Main Article Content
Abstract
The goal of this study is to examine the influence of overall quality management and leadership on the financial performance of Islamic banks in Makassar Region. The analysis is quantitative. The population of this research is a permanent staff member of Islamic banks, with as many as 298 workers. The sampling method used simple random sampling and a sample of 75 respondents was collected. Collection of data using a questionnaire. The data analysis methodology used multiple linear regression analyses. Study findings at a 5% level of relevance show that overall quality management and governance have a positive and important impact on financial performance. These findings clarify that the implementation of holistic quality control must concentrate on consumers, performance development, education and training, and employee engagement and empowerment. It is important to include front-line workers in decision-making at their workplaces, as they are the key actors in the development of successful results. Leaders or administrators have been in a position to defend subordinates. They have been shown to be able to increase productivity efficiency in such a way that all the work and goals given have been accomplished in compliance with the wishes of the organization.
Keywords
Article Details

This work is licensed under a Creative Commons Attribution 4.0 International License.
References
- Ahire, S. L., Golhar, D. Y., & Waller, M. A. (1996). Development and validation of TQM implementation constructs. Decision Sciences, 27(1), 23–56.
- Ahmad, F., Mustapa, Z., Ilyas, B., & Halim Perdana Kusuma, A. (2020). Relationship of TQM on Managerial Perfomance: Evidence From Property Sector in Indonesia. 47–57. https://doi.org/10.15722/jds.17.12.20201.47
- Akob, M., Arianty, R., & Putra, A. H. P. K. (2020). The mediating role of distribution Kahns engagement: An empirical evidence of salesforce in Indonesia. In Journal of Asian Finance, Economics and Business, 7(2), 249–260. https://doi.org/10.13106/jafeb.2020.vol7.no2.249
- Albers Mohrman, S., Tenkasi, R. v, Lawler, E. E., & Ledford, G. E. (1995). Total quality management: practice and outcomes in the largest US firms. Employee Relations, 17(3), 26–41.
- Avolio, B. J., & Gardner, W. L. (2005). Authentic leadership development: Getting to the root of positive forms of leadership. Leadership Quarterly. https://doi.org/10.1016/j.leaqua.2005.03.001
- Azlina, N., & Sulaeman, D. (2013). Pengaruh Total Quality Management Terhadap Kinerja Financial (Study Pada Perusahaan Jasa di Kota Pekanbaru Provinsi Riau). Jurnal Akuntansi (Media Riset Akuntansi & Keuangan), 1(2), 213–226.
- Choi, T. Y., & Eboch, K. (1998). The TQM paradox: relations among TQM practices, plant performance, and customer satisfaction. Journal of Operations Management, 17(1), 59–75.
- Chong, V. K., & Rundus, M. J. (2004). Total quality management, market competition and organizational performance. The British Accounting Review, 36(2), 155–172. https://doi.org/https://doi.org/10.1016/j.bar.2003.10.006
- Cismas, S. C., Dona, I., & Andreiasu, G. I. (2016). Responsible Leadership. Procedia - Social and Behavioral Sciences, 221, 111–118. https://doi.org/https://doi.org/10.1016/j.sbspro.2016.05.096
- Cronbach, L. J. (1988). Five perspectives on the validity argument. In Test Validity, 3–17. https://doi.org/10.1017/CBO9781107415324.004
- Dalton, C. M. (2005). Human resource management in a global environment: Keys for personal and organizational success: An interview with Eliza Hermann. Business Horizons, 48(3), 193–198. https://doi.org/10.1016/j.bushor.2005.01.003
- Douglas, T. J., & Judge Jr, W. Q. (2001). Total quality management implementation and competitive advantage: the role of structural control and exploration. Academy of Management Journal, 44(1), 158–169.
- Eskildsen, J., & Kristensen, K. (2008). Customer satisfaction and customer loyalty as predictors of future business potential. Total Quality Management & Business Excellence, 19(7–8), 843–853. https://doi.org/10.1080/14783360802159501
- Evans, J. R. (2002). Total quality management. INFOR, 40(4), 364.
- Firman, A., Mustapa, Z., Ilyas, G. B., & Putra, A. H. P. K. (2020). Relationship of TQM on managerial perfomance: Evidence from property sector in Indonesia. In Journal of Distribution Science, 18(1), 47–57. https://doi.org/10.15722/jds.18.01.20201.47
- García-Sánchez, I.-M., Hussain, N., Martínez-Ferrero, J., & Ruiz-Barbadillo, E. (2019). Impact of disclosure and assurance quality of corporate sustainability reports on access to finance. Corporate Social Responsibility and Environmental Management, 26(4), 832–848. https://doi.org/10.1002/csr.1724
- Ghozali, I. (2011). Ekonometrika: teori, konsep dan aplikasi dengan SPSS 17. Badan Penerbit Universitas Diponegoro. Semarang Indonesia.
- Hackman, J. R., & Wageman, R. (1995). Total quality management: Empirical, conceptual, and practical issues. Administrative Science Quarterly, 309–342.
- Han, S. B., Chen, S. K., & Ebrahimpour, M. (2007). The impact of ISO 9000 on TQM and business performance. The Journal of Business and Economic Studies, 13(2), 1.
- Ikram, M., Abirami, M. J., & Swaminathan, S. (2019). Effectiveness of Training on Competency Development. Galore International Journal of Health Sciences and Research, 4(2), 28–33.
- Irwansyah, D., Dina, Erliana, C. I., Sari, A. E., Hamdani, D., Susena, K. C., Irwanto, T., Indahingwati, A., Aida, N., Nugroho, T. R., Kusuma Putra, A. H. P., Sudrajat, D., Murtiningrum, F., Puji Lestari, S. I., Sujinah, Syahputra, H., Yusri, Anita, & Sudarsana, I. K. (2019). Efforts to Improve Service Quality with Fuzzy Approach and Service Quality Methods at Dunia Barusa Inc, 1363(1). https://doi.org/10.1088/1742-6596/1363/1/012071
- José Tarí, J. (2005). Components of successful total quality management. The TQM Magazine, 17(2), 182–194.
- Kahn, K. B. (2018). Understanding innovation. Business Horizons, 61(3), 453–460. https://doi.org/10.1016/j.bushor.2018.01.011
- Kanji, G. K. (1996). Can total quality management help innovation? Total Quality Management, 7(1), 3–10.
- Komari, N., & Djafar, F. (2013). Work ethics, work satisfaction and organizational commitment at the Sharia Bank, Indonesia. International Business Research, 6(12), 107.
- Kumar, V., Choisne, F., de Grosbois, D., & Kumar, U. (2009). Impact of TQM on company’s performance. International Journal of Quality & Reliability Management, 26(1), 23–37.
- Markoulli, M. P., Lee, C. I. S. G., Byington, E., & Felps, W. A. (2017). Mapping Human Resource Management: Reviewing the field and charting future directions. Human Resource Management Review, 27(3), 367–396. https://doi.org/10.1016/j.hrmr.2016.10.001
- Nasir, M. (2020). Etika dan Komunikasi dalam Bisnis: Tinjauan Al-Qur’an, Filsafat dan Teoritis. CV. Social Politic Genius (SIGn).
- Nasrun, M. (2018). The Effect Of TQM And Budget Participation On Managerial Performance In Corporate Manufacturing In Industrial Area Makassar. ATESTASI: Jurnal Ilmiah Akuntansi, 1(1), 70-84. https://doi.org/10.33096/atestasi.v1i1.48
- Purbaningsih, R. Y. P., & Fatimah, N. (2014). The effect of liquidity risk and non performing financing (NPF) ratio to commercial Sharia bank profitability in Indonesia. LTA, 60(80), 100.
- Ramlawati, Et. al. (2011). Implikasi Praktek Total Quality Management (TQM) terhadap. Jurnal Aplikasi Manajemen ISSN:1693 5241, 9(Mei), 818–825. http://djumahirfeb.lecture.ub.ac.id/files/2012/02/Implikasi-praktek-total-quality-management-terhadap-daya-saing-kepuasan-konsumen-dan-kinerja-bisnis-pada-perusahaan-manufaktur-di-kota-Makasar.pdf
- Ramlawati, R., & Putra, A. H. P. K. (2018). Total Quality Management as the Key of the Company to Gain the Competitiveness, Performance Achievement and Consumer Satisfaction. International Review of Management and Marketing, 8(5), 60–69.
- Reed, R., Lemak, D. J., & Mero, N. P. (2000). Total quality management and sustainable competitive advantage. Journal of Quality Management, 5(1), 5–26. https://doi.org/https://doi.org/10.1016/S1084-8568(00)00010-9
- Said, S., Muhammad, A., Amiruddin, A., Asad, A., Rustan, C., & Sofyan, A. S. (2019). Managing With Sharia : Strengthening Sharia Banking Spiritual Literation. 6(2), 161–180. https://doi.org/10.24252/minds.v6i2.10297
- Shewhart, W. A., & Deming, W. E. (1986). Statistical method from the viewpoint of quality control. Courier Corporation.
- Soejono Tjitro, F. (2000). Are There Limits to Total Quality Management ? (Soejono Tjitro et.al) Are There Limits to Total Quality Management? Jurnal Teknik Mesin, 2(2), 121–126. http://puslit.petra.ac.id/journals/mechanical/
- Sricharoenpramong, S. (2018). Service quality improvement of ground staff at Don Mueang International Airport. Kasetsart Journal of Social Sciences, 39(1), 15–21. https://doi.org/https://doi.org/10.1016/j.kjss.2017.12.001
- Syarifuddin, S. (2020). Financing Schemes and Lost Profit Sharing in Islamic Banking: Challenges and Opportunities. ATESTASI: Jurnal Ilmiah Akuntansi, 3(1), 1-13. https://doi.org/10.33096/atestasi.v3i1.372
- Terziovski, M., & Samson, D. (1999). The link between total quality management practice and organisational performance. International Journal of Quality & Reliability Management, 16(3), 226–237.
- Weidmann, B., & Deming, D. (2020). Team Players: How Social Skills Improve Group Performance. Psychology Applied to Work: An Introduction to Industrial and Organizational Psychology, Tenth Edition Paul, 53(9), 1689–1699. https://doi.org/10.3386/w27071
- Wiklund, H., Klefsjö, B., Sandvik Wiklund, P., & Edvardsson, B. (2003). Innovation and TQM in Swedish higher education institutions–possibilities and pitfalls. The TQM Magazine, 15(2), 99–107.
- www.quality-one.com. (2018). Total Quality Management. https://quality-one.com/tqm/
- Yasin, M. N. (2016). The Pluralism Of Islamic Economic Law: Dialectic of Moslem and non-Moslem in the Development of Sharia Banking in Indonesia. Journal of Indonesian Islam, 10(1), 113–138.
- Yukl, G. (1981). Leadership in Organizations, 9/e. Pearson Education India.
- Yukl, G. (2012). Effective Leadership Behavior: What We Know and What Questions Need More Attention. Academy of Management Perspectives, 26(4), 66–85. https://doi.org/10.5465/amp.2012.0088
- Yukl, G., & Fu, P. P. (1999). Determinants of delegation and consultation by managers. In Journal of Organizational Behavior, 20(2), 219–232. https://doi.org/10.1002/(SICI)1099-1379(199903)20:2<219::AID-JOB922>3.0.CO;2-8
References
Ahire, S. L., Golhar, D. Y., & Waller, M. A. (1996). Development and validation of TQM implementation constructs. Decision Sciences, 27(1), 23–56.
Ahmad, F., Mustapa, Z., Ilyas, B., & Halim Perdana Kusuma, A. (2020). Relationship of TQM on Managerial Perfomance: Evidence From Property Sector in Indonesia. 47–57. https://doi.org/10.15722/jds.17.12.20201.47
Akob, M., Arianty, R., & Putra, A. H. P. K. (2020). The mediating role of distribution Kahns engagement: An empirical evidence of salesforce in Indonesia. In Journal of Asian Finance, Economics and Business, 7(2), 249–260. https://doi.org/10.13106/jafeb.2020.vol7.no2.249
Albers Mohrman, S., Tenkasi, R. v, Lawler, E. E., & Ledford, G. E. (1995). Total quality management: practice and outcomes in the largest US firms. Employee Relations, 17(3), 26–41.
Avolio, B. J., & Gardner, W. L. (2005). Authentic leadership development: Getting to the root of positive forms of leadership. Leadership Quarterly. https://doi.org/10.1016/j.leaqua.2005.03.001
Azlina, N., & Sulaeman, D. (2013). Pengaruh Total Quality Management Terhadap Kinerja Financial (Study Pada Perusahaan Jasa di Kota Pekanbaru Provinsi Riau). Jurnal Akuntansi (Media Riset Akuntansi & Keuangan), 1(2), 213–226.
Choi, T. Y., & Eboch, K. (1998). The TQM paradox: relations among TQM practices, plant performance, and customer satisfaction. Journal of Operations Management, 17(1), 59–75.
Chong, V. K., & Rundus, M. J. (2004). Total quality management, market competition and organizational performance. The British Accounting Review, 36(2), 155–172. https://doi.org/https://doi.org/10.1016/j.bar.2003.10.006
Cismas, S. C., Dona, I., & Andreiasu, G. I. (2016). Responsible Leadership. Procedia - Social and Behavioral Sciences, 221, 111–118. https://doi.org/https://doi.org/10.1016/j.sbspro.2016.05.096
Cronbach, L. J. (1988). Five perspectives on the validity argument. In Test Validity, 3–17. https://doi.org/10.1017/CBO9781107415324.004
Dalton, C. M. (2005). Human resource management in a global environment: Keys for personal and organizational success: An interview with Eliza Hermann. Business Horizons, 48(3), 193–198. https://doi.org/10.1016/j.bushor.2005.01.003
Douglas, T. J., & Judge Jr, W. Q. (2001). Total quality management implementation and competitive advantage: the role of structural control and exploration. Academy of Management Journal, 44(1), 158–169.
Eskildsen, J., & Kristensen, K. (2008). Customer satisfaction and customer loyalty as predictors of future business potential. Total Quality Management & Business Excellence, 19(7–8), 843–853. https://doi.org/10.1080/14783360802159501
Evans, J. R. (2002). Total quality management. INFOR, 40(4), 364.
Firman, A., Mustapa, Z., Ilyas, G. B., & Putra, A. H. P. K. (2020). Relationship of TQM on managerial perfomance: Evidence from property sector in Indonesia. In Journal of Distribution Science, 18(1), 47–57. https://doi.org/10.15722/jds.18.01.20201.47
García-Sánchez, I.-M., Hussain, N., Martínez-Ferrero, J., & Ruiz-Barbadillo, E. (2019). Impact of disclosure and assurance quality of corporate sustainability reports on access to finance. Corporate Social Responsibility and Environmental Management, 26(4), 832–848. https://doi.org/10.1002/csr.1724
Ghozali, I. (2011). Ekonometrika: teori, konsep dan aplikasi dengan SPSS 17. Badan Penerbit Universitas Diponegoro. Semarang Indonesia.
Hackman, J. R., & Wageman, R. (1995). Total quality management: Empirical, conceptual, and practical issues. Administrative Science Quarterly, 309–342.
Han, S. B., Chen, S. K., & Ebrahimpour, M. (2007). The impact of ISO 9000 on TQM and business performance. The Journal of Business and Economic Studies, 13(2), 1.
Ikram, M., Abirami, M. J., & Swaminathan, S. (2019). Effectiveness of Training on Competency Development. Galore International Journal of Health Sciences and Research, 4(2), 28–33.
Irwansyah, D., Dina, Erliana, C. I., Sari, A. E., Hamdani, D., Susena, K. C., Irwanto, T., Indahingwati, A., Aida, N., Nugroho, T. R., Kusuma Putra, A. H. P., Sudrajat, D., Murtiningrum, F., Puji Lestari, S. I., Sujinah, Syahputra, H., Yusri, Anita, & Sudarsana, I. K. (2019). Efforts to Improve Service Quality with Fuzzy Approach and Service Quality Methods at Dunia Barusa Inc, 1363(1). https://doi.org/10.1088/1742-6596/1363/1/012071
José Tarí, J. (2005). Components of successful total quality management. The TQM Magazine, 17(2), 182–194.
Kahn, K. B. (2018). Understanding innovation. Business Horizons, 61(3), 453–460. https://doi.org/10.1016/j.bushor.2018.01.011
Kanji, G. K. (1996). Can total quality management help innovation? Total Quality Management, 7(1), 3–10.
Komari, N., & Djafar, F. (2013). Work ethics, work satisfaction and organizational commitment at the Sharia Bank, Indonesia. International Business Research, 6(12), 107.
Kumar, V., Choisne, F., de Grosbois, D., & Kumar, U. (2009). Impact of TQM on company’s performance. International Journal of Quality & Reliability Management, 26(1), 23–37.
Markoulli, M. P., Lee, C. I. S. G., Byington, E., & Felps, W. A. (2017). Mapping Human Resource Management: Reviewing the field and charting future directions. Human Resource Management Review, 27(3), 367–396. https://doi.org/10.1016/j.hrmr.2016.10.001
Nasir, M. (2020). Etika dan Komunikasi dalam Bisnis: Tinjauan Al-Qur’an, Filsafat dan Teoritis. CV. Social Politic Genius (SIGn).
Nasrun, M. (2018). The Effect Of TQM And Budget Participation On Managerial Performance In Corporate Manufacturing In Industrial Area Makassar. ATESTASI: Jurnal Ilmiah Akuntansi, 1(1), 70-84. https://doi.org/10.33096/atestasi.v1i1.48
Purbaningsih, R. Y. P., & Fatimah, N. (2014). The effect of liquidity risk and non performing financing (NPF) ratio to commercial Sharia bank profitability in Indonesia. LTA, 60(80), 100.
Ramlawati, Et. al. (2011). Implikasi Praktek Total Quality Management (TQM) terhadap. Jurnal Aplikasi Manajemen ISSN:1693 5241, 9(Mei), 818–825. http://djumahirfeb.lecture.ub.ac.id/files/2012/02/Implikasi-praktek-total-quality-management-terhadap-daya-saing-kepuasan-konsumen-dan-kinerja-bisnis-pada-perusahaan-manufaktur-di-kota-Makasar.pdf
Ramlawati, R., & Putra, A. H. P. K. (2018). Total Quality Management as the Key of the Company to Gain the Competitiveness, Performance Achievement and Consumer Satisfaction. International Review of Management and Marketing, 8(5), 60–69.
Reed, R., Lemak, D. J., & Mero, N. P. (2000). Total quality management and sustainable competitive advantage. Journal of Quality Management, 5(1), 5–26. https://doi.org/https://doi.org/10.1016/S1084-8568(00)00010-9
Said, S., Muhammad, A., Amiruddin, A., Asad, A., Rustan, C., & Sofyan, A. S. (2019). Managing With Sharia : Strengthening Sharia Banking Spiritual Literation. 6(2), 161–180. https://doi.org/10.24252/minds.v6i2.10297
Shewhart, W. A., & Deming, W. E. (1986). Statistical method from the viewpoint of quality control. Courier Corporation.
Soejono Tjitro, F. (2000). Are There Limits to Total Quality Management ? (Soejono Tjitro et.al) Are There Limits to Total Quality Management? Jurnal Teknik Mesin, 2(2), 121–126. http://puslit.petra.ac.id/journals/mechanical/
Sricharoenpramong, S. (2018). Service quality improvement of ground staff at Don Mueang International Airport. Kasetsart Journal of Social Sciences, 39(1), 15–21. https://doi.org/https://doi.org/10.1016/j.kjss.2017.12.001
Syarifuddin, S. (2020). Financing Schemes and Lost Profit Sharing in Islamic Banking: Challenges and Opportunities. ATESTASI: Jurnal Ilmiah Akuntansi, 3(1), 1-13. https://doi.org/10.33096/atestasi.v3i1.372
Terziovski, M., & Samson, D. (1999). The link between total quality management practice and organisational performance. International Journal of Quality & Reliability Management, 16(3), 226–237.
Weidmann, B., & Deming, D. (2020). Team Players: How Social Skills Improve Group Performance. Psychology Applied to Work: An Introduction to Industrial and Organizational Psychology, Tenth Edition Paul, 53(9), 1689–1699. https://doi.org/10.3386/w27071
Wiklund, H., Klefsjö, B., Sandvik Wiklund, P., & Edvardsson, B. (2003). Innovation and TQM in Swedish higher education institutions–possibilities and pitfalls. The TQM Magazine, 15(2), 99–107.
www.quality-one.com. (2018). Total Quality Management. https://quality-one.com/tqm/
Yasin, M. N. (2016). The Pluralism Of Islamic Economic Law: Dialectic of Moslem and non-Moslem in the Development of Sharia Banking in Indonesia. Journal of Indonesian Islam, 10(1), 113–138.
Yukl, G. (1981). Leadership in Organizations, 9/e. Pearson Education India.
Yukl, G. (2012). Effective Leadership Behavior: What We Know and What Questions Need More Attention. Academy of Management Perspectives, 26(4), 66–85. https://doi.org/10.5465/amp.2012.0088
Yukl, G., & Fu, P. P. (1999). Determinants of delegation and consultation by managers. In Journal of Organizational Behavior, 20(2), 219–232. https://doi.org/10.1002/(SICI)1099-1379(199903)20:2<219::AID-JOB922>3.0.CO;2-8