Hubungan Amalan Pengurusan Kualiti Cemerlang Dengan Kepuasan Pelanggan Dalaman Dan Prestasi Organisasi Pihak Berkuasa Tempatan Di Semenanjung Malaysia

This study investigates and tries to understand the relationship between excellent quality management practices with the internal customer satisfaction and
organisational performance in local authorities. The concept of excellent quality management practices is operationalized by the following constructs: top
management influence, focus towards customers, focus towards workers, quality training, suppliers relationship, information and communication technology, as well
as process management. A research framework was developed and twenty-four hypotheses were posited and tested. Data was collected using self-administered personal interviews aided by structured questionnaires. This study employed
disproportionate stratified random sampling procedure for the process of selecting sampling units for inclusion in the sample. Three hundred and ten respondents from
eighty organizations in Peninsular Malaysia participated in this study. Statistical analyses used were the Pearson correlation, one-way ANOVA, multiple regression and path analysis. Descriptive statistics were also employed. The results revealed that each of the excellent quality management practices construct has a significant relationship with internal customer satisfaction and organisational performance. Using multiple regression analysis, the predictor variables indicated 38.5 percent of
variance in the internal customer satisfaction for the direct relationship. Whereas, for the relationship between the predictor variables and the organisational performance there was a 35.8 percent of variance explained. Using the path analysis, predictor variables showed 41.4 percent of variance explained for the indirect relationship with the organisational performance through internal customer
satisfaction. Amongst the constructs, top management influence, focus towards workers, and information and communication technology have significant and positive relationship with organisational performance through internal customer satisfaction. Whereas, suppliers relationship and process management have significant but negative relationship towards the organisational performance through internal customer satisfaction. Therefore, these five variables deserve to be monitored and tailored appropriately in order to enhance organisational performance through internal customer satisfaction. Results from the path analysis also revealed
that the internal customer satisfaction as an intervening variable, has significantly increased in the variance explained in organisational performance. In conclusion, this study provides an insight into further understanding on how to enhance organisational performance by implementing excellent quality management practices
and simultaneously give due emphasis on the internal customer satisfaction.