Speaker Notes
Slide two

One such case is that of Cadillac, which received the MBNQA award in the year 2005 but still loosed its market share and failed to distinguish itself in customersatisfaction rating.
Slide three

The study also revealed that return on equity, market value added, and return on assets are primary predictors of firm performance.

A research gap exists that can be addressed by the findings of the study, which will investigate the impact of winning the MBQNA on a firm’s performance.
Slide four

The MBQNA award is awarded to companies that are able to demonstrate and achieve excellence in the fields of manufacturing and production, thereby creating a challenging benchmark for the rest of the firms in the award category.

The winning firm establishes quality factors that become the industry’s competitive forces.

The Baldrige Improvement Act states that all Baldrige winners are required to share their experiences publicly. Indeed, a key purpose of the award is to give other U.S. firms ideas and strategies for improving their services and products.
Slide five

According to experts, the process of applying for the award enables the companies to do the assessment.

According to Peng and Prybutok (2014), a clear impact of earning the MBNQA is the enhancement of the operational performance and profitability. In summary, the companies that attain the award enhance their competitiveness in the overall business environment.
Slide six

The list of MBNQA winners in an 11year period (2004 2015) formed the basis of this study
Slide seven

This will be a quantitative study that will use a multiple regression to examine if winning the MBQNA (IV) has a significant effect on firm performance, as measured by ROA

The multiple regression will be used to determine if there is a correlation between earning the MBNQA and ROA
Slide eight

A comparison of the slopes with adjusted Rsquared indicated which IVs have the greatest effect and to what extent.
Slide nine

ROA is measured in terms of net income divided by total assets and had its entire focus on how a firm is profitable relative to its total assets.

ROE measured in terms of net income to shareholder’s equity, indicating the amount of net income that is being received out of total investment provided by shareholders in the firm.

EVA is the variable that measures the financial performance of an organization based on the calculated residual wealth.

companies that apply EVA in their performance measurement can use several methods to increase this indicator and their performance
Slide ten

The quantitative method was chosen because the data investigated were quantified in nature, as opposed to the use of more subjective, qualitative data.

The appropriateness of the correlational design for the current study derives from the study’s goal to test associations among IV (MBQNA) and a DV (ROA).

The literature has shown that a correlational design is the most appropriate quantitative approach for examining associations among variables, without inferring causality.
Slide eleven

Although average ROA, ROE, EVA, and MVA varied by whether the firm had won the MBNQA, either the sample size or the difference were not large enough for the variations to be statistically significant.

If the results of the dependent samples t tests were significant at the .05 level, the differences in performance prior to winning the MBNQA and after winning the MBNQA were considered statistically significant.
Slide twelve

To test Hypothesis 1 that there is not a relationship between winning the MBNQA and firm performance, a linear regression was conducted.

H1_{a}. B_{ROA ≠} 0 where B_{ROA} is the slope of the linear line representing the relationship between winning the MBNQA and firm performance.
Slide thirteen

To test Hypothesis 2 that there is not a relationship between winning the indicators of number of employees, the price to sales ratio of the firm, and the price to sales ratio of the competing firm, a regression was conducted.
Slide fourteen

Additional statistical analysis was conducted to further examine the relationship between winning the MBNQA and firm performance.

To examine the relationship between winning the MBNQA and firm performance as measured by ROE, a linear regression was conducted.

The results of the linear regression were not statistically significant, F (1, 14) = 2.28, p = .15, and indicated that winning the MBNQA accounted for 14% of the variability in ROE during the period 20042015.
Slide fifteen

The participants in the instrument were selected using random sampling since it was impossible to target all the companies that have won the MBNQA.

In such a type of sampling technique, each of the population elements has an equal chance of being selected in the sample

The study did not utilize a probability sample since cases were selected based on the likelihood that would lead to insights into the strategic management process practiced by a group of companies.
Slide sixteen

Data was collected in a period of 11 years (20042015).

Secondary data were gathered to help uncover valuable information that is impossible to gain in a limited research.

Secondary research was also used to provide the latest theoretical and academic information about the companies investigated and yield evidence to support the research obtained from graphs, tables, or opinions made based on previously collected data, enabling the researcher to understand and analyze what others have written on the subject.
Slide seventeen

The assumptions of linearity and homoscedasticity were created by requesting scatterplots of the standardized residuals against the standardized predicted values in the SPSS output for each of the linear regressions conducted to test the hypotheses and the auxiliary analysis and then examined for patterns in the distribution of points that formed either a curve or a funnel.

The assumption of normality was also assessed for the dependent samples t test that were conducted in the auxiliary analysis.

The assumption of normality was assessed by creating and examining histograms representing the frequency distribution of points for the interval level dependent variables for each group in the independent variable.

Hypothesis 1 and Hypothesis 2 were tested using linear regressions.
Slide eighteen

The assumption of normality was assessed by creating and examining histograms representing the frequency distribution of points for the interval level dependent variables for each group in the independent variable.

Hypothesis 1 and Hypothesis 2 were tested with linear regressions.

The dependent variable in the regression was the interval level variable representing average ROA during the period 20042015 for each of the firms in the dataset.

The independent variables in the linear regression were the interval level variables representing the number of employees in the firm, the pricetosales ratio of the firm, and the pricetosales ratio of the competing firm.
Slide nineteen

The dependent variable in the regression was the interval level variable representing average ROA during the period 20042015 for each of the firms in the dataset.

The independent variables in the linear regression were the interval level variables representing the number of employees in the firm, the pricetosales ratio of the firm, and the pricetosales ratio of the competing firm.

An auxiliary analysis of the study data was conducted to further examine the relationship between winning the MBNQA and firm performance.

Unlike the findings for ROA, average ROE was larger for firms that won the MBNQA (M = .34, SD = .23) than it was for firms that did not win the MBNQA (M = .18, SD = .08).

To examine the relationship between winning the MBNQA and firm performance as measured by ROE, a linear regression was conducted.

To examine the relationship between winning the MBNQA and firm performance as measured by EVA, a linear regression was conducted.

To examine whether the performance of the firms in the dataset was improved after winning the MBNQA, four dependent samples t tests were conducted on each of the four measures of firm performance: ROA, ROE, EVA, and MVA.
Slide twenty

Similar to the central tendency of ROA and EVA for the firms in the dataset, average MVA tended to vary with whether the firm won the MBNQA.

Average MVA was also larger for firms that did not win the MBNQA (M = .22, SD = .30) than it was for firms that did not the MBNQA (M = .10, SD = .08).

Two statistical tests were utilized to test for assumption in the study. They included the linear regression and the dependent samples t test.

The assumptions of these tests were assessed to gauge the generalizability of the findings.

To assess the normality of the variables used in the analysis, histograms of the frequency distribution of the variables were examined for a bellshaped curve.

To assess the assumptions of linearity and homoscedasticity, a scatterplot of the standardized residuals against the standardized predicted values found in the output for each of the linear regressions.
Slide twenty one

Sharpe and Koperwas (2003) identified two dimensions of validity: internal and external.

Internal validity is the assurance that alternative explanations may be ruled out, and that the proposed explanation is indeed valid.

External validity, on the other hand, is the ability to generalize the explanation to applications outside of the immediate use.

In addition to the proactive approach to validity described previously, caution was used regarding the threats to validity outlined by Creswell (2003).

Reliability also refers to the trustworthiness and dependability of the data. Cooper and Schindler (2003) stated that reliability is “the degree to which a measurement is free of random or unstable error”.

The application documents provide a comprehensive representation of the factbased strategic management process in leading edge organizations.
Slide twenty two

The application documents and the transcribed information created an internally coherent research ground, building a systematic, contextrich, and meaningful framework for the study’s emerging concepts and theories (Denzin, 1989).

Transferability requires a theoretical validity that can be applied or transferred to alternative settings
Slide twenty three

The resulting interrelation of qualitative evidence and deductive research in a theory building multiplecase study research design was used to produce rich and meaningful concepts and established the basis for transferability.

Generalizability assesses concepts in terms of their applicability to other theory networks beyond the immediate scope of a particular study.

The casespecific findings replicated, contrasted, and extended across cases. Recognizing patterns or relationships among aspects within and across cases and their underlying arguments allowed the emerging theory to be applied to other theory networks.
Slide twenty four

As a consequence, knowledge of the actual operationalization of the strategy process remains sparse. Focusing on firm performance and selecting the winners of the MBNQA, the present research identified the key aspects of the strategic process and the associated datadriven measures. It illustrated the key performance metrics used by decision makers who lead organizations in the strategy process.

Elements of quality were investigated in order to determine whether a company is worthy of the receipt of such an award and the MBNQA is one of the most prestigious awards in this group.
Slide twenty five

The culmination of the receipt of the award, and the resultant increases in stock prices are in line with past research regarding increased quality practices and stock prices.

As Jacob et al. (2012) indicated, “Award winners do witness an increase in market value,” therefore, it is important to note the award does not serve to bestow firm excellence, but is instead a recognition of firm excellence, allowing the populace at large to receive additional confirmation of the value of the products or services offered to consumers by the winning organizations, something that appears to have been forgotten in light of the research being done in this area.

The answer to the question of whether winning the MBNQA results in an improved ROA for the organization may be stated to be affirmative.
Slide twenty six

This study should have been setup as a metaanalysis, but in order to do so, the smaller studies would need to be conducted first.

In order to obtain the requisite information for the conduction of such a metaanalysis, individual studies must first be conducted in which a reduction of the investigation of MBNQA winners should be made even further, to those within a specific industry.

The study should also be recreated as a metaanalysis of those identified associated component studies, ensuring that the requisite data are available.

First, individual studies should be conducted, allowing for a reduction of MBNQA winners to an even smaller sampling, to those within a more specific single industry.