The Impact of Quality Management Practices on Banks' Ability to Confront Operational Risks: A Quantitative Study

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Published: Mar 30, 2026
Keywords:
, total quality management, Operational Risk, Iraqi banks under sanctions, Panel Data, Basel III

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Abdulrahman Abdullah
College of Administration and Economics, Department of Business Administration, University of Basra

Abstract

This study examines the impact of Total Quality Management (TQM) practices on operational risk resilience in Iraqi banks during 2013–2023 amid limited disclosure of quality and risk indicators. It relies on proxy measures derived from financial data, using an “Improvement and Quality” index and an estimated operational error rate. Results from panel data (7 banks, 77 observations) show a significant negative relationship, where a 1% increase in quality reduces error rates by 0.012 percentage points. The International Development Bank performs best, while Mosul Bank shows inconsistencies. Robustness tests confirm the fixed-effects model and result stability, even during COVID-19. The study recommends adopting international quality standards and enhancing disclosure to improve transparency and resilience

Article Details

How to Cite
Abdullah , A. (2026). The Impact of Quality Management Practices on Banks’ Ability to Confront Operational Risks: A Quantitative Study. The Gulf Economist, 42(67), 49–84. Retrieved from https://tge.uobasrah.edu.iq/index.php/tge/article/view/209
Conference Proceedings Volume
No. 67 (2026)
Section
Articles
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This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.

Author Biography

Abdulrahman Abdullah , College of Administration and Economics, Department of Business Administration, University of Basra

Abdulrahman Abdullah Alrahmani

 

University of Basra / College of Administration and Economics

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