The influence of quality management on firm performance at PT Astajaya Nirwighnata, Medan

Liputra, William (2019) The influence of quality management on firm performance at PT Astajaya Nirwighnata, Medan. Bachelor thesis, Universitas Pelita Harapan.

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Abstract

In the highly competitive business nowadays, quality management has become one of the most important components that can give competitive advantage to a company. The objective of this research is to analyze whether quality management influence the firm performance of PT Astajaya Nirwighnata, Medan According to Ortiz and Garcia (2014), quality management plays important role in boosting a corporate’s performance because it generates several benefits which can increase effectiveness and efficiency, which eventually will increase firm performance. The research is a quantitative study. Census sampling was utilized as the sample groups of the research are all the allowed population in PT Astajaya Nirwighnata, Medan, who are all the back-office employees. Questionnaires were distributed to collect data regarding quality management implementation and firm performance determinants at the company. The coefficient of correlation is 0.818, which means that the relation between the two variables is strong. The determination test result is 67%, which shows that quality management variable has influenced 67% to firm performance. Linear analysis result is Y= 7.203 + 0.788X. The result of hypothesis Z-test shows that Ha is accepted, which means that there is an influence of quality management on firm performance at PT Astajaya Nirwighnata, Medan. Based on the finding, PT Astajaya Nirwighnata, Medan is recommended to improve the quality management and firm performance by monitoring employees’ activities, encouraging employees to be more proactive, conducting more trainings, creating work comfortability, and focusing more to environmental issues and customer satisfaction.

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