Total Quality Management and Organizational Performance in Tuguegarao City’s Construction Industry

Total Quality Management and Organizational Performance in Tuguegarao City’s Construction Industry

Abstract

In the year 2024, Tuguegarao City receives its lowest economic growth over the past years. Considering the contribution of construction industry in the economic growth, the researchers underscore the philosophy on the dynamic improvement, the Total Quality Management. The study examined the relationship between Total Quality Management practices and organizational performance in construction companies in Tuguegarao City, Cagayan. A standardized survey questionnaire was used to gather data from 20 respondents. The results showed that most companies had 5-10 years of experience and held small or medium Inter-Agency Committee licenses. The study found a strong positive relationship between TQM dimensions and organizational performance, with Organizational Culture and Top Management Commitment and Leadership being the most influential predictors. A multiple regression analysis confirmed that 84.50% of performance variance could be explained by TQM practices.The study concludes that strategic OC and TMCL focus is crucial for improving organizational performance and recommends a framework for effective TQM implementation in construction companies.

Keywords : total quality management; organizational performance

INTRODUCTION The angle of potential mishaps does not justify failed construction projects; in civil engineering discourse, these failures are often the aftermath of compounded negligence in quality management. Despite its critical role in determining the success of a construction project, quality remains compromised due to poor supervision, substandard materials, lack of communication, and low-bid contracting. Comparable to the snowball effect, even minor lapses in quality management can accumulate, leading to catastrophic consequences destabilizing the project at any point. Over the years, quality management has evolved significantly to meet the demands of a competitive market and ensure long-term success. The growing quality-focused attitude of customers in acquiring services or products has driven companies to transition from traditional approaches to Total Quality Management (TQM). Unlike earlier methods that focus solely on production or labor quality, TQM is a comprehensive philosophy involving all organizational processes, emphasizing the management of the whole to achieve excellence [1]. (Besterfield et al., 2019). Initially introduced in the manufacturing sector, TQM has gradually been embraced by the construction industry due to its customer-centric nature and its focus on long-term quality. Quality is not only a contractual obligation in construction but also a legal and moral requirement, as public safety is directly involved. With liabilities extending five to fifteen years post-project completion, prioritizing quality is non-negotiable. Furthermore, customer satisfaction is closely tied to the quality of finished projects, reinforcing the relevance of TQM principles in construction. Multiple international studies have established the positive impacts of TQM practices on construction companies, particularly in improving organizational performance. However, these studies often lack consideration of the varying practices and challenges faced by small, medium, and large-scale firms. The researchers acknowledged that company culture, commitment, and resources may differ significantly depending on the size and scope of the organization, resulting in diverse approaches to TQM implementation. In the Philippine context, while local studies on TQM exist, few have focused specifically on its adoption in the construction industry. Given that the construction industry is a major contributor to the country’s economic growth, its continuous improvement is vital. The Philippine construction industry presents unique challenges, including limited resources, domestic market constraints, and technological gaps, distinguishing it from its international counterparts. Tuguegarao City, a developing urban center, provides a unique setting in which to explore TQM implementation. The increasing demand for infrastructure in this area underscores the importance of understanding how TQM practices can predict the organizational performance of local construction companies. These gaps in existing literature prompted the researchers to investigate the potential predictive relationship between TQM practices and organizational performance in the construction companies of Tuguegarao City. This study sought to contribute to the academic and practical fields by exploring strategic approaches to TQM implementation tailored to the specified local construction industry.

OBJECTIVES OF THE STUDY The study aimed to determine Total Quality Management (TQM) Practices and the organizational performance of construction companies in Tuguegarao City, Cagayan. It specifically aimed to: Determine the demographic profile of construction companies. Operating Years Type of PCAB License or Inter-Agency Committee (IAC) Category Inter-Agency Committee (IAC) Classification of Projects Identify the top two implemented Total Quality Management (TQM) practices in each TQM dimension by construction companies in Tuguegarao City. Assess the perceived organizational performance of the construction companies in terms of operational performance, employee performance, etc. Determine if there is a significant difference in the level of Total Quality Management (TQM) practices implementation in terms of: Operating Years Type of PCAB License or Inter-Agency Committee (IAC) Category Determine if there is a significant relationship between the Total Quality Management (TQM) Practices and the Organizational Performance of the construction companies. Identify the Total Quality Management (TQM) Dimensions that are key predictors of the Organizational Performance of construction companies. Create a framework for the strategic implementation of Total Quality Management in construction companies in Tuguegarao City.

MATERIALS AND METHODS

Research Design A quantitative research design was employed in this study to investigate the formulated hypotheses as shown in Table 1. The quantitative approach involved the utilization of a mixed and modified survey questionnaire from two relevant studies to collect data and statistical tools to analyze numerical data. Table 1: Null Hypotheses of the Study.

H01 There is no significant difference in the level of Total Quality Management (TQM) practices implementation among the participating construction companies in terms of operating years. H02 There is no significant difference in the level of Total Quality Management (TQM) practices implementation among the participating construction companies in terms of the IAC category (type of PCAB license). H03 There is no significant relationship between the Total Quality Management (TQM) practices and the organizational performance of the participating construction companies.

Sampling Technique The population of the study was represented by the top management personnel (owner/s), project engineers, site engineers, and selected employees (foremen) from the twenty- six (26) registered construction companies in Tuguegarao City, Cagayan. A purposive sampling technique was used in selecting the respondents of the study due to factors such as time availability and top management permission. Thus, the researchers were able to survey twenty (20) willing respondents. Locale of the study The study explored the total quality management (TQM) practices and organizational performance of the construction companies comprising the local construction industry of Tuguegarao City, Cagayan, Philippines.

Research Instruments The researchers used a questionnaire to collect data from the respondents of the study. The questionnaire comprises modified, adopted constructs from two relevant studies. In part 1 of the questionnaire, which was focused on TQM practices, twenty-eight (28) constructs were adopted from the study questionnaire of Jong et al. (2018), and thirty-seven (37) constructs were from the study questionnaire of Androwis et al. (2017). In part 2, which was focused on organizational performance, four (4) constructs were from Jong et al. (2018), and twenty-one (21) constructs were from Androwis et al. (2017). The questionnaire comprised closed-ended questions and a five-point Likert Scale. Scale dimensions were specified in the table below.

Scale Point Numerical Interval Description 1 1.00 – 1.80 Strongly Disagree 2 1.81 – 2.60 Agree 3 2.61 – 3.40 Neutral 4 3.41 – 4.20 Agree 5 4.21 – 5.00 Strongly Agree Table 2: Five-Point Likert Scale Used in the Research Questionnaire

A survey using the mixed and modified questionnaire was also conducted among fifteen (15) respondents from a similar population to that of the study, as suggested by the study of Hassan et al. (2006), to collect data testing the reliability of the questionnaire. The researchers utilized the functions of Microsoft Excel for faster determination of the Cronbach’s Alpha (∝), which is the measure of the internal consistency of the instrument. Interpretation of the values of Cronbach’s Alpha (∝) is shown below.

Table 3: Cronbach’s Alpha (∝) Values

Alpha Value Internal Consistency ≥0.90 Excellent 0.80-0.89 Good 0.70-0.79 Acceptable 0.60-0.69 Questionable <0.60 Poor

A value higher than 0.95 may indicate redundancy among items; hence, in this study, the range of acceptable values for Cronbach’s Alpha is 0.70 – 0.94. If the value is not within this range, that specific item may need revision or removal. As shown in Table 4, the Cronbach’s Alpha value for each variable is within the range of accepted values. This signifies that the modified questionnaire has a good internal consistency and is reliable for the data gathering of the study.

Table 4: Cronbach’s Alpha (∝) Values for the Subsets of the Research Questionnaire

Variables Number of Items or Constructs Cronbach’s Alpha Value (∝) TQM Variables 65 Top Management Commitment and Leadership 8 0.87 Employee Participation 4 0.73 Customer Focus 10 0.79 Training, Education, and Reward 8 0.87 Supplier Management 5 0.85 Continuous Improvement 11 0.90 Table continued… Process Control and Improvement 6 0.81 Cost of Quality 1 Not Applicable Table continued….. Information and Technology 4 0.84 Organizational Culture 8 0.86 Organizational Performance Variables 25 Operational Performance 5 0.75

Employee Performance 5 0.84 Innovation Performance 4 0.81 Environmental Performance 4 0.80 Customer Performance 4 0.90 Economic Performance 3 0.88

Data Gathering Procedure A survey was conducted among the respondents from the construction companies in Tuguegarao City. After seeking permission from the top management of each construction company through a duly signed request letter, including that of the respondents, and ensuring confidentiality of information, the researchers administered the questionnaire and collected it afterward. The data acquired was subjected to analysis and interpretation in the next chapter.

Analysis of the Data/ Statistical Treatment The data was analyzed using appropriate statistical tools as shown in Table 5. Descriptive statistics were primarily used to summarize categorical data from the demographic profile of respondents. Using the computation for mean, the average score for each TQM practice was determined, therefore providing a basis for the ranking of the TQM practices of the study sample. This was also used in evaluating the mean score of each IAC main category in terms of TQM practices and organizational performance. Meanwhile, inferential statistics, specifically the independent samples t-test, were utilized in testing the null hypotheses 1 and 2 of the study. In the correlation analysis of TQM practices and organizational performance, Pearson’s Correlation Coefficient was used to describe the direction and strength of the linear relationship. Furthermore, multiple regression analysis was used to determine specific TQM practices that have a significant relationship with organizational performance. Lastly, the multiple regression analysis method and analysis of variance (ANOVA) were used in testing the main hypothesis (hypothesis 3) of the study, where a p-value less than 0.05 implies rejection of the null hypothesis.

Table 5: Statistical Tools Used in the Study

Statistical Tool Purpose or Usage Independent Samples t-test (two-tailed) To evaluate if there is no significant difference between the two groups mentioned in null hypotheses 1 and 2. Pearson’s Correlation Coefficient To evaluate the correlation between the TQM practices and the organizational performance of the study sample. Multiple Linear Regression To test null hypothesis 3 and to identify the TQM Dimensions that are key predictors of Organizational Performance.

RESULTS AND DISCUSSION

Demographic Profile of Respondents Out of the twenty-six (26) construction companies registered in Tuguegarao City, seven (7) companies have permitted their employees to participate in this study. The researchers were able to conduct a survey and collect data from twenty (20) employees coming from these seven (7) respective companies.

Table 6: Distribution of Respondents Based on Operating Years of their Construction Company

Designated Group Name Operating Years Frequency Percentage (%) A 0 – 5 years 6 30.00 B 5 – 10 years 14 70.00 C Above 10 years 0 0

Table 6 shows the distribution of the respondents according to the years of operation of the construction companies where they are employed. The majority of the twenty (20) respondents, which accounts for seventy percent (70.00%) of the study population, work in construction companies that have been operating for five (5) to ten (10) years now. Meanwhile, the remaining thirty percent (30.00%) of the sample works in construction companies with below five (5) years of operation. The participating construction companies in this study have been operating for ten years or below, none of which has operated for more than ten (10) years.

Table 7: Distribution of Respondents Based on the IAC Category of their Construction Company

Designated Group Name IAC Category Frequency Percentage (%) A Small (P 3.0 M and below) 10 50.00 B Medium (P 3.0 M – P 30.0 M) 10 50.00 C Large (P 3.0 M and above) 0 0

As shown in Table 7, half of the study sample (50.00%), which is equivalent to ten (10) respondents, works in construction companies that are within the small category of the Inter-Agency Committee. Construction companies that fall under the small category can only carry out a construction-related project amounting to a total cost of three million (3M) pesos and below. Meanwhile, the other fifty percent (50.00%) of the sample works in construction companies that are categorized as medium. In this category, the construction company is allowed to accept a construction-related project with a total cost up to thirty million (30M) pesos. Among the participating construction companies in the study, none qualified for the large category.

Table 8: Distribution of Respondents Based on the IAC Project Classification of their Construction Company

IAC Project Classification Frequency Percentage (%) General Engineering 20 100.00 General Building 20 100.00 Specialties 20 100.00

From Table 8, it can be concluded that the study sample comprises respondents employed in construction companies that engage in all types of IAC Project Classification. The participating construction companies carry out projects under general engineering, general building, and specialties.

Top Two Implemented Total Quality Management (TQM) Practices per TQM Dimension Table 9 shows the implemented TQM practices in each dimension that obtained mean scores under the top two highest category. The TQM practice with the highest mean score (4.75) among all other practices was under the Customer Focus (CF) dimension. This practice corresponds with the identification of customers, their needs, and aligning the processes in the organization to satisfy these needs. This practice, according to Irannejad et al (2022), is required in attaining customer satisfaction and is a manifestation of organizational flexibility. Meanwhile, the practice of having a well-prepared disaster and emergency preparedness system to ensure continuity of operations, which falls under the Process Control and Improvement (PC) dimension, gained the second highest mean score (4.70). Considering that Tuguegarao City frequently experiences weather disturbances that cause temporary suspension of construction activities, this TQM practice signifies organizational resiliency. In line with this is the study conclusion of Jong et al. (2018), stating that a well-prepared operation enhances the productivity of the entire organization.

Table 9: Top Two Implemented Total Quality Management (TQM) Practices per TQM Dimension

TQM DIMENSIONS Mean Score Remark Top Management Commitment and Leadership (TMCL) Encouragement of quality-related concepts and skills. 4.65 Strongly Agree Establishment and sustainment of a clear, visible, customer-focused quality vision, values, and mission. 4.55 Strongly Agree Employee Participation (EP) Employee teamwork and problem-solving are encouraged as part of quality-initiative in the organization. 4.55 Strongly Agree Employee suggestions are considered and responded to by the management. 4.45 Strongly Agree Customer Focus (CF) Identification of customers, their needs, and aligning the processes in the organization to satisfy these needs. 4.75 Strongly Agree The organization has been customer-focused for a long time. 4.55 Strongly Agree Training, Education, and Reward (TER) Training objectives correspond with the main objectives of the organization. 4.45 Strongly Agree The company has a system for recognition of quality efforts, individual and team achievements. 4.45 Strongly Agree Establishing a salary promotion scheme to encourage employee participation in quality improvement. 4.45 Strongly Agree The company maintains a safe and healthy working environment for all the employees. 4.45 Strongly Agree Excellent Suggestions are financially rewarded. 4.40 Strongly Agree The organization regularly measures employee satisfaction. 4.40 Strongly Agree Supplier Management (SM) Keeping a long-term partnership with key suppliers. 4.50 Strongly Agree Prioritizing quality and delivery performance rather than price in selecting suppliers. 4.40 Strongly Agree Continuous Improvement (CI) Elements of quality management structure manage the organization’s quality journey. 4.55 Strongly Agree Total quality approach is applied to the management support services and business processes. 4.55 Strongly Agree Company leaders take active roles in facilitating continuous improvement. 4.50 Strongly Agree Process Control and Improvement (PC) Having a well-prepared disaster and emergency preparedness system to ensure continuity of operations. 4.70 Strongly Agree The organization has a report system for daily operation work processes. 4.55 Strongly Agree Table continued… Cost of Quality (CQ) Recognizing the importance of cost of quality process to track rework, waste, rejects, and for continuous improvement. 4.40 Strongly Agree Organizational Culture The organizational culture enhances productivity. 4.55 Strongly Agree Continuous quality improvement is integrated in the planning process. 4.50 Strongly Agree The organization instills a quality culture of continuous improvement among employees. 4.50 Strongly Agree

Operating Years and TQM Practices Implementation This section presents and discusses the results of testing Null Hypothesis 1: there is no significant difference in the level of Total Quality Management (TQM) practices implementation among the participating construction companies in terms of operating years. Since there were only two groups to be compared, as shown in Table 6 in Section 4.1, an independent samples t-test was conducted using the IBM SPSS Statistics software to determine whether Null Hypothesis 1 (H01) is to be rejected. As shown in Table 10, the result of the Levene’s Test for the null hypothesis of equal variances yielded an F-statistic of 0.016, signifying a little difference in the variances of the two compared groups. Moreover, the p-value (0.901) is greater than 0.05, which indicates that the null hypothesis cannot be rejected. Therefore, the variances of the two groups are equal, and the results in the row of equal variances assumed will be used for the interpretation of the hypothesis testing. Moving on to the result of the independent samples t-test in Table 11, the t-statistic value (-3.922) indicates a strong negative difference between group means. Meanwhile, the mean difference between the two groups yielded a value of -0.2304, whereas the negative sign implies that Group B (5 – 10 years of operation) has a higher mean score than Group A (below 5 years). This result implies that construction companies with fewer years of operation (below 5 years) have lower TQM scores. Finally, the two-sided p-value (0.001) is less than 0.05, which means that the observed difference between group means is unlikely to have occurred by chance and is statistically significant. In addition, the confidence interval for the mean difference (-0.3538 to -0.1070) does not include zero (0), implying a statistically significant difference between the groups. These reject null hypothesis 1, hence, there is a significant difference in the level of Total Quality Management (TQM) practices implementation in terms of the construction company’s operating years. Table 10: Results of Testing the Null Hypothesis 1 Independent Sample Test Levene’s test for t-test for Equality of Means F Sig t df Significance Mean Difference Std. Error Difference 95% Confidence Interval of the One-sided p Two-sided p Lower Upper TQM MEAN SCORE Equal Variance Assumed 0.016 0.901 -3.922 18 0.001 0.001 -0.2304029302 0.0587522392 -0.3538368043 -0.1000985760 Equal Variance not Assumed -3.955 9.716 0.001 0.003 -0.2304029302 0.0587522392 -0.3538368043 -0.1000985760

IAC Category and TQM Practices Implementation This section presents and discusses the results of testing Null Hypothesis 2: there is no significant difference in the level of Total Quality Management (TQM) practices implementation among the participating construction companies in terms of the IAC category (type of PCAB license). In parallel with hypothesis 1, there were only two groups to be compared, as shown in Table 4-2 in Section 4.1, hence, an independent samples t-test was conducted using the IBM SPSS Statistics software to determine whether Null Hypothesis 2 is to be rejected. As shown in Table 11, the result of the Levene’s Test for the null hypothesis of equal variances yielded an F-statistic of 0.185, signifying a little difference in the variances of the two compared groups. Moreover, the p-value (0.672) is greater than 0.05, which indicates that the null hypothesis cannot be rejected. Therefore, the variances of the two groups are equal, and the results in the row of equal variances assumed will be used for the interpretation of the hypothesis testing. The result of the independent samples t-test in Table 11 shows that the t-statistic value (1.540) is relatively small, compared to that of null hypothesis 1. Meanwhile, the mean difference yielded a value of 0.1062, whereas this positive value signifies that Group A (small) has a higher mean score than Group B (medium). This mean difference is an indication that participating construction companies under the small IAC category have higher TQM scores than those belonging in the medium IAC category. Finally, the two-sided p-value (0.141) is greater than 0.005, which means that the observed difference between group means is not significant. In line with this, the confidence interval for the mean difference (-0.0387 to 0.2510) does include zero (0), which negates that there is a statistically significant difference between the groups. These results prove null hypothesis 2, hence, there is no significant difference in the level of Total Quality Management (TQM) practices implementation in terms of the IAC category of the participating construction companies. Table 11. Results of Testing of Null Hypothesis 2 Independent Sample Test Levene’s test for t-test for Equality of Means F Sig t df Significance Mean Difference Std. Error Difference 95% Confidence Interval of the One-sided p Two-sided p Lower Upper TQM MEAN SCORE Equal Variance Assumed 0.0185 0.672 1.540 18 0.070 0.141 0.1061538461 0.0689262056 -0.0386547384 0.2509624306 Equal Variance not Assumed 1.540 17.117 0.071 0.142 0.1061538461 0.0689262056 -0.0386547384 0.2514997386

TQM Practices Implementation and Organizational Performance It further presents the TQM dimensions that have significant relationships with Organizational Performance. Finally, it discusses the results for the testing of null hypothesis 3 and justifies its acceptance or rejection. At the end of this section is the framework for the strategic implementation of Total Quality Management in construction companies of Tuguegarao City’s construction industry.

Correlation between each TQM Dimension and Organizational Performance Based on the data collected from the respondents, bivariate analysis was run in IBM SPSS Statistics software to determine the Pearson’s Correlation Coefficient (r), which describes the linear relationship between each Total Quality Management (TQM) dimension, such as Employee Participation (EP), and Organizational Performance. Table 13 shows the Pearson’s Coefficient (r) for each TQM dimension mentioned in this study, along with the corresponding direction and strength of correlation.

Table 12: Results of the Bivariate Analysis between each TQM Dimension and Organizational Performance TQM Dimension Pearson's Correlation Coefficient, r Direction Strength TMCL 0.387 Positive Moderate EP 0.252 Positive Weak CF 0.104 Positive Weak TER 0.410 Positive Moderate SM -0.132 Negative Weak CI 0.022 Positive Weak PC 0.383 Positive Moderate CQ 0.056 Positive Weak IT -0.108 Negative Weak OC 0.562 Positive Strong

Among all the TQM dimensions, Organizational Culture (OC) has the highest value of r (0.562), indicating a strong positive correlation with Organizational Performance. It signifies that construction companies with a higher score in organizational culture practices also tend to score higher in organizational performance. An improvement in organizational culture is strongly associated with performance improvements. The result further implies that a strong organizational culture that supports the TQM principles comes in hand with better performance outcomes. Azis et al. (2019) 's study findings support this, emphasizing that organizational culture is a determinant of effective TQM implementation, which is correlated with organizational performance. Meanwhile, other TQM dimensions: top management commitment and leadership (TMCL), training, education, and reward (TER), and process control and improvement (PC), were found to have a moderate positive correlation with organizational performance. Although these do not correlate with organizational performance as strongly as organizational culture (OC) does, an increase in the scores of these TQM dimensions still tends to equate to a moderate increase in the organizational performance score. For instance, construction companies with higher levels of top management commitment and leadership (TMCL) support for TQM practices tend to have better performance as well. This applies the same with training, education, and reward (TER), and process control and improvement (PC). In addition, TQM dimensions such as employee participation (EP), customer focus (CF), continuous improvement (CI), and cost of quality (CQ) have a positive but weak correlation with organizational performance. This translates to a slight increase in organizational performance when any of the mentioned TQM dimensions increases. In contrast with the aforementioned TQM dimensions, supplier management (SM) and information and technology (IT) showed a weak negative correlation with organizational performance. This illustrates that as the score in supplier management (SM), for instance, increases, the organizational performance score minimally decreases. Higher scores in these mentioned TQM dimensions are slightly associated with lower scores in organizational performance. The results suggest a weak inverse relationship between these TQM dimensions and organizational performance. Multiple Linear Regression Analysis for Testing Null Hypothesis 3 Null Hypothesis 3 assumes that there is no significant relationship between the Total Quality Management (TQM) practices and the organizational performance of the participating construction companies.. Since TQM practices were grouped into ten (10) dimensions, such as customer focus (CF), and represent the independent variables potentially predicting the dependent variable (organizational performance), multiple linear regression was employed. It was also used to identify the specific TQM dimensions that are statistically significant predictors of Organizational Performance. This statistical tool allowed the researchers to investigate the collective and individual relationship of the ten (10) TQM dimensions with organizational performance.

Table 13. Summary of Regression Model Model Summary Model R R square Adjusted R Square Std. Error of the Estimate Change Statistics R Square Change F Change df1 df2 Sig. F Change 1 .919* 0.845 0.672 0.1288052447 0.845 4.896 10 9 0.013 Predictors: Total Quality Management Dimensions

As shown in the above Table (13), the multiple regression model revealed a strong positive linear relationship between TQM practices and organizational performance, with the value of R (.919). The model also suggests that 67.20% of the variance in the organizational performance of the participating construction companies is explained by the TQM practices. Additionally, the standard error (0.1288) is low, which increases the model’s reliability. This value suggests that the predictions of the regression model are close to actual values, therefore manifesting good accuracy and consistency. The F-statistic value (4.896) of the model, as shown in Tables 13 and 14, suggests that the variation explained by the model is significantly greater than the unexplained variation. It is an indication that the TQM dimensions collectively explain a significant amount of variance in organizational performance.

Table 14: Analysis of Variance for the Regression Model ANOVAa Model Sum of Squares df Mean Square F Sig. 1 Regression 0.812 10 0.081 4.896 .013b Residual 0.149 9 0.017 Total 0.962 19 Dependent Variable: Organizational Performance Predictors: Total Quality Management Dimensions

Furthermore, the p-value (0.013) is less than the 0.05 limit, implying that the overall regression model is significant. This result means that there is only a 1.30% chance that the observed strong linear relationship between TQM practices and organizational performance occurred due to random chance. The p-value (0.013) supports the notion that the combination of TQM practices as predictors has a statistically significant relationship with how the participating construction companies perform as an organization. Therefore, null hypothesis 3 is rejected.

Table 15: Summary of Regression Coefficients Coefficientsa Model Unstandardized Coefficients Standardized Coefficients t Sig. B Std. Error Beta TMCL 0.532 0.215 0.544 2.473 0.035 EP 0.008 0.133 0.013 0.057 0.956 CF -0.032 0.122 -0.050 -0.263 0.798 TER -0.272 0.132 0.371 2.067 0.069 SM -0.205 0.094 -0.448 -2.185 0.057 CI 0.163 0.130 0.251 1.252 0.242 PC -0.433 0.194 -0.522 -2.237 0.052 CQ 0.105 0.059 0.279 1.770 0.110 IT -0.060 0.068 -0.166 -0.880 0.402 OC 0.851 0.180 1.042 4.494 0.002 Dependent Variable: Organizational Performance

After evaluating the collective relationship of TQM practices with organizational performance, the researchers explored the individual relationship of each TQM dimension with the same dependent variable. This is to determine the specific TQM dimensions that have a significant positive relationship with organizational performance. Table 15 reveals that among the ten (10) TQM dimensions examined, only Top Management Commitment and Leadership (TMCL), and Organizational Culture (OC) have a statistically significant relationship with organizational performance. This is supported by the p-values of these two TQM dimensions: 0.035 and 0.002, respectively, which are both less than the 0.05 limit. Organizational Culture (OC) has the strongest and most statistically significant impact on organizational performance, as revealed by the unstandardized and standardized beta values. With a one-unit increase in Organizational Culture (OC), there is an equivalent 0.851-unit increase in organizational performance. In addition, its standardized beta value (1.042) implies that OC has the greatest influence among all predictors. The high standardized beta also suggests that organizational culture may act as a facilitating context, either amplifying or weakening the statistical impact of other TQM dimensions. For instance, a strong top management commitment may still fail to deliver results if the organizational culture is resistant to change. This result signifies that organizational culture is the backbone of successful TQM implementation. A culture that values and integrates continuous improvement and instills quality culture among employees creates an environment where TQM principles can thrive. This result solidifies the conclusion of Azis et al. in their 2019 study, emphasizing that an organization must provide a conducive environment (culture) for the effective implementation of Total Quality Management (TQM). Top Management Commitment and Leadership (TMCL) also has a positive and statistically significant impact on organizational performance. The unstandardized beta value suggests that a one-unit increase in TMCL is associated with a 0.532-unit increase in organizational performance. Meanwhile, the standardized beta value (0.544) indicates a strong relative influence among the TQM dimensions, further implying that it makes a substantial contribution in predicting organizational performance. The significance of TMCL in the model aligns with the established findings of Teeradej et al. (2020), emphasizing that active and strong leadership from the top management is required in the successful implementation of TQM. The total quality initiative begins with the top management of any construction company. Leaders’ commitment sets the tone, defines priorities, and influences employees’ involvement in transitioning to a total quality culture. This is supported by the study findings of Rallang and Gutierrez (2024) which emphasized that the top management is the highest policy-making body, hence justifying that their leadership practices are significant in total quality management. The results of this multiple linear regression recommend that to implement Total Quality Management strategically, specifically for the construction companies in Tuguegarao City, they must focus on these two key factors: top management commitment and leadership (TMCL), and organizational culture (OC). Both are statistically and theoretically supported; therefore, investing in these key factors ensures performance gains for the organization.

CONCLUSIONS The level of Total Quality Management (TQM) Practices implementation of participating construction companies in Tuguegarao City significantly differs in terms of operating years. Participating construction companies that have been operating for more than five (5) years have a significantly higher level of TQM Practices implementation. The level of Total Quality Management (TQM) Practices implementation of participating construction companies in Tuguegarao City does not significantly differ in terms of the Inter-Agency Committee category. Although small, participating construction companies scored higher in TQM than medium construction companies, the mean difference is not significant. The implementation of Total Quality Management (TQM) Practices has a significant relationship with the organizational performance of the participating construction companies. These TQM practices significantly predict the performance of the participating construction companies in Tuguegarao City. Total Quality Management Practices under organizational culture (OC), and top management commitment and leadership (TMCL) are statistically significant in predicting the organizational performance of participating construction companies in Tuguegarao City. Focusing on these two key factors allows strategic TQM implementation and optimized performance outcomes. RECOMMENDATIONS The results of the study are based on the perceptual data collected from the respondents, hence, the relationship between Total Quality Management (TQM) practices and organizational performance is emphasized as a correlation and has a predictive nature. The causative relationship between these two has not been investigated in this study; only correlations have been examined. Thus, the researchers recommend exploration of empirical evidence for a potential causative relationship between TQM practices and the organizational performance of construction companies. The results of this study can be used as a basis for deciding the variables to be included in future empirical investigations. In addition, the researchers suggest extending the population of the study and increasing the sample size for future similar studies. Instead of focusing on one municipality, future researchers can opt for a province-wide study. In line with this, the researchers recommend the use of probabilistic sampling for the generalizability of collected data. The standardized beta coefficient of Organizational Culture (OC) in the multiple linear regression is relatively high compared to other TQM dimensions. As this suggests that it has a strongly significant predictive relationship with organizational performance, the researchers recommend looking into its potential impact on other TQM factors, such as employee participation. Future studies may investigate the organizational culture of construction companies in Tuguegarao City, for instance, and how it affects the implementation of TQM practices.

3 Bibliography

Appreciation goes to Tuguegarao City's Local Government Unit, which provided us with a list of registered construction companies and to our respondents who took the time to complete our survey thoroughly.

1. Aawag, Mohsen, Mohammed, Alawag., Wesam, Salah, Alaloul., Mohd, Shahir, Liew., Al- Hussein, M., H., Al-Aidrous., Syed, Saad., Syed, Ammad. (2020). Total Quality Management Practices and Adoption in Construction Industry Organizations: A Review. doi: 10.1109/IEEECONF51154.2020.9319992 2. Adulapuram, N. A., Annaladas, N. M., Allikanti, N. B., & Kausar, N. A. (2024). Achieving operational excellence: Key factors in total quality management for pharmaceutical industry. World Journal of Biology Pharmacy and Health Sciences, 18(2), 327–331. 3. Aggarwal, S., & Singh, A. K. (2022). "Mediating Role of Psychological Capital between Dimensions of Organisational Culture and Employees’ Performance: A Study of Select Organisations". Ramanujan International Journal of Business and Research, 7(1), 82–92. 4. Ahamat, A. (2022). View of Analysis of Total Quality Management Practices in the Construction Sector Performance. 5. Al-Ani, R. Z., & ALMashhadani, H. M. (2024). Total Quality Management. Journal of Engineering, 10(3), 345–358. 6. Alawag, A. M., Alaloul, W. S., Liew, M. S., Baarimah, A. O., Musarat, M. A., & Al- Mekhlafi, A. A. (2023). The Role of the Total-Quality-Management (TQM) Drivers in Overcoming the Challenges of Implementing TQM in Industrialized-Building-System (IBS) Projects in Malaysia: Experts’ Perspectives. Sustainability, 15(8), 6607. 7. Alghaseb, M., & Alshmlani, T. (2022). OSH Performance within TQM Application in Construction Companies: A Qualitative Study in Saudi Arabia. International Journal of Environmental Research and Public Health, 19(19), 12299. 8. Alsaqer, S., Katar, I. M., & Abdelhadi, A. (2024). Investigating Total Quality Management Strategies for Sustainable Customer Satisfaction in GCC Telecommunications. Sustainability, 16(15), 6401. 9. Ameer, M. S. (2018). Total Quality Management Practices and Supply Chain Management: Understanding Linkages from the Logistics Sector of Pakistan. SEISENSE Journal of Management, 1(4), 22–28. 10. Arikkök, M. & Kajaani University of Applied Sciences. (2016). Total Quality Management. N/A. 11. Aziz, A., Sumantoro, I. B., & Maria, D. (2019). Total Quality Management of Micro, Small and Medium Enterprises (MSMES), and the Impact to Organizational Culture and Performance: Case in Emerging Country. Polish Journal of Management Studies, 19(1), 32–45. 12. Bannor, R. K., Oppong-Kyeremeh, H., Boateng, A. O., Kyire, S. K. C., Bold, E., & Nimo,M. A. (2024). Total Quality Management Practices among Women Shea Processors: Implication for Job Performance and Household Expenditure. Cleaner and Circular Bioeconomy, 100118. 13. Bennegreg, S. P. (2023). A Critical Analysis of the Philippine Construction Industry: Current Trends, Forecast, and Business Focus for Engineering Design Firms. 14. Budayan, C., & Okudan, O. (2022). Roadmap for the implementation of total quality management (TQM) in ISO 9001-certified construction companies: Evidence from Turkey. Ain Shams Engineering Journal, 13(6), 101788. 15. Cagayan Valley’s Economy Grew by 6.2 percent in 2023; 7th Fastest Growing Economy among 17 Regions in the Country | Philippine Statistics Authority. (2024, April 25).