Olva Academy – School of Researchers, Volume 4, Issue 1, March 2022. pp 96 - 103 96 Benson James Lyimo OLVA ACADEMY Abstract: Business environment has undergone tremendous changes and enhancement in quality and has become as one of the essential strategies that could be implemented in any organization in order to achieve organizational competitive advantage. The main objective of this study was to assess the effect of Total Quality Management Practises on Organizational Performance of Commercial Banks particularly Tanzania Commercial Bank. Findings indicated that continuous improvement has significant effect on operational performance. Also, the study findings showed that employee training has significant effect on operational performance. Hence, findings revealed that Tanzania Commercial Bank. The researcher recommends that, future research should draw on this study by looking qualitatively and quantitatively at approaches to the effect of Total Quality Management Practices and operational performance in various sectors and industries. Keywords: Total Quality Management, Performance, Commercial Banks 1. Introduction Business environment has undergone tremendous changes and enhancement in quality and has become as one of the essential strategies that could be implemented in any organisation in order to achieve organizational competitive advantage. In addition, because of the continuous increase in global labour market, organisations must improve their product and services quality in order to survive within other competitors (Hassan et al., 2018). In order to enhance organisational performance, and for the purposes of improving customer satisfaction; several total quality management practices were implemented. Total Quality Management (TQM) is based on; that all organisation staff should collaborate with each other for the purposes of producing high quality products and services in order to meet customers' demands Mwaniki, & Bichanga (2016). The principle of Total Quality Management (TQM) target of cutting-edge operations management methodologies is to advance execution in manufacturing industries. Giving a higher quality administration with lower expense as a system for making and supporting aggressive position have turned into a vital methodology for some business associations over the world. Thus, quality has turned into a key instrument for measuring corporate performance in today's evolving environment. Selection of Total Quality Management has ended up far-reaching among organizations amid the most recent decades as it has been perceived as a noteworthy wellspring of competitive advantage and overall benefit. It assumes a fundamental part in the improvement of administration operations (Rawashdeh, 2018). The effective implementation of TQM practices will increase customer satisfaction with the service offerings (Omachonu & Ross, 2018). Quality enhances customer loyalty through satisfaction; this in turn can generate repeat business and lead to the attraction of new customers through positive word of mouth. The word of mouth communication will help in cost reduction. The improvement in quality will result in increased market share and profitability. Total quality management is a management philosophy which emphasises the devolution of authority to the front-line staff. It ensures the participation of everyone in the decision-making process through activities such as quality cycles and team work. According to Sila (2017), TQM can minimize the total cost of production through sole sourcing. The cost in this case is reduced by limiting the number of suppliers used by the firm and providing them with necessary training and technology. The efficient functioning of an operation will then depend on how well the suppliers meet up with the expectations of the organisation. This is why the TQM principle emphasizes the totality of quality in all facets which includes the suppliers. The total quality approach creates an integrated method of analysing operation by focusing the processes of production on customer satisfaction. Thus, it requires that quality be built into all the processes so as to be efficient in the overall operation (Andrle, 2016). According to Sila (2017), TQM helps in improving the quality of products and also reduces and establishes a stable production process. Continuous improvement which is a feature of TQM is said to reduce the product cycle time thus improving performance (Huang &Lin, 2018). Many other TQM practices such as training, information system management, relationship with suppliers etc have a positive impact on operational performance. The efficient management handling of Article TOTAL QUALITY MANAGEMENT PRACTISES AND OPERATIONAL PERFORMANCE OF COMMERCIAL BANKS