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This study aims to evaluate the extent to which the criteria of the EFQM Excellence Model and the relationships between them are relevant in the management of rural territory development. Verifying this relevance is crucial as a first step to determine how the adoption of an excellence model could enhance the results of the local action groups (LAGs) in managing their territories. If successful, the benefits for the management of territorial rural development in Spain could be highly significant.

Field data were collected through a questionnaire distributed to the managers of 253 LAGs in Spain during the first quarter of 2021. Hypotheses were formulated to evaluate the significance of the EFQM model in the outcomes achieved by LAGs. The data were analysed using partial least squares-structural equation modelling (PLS-SEM) and necessary conditions analysis (NCA).

This study validates all the formulated assumptions regarding the EFQM model, including the mediating role of process management in the impact of strategy and the technical team (people) on outcomes. Based on the obtained results, it can be concluded that the adoption of a model of excellence could increase the effectiveness of LAGs in managing the development of their territories.

Like all research, this study has its limitations. For example, the data used responds to an indirect approach to the criteria of the EFQM model. Direct measurement of the criteria was not possible because there were no LAG evaluations with the EFQM model or any other model of excellence. Additionally, the LAG sample used does not equally reflect the reality of the different autonomous communities, which, together with the relatively small nature of the sample, does not allow comparisons of the autonomous communities. The age of the participants was not included in the analysis, so it was not possible to evaluate the effect that this variable could have on the results. There are LAGs in other EU countries as well. It would be interesting to see whether the results obtained in this study with Spanish LAGs are consistent with those in other countries. The study was conducted at the criterion level. It would be of interest to delve deeper into the subcriterion level in future work. Finally, this study was based on the EFQM 2013, while the most recent study was from 2020, which is a limitation. When the study was designed, there was not yet sufficient experience with the 2020 model. It will be interesting to see in future work the extent to which the results and conclusions obtained remain consistent with those of the 2020 model.

Approaches to tackling the problem of rural development have often relied on intuitive and practical trial-and-error methods in the implementation of public policies rather than on a solid and validated theoretical foundation. Therefore, verifying the relevance of the criteria and their interrelationships, intrinsic to models such as the EFQM 2013 model, in the context of managing rural territories, can greatly aid the management of these types of organisations.

The development of rural territories is a critical issue that remains unresolved in many countries. Failure to address this, or not doing so in a timely manner, has consequences for equity and migration to large urban centres. Enhancing the effectiveness of the LAGs can improve the living conditions of people in rural areas and contribute to the overall development of rural territories in Spain. This can simultaneously help mitigate the depopulation of rural areas.

Traditional approaches to rural development have often relied on practical trial-and-error methods in implementing public policies. The decision to adopt an excellence management model for the development of rural territories hinges on the validity of criteria and their interrelationships, such as those intrinsic to the EFQM 2013 model, within the context of rural development.

The EFQM model of excellence is applicable in managing the development of rural territories, although some relationships between criteria, such as the case of Partnership and Resources on Results, are affected by the context in which local action groups currently operate in Spain.

This study applies PLS-SEM in the analysis of the relationships between criteria of the EFQM model in the context of managing the development of rural territories.

Prior studies by Salaheldin (2009) and Talib et al. (2011) have assessed the relationships between TQM critical success factors (CSF) and business results. The purpose of this paper is to build upon this research by considering the relationships between these CSFs and their sequencing during the implementation of TQM. Furthermore, the influence exerted by the maturity of TQM implementation on the link between instrumental drivers and performance is explored.

The TQM drivers are clustered by means of three constructs: strategic enablers, tactical drivers and instrumental drivers and a model employed in which the strategic and tactical factors are treated as antecedents of the instrumental drivers. The direct effect of each cluster on business results and the indirect relationship of strategic and tactical factors via the mediating role of the instrumental drivers are assessed. These assessments use the partial least squares (PLS) approach which is a variance-based structural equation modeling technique using a sample of 113 Spanish organizations with experience of implementing a TQM program.

The findings confirm the existing relationships among the CSFs and business performance identified by studies Salaheldin (2009) and Talib et al. (2011). However, the results reveal that instrumental drivers possess the highest variance explanation power over business performance outcomes and it is possible to identify a CSF implementation sequence that generates the greatest impact on business performance. Furthermore, the study was inconclusive with regard to the influence exerted by the number of years of TQM implementation on the link between the instrumental drivers and performance.

The first is related to organizational bias. It seems likely that those firms which are not satisfied with their TQM system performance would be less likely to be motivated to contribute to the development of this study. Therefore, the authors have included in the sample a higher proportion of “good” systems than is the case in the population at large. Second, although the authors provide evidence of causality, causality itself has not been proven. Third, this research relies mainly on perceptions and the authors only used a single method to elicit these perceptions. Finally, this research was carried out in a specific geographical setting (Spanish companies) and the authors must be cautious about generalizing these results in other contexts.

This study offers a substantial number of practical implications. First firms’ managers should emphasize that continuous improvement, benchmarking and zero-defects mentality is a never-ending process. Especially, they should understand that reliable product/service design is critical to exceed the customers’ expectations, leading to improved business success. The results of this study should also lead managers to seeing a “return on investment” in their efforts to implement a TQM program by first, paying more attention on how to implement the instrumental factors, and second, avoiding the belief that the passage of time and experience-based learning will bring business performance enhancement and success on their own.

Although, the literature agrees that strategic factors are valuable assets and have a crucial role in the deployment of TQM systems, the study empirically validates this assertion. However, at the same time it shows that this impact on performance is stronger and much more significant by reconfiguring instrumental factors. This implies that strategic and tactical factors do have an effect on business success, but they do so indirectly, by reconfiguring and reinforcing instrumental factors that better fit the stakeholders’ needs and expectations.

The results suggest the need to consider whether all the CSFs are equally relevant on the basis of their contribution to business success. For example, strategic enablers are generally considered to be of primary importance with tactical and instrumental drivers assuming a secondary position. The study challenges this view and highlights the role of instrumental drivers over strategic and tactical factors with the clear implication that managers should focus strongly on daily implementation tasks such as benchmarking, zero-defects mentality and continuous improvement processes in order to achieve good business performance outcomes.