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THE IMPORTANCE OF QUALITY IN THE

CONSOLIDATION OF TEXTILE FIRMS IN MINHO

Sonia De Oliveira

Doutor Gilberto Santos


Doutor Baptista da Costa

Dissertation submitted to the Instituto Politecnico do Cavado in partial fulfillment of the


requirements for the degree of masters of science
This version does not include feedback and suggestions made by the supervising committee
March, 2013

ii

THE IMPORTANCE OF QUALITY IN THE


CONSOLIDATION OF TEXTILE FIRMS IN MINHO

Sonia De Oliveira
Doutor Gilberto Santos
Doutor Baptista da Costa
March, 2013

iii

THE IMPORTANCE OF QUALITY IN THE CONSOLIDATION OF TEXTILE FIRMS


IN MINHO

ABSTRACT
The textile industry has a long tradition in Portugal and it is one of the most important sectors, despite
the current economic crisis. It has always assumed a prominent role in terms of employment and a
relevant position within the Portuguese economy. (Vasconcelos, 2006)
The lack of quality and the lower prices that other countries offer causes the loss of clients. Quality
is a main tool to survive nowadays in the textile sector, as described in the Viso magazine (2012)
To undertake our analysis, we made use of an existing database where 55 firms belonged to the
textile industry, namely to the manufacturing sector. A new survey was created based on the original
survey and was sent to 5 firms. Besides the survey, we also sent a few questions to the firms in order
to retract more information about the actually situation in our country, concerning the textile industry.
Several tables, graphs and pie charts were made to help shed light on our findings.
This research was conducted in order to determine the importance of quality in the consolidation of
textile firms in the north of Portugal.
Most firms in our sample feel that quality improvement, business benefits, mobilizing employees
knowledge and business image were important and that competition is very intense and is mainly by
price and not by differentiation of product or service. The quality program has contributed to improve
their competitive position and the improvement of their overall performance.
The majority of the firms in our sample undertake TQM measures for quality purposes to meet
customer expectations and prevent errors.
Of all firms surveyed, the quality is certainly very important for its survival.

Keywords: quality, portuguese textile industry, Quality Management System, Minho

iv

A IMPORTNCIA DA QUALIDADE NA CONSOLIDAO DAS EMPRESAS


TXTEIS DO MINHO

RESUMO
A indstria txtil tem uma longa tradio em Portugal e um dos setores mais importantes, apesar
da crise econmica atual. Sempre assumiu um papel de destaque em termos de emprego e de uma
posio relevante na economia Portuguesa. (Vasconcelos, 2006)
A falta de qualidade e os preos mais baixos que outros pases oferecem provocaram a perda de
clientes. Atualmente, a qualidade a principal ferramenta para sobreviver no setor txtil (Viso Jan
th

26 2012).
Para efetuar a nossa anlise, utilizamos uma base de dados existente, onde 55 empresas
pertenciam indstria txtil, designadamente ao sector industrial. Tendo em conta a base de dados
existente, foi criado um novo inqurito e enviada para 5 empresas. Para alm do inqurito, foram
igualmente enviado algumas perguntas, a fim de recolher mais informaes sobre a situao atual
da indstria txtil em Portugal. Vrias tabelas e grficos foram construdos a partir dos resultados
obtidos de forma a facilitar a sua leitura.
Esta pesquisa foi realizada para determinar a importncia da qualidade na consolidao das
empresas txteis no norte de Portugal.
A maioria das empresas da nossa amostra sente que a melhoria da qualidade, as vantagens
comerciais, a mobilizao dos conhecimentos dos funcionrios e imagem da empresa foram
importantes e que a concorrncia muito intensa e principalmente pelo preo e no pela
diferenciao do produto ou servio. O programa de qualidade tem contribudo para melhorar a sua
posio competitiva e contribui para a melhoria do seu desempenho global.
A maioria das empresas da nossa amostra aplica os princpios TQM como o objetivo de obter
qualidade satisfazendo as expectativas dos clientes, prevenir os erros e diminuir os custos.
Para todas as empresas entrevistadas, a qualidade , certamente, muito importante para a sua
sobrevivncia.

Palavras-Chave: qualidade, industria txtil portuguesa, Sistema de Gesto da Qualidade, Minho

ACKNOWLEDGMENTS
Throughout the development of this project, I would like to thank some people that directly or
indirectly helped me in my daily work.
I would like to thank my co-supervisor Doctor Baptista da Costa and I would also like to thank my
supervisor Doctor Gilberto Santos for all the support, availability and guidance throughout this
project.
I would also like to thank my sister for all her help and patience and my husband for all his support,
understanding and encouragement.
Finally I would like to thank the firms for their participation to answer the questionnaire and

interviews which contributed to the enrichment of this project.



Thank you

vi

LIST OF ACRONYMS
ATP - Associao Txtil e Vesturio de Portugal
TQM Total Quality Management
QMS - Quality Management System
R & D Research and Development
ISO - International Organization for Standardization
QM - Quality Management
UK United Kingdom

vii

INDEX
Abstract................................................................................................................................... iv
Resumo................................................................................................................................... v
Acknowledgments ............................................................................................................ vi
List of acronyms..................................................................................................................... vii
ndex..................................................................................................................................... viii
List of illustrations................................................................................................................... ix
List of tables............................................................................................................................ x
1.Introduction............................................................................................................................1
1.1.Struture...............................................................................................................................2
2.Literature review ................................................................................................................... 3
3- Methodology
3.1 Methods.14
3.1.1

Data from the Baptista da Costa Study..................................................................14

3.1.2

Data Collection.......................................................................................................15

3.1.3

Analysis of the results.......................................................................................16

4- Results
4.1. Results from questionnaire...........................................................................................18
4.2. Results from Interviews...............................................................................................31
5- Discussion...........................................................................................................................34
5.1. Strengths..................................................................................................................35
5.2. Limitations.................................................................................................................35
6- Concluding remarks...............................................................................................................36
References .....................................................................................................

.....37

Appendixes.....................................................................................................

.....41

viii

LIST OF ILLUSTRATIONS
Figure 1 Continual Improvements of the QMS
Figure 2 - Reasons to implement certification important/extremely important
Figure 3 - Reasons to implement certification not important/with some importance
Figure 4 - Benefits of Certification Substantial benefits/very substantial benefits
Figure 5 Benefits of Certification no benefits/few benefits
Figure 6 - Length of time to implement the ISO 9000 Certification
Figure 7 Competition - Agree
Figure 8 Competition strongly disagree/disagree
Figure 9 - Implication for customers
Figure 10 - Benchmarking
Figure 11 - Empowerment
Figure 12 - Zero defects mentality
Figure 13 - Incoming of the Quality Management System, regarding the way Quality program has
impacted and influenced the results of the firm neither agrees nor disagrees/agree
Figure 14 Firms did not feel that they were better off without the quality program in terms of
improving the firms results
Figure 15 - Culture

ix

LIST OF TABLES
Table 1- Imports and Exports in the textile Industry in Portugal
Table 2 - Main sections and main topics included the original survey
Table 3 - Main sections and topics of the reformulated survey
Table 4 - Reasons to implement certification
Table 5- Benefits of Certification
Table 6 - Competition
Table 7 - Empowerment
Table 8 - Zero defects mentality
Table 9 - Incoming of the Quality Management System, regarding the way Quality program has
impacted and influenced the results of the firm.
Table 10 - Culture

1. INTRODUCTION
The textile industry has a long tradition in Portugal. Despite the current economic crisis, it is still one
of the most important industrial sectors of Portugal. It has always assumed a prominent role in terms
of employment and a relevant position within the Portuguese economy. It is a mature but fragmented
sector subject to periodic mismatches between supply and demand; its performance is strongly
conditioned by fluctuations in the global economic activity (Vasconcelos, 2006).
As stated by Vasconcelos, the textile industry in Portugal has registered dynamic and competitive
behaviors in certain sub-sectors and firms. The geographical and cultural proximity to European
market is a positive aspect and they must take advantage of it.
The Portuguese textile industry has revealed to be dynamic and adventurous in the following sectors:
wool, technical textiles, meshes and clothes making. In the last mentioned sector, Portugal is losing
market share in favor of some countries of the European Union but especially in relation to the cheap
labor countries.
There has been a trend of relocation of production to countries that have benefits in terms of
production costs, leading firms to settle in these countries their own production units or outsource
manufacturing.
The

global

textile

trade

liberalization,

with

the

consolidation

of

the

position

of

Asian countries in the European market, has aggravated the difficulties that this sector has
experienced in the last years, affecting not only Portugal but the entire European Textile Industry
sector. The future of this sector bets on factors such as R & D, innovation, design, striving for
excellence, quality, distribution, logistics and also the internationalization of its products, especially
those containing high levels of differentiation, as mentioned by Clia (2009).
From interviews with Portuguese business owners, from the textile sector, I found that with quality
product but with higher prices, clients seek for better conditions in other countries. That is what is
happening in the textile sector worldwide. Some countries are losing their clients because of the lack
of quality and others because of the lower prices that other countries offer. Clients seek for low prices
but also quality. Quality is a main tool to survive nowadays in the textile sector. Clients also look for
a partner that they can delegate responsibility, and that doesnt happen in the Far East, it is a
characteristic that defines the Portuguese people.
Portugal is also known as a country that sells with credit. Clients look for that type of negotiation and
that does not happen neither in Asian countries or Far East countries. Clients also like the loyalty felt
by our firms because they like to create roots.

Quality and the QMS are two important tools that if they are used properly; they are two great
weapons that we can use in our defense.
The QMS well implemented is an instrument that can manage everything in a firm (human resources,
behaviors ), involving everybody with the firm, with the client and will the society.
Workers are an important link in the firms performance and if all perform their functions properly,
this will be reflected throughout the firm.
Portuguese firms dont enter in price wars, they prefer to offer their clients excellent products, give
their workers the constant adequate training and have the ability and knowledge to overcome crisis.
Besides quality, Portuguese firms also bet on innovation and accurate deliveries, as they have the
knowhow, as stated in Viso magazine (January 2012).
This

research

was

conducted

in

order

to

determine

the

importance

of

quality

in

the consolidation of textile firms in the north of Portugal.


The main objective of this dissertation to work a database that refers to the textile sector in Minho
region. It will allow us to evaluate the impact that quality can cause on the textile firms from Minho,
why some survived and others didnt survive.
There are some questions that arise, such as how quality is a survival factor for textile firms from
Minho, how the lack of a QMS contributed to the closure of some firms and how implementation of
QMS can enhance in addition to competitiveness, innovation and the firms survival.
With this study we expect results that show the impact of quality in textile firms from Minho and the
contribution to its survival, or its closure; how quality boosts innovation and competitiveness in the
textile sector and the importance of quality in the consolidation of textile firms of Minho.

1.1. Structure
This dissertation is divided into 5 chapters.
In the first chapter, we present the framework around quality and the motivating factors. We also
have the objectives, research questions and how the dissertation is organized.
In the second chapter, we review the relevant literature on quality and quality implementation
strategies in the Portuguese textile industry.
In the third chapter we describe our methodology.
The fourth chapter provides an overview of the results of our analysis.
The fifth chapter provides a summary of our results and concluding remarks.
After the fifth chapter, the annexes are presented following to the references.

2. LITERATURE REVIEW
When it comes to talking about quality it is important to know the history of Quality Management,
from its emergence in the late 19th century and early 20th century until the present day as stated by
Fisher (2006).
Activities elapsed in Japan are highlighted immediately following the end of World War II and the
subsequent developments in the world.
In the late 13th century, the medieval craftsmen began to organize themselves into societies that
developed formal procedures for product quality and service, which were applied rigorously. The
products were regularly inspected and high quality products were labeled with special symbols. This
advance was applied in the industry until the Industrial Revolution in the early 19th century.
After the Industrial Revolution, the mass production led to a factory system, where craftsmen became
factory workers and the work was grouped into specialized tasks. A final inspection guaranteed that
the

products

exported

to

clients

had

reasonable

quality.

This model was expanded to the United States in the late 19th century, with the system manager Mr.
Frederick Winston Taylor (1856-1915), whose goal was to improve productivity significantly.
Quality Management has been practiced by Bata companies from the WW1, from the 20s to the 40s,
well before the quality gurus have thought about this subject.
The birth of modern statistical quality control is assigned to the work of Walter Shewhart at Western
Electric.
At the turn of the century, Western Electric trained its workers to be inspectors to ensure the
specifications and standards of quality, to avoid sending non conforming products to the customer.
In 1920, Dr.Walter Shewhart at Western Electric took the quality of products to a next level he
employed

statisticians

to

control

processes

to

minimize

defective

output.

When Sr.Shewhart joined the Engineering Department of Inspections in Hawthorn in 1918, the
industrial quality was limited to inspection of the final product, removing defective products.
The American Society for Quality, according to Dodge, started in 1924, with the beginning of
statistical quality control. His work in cooperation with engineers was pressed to save money and
make the methods of quality control simple and easy to apply.
This led to the development and use of scientific sampling plans for inspection and further led to the
knowledge of the risks of the customer and the producer. These methods were widely used during
the Second World War in the manufacture of weapons.
The evolution of Japanese after 1950 is well known. The Quality Circles are a basic set of tools, that
include a check sheet, a control chart, a histogram, an Ishikawa diagram and dispersion and the
most notorious, the work of Genichi Taguchi in the parameters project.

Taguchi developed a framework for quality improvement.


He was working on ideas since the 1950s, but they were first introduced in the U.S.A. in 1980, when
he visited Bell Labs in New Jersey.
It was designed a low-cost approach to reduce variation in products and processes, design and
development of new products / processes or improve the quality of existing ones.
To speak about Quality Management, we have to explain the definition of management. The
management experience is a critical requirement for anyone looking to create a workable system of
management.
A remarkable exception is Homer Sarasohn who created a system - principles, structures and
implementation plans - which successfully put into practice, as evidenced by the success of the
companies he founded. The concept of Six Sigma was initiated in 1987 with Motorola, in response
to a need for a business press and appears as a commercial package in the mid 90s in the United
States. However, Six Sigma is not a successor to TQM.
Total Quality Management is a system used to manage a company where the principles of quality
are well understood and accepted, but the structures and methods of implementation may vary over
time.
Consultants Quality Management bloomed, companies began to define quality in relation to the
needs

of

clients

and

customers

began

to

be

step

on

the

way

to

success.

The increased use of the ISO standard 9000 played an important role in forcing suppliers to improve
their processes, documented its procedures and improved their measurement capabilities.
In the late 80 Quality Awards were created.
In the 90s it was no longer sufficient to meet the needs of customers. It was necessary to deliver
superior value to customers.
The use of standards such as ISO 9000 increased and forced suppliers to improved their processes,
to document their practices and to improve their measurement capability.
Productive textiles activities have evolved over time following the needs felt by humans. As stated
by Vasconcelos (2006), the textile industry in Portugal has been a great international representative
of the Portuguese industry because of its importance in terms of number of jobs and its weight in the
national economy.
Currently, this industry has undergone a restructuring and conversion phase, due to the breaking of
barriers and due to the increasing of international trade competition from which results in the
elimination of many jobs and business failure.
According to the ATP database, exports and imports in the textile sector have been rising from 2005
to 2007, and from 2007 to 2011 exports and imports have been declining, as can be seen on the
below table.

Output
(millions )
Volume

2005

2006

2007

2008

2009

2010

2011

6 756

6 756

6 733

6 147

5 687

5 782

5 220

6 993

6 931

6 980

6 404

5 781

6 361

6 267

4 118

4 237

4 347

4 086

3 504

3 742

4 056

2 993

3 296

3 411

3 290

3 041

3 296

3 315

201 265

186 837

180 335

168 206

157 145

150 929

147 711

of

business
(millions )
Exports
(millions )
Imports
(millions )
Employment

Table 1 - Imports and Exports in the textile Industry in Portugal


This table provides an understanding of the importance of the textile industry in the Portuguese
economy.
Socially devalued, the industry has, however, recorded in Portugal competitive and dynamic
behaviors in certain sub-sectors and companies, enjoying some of its strengths such as the
geographical and cultural proximity to the European market, the know-how, the moderate wage costs
compared to European levels, the increasing of international recognition of products, the
achievement of high investments in technological modernization, the progressive development of a
culture of quality and quick response.
Vasconcelos (2006) stated that the competitiveness of the sector is closely related to efficiency
observed in each link of the supply chain and the quality of the products is related to the quality
obtained at each step. Currently the Portuguese companies bet on quality to ensure that they do not
lose their customers, as happened some years ago.
Portuguese textile companies bet on quality, innovation and accurate deliveries. As they have the
knowhow, quality is a main gain, as quoted on magazine Viso (2012).
Portugal is a well positioned country in Europe. Some clients are looking for countries that have
cheap manpower but most of the times they return as they dont find the desired quality and they are
also looking for a partner that they can delegate responsibility, and that doesnt happen in the far
East.
Some of the clients that went to the far East came back because they also encounter with a decrease
of the sales because the clients had no longer a product with quality and wouldnt pay the high price
to buy an article that was almost certainly made by a six years old child.

As Portuguese companies are subject to quality audits, this is also a main reason that the clients can
trust us and want to be our partners.
Clients that came back also like the relationship that is established with Portuguese textile
companies, interactive and close.
Manpower quality and responsiveness of our factories are the main reasons that well known brands
have their production in Portugal, also cited on magazine Viso (2012).
Another important issue is the capacity that Portuguese companies have when it comes to
confidentiality. This issue is very important for international brands. The counterfeit market is very
strong in Asian countries and Turkey. Articles are sold to the market before the collection is launched
and they are sold with unbeatable prices.
Portugal is also known as a country that sells with credit. Clients look for that type of negotiation and
that does not happen neither in Asian countries or Far East countries.
Portuguese companies dont enter in price wars, they prefer to offer their clients excellent products,
give their workers the constant adequate training and have the ability and knowledge to overcome
crisis.
More and more, the textile industry faces lots of changes namely the moving from the developed
countries to the developing countries such as India, Pakistan and China, as mentioned by Middleton,
D. (2010). Textiles markets are becoming highly competitive and the reason they are moving is
because of the manufacturing costs are significantly lower.
As the costs with production are lower, developing countries can sell their goods at lower prices than
the developed countries do. Even if developed countries have quality garments, they will have
difficulties in selling them because of the competition with lower prices.
To survive, developed countries have to change their strategies and bet on quality and cost.
Sometimes it leads to big investments with equipment in order to achieve the desired costs with
production.
United Kingdom is an example of a country that is in a weak position, as their raw material is more
expensive than other foreign countries.
A important tool that is implemented is TQM. It improves product quality while reducing costs.
As all textile companies, UK companies are not an exception, besides attaining distinct
improvements in quality they have to do other things to remain competitive. These companies must
follow all the changes that happen in the market in order to guarantee their spot.
Daz, De Cerio et al (2010) defends that QM allows all companies to develop towards continuous
improvement.
Japanese companies aroused the curiosity of western companies. Their ideas, management tools
and practices raised interest among all because of the high quality that their products presented.
So, from 1980 to 1990, these tools were spread out to all US and European firms.

All companies must have in mind their three main stakeholders: customers, suppliers and
employees.
Clients satisfaction is very important. To obtain a final product with quality, it is necessary to work
with quality, have good human resources and excellent raw material. Companies must have
strategies to produce high quality products and must have in mind the design of the products, quality
assurance in the processes and the use of external and internal information.
But, as above mentioned, human resource is very important.
In order to survive the rapid downfall, European industry felt the necessity to create efficiently and
effectively strategies in their own processes. In this way, they would be able to respond to largescale imports from low labor rate sources of production, as referred by Bergvall-Forsberg et al (2009).
Thanks to the fast development of communications and technology, the distance between countries
has been reduced and orders are now delivered more efficiently.
As low cost labor is found in developing countries, developed countries are taking to them their
technology and knowledge in order to obtain products with quality and at a lower price. To obtain
profitability, textile manufacturers must work hard.
Towers, Neil et al (2010) affirmed that many firms want to achieve lower prices, better quality and
access to new markets in order to shorten product life cycles. The main worry is to maintain low
prices and the same level of quality but with globalization it has become more and more difficult.
Because of all the modifications and different client demands, the textile companies must change
quickly and frequently to satisfy its clients.
Branded clothing and footwear are a result of an alliance between oversea partners. In this way they
guarantee the low costs and the desired quality.
Quality is not just what we see when we look at a product but everything that involves its production
process, such as customer service, on time shipments and suppliers certification.
It is also present when it comes to improvements of lead times, conformities, reliability of deliveries,
suppliers effectiveness to respond to clients requests and complaints. What can sometimes become
to be a barrier are the different cultures that countries have and it influences ways of thinking and of
working. The language can sometimes be a problem too.
China is very important when it comes to the global production of garments in the European Market.
China has a good quality raw materials, yarn, fabric and extensive garment production capability
within the country.
As stated by Chang (2011), firms understand the importance of quality and customer satisfaction as
they are a critical resource for firms competitive advantages of the industry life cycle.
Chinese industries are no longer relying on foreign investors, as their own firms are now as
competitive as foreign firms in offering high quality, excellent customer service and have good
reputations of their own.

When it comes to financial and physical resources, domestic firms are more profitable then foreign
firms but when it comes to fashion trend knowlodge, Chinese industries dont have advantage at all.
As said by Powell (2010), quality certification is a prerequisite for competing in the market but a firm
must decide if it is economical to achieve and maintain certification in all locations.
When it comes to satisfying clients, quality must be predicted. It must meet customers taste, needs
and their requirement degree as mentioned by Slah (2010)
According to Montava (2010), the textile sector is in a new world framework and it has the
globalization influence and also the influence of developing countries. Besides the textile sector we
can also include garment making sector, shoe and toy making. As in other sectors, the textile industry
labor costs have big effect on the price of the final product.
Some changes have happened since China accessed the European and North American consumer
markets. It presents a big threat to all the textile producers. With all these changes and as China is
a big threat, businesses must fight for their place in the market by betting on innovations in
development of new products, versatility, quality and costs.
Besides all the innovations, business companies must not forget the need of management systems.
At this point it is important to characterize the global industrial textile sector under the socio-economic
context, resorting to relevant data to the analysis, as stated by Vasconcelos (2006).
The textile industry is an industry with a lot of tradition and despite the serious crisis affecting it still
is one of the most important industrial sectors in Portugal, assuming as always a prominent role in
terms of employment and a prominent position in the Portuguese economy.
This is a mature sector, fragmented and subject to periodic mismatches between supply and
demand, whose performance is strongly influenced by fluctuations in global economic activity.
Sousa (2009) referred that the global textile trade liberalization, with the consolidation of the position
of Asian countries in the European market, has aggravated the difficulties that this sector has
experienced in recent years, affecting not only Portugal but all the European Textile Industry sector.
The future of this sector bets on factors such as R & D, innovation, design, striving for excellence,
quality, distribution, logistics and also the internationalization of its products, especially those
containing high levels of differentiation.
The textile sector should thus strengthen and bet on intangibles factors of competitiveness, designing
firms in the market and businesses moved towards the elements that contribute the most to add
value to their product, thus becoming more competitive.

The Textile Industry in Portugal is concentrated in three main regions:

- Mostly the North, where the cotton sector is located (home textiles, woven and knitted cottonbased, outdoor and indoor clothing, ropes and nets), specifically in Vale do Ave; The Northern Region
is one of the most industrialized areas of Europe, and even very recently the 10th most industrialized;
- Lisbon, manufacturing firms of synthetic fibers;
- Center, firms of the wool sector (yarn, woven and wool knitted based fabrics) and firms making
outwear, mainly in Beira Interior.
According to Vasconcelos (2006), this location is primarily related to tangible factors of production,
i.e., the cost of skilled labor and raw materials, which in his view, eventually became a competitive
advantage for firms of the sector.
In 2006, the number of firms of the Textile Industry in the North, represented approximately 70.6%
of total enterprises in Portugal, while the number of firms in Lisbon and Center, represented only
13.5% and 11.4 %, respectively.
As Frederick (2009) stated, todays economy is global. The textile industry is no exception. Thanks
to developments in production, communication, transportation and information technology, the global
competition occurs and have allowed countries around the world to enter the playing field. This leads
to an increased competition and makes all firms and companies formulate new strategies in order to
achieve success.
Quality is one of the most important discussions in the textile industry. The customers demands and
the decisions made by the retailers have big impact in the production process, as mentioned by
Apeagyei (2012)
Work force is one of the most important factors that helps achieve greater levels of quality.
To attain quality we must have in mind the following: Quality manuals and documents, identifiable
key quality measures, workflow tracking system, quality review meetings, appraisals, career
development initiatives, validated training and internal audit.
In the textile industry, the lack of quality leads to loss of time to discover the error, costs with products
returns, processing complaints and waste. ISO 9000 helps to ensure that products and services are
delivered with an acceptable level of quality.
Benchmarking helps to improve standards and ensure that the retailers remain competitive. The real
challenge to management is to improve quality while reducing the unit cost of items to meet
increasing demands of clothing consumers. This could be achieved through better management and
implementation of quality assurance systems.
In order to guarantee that the articles are made with quality, Towers (2010) stated that the simple
inspections that were made are now substituted by the use of quantitative methods involving the
application of statistical techniques for quality control. These changes happened and evolved rapidly
in the last twenty years. The willing to obtain quality involves a big process, that include standards,
staff training, recording of data and the accuracy and consistency of measuring equipment. Quality

doesnt only mean accepting a product but everything that contributes to obtain it. In the below figure
we can see that all the participants are involved in the quality management process.

Figure 1 Continual Improvements of the QMS

As happening with the clients in Portuguese textile businesses, UK has reduced its manufacturing
capacity and transferred it to Eastern Europe, the African continent and Asia. This way, the profit
margins have been enlarged as the labor and production costs have been lowered significantly.
In UK, quality in the textile industry has evolved and besides betting on quality, speed of response
as well as cost, there are also betting on good management practices. TQM is taking its place in this
industry and the ISO 9000 has gained its importance too.
Zaghouani (2009) affirms that to evaluate the quality of a textile product in which many attributes are
involved, multiple criteria decision support systems should be developed.
European textile and clothing industry is facing a rapid downfall and research within the sector has
been fairly limited, as mentioned by Towers (2010). European textile manufacturers have had to work
hard to sustain profitability and answer to large-scale imports from low labor rate sources of
production.
According to the pdf8, for European industry to survive, further research is needed to support
manufacturers, distributors and retailers in creating strategies for the global textile supply chain to be
managed efficiently and effectively.
Kapuge, Anton Malmadana et al (2007) made a research that one of the objectives was to compare
the quality management practices in companies from Sri Lanka that had TQM implemented and that
didnt have TQM implemented. It was expected that companies that had TQM implemented would

10

have a high quality strategy and performance. There were also differences between both, related to
the customer focus, process improvements, supplier relations and physical and financial measures.

Ehsan, Abul (2010) defends that to implement ISO 9000 standards, it is necessary the collaboration
of all employees and it also requires a developed documented system. ISO 9000 is a family of
standards for quality management. The ISO maintains it and the accreditation and certification bodies
administrate it. ISO 9000 addresses quality management standards as to what an organization needs
to accomplish. It gives organizations the capability to achieve customers requirements, quality
management system and it also supplies guidelines to improve its performance. Implemented in
many companies, in about 150 countries, it is one of the notorious international standards. ISO
standards seek outputs defects, customers quality requirements, effectiveness, customers
satisfaction, performance improvements and focuses on all key processes.
Textile industry is very complicated and challenging. Its process incurs heavy payments to the
manufactures. In order to lower its costs, improve its inputs quality and increase customers
satisfaction, many textile industries have implemented ISO standard. This industry employs lots of
people, directly and indirectly. It proves to form a vast industrial complex and proves to be a big
contributor among manufacturing industries.
Nowadays global competition is among all companies, as it is in textile companies. Textile industries
are suffering many changes so to make a difference it relies on quality, innovated fabrics and
responding customers needs. In order to survive the international competition, many companies get
the ISO certification.
The ISO certification helps companies to penetrate in the market. Is helps the textile companies to
improve their process and products quality, minimizing the defects and consequently the rework. It
also works as a marketing tool because it shows that the company is well recognized for its quality
and shows their preoccupation.
The aim is to improve service and product quality and it also motivates its workers. The implementing
costs are cheaper than the benefits and many certificated companies even stated that their total
costs decreased.
Okay et al (2010) studied the effective factors, the difficulties encountered and the attainable levels
of the objectives in the certification process, within the Turkey textile Sector, in particular small and
medium sized enterprises. Although some difficulties were found, the certification process was stated
to be successful as the benefits achieved were according to the established objectives. Quality is the
most important element for organizations, since the customers expectation have raised and the
variety of the goods and services have increased.
In 1980s it was considered as a competitive advantage but nowadays it has become the main
circumstance of survival for all companies.

11

They also conclude that the textile industry is a sector in which employment is high and developments
and changes are very important. These characteristics must be maintained when quality is present
within their services and production.
An important tool that can be used is the certification. Certification involves a process that includes
the effective factors, the difficulties, the benefits and the obtained results.
With certification the firms satisfaction and bureaucracy have increased, which show that the
organizations are in a dynamic process towards development. To obtain the certification, some
companies received consulting services but others ran the process with their own employees, as
mentioned by Okay et al (2010).
Vlachos (2000) stated that there are two main reasons that lead companies to want the ISO
certification, to achieve marketing objectives and quality goals. They also state that the certification
is very important for companies that want to work with international markets and become more
competitive. They defend that quality is also used as a tool to find operational problems of the textile
company and contribute for its improvements. As a result, costs were reduced considerably and the
companys culture changed drastically.Thanks to the Greek textile company studied, other
companies, in particular subcontractors, have grown and showed interest in quality matters. Some
difficulties that were pointed out were the fact that the preparation of the certification process was
exhausting and dull.
Hsu et al (1978) quoted that quality is built on the shop floor, involving all workers. In the textile
industry companies the concern isnt only the quality itself but also efficiency, reducing waste and
energy, clients satisfaction and higher production. Three examples of companies are exposed:
-

Kanebo is a company that thinks that besides quality, safety is very important and so are
trained employees.

For Collins & Aikman, quality is important for the company to stay in business. It is also
important the zero defects, decreasing costs, energy and inventory.

Craftex implemented the quality certification to improve its products quality. Costs, setup
time, inventory were decreased and capacity was increased, obtaining efficiency and quality.

According to Matebu (2006), quality is an important weapon considering the competition that exists
in the market, locally and internationally. Quality must involve everyone and it is the foundation of a
continuously improving in the organization.
Nowadays, lots of textile industries in Ethiopia are suffering from quality related problems, such as
low quality, low performance of its products, incompetence, low productivity, customer
dissatisfaction, among others. He also studied the reasons of the loss and low market share in textile
companies. His aim was to propose a suitable achievement model of quality management system.
To evaluate a textile product, we must consider performance, reliability, durability and aesthetics.
According to Sarkar (1998), ISO 9000 quality systems have been developed to satisfy the clients, by
producing a desired product. It is necessary a plan that involves top management. He defends that

12

our world is consistently changing and that we must guarantee our products quality. It also demands
that our suppliers must be certificated too. All the process must be documented and must involve all
workers.
Quality is an imperative strategy for companies success. In this way, companies can provide their
best service or product, as referred by Fiorentin (2011) .Many companies recognize that they arent
ready for the world that surrounds us because it is changing constantly and some arent able to
accompany.
According to Miss Strachan, Parklands manager, quality is very important as it represents a
fundamental requirement for survival and an entrance in the markets. At Parkland, they believe that
in this way, product quality, cost control and business performance can be achieved. To implement
the quality system ISO 9000, some difficulties were experienced, such as, increased paper work and
the managers lack of commitment, as stated by Huang (2002).
But on the other hand, they experienced the positive side, the benefits. Some benefits included:
delivery time reduced; an efficient system; motivated workers; customer satisfaction improved and
loyalty.

3. METHODOLOGY
3.1. Methods
3.1.1.Data from the Baptista da Costa Study

To undertake our analysis, we made use of an existing database which includes firm-reported data
collected through a questionnaire designed by Baptista da Costa (Quality Management Systems
(QMS)). In particular, this database includes survey data from a study that sought to understand the

13

impact of implementing quality management system in firms certified by ISO 9000 in the Minho region
in Portugal.

Table 1 - Main sections and main topics included the original survey
Main Sections
General Description of the
firm

Main topics
Type; Firms Activity; Year of first certification; Number of
employees;
Motivations
Benefits
Deployment time
Payback

Deployment of the quality


management system, ISO
9000 certification

Practices used before


Barriers
Competition
Deployment level
Factors
Income
Income of the QMS
Impact
Archetype
Culture

The Baptista da Costa study presents the benefits, drawbacks and difficulties of implementing quality
management systems and the importance of quality in the production process. The firms that
participated in this study were from different activity sectors.
These sectors were divided into different types, such as services, manufacturing and both. Within
the 260 firms that participated, 25% were from the textile sector, 15% were from the construction
sector and 13% belong to the metallurgical sector. From the 25% that made up the textile industry,
only 21% belonged to the manufacturing, which represent 55 firms.

14

3.1.2.Data Collection
We examined all the questions included in the Baptista da Costa survey and selected the ones we
believed would be more pertinent to our analysis. We created a new survey with the use of selected
questions from the original survey and designed a new survey, which served as the basis for this
analysis and in order to update the original survey, the reformulated survey was sent to 5 firms.
Besides the survey, we also sent a few questions to the firms in order to retract more information
about the actually situation in our country, concerning the textile industry.
The additional questions included in the revised survey may be found in the appendix but refers the
following questions: the importance of quality in the textile firms in Portugal, the actual situation of
the textile sector, the reasons why some clients are searching new markets and leaving our country.
The questionnaire used simple and clear language.
Once the new survey was completed, we searched for eligible firms in the Minho region in northern
Portugal to administer the survey. The final survey was organized according to Table 2. We obtained
both qualitative and quantitative answers, depending on the type of questions.

Table 2 - Main sections and topics of the reformulated survey


Main Sections
General Description of the
firm

Main topics
Type; Firms activity

Motivations
Implementation of the
quality management
system, ISO 9000
certification

Benefits
Implementation time
Competition
Factors
Income obtained from the QMSCulture

All firms were initially contacted by email in which we explained the purpose of the study and inquired
about their availability to participate in our study. In total, we contacted five additional firms (A
Favima, B Rodrigues e Abreu, C - Impetus, D and E asked for anonymity) that were not included
in the original database.
Firms A, B and C expressed interested to participate in the study so we scheduled a meeting with
each one to administer the survey. Firms D and E did not reply to our first round of emails and were
therefore sent a second email. Two weeks after the first email was sent, firm C contacted us to cancel
the initial interview scheduled but suggested rescheduling the meeting to another day if possible, or

15

alternatively answer the survey by email. At a later date, Firm C confirmed that they would indeed
answer the questionnaire but through email. Firm D eventually replied to our email and explained
they were not able to schedule a meeting but would be happy to answer my survey by email.
At firms A and firm B we interviewed the person responsible for the quality system. During our
meeting, we asked each person questions we believed to be relevant to our analysis and asked them
to fill out the revised survey. Firm E did not reply to my second email; thus, we decided to contact
them by telephone at which point firm E agreed to answer the interview by email. Firm E answered
the interview by email. Once all surveys were completed, we organized all the data and updated the
original database.

3.1.3.Analysis of the results


We combined the data from the original database that consisted of 55 firms and the data we obtained
from the 5 firms we surveyed, and analyzed these as one reformulated database. Several tables,
graphs and pie charts were made to help shed light on our findings.
After gathering all the data and analyzing it, we compared results from all 60 firms and took our
conclusions.
The information that we acquired from the questionnaire was also very important to help take
conclusions and understand the actual situation of the textile industry in Portugal.
To analyze the results, tables, bar graphs and pie charts were used.
Tables are illustrative representations that provide organization and facilitate the interpretation of the
work, clearly and objectively. Tables should be used when it is important to present accurate figures
and trends and when the amount of data is too large, requiring them to be summarized, as mentioned
on site 1.
A bar graph displays data visually and is sometimes called a bar chart or a bar graph. Data displayed
will relate to things like amounts, characteristics, times and frequency etc. A bar graph displays
information in a way that helps us to make generalizations and conclusions quickly and easily. A
typical bar graph will have a label, axis, scales and bars. Bar graphs are ideal for comparing two or
more values, as referred on site 2.
A pie chart is used to show how much something is worth compared to the whole thing. A chart is
usually based on a 100% scale and each slice to the chart is a certain percentage of the whole thing.
The bigger the slice is the more percentage of the whole thing is made up of that part or slice. It can
be used to show how much something is liked compared to other things, because the information
can be easily read and therefore makes it easy to present and analyze data. Each section can be
viewed easily with different sections and colors, as stated on site 3.

16

4. RESULTS
4.1. Results from questionnaire
All firms in our sample were national firms with the exception of one.
The following graphs depict the motivations that led firms to undertake the certification process.
Table 4 - Reasons to implement certification

17

Without any Not

With some

Extremely

Did

importance

important

importance

important

respond

8%

5%

13

22%

24

40%

11

18%

7%

0%

0%

2%

15

25%

44

73%

0%

Business Benefits 0

0%

0%

12%

27

45%

25

42%

2%

Pressure

8%

13

22%

19

32%

14

23%

12%

3%

12%

15%

22

37%

19

32%

2%

3%

3%

18

30%

19

32%

17

28%

0%

7%

10%

17

28%

15%

19

32%

13%

2%

2%

3%

15%

29

48%

18

30%

2%

with 9

15%

19

32%

17

28%

11

18%

3%

3%

Relations with the 6

10%

19

32%

18

30%

12

20%

5%

3%

0%

0%

12%

23

38%

29

48%

2%

Cost

reducing 5

Important

not

measures
Quality
improvement

from 5

customers
Numerous

certificated
competitors
Benefits achieved 2
by other certified
firms
Avoid

possible 6

obstacles

to

exportation
Mobilizing

employees
knowledge
Relations
authorities

community
Business Image

Most firms in our sample feel that quality improvement, business benefits, mobilizing employees
knowledge and business image were important or extremely important factors to implement
certification, as shown on figure 2.

18

80%
70%
60%
50%
40%
30%
20%
10%
0%

73%
48%

40%

30%

48%
45%
42% 38%

Important
Extremely important

Figure 2 - Reasons to implement certification


The below graph, figure 3, demonstrates that benefits obtained by other certified firms, improved
relations with authorities and the community were generally identified as unimportant reasons to
implement the certification process by roughly one-third of the firms in our sample.

32%

32%
31%
30%
29%

32%

32%

30%

30%

28%

28%

Not important
With some importance

27%
26%
Benefits
Relations with Relations with
achieved by
authorities the community
other certified
companies
Figure 3 - Reasons to implement certification not important/with some importance
Some of the firms did not respond some questions.
The following graphs represent the benefits of certification.
Table 5- Benefits of Certification

19

Very
No

Few

Moderate Substantial substantial Did not

benefits

benefits

Benefits

Benefits

benefits

respond

8%

11 18% 28

47% 12

20%

5%

2%

3%

11 18% 24

40% 18

30%

8%

0%

0%

13

22% 30

50%

15

25%

0%

8%

12 20% 16

27% 22

37%

8%

0%

3%

8%

20

33% 24

40%

15%

0%

0%

3%

15

25% 29

48%

13

22%

2%

12% 8

13% 23

38% 14

23%

10%

3%

13% 15 25% 24

40% 11

18%

2%

2%

and 0

0%

5%

3%

34

57%

21

35%

0%

2%

8%

24

40% 23

38%

12%

0%

14 23% 13 22% 18

30% 13

22%

2%

2%

10 17% 14 23% 21

35% 11

18%

5%

2%

17% 30

50%

19

32%

2%

Reduction of production costs


Increased productivity
Increased confidence in the firm's quality
Environmental improvements
Increased on-time deliveries
Increase in customer satisfaction
Increase in market share
Maintenance / increase in net profit
Improvements

of

the

definition

3%

standardization of work procedures


Improvement of the workers morale
Improved relations with authorities

Improved relations with the community


0%

0%

10

Improvement of the firm's image

Figure 4 reveals that the majority of firms in our sample found that the main benefits of certification
translated into increased confidence in the firms quality; improvement of the definition and
standardization of work procedures and improvement of the firms image.

20

60%
50%

50%

57%

50%

35%

40%
25%

30%

32%

20%
10%

Substantial Benefits

0%

Very substantial benefits

Figure 4 - Benefits of Certification Substantial benefits/very substantial benefits

Maintenance/increase in net profit and improved relations with authorities and the community were
identified as providing the least benefits to firms that underwent the certification process, as shown
below on figure 5.

30%
25%

25%
20%
15%

23%

23%

22%
17%

13%

10%

No benefits
Few benefits

5%
0%
Maintenance / Improved relations Improved relations
increase in net with authorities
with the
profit
community
Figure 5 Benefits of Certification no benefits/few benefits
Some of the firms did not respond to some of the questions.

21

According to figure 6, we can see the length of time that takes to implement the ISO 9000
Certification.

3; (5%)

2;
2; (3%)
(3%)
2; (4%)
10; (17%)

Less than 1 year


Between 1 and 2 years
Between 2 and 3 years
Between 3 and 4 years

41; (68%)

More than 4 years


Did not respond

Figure 6 - Length of time to implement the ISO 9000 Certification


From the above graphs, figure 6, we see that most firms in our sample (85%) do not require much
time (2 years or less) to implement the ISO 9000 certification; only less than a quarter of the firms
took less than one year.
Some of the firms did not respond some questions.

The next table represents the benefits of certification.


Table 6 Competition
Neither
Strongly

agrees nor

Strongly

Did

not

agree

respond

disagree

Disagree

disagrees

Agree

20%

17

28%

18

30%

12

20%

2%

0%

3%

12%

20

33%

20

33%

10

17%

2%

In our business customers are loyal, 12


rarely change for new businesses or
competitors
In our business the competition is 2
mainly

by

price

and

not

by

differentiation of product or service

22

In our business the competition is 1

2%

12%

19

32%

23

38%

10

17%

0%

20%

27

45%

19

32%

2%

0%

2%

38%

20

33%

14

23%

3%

0%

2%

10

17%

23

38%

17

28%

12%

2%

3%

In the past 3 years our business has 27

45%

21

35%

11

18%

0%

0%

2%

8%

22

37%

14

23%

11

18%

10%

3%

28

47%

23

38%

8%

0%

0%

7%

Our activity is characterized as a high- 12

20%

21

35%

21

35%

5%

2%

3%

extremely intense compared to other


sectors
In

our

business,

firms

promote 12

(advertise) strongly compared with


other sectors
The demand in our business has been 23
growing rapidly over the last 3 years
Innovation and R & D is more common
in our activity than in most activities
been

more

profitable

than

other

activities
We

have

serious

problem

of 5

overcapacity in our activity


Our activity is still in the early growth
tech activity

According to figure 7, one third of the firms in our sample agree that competition is mainly by price
and not by differentiation of product or service and competition is extremely intense compared to
other sectors.

38%

39%
38%
37%
36%
35%
34%

33%

33%

Agree

32%
31%
30%
In our business the competition In our business the competition
is mainly by price and not by is extremely intense compared
differentiation of product or
to other sectors
service
Figure 7 Competition - Agree
Firms disagree that the demand in their business has been growing rapidly over the last 3 years.

23

80% of firms do not agree that in the past 3 years their business has been more profitable than other
activities, as shown on figure 8.
85% of firms do not feel that the fact that their activity is still in early growth is an important factor for
competition.

50%
45%
40%
35%
30%
25%
20%
15%
10%
5%
0%

47%

45%
38%

38%

35%

33%

Strongly disagree
Disagree
The demand in
In the past 3 Our activity is still
our business has
years our
in the early
been growing
business has
growth
rapidly over the
been more
last 3 years
profitable than
other activities

Figure 8 Competition strongly disagree/disagree


Some of the firms did not respond some of the questions.

The implication for customers can be seen in the below graphs.

60%

53%
48%

50%
40%

30%

30%
20%
10%

20%
8%
2%

7%7%

0%

There was an increase in


contacts between company
personnel and customers

15%
7%

3%
0%

Actively seek our customers in


the design of products and / or
services

Figure 9 - Implication for customers

24

From the above graphs, figure 9, I concluded that most firms in our sample feel that quality
improvement, business benefits, mobilizing employees knowledge and business image were
important or extremely important factors to implement certification.
Benefits obtained by other certified firms, improved relations with authorities and the community were
generally identified as unimportant reasons to implement the certification process by roughly onethird of the firms in our sample.
Some of the firms did not respond some questions.

The following pie chart represents benchmarking and its implementation.

3; (5%)

2; (4%) 2; (3%)
not implemented
27; (45%)

17; (28%)

barely implemented
partially implemented

9; (15%)

almost implemented
fully implemented
Did not respond

Figure 10 - Benchmarking

As can be seen on figure 10, almost half of the firms have not implemented the internal program of
competitive benchmarking, approximately a quarter of the firms have partially implemented it and
about half a quarter as barely implemented it. Few firms in our sample had almost or fully
implemented the certification process. Some of the firms did not respond to some of the questions.

The below table represents empowerment and its implementation.

25

Table 7 Empowerment

not

barely

partially

almost

fully

implemented implemented implemented implemented implemented


n
Employee

involvement

7%

7%

23

38%

26

43%

5%

8%

13

22%

24

40%

13

22%

8%

7%

11

18%

30

50%

13

22%

3%

in 4

planning and design tasks was


increased
We have a very active system
of employee suggestions
The autonomy of employees to
make decisions was increased

In the below graph, figure 11, we can see that 40% of the firms have partially implemented a very
active system of employee suggestions and half of the firms increased the autonomy of employees
to make decisions.
The majority of firms (81%) increased the employee involvement in planning and design tasks.

60%
50%

50%
40%

38%

43%

40%

30%
partially implemented

20%

almost implemented

10%
0%
Employee
We have a very The autonomy of
involvement in active system of employees to
planning and
employee
make decisions
design tasks was suggestions
was increased
increased
Figure 11 Empowerment
Zero defects mentality can be found in the below table.
Table 8 - Zero defects mentality

26

not

barely

partially

almost

fully

Did

not

implemented implemented implemented implemented implemented respond


n
We have a commitment to a 7

12%

5%

19

32%

19

32%

10

17%

3%

3%

5%

17

28%

27

45%

11

18%

0%

7%

12%

21

35%

18

30%

13%

3%

goal of zero defects


We

have

continuous

program
reduction

of 2
of

defects and failures


We

have

dramatically

plan

reduce

to 4
the

reprocessing

The majority of the firms (64%) have a commitment to a goal of zero defects partially and almost
implemented as seen in figure 12.
About three quarters of the firms (73%) have a program of continuous reduction of defects and
failures partially and almost implemented.
65% of the firms have a plan partially and almost implemented to dramatically reduce the
reprocessing. These results can be seen below.

50%
45%
40%
35%
30%
25%
20%
15%
10%
5%
0%

45%
32% 32%

35%
28%

30%

partially implemented
almost implemented
We have a
commitment to
a goal of zero
defects

We have a We have a plan


program of to dramatically
reduce the
continuous
reduction of reprocessing
defects and
failures

Figure 12 - Zero defects mentality


3% of the firms did not respond the first and third questions.
The following graphs depict the Quality Management System.
Table 9 - Incoming of the Quality Management System, regarding the way Quality program has
impacted and influenced the results of the firm.

27

Neither
Strongly

agrees nor

Strongly

disagree

Disagree

disagrees

Agree

2%

10%

33

55%

20

33%

0%

2%

12%

22

37%

27

45%

5%

2%

11

18%

33

55%

13

22%

3%

3%

11

18%

32

53%

14

23%

2%

0%

10%

22

37%

27

45%

8%

65%

13

22%

12%

2%

0%

Our quality program has increased our 1

agree

productivity significantly
Our quality program has contributed 1
dramatically

to

improve

our

competitive position
Our quality program has increased 1
significantly our profitability
Our

quality

program

influenced 2

significantly the increase of our sales


Our quality program has contributed 0
significantly to the improvement of our
overall performance
In general, it would have been better 39
without the quality program

As we can see in the below graph, figure 13, almost half of the firms agreed that the quality program
has contributed dramatically to improve their competitive position and the quality program has
contributed significantly to the improvement of their overall performance and about one third neither
agreed nor disagreed.
Half of the firms neither agree nor disagree that the quality program has increased their productivity
significantly, their profitability and has influenced significantly the enhance of their sales.

28

60%

55%

55%

53%

45%
37%

50%
40%

45%
37%

30%
20%

Neither agrees nor


disagrees

10%
Our quality program
has contributed
significantly to the

Our quality program


influenced
significantly the

Our quality program


has increased
significantly our

Our quality program


has contributed
dramatically to

Our quality program


has increased our
productivity

0%

Agree

Figure 13 - Incoming of the Quality Management System, regarding the way Quality program has
impacted and influenced the results of the firm neither agrees nor disagrees/agrees

According to the figure 14, the vast majority of the firms in our sample (87%) as can be seen in the
below graph, did not feel that they were better off without the quality program in terms of improving
the firms results.

2%
0%

Strongly disagree

12%

Disagree

22%
65%

Neither agrees nor


disagrees
Agree
Strongly agree

Figure 14 Firms did not feel that they were better off without the quality program in terms of
improving the firms results

Some of the firms did not respond some of the questions in questionnaire.

29

Table 10 - Culture
Below you will find a number of attributes that describe why firms undertake TQM measures in
practice or pursue / seek quality.
We asked to divide 100 points among the 24 descriptions based on the importance or emphasis that
the firm places in practice.
Attributes
1

Meet customer expectations

Prevent errors

Reduce costs by failures / malfunctions / waste

Inspect and detect errors

Respond quickly and appropriately to customer complaints

Improve current levels of performance

Projecting correctly from the beginning

Surprise and delight the customer


To focus on the management of suppliers and customers as well

as in processes

10

Reduce customer dissatisfaction

11

To focus on "process" and the causes of errors

12

Anticipate customer expectations

13

Correct errors

14

To focus on Clients "needs"

15

Zero defects

16

To focus on "production" (products)

17

Helping customers in order to avoid future problems

18

Avoid inconvenience to customers

19

Create new alternatives of doing things

20

To focus on Customers "preferences"

21

"Create" customer preferences

22

Review up on things well done

23

Obtain customer preferences in advance and follow them

24

Compensate customers beyond what they expected

This table is based on 24 important attributes that firms rely to implement quality. To construct this
table we relied on attributes which received the highest rate, taking into account the 100 points they
had to distribute among several attributes.
The points assigned to each attribute were added. With the data obtained, we organized it in
descending order, with the most valued attributes on the top of the table. The table was numbered
from most important to least important.

30

Compensate customers
beyond what expected

Get advance customer


preferences and follow
them

Improve current levels


of performance

Respond quickly and


appropriately to
customer complaints

Inspect and detect


errors

Reduce costs by failures


/ malfunctions / waste

Prevent errors

Meet customer
expectations

After all data were organized, we analyzed the resulting graphic.

Figure 15 - Culture

According to figure 15, the majority of the firms in our sample undertake TQM measures for quality
purposes to meet customer expectations and prevent errors.
Cost reductions, inspection/detection of errors, quick and appropriate response to customer
complaints and improvement of current levels of performance were also identified as important
factors to undertake TQM measures.
Obtaining customer preferences in advance and compensation customers beyond what they
expected were identified as the least important factors.

4.2. Results from Interviews


In order to complete the above survey, we also made/sent a questionnaire to the 5 firms, to obtain
more information.
In the textile world, the main reason that made the clients look for other markets was because of the
price. In countries like Bangladesh, China, India, Vietnam, clients find that the prices are lower and
so are the raw materials. But on the other hand, these countries manage to have such low prices
because they are not concerned with environmental and social demands and they also have state
supports.
As prices in Portugal are higher, clients demand many tests in order to compensate the money that
they paid. The new markets that are emerging are offering good prices and their products present

31

some quality, which means that clients will not think twice. Another aspect that is very important and
helped the clients search for other countries was because of the loss of geographic barriers.
Portuguese people are very submissive and cease to control the process.
Some aspects that make clients come back to Portuguese textile firms are quality, punctuality,
creativity when it comes to giving solutions and suggesting interesting new products.
The majority of the clients that once left our country did not come back. The few who came back
were because the experience they had with other countries did not come out as they wished and the
product was not as they were expecting too.
But the fact that the clients came back it does not necessary mean that it is good because their return
rouse less stability, less loyalty, many demands in order to achieve the desired price.
The ones that are still in Portugal were the ones that never left our country. The clients are here but
the orders are fewer amounts and the types of garments too. They still continue here because they
know that Portugal accepts all types of orders when it concerns quantities.
Orders with less quantities lead to higher costs with the management of processes, more errors and
more technical human resources.
Some new clients come to Portugal to visit our firms, to see how we work, our prices, our quality and
to study our market.
Quality is very important because if Portugal did not bet on quality, the clients would never return to
our country. The lack of quality leads to the decrease of sales. That is one of the factors that make
our clients see that our product has quality and the sales are good because of that.
During the time that the clients look for new markets, Portuguese firms took advantage of improving
and optimizing their resources.
The clients are returning but as all know, the big orders are not coming back. We have to adapt our
firms and have a versatile structure to be prepared to receive them and to guarantee that our
helpdesk is improved. Made is Portugal is a guarantee of quality unlike the image of the past.
In order to survive the crises, the satisfaction of the final client is very important. Our firms need to
study very well all markets, need to know which products that the clients are looking for, need to be
creative when it comes to the design of the garments, bet on innovation, be concerned with the
products image and its versatility. If we take into account these factors, we will guarantee our space.
Without quality and without punctuality, clients seek for better conditions in other countries.
Many firms in Portugal work for clients that represent very well known brands and quality is very
important to assure that it creates more value, more margins, so that it justifies their stay.
The work places are very important in a firm because they are responsible for quality. If they do not
work properly, quality will not exist and neither will their work place. More and more, workers know it
is like that.

32

Workers have training in order to sensitize them with this issue; they receive information and are
taught to deal correctly with the clients complaints, customer service, which are the firms main goals
and why the client is so important.
Clients like the loyalty felt by our firms because they like to create roots, feel well with the ones they
work with and feel that it is not only because of the money.
A very important aspect that happens in Portugal and does not happen with the majority of the
countries is that our firms trust the clients based on the prestige and feedback collected initially and
payments are made 30 to 60 days after the order is delivered. This does not happen in the other
countries. They have to pay as they place the order.
Quality and the QMS are two important tools that if they are used properly; they are two great
weapons that we can use in our defense.
The QMS well implemented is an instrument that can manage everything in a firm (human resources,
behaviors ), involving everybody with the firm, with the client and will the society.
Workers are an important link in the firms performance and if all perform their functions properly,
this will be reflected throughout the firm.

33

5. DISCUSSION
The main objective of this dissertation is to work a database that refers to the textile sector in Minho
which allows us to evaluate the impact that quality can cause on the textile firms from Minho, why
some firms survived and others did not survive.
Most firms in our sample feel that quality improvement, business benefits, mobilizing employees
knowledge and business image were important and that competition is very intense and is mainly by
price and not by differentiation of product or service.
The quality program has contributed to improve their competitive position and the improvement of
their overall performance. The majority of the firms confirm that were better with the quality program
in terms of improving the firms results.
The greater part of the firms in our sample undertake TQM measures for quality purposes to meet
customer expectations and prevent errors.
Quality is very important because the lack of it would lead out the clients and they would never return
to our country. The lack of quality leads to the decrease of sales. It is very important to assure that it
creates more value, more margins, so that it justifies their stay. Quality and the QMS are two
important tools.
From the data collected through the questionnaires administered, we can conclude that firms have
similar views regarding quality, related interventions and its importance in the Portuguese textile
sector. We can also conclude that all think alike and have the same opinion when it comes to the
importance of quality in Portugal, namely in the textile sector.
Although quality is the most important factor, there are other aspects that we must have in mind that
clients also consider important, such as, good prices, punctuality, creativity, responsibility and loyalty.
Our Portuguese businessmen think the same way that owners of textile firms of UK do. They consider
quality an important tool to survive nowadays in the textile sector but besides that, they also think
that we must follow all the changes that happen in the market in order to continue competitive.
Despite all this concern in producing with quality, some UK firms have reduced their manufacturing
capacity and transferred it to countries that produce with lower prices, such as Eastern Europe, the
African continent and the Asian continent. With lower prices the profit margins enlarge.
Spanish businessmen think alike when it comes to the importance of quality in the textile industry.

5.1. Strengths

34

We choose the Minho region because the majority of the textile industrial is located there.
This study will help others to understand the actual situation of the textile sector in Portugal, namely,
the Minho region, as it includes results of a sample of 60 firms and the importance of Quality.

5.2. Limitations
One of the limitations is that we only focused on the Minho region and therefore our findings may not
be applicable to the whole of Portugal. For example, there are a considerable number of textile firms
in the Covilh region.
We can also consider a limitation the fact that we do not know specifically where each firm is situated,
for example, if they are from the north or south of the Minho region.
Another found limitation was the delayed response of some firms that made the data collection take
longer.
The size of the firms was another limitation. The conclusions that were taken may be influenced by
its size, as we have a large range of workers.

6. CONCLUDING REMARKS

35

After a bibliographical analysis of the most widely used management systems, the following
conclusions were reached:
Of all firms surveyed, the quality is certainly very important for its survival. From the other selected
papers, which demonstrate the reality in other countries, it is undoubtedly well-known that this
concern is in general, to all firms.
The main results of our study shows that the majority of the firms in our sample undertake TQM
measures for quality purposes to meet customer expectations and prevent errors.
Most firms have chosen to be certificated because they felt that quality improvement, business
benefits, mobilizing employees knowledge and business image were important factors.
The majority of firms in our sample found that the main benefits of certification translated into
increased confidence in the firms quality; improvement of the definition and standardization of work
procedures and improvement of the firms image.
Quality consolidated because the Portuguese textile industries produce products with quality unlike
what happens in the Chinese textile industries.
Small orders or orders deemed urgent are produced in Portugal since the Chinese do not accept
them. Portuguese industries accept these situations to get more orders.
Another relevant situation is the salary paid to the workers. Chinese can produce at a lower price
also because of the salaries that are much lower, not to mention the existence of child labor.
Portuguese firms respect all proprieties and trademarks of all clients and products while Chinese
devalue it. Because of this China may have low costs but presents more losses.
Portuguese firms may have relocated their production to be cheaper but still fulfill all properties.

7. REFERENCES

36

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Hodge, George L. Ross, Kelly Goforth. Joines, Jeff A & Thoney, Kristin (2011). Adapting lean
manufacturing principles to the textile Industry, College of Textiles, North Carolina State University,
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Conference of CSQ & 8th NQMS.
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Alcoy, Spain
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IMPLEMENTATION IN A TEXTILE FIRM: THE GREEK PARADIGM;

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40

APPENDIXES

41

APPENDIX 1 QUESTIONNAIRE

1- Is your firm multinational?

2 - Reasons to implement certification.

42

Mark with an X, the importance of each of the following motivations for the decision to certify
according to ISO 9000.
Without any
importance
n

Not
important
n

With some
importance
n

Important
n

Extremely
important
n

Did not
respond
n

Cost
reducing
measures
Quality
improvement
Business Benefits
Pressure
customers

from

Numerous
certificated
competitors
Benefits achieved
by other certified
firms
Avoid
possible
obstacles
to
exportation
Mobilizing
employees
knowledge
Relations
authorities

with

Relations with the


community

Business Image

3- Benefits of Certification:
Indicate with an X, the benefits obtained after certification according to ISO 9000 in each of the
following categories.

43

Very
No
Few
Moderate Substantial substantial Did not
benefits benefits Benefits
Benefits
benefits respond

Reduction of production costs


Increased productivity
Increased confidence in the firm's quality
Environmental improvements
Increased on-time deliveries
Increase in customer satisfaction
Increase in market share
Maintenance / increase in net profit
Improvements of the definition
standardization of work procedures

and

Improvement of the workers morale


Improved relations with authorities

Improved relations with the community


Improvement of the firm's image

4-Length of time to implement the ISO 9000 Certification


Mark with an X, the time that took the firm to decide to implement the ISO 9000 till the certification.
Less than 1
year

Between 1
and 2 years

Between 2
and 3 years

Between 3
and 4 years

More than 4
years

Length
of
time
to
implement
the ISO 9000
Certification

5 Competition
Tick the best answer for each question on a scale of 1 to 5 (1 = strongly disagree, 5 = strongly agree)

44

Strongly
disagree

Disagree

Neither
agrees nor
disagrees
n

Agree
n

Strongly
agree

Did not
respond

In our business customers are loyal,


rarely change for new businesses or
competitors
In our business the competition is
mainly by price and not by
differentiation of product or service
In our business the competition is
extremely intense compared to other
sectors
In our business, firms promote
(advertise) strongly compared with
other sectors
The demand in our business has
been growing rapidly over the last 3
years
Innovation and R & D is more
common in our activity than in most
activities
In the past 3 years our business has
been more profitable than other
activities
We have a serious problem of
overcapacity in our activity
Our activity is still in the early growth
Our activity is characterized as a
high-tech activity

6-Implication for customers


Not
implemented
1

Fully
implemented
5

There was an increase in


contacts between firm
Personnel and customers
Actively
seek
our
customers in the design
of
products
and/or
services

7- Benchmarking
Not
implemented

Fully
implemented

45

We have an internal
program of competitive
benchmarking

8 - Empowerment
not
barely
partially
almost
fully
implemented implemented implemented implemented implemented
n

Employee involvement in
planning and design tasks was
increased
We have a very active system
of employee suggestions
The autonomy of employees to
make decisions was increased

9- Zero defects mentality

not
barely
partially
almost
fully
implemented implemented implemented implemented implemented
We have a commitment to a
goal of zero defects
We have a program of
continuous reduction of
defects and failures
We have a plan to
dramatically reduce the
reprocessing

10- Incoming of the Quality Management System.


Tick the best answer using a scale of 1 to 5 (1 = strongly disagree, 5 = strongly agree) regarding the
way your Quality program has impacted and influenced the results of your firm.

46

Did not
respond

Strongly
disagree

Disagree

Neither
agrees nor
disagrees
n

Agree
n

Strongly
agree
n

Our quality program has increased


our productivity significantly
Our quality program has contributed
dramatically to improve our
competitive position
Our quality program has increased
significantly our profitability
Our quality program influenced
significantly the increase of our sales
Our quality program has contributed
significantly to the improvement of our
overall performance
In general, it would have been better
without the quality program

11- Culture
Below you will find a number of attributes that collect usual descriptions of why firms undertake TQM
measures in practice or pursue / seek quality.
We ask you to divide 100 points among the 24 descriptions based on the importance or emphasis
the firm places in practice.
It is not necessary to assign points to all descriptions, only those that truly reflect an important point
in order to act in your firm, or over which supports your deployment strategy of the Quality
Management System. What is crucial is that, in the end, the sum of all the points by itself is marked
100.
1a
1b
1c
2a
2b
2c
3a
3b
3c
4a
4b
4c
5a
5b
5c
6a
6b
6c
7a
7b
7c

Inspecionar e detectar erros


Prevenir erros
Melhorar os nveis actuais de desempenho
Reduzir os custos por falhas/ avarias/ desperdcio
Zero defeitos
Criar novas alternativas de fazer as coisas
Corrigir erros
Projectar correctamente desde o princpio
Rever-se nas coisas bem feitas
Centrarmo-nos na produo (produtos)
Centrarmo-nos nos processos e nas causas de erros
Centrarmo-nos na gesto de fornecedores e clientes assim como nos
processos
Evitar incmodos aos clientes
Satisfazer as expectativas do cliente
Surpreender e deliciar o cliente
Responder rpida e adequadamente s reclamaes dos clientes
Ajudar os clientes evitando problemas futuros
Indemnizar e compensar os clientes para alm do que esperavam
Reduzir a insatisfao do cliente
Obter antecipadamente as preferncias do cliente e segui-las
Anteciparmos as expectativas do cliente

47

8a
8b
8c

Centrarmo-nos nas necessidades que nos pede o cliente


Centrarmo-nos nas preferncias do cliente
Criarmos as preferncias do cliente

48

APPENDIX 2 INTERVIEW

1 - There were critical factors in the consolidation of firms in the textile sector. In your opinion, why
did some firms / clients leave Portugal?
2 - Why did some firms return later?

49

3 - How did quality contribute to the return of some important clients?


4 How did quality contribute for textile firms in the Minho region survive the crisis?
Qual o contributo da qualidade para as empresas txteis do Minho conseguirem sobreviver crise?
5- How did quality contribute to the maintenance of jobs in the textile firms in the Minho region?

50

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