Fourth Industrial Revolution and Total Quality Management: Improving the performance of nanostores during pandemic.

Authors

Ortega-Jiménez, Cesar H.

Sorto-Bueso, José R.

Abstract

The purpose of the study is to examine the moderation of the Fourth Industrial Revolution/Industry 4.0 (I4.0) in the relationship between Total Quality Management (TQM) and the improvement of operational performance within nanostores (neighborhood stores, markets, pulperías) in Honduras, as a context of a developing economy. The owner of each of the 143 nanostores studied completed a survey on I4.0 and TQM, with some operational performance indicators, during the Covid pandemic. As this study was based on the contingency theory, multivariate data analysis were performed, measuring whether I4.0 positively moderates the effect of TQM on operating performance. With I4.0, some nanostores have been channeling their efforts towards higher performance by advancing levels of interconnectivity. Eventually, approaches such as TQM will integrate technologies that, in turn, can harm or enhance operational performance. I4.0 seems to have a positive and significant effect (according to previous studies), but especially as a moderator. The authors point out several options for further study in different socioeconomic contexts. This study provides evidence that technological implementation will lead to better perormance in nanostores. The implementation of TQM favors the improvement, supporting nanostores towards I4.0.