Re: Effect on financial performance?

["Jim Clauson, Breakthrough Systems" <jim@jclauson.com>]

Reformatted submission from Martin Stankard

Dear Dr. Fatma Pakdil:

If you are interested in the financial payoff from implementing a 
company-wide, customer driven system for managing improvement, I suggest 
that you read the following two articles.

Hendricks, Kevin B. and Singhal, Vinod R. 1997, "Does Implementing an 
Effective TQM Program Actually Improve Operating Performance - Empirical 
Evidence from Firms That Have Won Quality Awards", Management Science, 43, 
No. 9, September1997, page 1258 – 1274

------- 2001.  "The Long Run Stock Price Performance of firms with 
Effective TQM Programs", Management Science, 47, No. 3, March 2001,pp 359-368

If you are a member of the Institute for Operations Research and Management 
Science -- INFORMS (or have a friend who is a member) you may be able to 
access those articles via the web.

You will also find a study by a US government agency of all publicly traded 
winners of the Baldrige Award. See the Baldrige web site at the URL:

www.quality.nist.gov

You will have to look for the study under a title similar to the "2002 
Baldrige Stock Study."

I hope this helps.

Martin
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Martin Stankard, martins999@aol.com