positively related to both cost
contingency theory relationship, employee relations leadership strategy and differentiation
and product/process strategy
management) (4) Hard TQM is not significantly related to both
(4) Operational performance cost leadership strategy and differentiation
(continuous improvement, strategy
meeting specification, timely
delivery and within budget)
9 (1) Jayaram et al. (2014) (1) Business strategy (cost (1) Survey data collected from 329 (1) The operational practices of TQM, Lean and
(2) To examine the direct leadership, differentiation and Thai manufacturing firms SCM are significantly associated with
influence of three types of focus) (2) Survey data were collected from operational performance
operations management (2) Operations practices (TQM, middle/senior-level managers (2) Operational practices of TQM are positively
practices, namely TQM, lean, and SCM) (3) Survey data analyzed using related to cost leadership strategy (strong) and
Lean and SCM on (3) Operational performance hierarchical cluster analysis and differentiation strategy (moderate)
operational performance (ability to deliver on time, multiple linear regression (3) Operational practices of TQM are not related to
(3) To understand whether manufacturing/production statistical tool business strategy of focus
the relationship between costs and overall efficiency) (4) Operational practices of lean are positively
operations management related to business strategy of focus
practices and operational (5) Operational practices of lean are not related to
performance varies by the cost leadership and differentiation
type of business strategy (6) Operational practices of SCM are positively
being pursued by the related to business strategy of differentiation
organization and focus
(continued )
strategies
competitive
Operational
137
practices and
Table 1.
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138
Table 1.
Sr. Article – Author (Year) and
No. research objectives Variables (constructs) of the study Research approach/Methodology Research findings
(continued )
Sr. Article – Author (Year) and
No. research objectives Variables (constructs) of the study Research approach/Methodology Research findings
12 (1) Kharub et al. (2019) (1) Competitive strategy (cost (1) Survey data collected from 245 (1) No direct relationship exists between cost
(2) To examine the impact of leadership) Indian micro, small and medium leadership strategy and firm performances
competitive strategy of (2) Quality management (supplier enterprises (MSMEs) (2) Quality management practices completely
cost leadership on firm management, continuous (2) The respondent firms are ISO mediates the relationship between cost
performances management, information and 9000 certified MSMEs leadership strategy and firm performances
(3) To examine the mediating analysis and design and (3) Survey data analyzed using
role of quality development) structural equation modeling
management practices on (3) Firm performance (product
the relationship between quality improvement and
competitive strategy and process improvement)
firm performances
strategies
competitive
Operational
139
practices and
Table 1.
BIJ Herzallah et al., 2017). Furthermore, the role of competitive strategy in implementing
28,1 operational practices in the context of manufacturing firms is both not clear and evident.
Having regard to the above topic, the author is motivated to clarify how the success of the
company is achieved by aligning competitive strategy with operational practices. However,
the research remains open to debate on the linkages between operational practices and the
performance of the firm, as conflicting findings have been recorded in the literature, in
particular on the ties between competitive strategies, Lean (Bai et al., 2019) and TQM
140 (Valmohammadi and Roshanzamir, 2015) on performance. To summarize, the present study
addresses two primary research questions:
(1) Whether there is a positive relationship between operational practices and firm’s
performance in the context of Indian manufacturing sector?
(2) Whether this relationship varies by the type of competitive strategy being pursued
by the firm?
Hence, the present study examines whether the pattern of operational practice–performance
relationships within three different competitive strategic orientation (according to Porter’s
(1980) classification) that were established in the context of developed countries is also
applicable to the context of developing countries like India. The research paper has been
organized into six sections. Section 1 has been discussed with the introduction to the research
study. Section 2 encapsulates the review of literature, formulation of hypotheses and presents
the research model of the study. Section 3 presents the research methodology of the study.
Section 4 presents the analysis and results of the study. Section 5 includes a discussion of the
findings, discusses the theoretical and practical implications of the findings and concludes
(Section 6) with outlining the limitations of the study and suggestions for future research.
Competitive Advantage
3. Research methodology
3.1 Questionnaire design
The researcher surveyed the literature to identify valid measures for constructs of the study
variable and adapted extant items. The researcher submitted the items to academicians and
executives for review and pre-tested them in a sample of about 20 firms with face-to-face
discussions. Based on the feedback, the questionnaire was modified with the wording of some
questions and added or deleted items to ensure that the questionnaire was understandable
and relevant to practices in India. Three dimensions of competitive strategies were adopted in
this study: cost leadership, differentiation and focus. The measurement items for these
competitive strategies were majorly adopted from Hallgren and Olhager (2009), Qi et al. (2011)
and Herzallah et al. (2017). In the questionnaire, the respondents were asked to indicate the
importance of the listed competitive methods with their overall strategy on a five-point Likert
scale (1 – least important and 5 – most important). The measures for lean (Shah and Ward,
2007; Konecny and Thun, 2011; Bortolotti et al., 2015), TQM (Jayaram et al., 2010; Konecny
and Thun, 2011) and SCM practices (Li et al., 2006; Wu et al., 2017) which were mainly adopted
from the mentioned literature. The five constructs of lean practices are autonomous and
preventive maintenance, team-based maintenance, pull production system, technical
emphasis and quick changeovers. TQM is conceptualized using measures of cross-
functional product design, process quality management, quality empowerment, employee
training and quality information usage, whereas SCM is conceptualized using measures of
strategic supplier partnership, customer relationship, level of information sharing, quality of
BIJ information sharing and postponement. The respondents were asked to indicate the extent to
28,1 which operational practices had been implemented by sharing their level of agreement on a
five-point Likert scale (1 – strongly disagree and 5 – strongly agree). The two measures of
firm’s performance, i.e. organizational performance and operational performance, were adopted
from those featured in Kannan and Tan (2005), Li et al. (2006), Belekoukias et al. (2014) and
Al-Dhaafri et al. (2016). The respondents were asked to indicate their performance on these
measures relative to their competitors on a five-point Likert scale (1 – poor or low, 2 – below
150 average, 3 – average or equal to competition, 4 – better than average, and 5 5 superior).
For questions related to measurement aspects of constructs/criteria under each theme,
scoring rubrics were defined for each Likert-type scale, which also served as a guide for
respondents in grading their responses to each question asked by the interviewer. The usage
of Likert scales with rubrics across each section of the assessment tool is an effort to force
respondents to make an exclusive and decisive choice. Questionnaires rated with five-point
Likert scale are simple to answer and are not confusing (Leung, 2011).
of cost leadership, differentiation and focus are 0.812, 0.865 and 0.767 respectively. Similarly,
Cronbach’s reliability coefficient α values for each construct of independent variables (i.e.
lean, TQM and SCM) ranged from 0.789 to 0.873. The Cronbach’s α values for the measures of
dependent variable, i.e. operational performance and organizational performance have
α values of 0.827 and 0.885 respectively. Hence, α values of competitive strategy, operational
practices and firm’s performance scales exceeded by a comfortable margin with respect to
0.70 criteria generally considered adequate for exploratory work, thereby exhibiting an
acceptable level of reliability. The validity of these constructs was also gauzed by KMO test
with values greater than 0.60 in each case, demonstrating that all these scales are valid and
reliable for analysis.
H2a: Cost Leadership (Lean > TQM Not TQM: β 5 0.588 > Lean: β 5 0. 502 > SCM:
or SCM) Supported β 5 0.149
H2b: Differentiation (TQM > Lean or Supported TQM: β 5 0.521 > Lean: β 5 0. 394 > SCM:
SCM) β 5 0.29 Table 5.
H2c: Focus (SCM > Lean or TQM) Not TQM: β 5 0.673 > SCM: β 5 0. 532 > Lean: Results of Hypotheses
Supported β 5 0.457 H2a–H2c
H3a: LEAN 3 TQM (Differentiation > Cost Not Focus: β 5 0.684 > Cost Leadership: β 5 0.
Leadership or Focus) Supported 543 > Differentiation: β 5 0.519
H3b: TQM 3 SCM (Cost Supported Cost Leadership: β 5 0.650 >: Focus: β 5 0.
Leadership > Differentiation or Focus) 633 > Differentiation: β 5 0.460 Table 6.
H3c: LEAN 3 SCM (Focus > Cost Leadership Supported Focus: β 5 0.674 > Cost Leadership: β 5 0. Results of Hypotheses
or Focus) 541 > Differentiation: β 5 0.319 H3a–H3c
BIJ 5.2 Discussion on the results of Hypotheses H2a–H2c
28,1 The analysis results for Hypotheses H2a–H2c are summarized in Table 5. Hypothesis H2a
stated that for firms pursuing the competitive strategy of cost leadership, the relative effect of
operational practices on performance should be significant for lean rather than TQM or SCM.
This hypothesis was not supported as TQM (β 5 0.588) reported being the stronger predictor
variable as compared to lean (β 5 0.502) and SCM (β 5 0.149). Within the cost leadership
cluster, TQM (β 5 0.588) and lean (β 5 0.502) have a significant influence on firm’s
154 performance, whereas the least important practice SCM (β 5 0.149) was not statistically
significant. The cost leadership cluster suggests that TQM is the most important trigger of
bringing the cost down for manufacturing firms in India. Also, an interesting pattern of
results, concerning the sample is the minimal influence of SCM on performance of firm
pursing cost leadership strategy. The results of hypothesis H2a have complemented the
findings of research study by Jayaram et al. (2014), while these findings are not in sync with
findings of study by Hallgren and Olhager (2009) and Qi et al. (2011). In hypothesis H2b, the
researcher argued that for firm pursuing the competitive strategy of differentiation, the
relative impact of operational practices on performance will be higher for TQM as opposed to
Lean or SCM. This hypothesis was supported, although the least important practice SCM
(β 5 0.29) was not statistically significant in influencing the firm’s performance for the
differentiation cluster. The results of hypothesis H2b have complemented the finding of
previous studies by Prajogo and Sohal (2006), Prajogo (2007) and Jung et al. (2009), whereas
these results are not in agreement with the finding of Zatzick et al. (2012) and Yunis et al.
(2013). Interestingly, SCM has a negative influence on performance, signifying that it is
detrimental to business performance. As hypothesized, the operational practices to affect
performance in the differentiation cluster was TQM (β 5 0.521), followed by lean (β 5 0.394)
and then SCM (β 5 0.29). This result is indicative of TQM being an order qualifier for
Indian manufacturing firms pursuing differentiation. It appears that lean practices for the
differentiation cluster have elusive performance benefits. There seem to be a catalytic
association with lean and TQM practices. Finally, in hypothesis H2c, the researcher argued
that for Indian manufacturing firms pursuing a focused strategy, the relative impact of
operational practices on performance is higher for SCM as opposed to TQM or lean. This
hypothesis was not supported with the operational practices of SCM. Instead, TQM
(β 5 0.673) has the highest influence on the performance of the firms in the focused strategy
cluster, followed by Lean (β 5 0.532) and SCM (β 5 0.457). The results of hypothesis H2c are
not in sync with the findings of Jayaram et al. (2014). Hence from the results of hypotheses
H3a–H3c, it is clear that the Indian manufacturing firms operating in the competitive clusters
of cost leadership, differentiation and focus appear to be influenced by the operational
practice of TQM. Over the evolution of increased competitiveness in the manufacturing
sector, the emphasis upon quality has increased and is focused on the customer and meeting
the customer’s demand.
6. Conclusions
Summarizing, the present research explores the proposed research questions in the
introduction section by drawing on the resource-based view of the firm, competitive strategy,
operational practices and contingency theory literature for insights into the constructs and
the relationships among them as stated in the research questions. Addressing the first
research question has provides insights whether operational practices of TQM, lean and SCM
can be considered as a driver of strategic choice, while the second research question has
provided insights about how operational structures and manufacturing practices are adopted
by the firm based upon the competitive strategy being pursued. Hence, based upon RBVF
and contingency theory, this research takes into consideration the operational practices
within the strategic clusters of generic competitive strategies and investigates their
relationship with the firm’s performance. Addressing the second question, the study
examined the relationship between operational practices and firm’s performance within the
conceptual clusters of cost leadership, differentiation and focus. Results of the study support
the researcher’s notion that the pattern of operational practices on performance varies
according to the type of competitive strategy employed. This study also shows that all three
operational practices, i.e. lean, TQM and SCM, are significantly associated with firm’s
performance. TQM has evolved as an approach of success to bring out the quality focus
throughout all phases of an organizational system. Modern TQM programs focus on assuring
that the product design satisfies customer’s primary needs, i.e. it fundamentally focuses on
how well the product or services suits the requirement of the customer. Most manufacturing
firms being a customer-focused organization nowadays lay great emphasis on quality
management system which uses continuous improvement strategy, data and effective
communication to integrate the quality discipline into the culture and activities of the
organization. TQM continues to emerge as a predominant management philosophy among all
competitive strategic clusters of cost leadership, differentiation and focus.
Despite its important contributions, the results of this study must be viewed in the light of
study’s limitation. First, the quantitative data in this study were collected from the senior
management personnel based on their subjective evaluation. More comprehensive objective
indicators should be employed for the proposed research model for future studies. Second, the
anonymity clause requested by respondents and committed by the researcher impedes the
possibility of longitudinal inspection of the study model. Also, our data are cross-sectional,
longitudinal data could be helpful to test the true causality of the proposed research model.
Third, the generalizability of this study may be limited to the manufacturing sector to some
extent by the nature of the sample. Researchers may choose to conduct similar research
considering other sectors and examine the similarities and differences. Also, it would be
interesting to test the analytical framework adopted for this study in different countries. This
specific research study could be extended to further analysis of two different sectors of
manufacturing or between two different countries and with a triangulation methodology,
which enables simultaneous quantitative and qualitative approach toward data collection. It Operational
is also clear that the qualitative assessment should be carried out with case studies to further practices and
generalize the findings of this study.
competitive
strategies
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Corresponding author
Saumyaranjan Sahoo can be contacted at: saumya8989@gmail.com
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