Relationships among advanced manufacturing technology, innovation, export, and firm performance

Kybernetes ◽  
2018 ◽  
Vol 47 (9) ◽  
pp. 1836-1856 ◽  
Author(s):  
Serkan Altuntas ◽  
Omer Cinar ◽  
Selahattin Kaynak
Keyword(s):  
Firm Performance ◽  
Conceptual Model ◽  
Manufacturing Firms ◽  
Manufacturing Technology ◽  
Equation Modeling ◽  
Advanced Manufacturing Technology ◽  
Advanced Manufacturing ◽  
Manufacturing Companies ◽  
Content Type ◽  
The Relationship

Purpose The purpose of this study is to find the relationships among advanced manufacturing technology (AMT), innovation, export and firm performance by using data obtained from 310 Turkish manufacturing firms. Design/methodology/approach A survey study was performed to obtain data from manufacturing firms. Multiple-item scales were adapted from the literature to conduct the survey in this study. Data were collected from five cities located in the Southeastern Anatolia Region in Turkey (Gaziantep, Adiyaman, Kilis, Diyarbakir and Sanliurfa). Structural equation modeling was utilized to investigate the relationships among AMT, innovation, export and firm performance in Turkish manufacturing firms operating in several industries. The direct and indirect relations between these variables are examined in the proposed conceptual model. In addition, the complex relations including in the proposed model are assessed in detail through the mediation analysis. Findings Six of the proposed ten hypotheses related to manufacturers are validated by the empirical evidence from manufacturing companies in Turkey. Significant findings obtained in this study include the following: there are strong positive associations between the use of AMT and innovation and between export and firm performance. In addition, innovation mediates the relationship between AMT and firm performance and between AMT and export. Finally, export mediates the relationship between AMT and firm performance and between innovation and firm performance. It is expected that the results obtained from this empirical analysis will help decision makers and managers to construct a good technology and production management strategy for manufacturing systems. Originality/value In this study, a novel conceptual model is proposed to examine the relationships among AMT, innovation, export and firm performance via the use of survey responses from 310 Turkish manufacturing firms. To the authors’ best knowledge, this is the first study that proposes such a conceptual model in the literature.

Strategic orientations, firm performance and the moderating effect of absorptive capacity

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Manuel-Alejandro Ibarra-Cisneros ◽  
María del Rosario Demuner-Flores ◽  
Felipe Hernández-Perlines
Keyword(s):  
Firm Performance ◽  
Market Orientation ◽  
Absorptive Capacity ◽  
Entrepreneurial Orientation ◽  
Manufacturing Firms ◽  
Moderating Effect ◽  
Equation Modeling ◽  
Content Type ◽  
Strategic Orientations ◽  
The Relationship

PurposeThe purpose of this article is to study the moderating effect of absorptive capacity, defined as the set of organizational routines and processes through which companies acquire, assimilate, transform and exploit knowledge to produce a dynamic organizational capacity (Zahra and George, 2002), in three strategic orientations: market orientation; technology orientation and entrepreneurial orientation and their positive relationship in the performance of the medium and large Mexican manufacturing firms. Likewise, it is determined whether these three combined SOs influence firm performance.Design/methodology/approachThe data was collected from 171 medium and large-sized Mexican manufacturing firms. The proposed hypotheses are tested using partial least square structural equation modeling (PLS-SEM).FindingsDespite the importance of knowledge for the development of firms, the results indicate that the moderating effect of absorptive capacity is only present in the relationship between entrepreneurial orientation and firm performance. That is, firms cannot take advantage of knowledge simultaneously between the three strategic orientations. For their part, market orientation and entrepreneurial orientation exert a positive influence on firm performance.Practical implicationsThe main practical implication for the manufacturing industry is that they must develop mechanisms to detect what kind of knowledge affects each strategic orientation, in this way it can make the absorptive capacity influence the relationships between SO and FP.Originality/valueThe main contribution consists of studying the moderating effect of the absorptive capacity on the relationship between three strategic orientations and firm performance, and not concentrating solely on the simultaneous use of these strategies as is commonly done.

Chasing productivity demands, worker well-being, and firm performance

2020 ◽  
Vol 49 (9) ◽  
pp. 1823-1843
Author(s):  
Mastura Ab Wahab ◽  
Ekrem Tatoglu
Keyword(s):  
Firm Performance ◽  
Well Being ◽  
Manufacturing Firms ◽  
Equation Modeling ◽  
Flexible Work Arrangements ◽  
Flexible Work ◽  
Content Type ◽  
Work Arrangements ◽  
The Impact ◽  
The Relationship

PurposeThis study aims to examine the impact of chasing productivity demands on worker well-being and firm performance in manufacturing firms in Malaysia. Flexible work arrangements and human resources support are used as moderators to mitigate the adverse impacts associated with chasing productivity demands.Design/methodology/approachData were collected from 213 workers from manufacturing firms through a survey questionnaire utilizing structural equation modeling.FindingsThe findings of the study show that flexible work arrangements play a significant role in moderating the relationship between chasing productivity demands and well-being, and between chasing productivity demands and firm performance. The study also shows that flexible work arrangements are important to buffer the adverse effects of chasing productivity demands on worker well-being. In addition, flexible work arrangements strengthen the positive effect of worker well-being on firm performance.Research limitations/implicationsThis study highlights the importance of flexible work arrangements in overcoming the negative impact of the relationship between chasing productivity demands and worker well-being and strengthening the positive impact of the relationship between worker well-being and firm performance.Originality/valueThis study has extended the variable of chasing productivity demands in the existing literature on the job demands–job control model, specifically in manufacturing firms.

Exploring the key success factors of advanced manufacturing technology implementation in Indian manufacturing industry

2018 ◽  
Vol 29 (1) ◽  
pp. 25-40 ◽  
Author(s):  
Raman Kumar ◽  
Harwinder Singh ◽  
Rohit Chandel
Keyword(s):  
Production System ◽  
Latent Variable ◽  
Structural Equation ◽  
Manufacturing Industry ◽  
Success Factors ◽  
Manufacturing Technology ◽  
Equation Modeling ◽  
Advanced Manufacturing Technology ◽  
Advanced Manufacturing ◽  
Content Type

Purpose The purpose of this paper is twofold: first, to explore the relationship between success parameters and implementation of advanced manufacturing technology (AMT); and second, to examine the changes required in manufacturing system as a result of AMT implementation. Design/methodology/approach The first order confirmatory factor analysis was performed to validate the presence of observed variables on their respective latent variable. Structural equation modeling is used to test the considered eight hypotheses. Findings The finding indicates that all five success factors are positively related to the AMT implementation. The redesign in the production system and organization strategy is directly related to the AMT implementation. The notable finding is the AMT implementation has no direct impact on the redesign of human resource, but it has mediated impact through the production system. Research limitations/implications The originality and reliability of data collected for research purpose merely depends upon information and the accessible resources. Originality/value The outcome of the present work gives rise to meaningful implications for researchers and practitioners as well.

Drivers of supply chain integration and the role of organizational culture

2016 ◽  
Vol 22 (1) ◽  
pp. 89-115 ◽  
Author(s):  
Erlinda N. Yunus ◽  
Suresh K. Tadisina
Keyword(s):  
Organizational Culture ◽  
Supply Chain ◽  
Firm Performance ◽  
Manufacturing Firms ◽  
Supply Chain Integration ◽  
Equation Modeling ◽  
Content Type ◽  
The Impact ◽  
The Relationship

Purpose – Supply chain integration (SCI) is a set of practices driven by many factors and circumstances. The purpose of this paper is to examine firms’ internal and external drivers of SCI, evaluate the impact of the integration on firm performance, and further investigate the moderating role of organizational culture in strengthening the relationships between firms’ drivers and SCI. Design/methodology/approach – For the purpose of this study, manufacturing firms were identified as the focal firms in supply chains, and thus data were collected through a survey of 223 Indonesian-based manufacturing firms. Two informants from each firm became the respondents. Structural equation modeling was used to analyze the data. Findings – This study confirmed the positive relationship between SCI and firm performance. The results also indicated that internal driver, or specifically firms’ customer orientation (CO), triggered the initiation of SCI. Organizational culture, in terms of external focus, positively influenced the relationship between CO and SCI. Research limitations/implications – This study illustrates the important role of organizational culture in determining the shape of the relationship between firms’ drivers and SCI. The results of this study enhance the understanding of SCI, especially related to types of organizational culture that could promote the integration. Originality/value – This study brings a different dimension of SCI as this study provides evidence from a developing country, which might implement different practices as compared those of developed countries. This study provides a measure of internal drivers, which has not been empirically investigated. The new measure was tested and validated using a rigorous process, and thus could be employed in other studies with different settings.

Business excellence via advanced manufacturing technology and lean-agile manufacturing

2018 ◽  
Vol 29 (1) ◽  
pp. 2-24 ◽  
Author(s):  
Morteza Ghobakhloo ◽  
Adel Azar
Keyword(s):  
Business Performance ◽  
Manufacturing Systems ◽  
Hybrid Approach ◽  
Agile Manufacturing ◽  
Manufacturing Technology ◽  
Equation Modeling ◽  
Future Research ◽  
Advanced Manufacturing Technology ◽  
Advanced Manufacturing ◽  
Content Type

Purpose The purpose of this paper is to contribute to the existing knowledge about the relationships between advanced manufacturing technology (AMT), lean manufacturing (LM), agile manufacturing (AM), and business performance. Design/methodology/approach A questionnaire-based survey was performed to collect data from 189 Iranian automobile part manufacturers. Statistical analysis of hypothesized relationships was conducted via partial least squares structural equation modeling. Findings AMT significantly contributes to the development of both LM and AM. These manufacturing systems can co-exist in one system, and LM is a precursor to AM. LM contributes to operational performance whereas AM improves marketing performance and financial performance. Research limitations/implications Relying on the cross-sectional data of this research, and lack of generalizability of findings are key limitations. An interesting direction for future research would be to empirically offer a hybrid lean-agile approach and further map the mechanism through which this hybrid approach can be achieved in practice. Practical implications Both LM and AM are information-intensive and highly supported by AMT. They contribute to different aspects of business performance. Pursuing both cost-leadership strategy and product mix flexibility is viable via hybridizing the lean and agile systems. Originality/value This study is among the first to address issues related to the lean-AM relationship among developing countries. This study is unique in the sense it shows the mechanism through which the value of AMT is truly transformed to performance improvement.

Quality management, innovation capability and firm performance

2019 ◽  
Vol 31 (6) ◽  
pp. 1003-1027 ◽  
Author(s):  
Saumyaranjan Sahoo
Keyword(s):  
Firm Performance ◽  
Quality Management ◽  
Operations Management ◽  
Manufacturing Firms ◽  
Equation Modeling ◽  
Future Research ◽  
Innovation Capability ◽  
Manufacturing Companies ◽  
Senior Managers ◽  
Content Type

Purpose Many organizations are facing competitive challenges due to the rapid pace of technological changes. Both quality management (QM) and innovation are the competitive factors that are intensely embedded into organizational products, services and processes. In order to achieve higher firm performance, manufacturing firms are needed to adopt QM practices as well as develop innovation capability. Therefore, the purpose of this paper is to examine the relationship among QM, innovation capability (IC) and firm performance under both mediation and moderation models using structural equation modeling. Design/methodology/approach The approach of this study is quantitative. The data used to test the hypotheses were gathered from Indian small- and medium-sized enterprises (SMEs) interviewing senior managers with a structured questionnaire. These hypothesized relationships are tested with data collected from 134 Indian manufacturing firms by using SPSS and AMOS statistical software. Findings Overall, the findings clearly show that QM through the firm’s IC is indirectly associated with a firm’s business performance. It supported the notion that QM practices encourage the definition of innovation strategies of products and processes within a manufacturing setup, which positively affected different aspects of firm performance. More importantly, this study supports the findings of past studies that questioned the role of QM practices in improving a firm’s IC. Research limitations/implications Some limitations of this study include: although a cross-sectional survey has been applied, the research does not permit us to account for the lag between implementation and performance. It also brings the opinion of a limited number of senior managers of Indian manufacturing SMEs, and hence both the sample size could be increased and the nationality of the respondent/responding firms could be expanded for future research. Practical implications In light of the obtained results, several recommendations were introduced to assist decision makers in manufacturing companies. The paper contains suggestions for improving manufacturing firm’s performance through developing IC and adopting QM practices. Originality/value This paper extends theoretical contribution in production and operations management literature, highlighting how QM practices and firm’s IC have to interact in determining an organization’s success and sustaining its global competitiveness.

Supply chain learning and organizational performance: evidence from Chinese manufacturing firms

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Muhammad Zia Ul Haq
Keyword(s):  
Supply Chain ◽  
Firm Performance ◽  
Financial Performance ◽  
Organizational Performance ◽  
Manufacturing Firms ◽  
Operational Performance ◽  
Equation Modeling ◽  
Content Type ◽  
Different Types ◽  
The Relationship

Purpose Despite the significance, no study examines the relationship between supply chain (SC) learning components and focal firm performance. This study aims to investigate different types of SC learning (supplier, customer and internal learning) and their influence on the focal firm’s operational and financial performance. Design/methodology/approach Grounded in knowledge-based view and absorptive capacity theory, this study applies structural equation modeling to test the conceptual model based on data collected from 213 manufacturing firms in China. Findings The findings indicate that supplier and customer learning improve internal learning. Customer and internal learning have direct influence on operational performance, whereas internal learning mediates the relationship between supplier learning and operational performance. Moreover, all three dimensions of SC learning do not affect financial performance directly but operational performance plays the mediating role in their relationship. Research limitations/implications This study only investigates SC learning outcomes without exploring its antecedents. In addition, SC learning and their impacts on firm performance are tested empirically with cross-sectional data collected only from manufacturing firms in China. Practical implications The findings furnish managers to seek for competitive advantages through different types of SC learning. Originality/value This study offers new insights concerning the performance implications of SC learning. It divides SC learning into dimensions and shows the distinctive impacts of these dimensions on focal firm’s performance using an empirical method.

The performance impact of industrial services and service orientation on manufacturing companies

2015 ◽  
Vol 25 (4) ◽  
pp. 463-485 ◽  
Author(s):  
Marko Kohtamaki ◽  
Henri Hakala ◽  
Jukka Partanen ◽  
Vinit Parida ◽  
Joakim Wincent
Keyword(s):  
Manufacturing Firms ◽  
Equation Modeling ◽  
Service Orientation ◽  
Manufacturing Companies ◽  
Content Type ◽  
Industrial Services ◽  
Industrial Service ◽  
Profit Performance ◽  
The Impact ◽  
The Relationship

Purpose – Product-manufacturing firms are increasingly positioning themselves as providers of industrial services and solutions. Despite the increasing conceptual interest in industrial services, empirical evidence about the factors that mediate the relationships between industrial services and firm performance remains limited. The purpose of this paper is to investigate the relationship between industrial service offerings, service orientation and firm sales and profit performance. Design/methodology/approach – The study uses data from 115 manufacturing firms and adopts a structural equation modeling technique to test a set of hypotheses on service offerings, service orientation and company sales and profit performance. Findings – The results underline the importance of implementing service orientation in employees’ behavior, recruitment, training, and assessment. Service orientation is demonstrated as an essential mediator for the relationship between service offerings, revenues, and profits. The results therefore suggest that both service offerings and service orientation are important when manufacturing companies attempt to position themselves as industrial service providers. Research limitations/implications – Given the limitations of the sample collected from the Finnish manufacturing industry, future studies could refine the measures and investigate the applicability of the results in other contexts. Practical implications – The results suggest that developing a service orientation is vital for manufacturing companies to profit from increased offerings of industrial services. Because nurturing service orientation is a central enabler of the impact of service offerings on sales and profit performance, it is in the interests of manufacturing firms moving towards a servitized business model to develop training, compensation, and recruitment policies. Originality/value – The study establishes a link between service offerings, service orientation, sales, and profit performance in manufacturing firms. This is among the first studies to provide statistical evidence to support claims that even manufacturing firms can benefit from developing integrated product-service solutions.

From corporate social responsibility activities to financial performance: role of innovation and competitive advantage

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mahnoor Zahid ◽  
Hina Naeem ◽  
Iqra Aftab ◽  
Sajawal Ali Mughal
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Financial Performance ◽  
Competitive Advantage ◽  
Manufacturing Firms ◽  
Equation Modeling ◽  
Content Type ◽  
Corporate Social ◽  
The Relationship

Purpose The purpose of this study is to scrutinize the effect of corporate social responsibility activities (CSRA) of the firm on its financial performance (FP) and analyze the mediating role of innovation and competitive advantage (CA) in the relationship between CSRA and FP in the manufacturing sector of an emerging country, i.e. Pakistan. Design/methodology/approach Data has been collected through an electronic structured questionnaire from 300 middle-level and top-level managers by surveying different manufacturing firms of Gujranwala, Pakistan. The study’s hypotheses have been checked by analyzing the reliability and validity of data and applying confirmatory factor analysis and structural equation modeling through statistical package for the social sciences and analysis of moment structures. Findings Outcomes of this study supported the hypothesized model. It has been found that the CSRA plays a significant positive role in determining the FP of the firm. Furthermore, the CA and innovation have been proved as significant mediators between CSRA and FP. Originality/value The first time examining the intermediation of innovation and CA in the relationship between CSRA and FP is the primary input of this study to the literature. Practically, this study’s findings will help strategy makers of manufacturing firms in emerging countries develop better strategies for implementing CSRA, enhancing innovation, seeking CA and improving FP.

Sign in / Sign up

Export Citation Format

Share Document