Toward Sustainable Performance: The Role of Competence and Quality Practices in Manufacturing

M. A. Karim (), M. M. Islam () and Omid Motamedisedeh
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M. A. Karim: School of Mechanical, Medical and Process Engineering, Faculty of Engineering, Queensland University of Technology, George St., Brisbane City, QLD 4000, Australia
M. M. Islam: Department of Finance, College of Business, King Abdulaziz University, Rabigh 21911, Saudi Arabia
Omid Motamedisedeh: School of Mechanical, Medical and Process Engineering, Faculty of Engineering, Queensland University of Technology, George St., Brisbane City, QLD 4000, Australia

Sustainability, 2025, vol. 17, issue 10, 1-28

Abstract: This study investigates the relationship between competence building, quality and reliability practices, and continuous quality improvement, and their impact on sustainable business performance in manufacturing enterprises. Data were collected through a questionnaire survey among Australian manufacturers. The analyses were conducted using a two-step approach involving exploratory and confirmatory factor analyses, followed by structural equation modelling (SEM). Statistical assessments ensured model fitness, reliability, validity, and examined hypothesized relationships. The findings highlight the significant influence of advanced manufacturing practices, such as product data management and manufacturing automation, on product quality, particularly emphasizing the role of competence-building facets. These practices optimize resources, reduce waste, and minimize environmental impact, contributing to sustainable performance improvement in manufacturing. The study underscores the importance of prioritizing quality and reliability evaluations embedded into business processes to minimize resource wastage and environmental impact. By aligning quality improvement initiatives with advanced manufacturing practices, the research highlights pathways for improving business outcomes. This research addresses a critical gap in the literature by presenting a comprehensive framework to evaluate the impact of various parameters on business performance in manufacturing enterprises. By pioneering an analysis of individual competence-building dimensions, it contributes to the existing body of knowledge and offers new directions for future research, particularly in advancing sustainable manufacturing practices.

Keywords: competence building; advanced quality practices; sustainable business performance; manufacturing enterprises; structural equation modeling (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2025
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