CHAPTER TWO

LITERATURE REVIEW
This section will focus on concepts and theories of performance outcome and

processes of quality assurance in the colleges of education. The following areas

of quality assurance and performance outcome will be looked at: concept of

quality assurance, approaches of quality assurance, advantages and

disadvantages of different quality assurance mechanisms in colleges of

education, difficulties in implementing effective quality assurance systems, the

contextual factors that influence the performance outcome and quality

assurance processes, and empirical evidence on the effects of quality assurance

mechanisms on colleges of education.

2.1 Theoretical Framework

For the study on "The Impact of Quality Assurance on Performance Outcomes

in Selected Colleges of Education," several theoretical frameworks were

considered. Three of the theories were the Human Capital Theory, Agency

Theory and finally the Systems Theory.

2.1.1 Selection of Suitable Theoretical Framework

[Link] Human Capital Theory

Human Capital Theory, initially formulated by Becker (1962) and expounded

by Rosen (1976) emphasizes the role of education and training in enhancing

individuals' productivity and performance outcomes. Dui (2020) elucidated that

the human capital theory posits that investments in education and skill

development contribute to improved performance and economic outcomes.

Human capital theory plays a crucial role in education and influences

performance outcomes. according to Rothomi and Rafid (2023), education is

considered an investment in human capital, providing knowledge and skills that

enhance productivity and performance. Sibagariang et al. (2023) explained

further that the relationship between human capital and education, especially in

higher education, is essential for organizational success. To Ionescu et al.

(2022), performance in education is a significant factor in creating a valuable

labor resource, impacting global training systems and strategies for educational

development. However, Kuzminov et al. (2019) posited that, despite the

importance of human capital theory, educational policy often lags behind in

utilizing its full potential, leading to challenges in capitalizing on human

potential for economic growth and individual success. Understanding how

social interactions facilitate the emergence of human capital resources is crucial,

as these interactions influence the creation of human capital through the

emergence process. In the context of colleges of education, this theory can be

used to analyze how investments in quality assurance practices, such as

curriculum development and staff training, lead to improved student

performance outcomes.

Nonetheless, Fix (2018), in his work titled, “The Trouble with Human Capital

Theory”, the authors take a critical look at human capital theory and its

explanation, thereby criticizing that the theory is either not supported by

evidence, is so vague that it is untestable, or is based on circular reasoning.

Hence, the rejection of the Human Capital Theory for the study of The Impact
of Quality Assurance on Performance Outcomes in Selected Colleges of

Education in Ashanti and Upper East Region.

[Link] Agency Theory

Agency Theory was propounded primarily by academics Michael C. Jensen and

William H. Meckling in the 1970s and has since evolved to become a

fundamental concept in corporate governance and organizational behavior

(Shell, 2023; Urbanek, 2018). Agency Theory focuses on the relationship

between principals (such as administrators) and agents (such as educators or

students) within an organization (Urbanek, 2018). According to Phan (2022), in

education, Bandura's constructs of self-efficacy and outcome expectancy play

crucial roles in motivation and learning. According to Payne and Petrenko

(2019), quality assurance in higher education, influenced by global actors like

the World Bank and ASEAN, is vital for a nation's participation in the global

educational landscape. Kivistö and Zalyevska (2015) argue that the application

of agency theory in education involves empowering students (agents) to achieve

desired outcomes while aligning their goals with educators (principals) to

enhance performance and motivation. By understanding and leveraging agency

dynamics and quality assurance mechanisms, educational institutions can

optimize student outcomes and foster a conducive learning environment.

While Agency Theory is valuable in understanding principal-agent relationships

and incentives, it may not directly address the impact of quality assurance on

performance outcomes in educational settings, which involves broader systemic

factors beyond individual agency relationships.

[Link] Systems Theory

Systems Theory is a concept in management and organizational theory that

views organizations as complex systems composed of interconnected parts that

work together to achieve common goals (Mallillin & Laurel, 2022). It was first

proposed by Ludwig von Bertalanffy in the 1940s and is based on the principles

of cybernetics, which deals with the communication and control of systems

(Mallillin & Laurel, 2022). Systems Theory emphasizes the importance of

understanding the relationships between different components of an

organization and how they interact to achieve goals.

Quality assurance can be viewed through a Systems Theory lens, where

educational institutions are seen as dynamic systems where changes in one part

(such as quality assurance practices) can impact overall performance outcomes.

Bošković et al. (2023b) argue that quality assurance processes in higher

education institutions focus on applying advanced methods to enhance

education quality and meet global needs. According to Aly (2022), Outcome-

Based Education (OBE) systems, guided by quality management principles,

emphasize learning outcomes as measures of institutional excellence, shifting

the focus to student competencies and post-graduation capabilities. To Mallillin

and Laurel (2022), implementing OBE systems requires proper planning, data

utilization, and continuous quality improvement to ensure curriculum

enhancement and stakeholder assurance. Additionally, the use of electronic

systems in quality assurance processes streamlines course management,

enhances course quality, and reduces time and manpower requirements (Sun &

Lee, 2020). Overall, integrating system theory, OBE systems, and quality
assurance practices leads to effective educational outcomes and continuous

improvement in educational programs.

Systems Theory offers a holistic approach to understanding the

interconnectedness of quality assurance practices and performance outcomes

within colleges of education. It allows for the examination of how various

components (e.g., curriculum design, infrastructure, staff development) interact

to influence student performance and overall educational outcomes.

Then again, Systems Theory emphasizes the dynamic relationships and

feedback loops within organizations. It helps in understanding how changes in

quality assurance practices can lead to systemic improvements in performance

outcomes over time.

Furthermore, Systems Theory is well-suited for educational research as it

acknowledges the complexity of educational systems and the need to consider

multiple factors that influence student performance beyond isolated variables

Systems Theory is therefore considered appropriate for studying the impact of

quality assurance on performance outcomes in colleges of education due to its

ability to capture the systemic nature of educational institutions and the dynamic

relationships between quality assurance practices and desired performance

outcomes.
2.2 Conceptual Framework

Educational Environment

Feedback

Implementation of Quality
Quality Assurance Practices Performance Outcomes
Assurance Practices
•Curriculum Development •Adoption and integration of •Student Academic
•Infrastructure Development quality assurance practices Achievement
•Staff Qualifications and into educational processes •Graduation Rates
Training •Execution of curriculum •Student Satisfaction and
•Assessment and Evaluation development initiatives Engagement
Processes •Upgrading and maintenance •Institutional Effectiveness
of educational infrastructure •Stakeholder Confidence and
•Professional development Reputation
and training programs for
educators
•Implementation of
assessment and evaluation
strategies

 Academic Departments and Programs

 Resources (financial, technological, material)
 Administrative Structure
 Faculty and Staff
 Student Body

Educational Environment

Figure 1: Conceptual Framework Based on Systems Theory Depicting the

Relationship Between Quality Assurance and Performance
 Outcomes in Colleges of Education, Including Relevant
Variables.

Here, quality assurance practices interact with various components of the

college of education system, including academic departments, administrative

structures, faculty, staff, and students. The implementation of quality assurance

practices influences how educational resources are utilized and how educational

programs and services are delivered.

The Systems Theory emphasizes feedback loops and adaptation within the

college of education system. Here, performance outcomes serve as feedback on

the effectiveness of quality assurance practices. Positive outcomes reinforce

effective practices, while challenges or deficiencies prompt adjustments and

improvements in quality assurance strategies.

2.2.2 Key Concepts and Assumptions

System Dynamics: The framework acknowledges the dynamic nature of

educational systems, where changes in quality assurance practices impact

performance outcomes and vice versa.

Holistic Approach: Systems Theory takes a holistic approach by considering

the interconnectedness of variables and processes within the college of

education system.

Continuous Improvement: The framework highlights the importance of

continuous improvement driven by feedback mechanisms and adaptive

responses to achieve desired performance outcomes.

This conceptual framework based on Systems Theory provides a

comprehensive model for understanding the relationship between quality

assurance and performance outcomes in colleges of education. By analysing the

interactions among input variables (quality assurance practices), process

variables (implementation of practices), system variables (college of education

system components), and output variables (performance outcomes), researchers

can gain insights into how quality assurance initiatives impact educational

effectiveness and student success within the broader organizational context.

This framework underscores the importance of systemic thinking and

continuous improvement in optimizing educational quality and performance

outcomes.