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Business competition is getting tighter and the changing needs of consumers make companies must always be able to provide satisfaction to consumers in order to be able to compete with competitors. The application of total quality management can improve company performance in providing satisfaction to consumers. In addition, by providing good quality service to consumers, it will give more greater satisfaction on consumers. The purpose of this study was to determine the role of service quality in mediating the effect of total quality management on customer satisfaction. This research was conducted at Sepeda Bali Tour, with the number of respondents being 200 consumers of Sepeda Bali Tour. The method used is nonprobability sampling, especially purposive sampling with data analysis techniques using path analysis and sobel test. Based on the results of the analysis carried out the results show that service quality variables are able to mediate the effect of applying total quality management on customer satisfaction. The path analysis test shows that the direct effect of the total quality management variable on customer satisfaction has a beta coefficient of 0.386 while the indirect effect mediated by service quality shows a beta coefficient of 0.489. While the results of the sobel test obtained a calculated Z value of 12.0123 which is greater than 1.96 (Z count 12.0127> 1.96) which means that service quality is able to mediate total quality management on customer satisfaction Keyword : total quality management (tqm), service quality, consumer satisfaction |
