Effect of Total Quality Management on the Performance of Nigerian Banking Industry: A Study of First Bank Nigeria PLC, Makurdi, Benue State

Abstract

The increasing competition in the Nigerian banking industry calls for the need for banks to adopt customer-oriented strategies to enhance performance and sustainability. There is limited information on the impact of such strategies like Total Quality Management (TQM) on the performance of Nigerian banking industry. Hence, this study examined the effect of TQM on the performance of Nigerian banking industry with specific focus on First Bank Nigeria PLC, Makurdi, Benue State. Specifically, the study sought to ascertain the effect of TQM on quality-ofservice delivery and to determine its effect on customer retention in First Bank Nigeria PLC. A survey research design was employed, and data were collected through structured questionnaire administered to 171 staff of the bank. Descriptive statistics were used to analyze the data. The findings showed that TQM practices significantly enhance quality service delivery by improving efficiency, reducing service errors, and ensuring timely response to customer needs. The results also indicated that TQM has significant effect on customer retention, as customers are more likely to remain loyal to banks that consistently delivers high-quality services. The study thus concluded that effective implementation of TQM is an important strategy for sustaining competitiveness and improving performance in the Nigerian banking industry. The study recommended that banks should institutionalize TQM principles, such as continuous improvement, customer focus, and employee involvement, to strengthen service quality and enhance long-term customer loyalty.