The Mediating Role of Innovation in the Impact of TQM Practices on Corporate Performance in The Construction Industry in Saudi Arabia

The contracting industry in Saudi Arabia continues to have a major problem with project completion delays, despite the importance of the sector and the large expenditures made in project development. Such delays incur additional costs and may disrupt the country’s strategic initiatives, slowing the progress of economic, social, and developmental objectives. This study addresses this issue by examining how Total Quality Management (TQM) influences innovation (INO) and corporate performance (COP) within Saudi construction firms. Data was gathered from 272 participants through a structured questionnaire. Findings indicate that TQM positively and significantly enhances both innovation (INO) and corporate performance (COP) in construction companies. Furthermore, innovation (INO) not only directly improves performance but also serves as a positive mediator between TQM and corporate outcomes in construction. The study underscores that adopting TQM practices can strengthen innovation and elevate the overall performance of the Saudi construction sector. Limitations and directions for future research are also discussed.