An Empirical Study on the Factors Affecting the Implementation of Quality Management Systems Among Indonesian Multinational Companies

Abstract

The purpose of this research is to study how Indonesian multinational companies implement their QMS (Quality Management System), and how QMS (Quality Management System) can affect their company performance and the quality of their service or product to analyze the data for this study, quantitative was used. The primary method of gathering primary quantitative data is through a questionnaire. It entails using questionnaires and online surveys to obtain data for the study. Companies’ Performance and Quality of Products or Services were proved to have a positive impact implementation of QMS among multinational companies in Indonesia from the relationship between the two important independent variables and the combined one that has been discussed in this study, shows that a positive relationship between the two independent variables, and both combined independent variables. According to the findings, company performance has a positive relationship through the implementation of QMS (Quality Management System) in the company. The findings show that company performance was one of the factors that affected the company to implement QMS. Based on the survey result, shows that when companies implement QMS their aspect like defect prevention, company’s cycle time, market share, company’s ROA, benefit to society, sales, cost-effectiveness, profit is having improvement, growth, and positive impact leads to overall company performance. Thus, the research also found that the quality of a company's product or service also has a positive relationship through the implementation of QMS (Quality Management System). The findings show that the quality of a company's product or service was also another factor that affected the company to implement QMS. Based on the survey result, shows that when a company implements QMS in their company aspects like product quality, industry-standard quality, positive feedback from clients, relation with the customer, awareness of quality throughout the company, and product delivery on the schedule are made company can produce a good quality of product or service that makes them better compared to their rivals.