The effects of quality management practices on organizational performance: The mediating role of green innovation

Enhancing organizational performance in small and medium-sized enterprises has received growing attention, yet evidence of how specific Quality Management Practices (QMP) influence organizational performance (OP) remains limited. Purpose: This study examines the direct and mediated relationships between seven QMP dimensions and OP, grounded in the Resource-Based View (RBV). Methodology: We analyzed survey data from 195 managers of SMEs affiliated with the Oman Investment Authority (OIA) using partial least squares structural equation modeling (PLS-SEM). Results indicate that QMP are positively associated with OP overall. Findings: People engagement is not a significant predictor. Green innovation shows no significant direct effect on OP, but mediates the effects of leadership & management commitment, customer focus, people engagement, and relationship management on OP, with no mediation for process approach, evidence-based decision-making, or improvement. Significant of the study: These findings refine RBV-based explanations of capability performance links and clarify when GI acts as a pathway rather than a standalone driver. Practically, the study guides SME leaders and policymakers to prioritize QMP dimensions with the strongest direct and GI-mediated links to OP in resource-constrained settings.