Impact of adopted Quality Management on a business model in globalized economy

Turība University, Faculty of Business Administration, Department of Commerce, 68 Graudu Street, Riga, Latvia

^* Corresponding author: zane.drinke@turiba.lv

Abstract

Research background: Changes have become an important topic of discussion among enterprises making it a top priority, especially in addressing sustainability concerns. No other issue is as important as sustainability from the point of globalization. Discussion is about to work intensively towards reinventing existing business models and integrating some methods to stay competitive and profitable. It requires an updated management capability not only through the modernization of processes, but also the creation of a new level of value creation within the company. The Quality Management System (QMS) can be used as a tool for reconstruction of the business activities and creation of new innovative ideas in the company, which comply with changing customer preferences, revenue mechanisms, and, finally, processes and value chains.

Purpose of the article: This research aims to analyse the transformation of a business model which is affected by implementation of the Quality Management system and to find out how it influences the sustainability of a business model.

Methods: In this research the authors used content analysis method with inductive and deductive approach as well as methods of selection and survey of respondents and appropriate quantitative methods to process the obtained data.

Findings & Value added: The results drawn from this research provide academics and practitioners with a better understanding of impacts that an adopted QMS have on business model dimensions within an enterprise. Findings of the research show whether these impacts aid them in becoming more sustainable. This knowledge can then be applied to strategies and management skills for the purpose of achieving better modelling results.