Jing Zeng, Chi Anh Phan, and Yoshiki Matsui The 11th International DSI and the 16th APDSI Joint Meeting, Taipei, Taiwan, July 12 – 16, 2011. SHOP-FLOOR COMMUNICATION AND PRACTICES FOR OPERATIONAL PERFORMANCE: AN EMPIRICAL ANALYSIS OF QUALITY MANAGEMENT Jing Zeng, Yokohama National University, Japan, zengjing_china@yahoo.co.jp Chi Anh Phan, University of Economics and Business, Vietnam National University, Hanoi, anhpc@yahoo.com Yoshiki Matsui, Yokohama National University, Japan, ymatsui@ynu.a.cp ABSTRACT This paper aims to provide a research framework for studying the role of communication in supporting quality management (QM) practices at the shop floor level to obtain high operational performance. It attempts to investigate the relationship between shop-floor communication and QM practices and their impact on operational performance. The result shows the shop-floor communication has an indirect impact on operational performance mediated by the implementation of QM practices on the shop floor. Keywords: communication, quality management, operational performance, shop floor, structural equation modeling INTRODUCTION The empirical research on quality management (QM) has evolved over the last two decades. Numerous studies have investigated the relationships among QM practices and organizational performance on various levels. Even though the existing literature of quality management (QM) and various quality awards have regarded communication as an important factor for the successful implementation of QM, there are little attempts to link communication and QM practices in achieving high operational performance. Some researchers, though have emphasized the significance of communication and information management in successful implementation of QM [1, 2], did not propose any analytical frameworks for further empirical investigation. Forza [3] pioneered this effort through studying the role of quality information systems in QM from a perspective of information flow. Later on, Forza and Salvador [4] proposed a comprehensive framework for analyzing the information flows taken place within process communication network in supporting the implementation of management best practices (total quality management, just-in-time etc.), which lent a strong foundation for further empirical study. Sila and Ebrahimpour [5], having conducted an intensive review of the critical factors in the existing QM literature, pointed out the scarcity of studies dealing with the role of communication in effective QM implementation in detail. They also suggested three areas on this issue that need more studies: the mechanisms or channels to communicate QM; the types of communication methods and their role in QM; and the impact of the Internet technologies on QM. Responding to this need, this study aims to provide a research model to study the role of communication in supporting QM practices to obtain high operational performance, at the shop floor level. In particular, it attempts to answer the following research questions: RQ1. What is the relationship between communication and QM practices at the shop floor level? RQ2. How do shop-floor communication and QM practices on the shop floor impact on operational performance? This study contributes to the literature by extending our understanding of the role of communication in QM implementation on the shop floor and enriching our knowledge of how to achieve and improve operational performance through leveraging communication. RESEARCH MODEL Figure 1 shows a research model for studying the role of communication in supporting QM practices with the objective of attaining high operational performance. The model contains the following three dimensions: shop-floor communication, process management, and operational performance. The dimension “shop-floor communication” considers communication directed to the shop floor to support the shop-floor personnel to improve quality performance. It includes three types of communication as follows. Teamwork: group communication taken place on the shop floor in order to solve quality problems Feedback: provides the shop-floor personnel with information regarding their performance in a timely and useful manner. Training: instructive communication directed to the shop-floor personnel providing skills, knowledge, expertise, etc. for their proper execution of multiple tasks or jobs. The dimension “process management” represents activities and approaches typical of QM practices on the shop floor. It includes three practices as