THE EFFECT OF TOTAL QUALITY MANAGEMENT (TQM) PRACTICES ON EMPLOYEES JOB SATISFACTION AND ORGANIZATIONAL PERFORMANCE

Abstract

The study to discover the effect of Total Quality Management (TQM) towards employee�s job satisfaction and organizational performance. Data was collected by questionnaire instrument. The unit of analysis is branch office of the state company in Padang city. The study utilized primary data which is obtained through questionnaire. Total sampling is used in this study. 97 questionnaire were returned as a final sample. Data were analyzed by Path Analysis performed by SPSS 23 software. The result show that TQM implementation have positive and significant effect both on organizational performance and employee�s job satisfaction. Employee�s job satisfaction has positive and significant effect on organizational performance. Organizational performance is more influenced by employee�s job satisfaction than TQM