The causes of firm performance variation in the Czech food processing industry in the context of the outlier effect

2018 ◽  
Vol 41 (8) ◽  
pp. 968-986 ◽  
Author(s):  
Ivana Blažková ◽  
Ondřej Dvouletý
Keyword(s):  
Food Processing ◽  
Fixed Effects ◽  
Relative Importance ◽  
Food Processing Industry ◽  
Processing Industry ◽  
Content Type ◽  
Explanatory Factors ◽  
Firm Profitability ◽  
Dominant Firms ◽  
Fixed Effects Regression

Purpose The purpose of this paper is to analyse to what extent industry, year and firm effects influence the profitability of the firms operating in the Czech food processing industry. The authors’ interest is also to investigate whether the profitability of a few firms (regarded as outliers) is able to influence the relative importance of year, firm and industry effects and to find out the relative importance of these effects for the majority of the firms. Design/methodology/approach The effects are tested using the fixed effects regression models on the unbalanced panel dataset which consists of 10,509 observations for 1,804 enterprises across the ten food sectors over the period 2003-2014. To ensure the consistency of the results, the authors use the three different measures of profitability: return on assets, return on equity and price-cost margin. Findings The results suggest that, on average, industry and year effects have little impact on firm profitability variance, and firm-specific effects dominate when seeking to explain firm profitability variance. To the best of the authors’ knowledge, the obtained results are supported by most of the previously published studies. Practical implications Based on the findings, the authors encourage future researchers to add, as explanatory factors, governmental policies and to test their impact on firm profitability. Originality/value The study helps to fill in the research gap in the field of agribusiness, as, to the best of the authors’ knowledge, no study has been conducted yet in the Czech agribusiness environment. Considering the approach distinguishing the “average” and dominant firms in the sectors, they aim at a methodological contribution to this field of research dealing with firm profitability variation.

Delays in new product introduction

2018 ◽  
Vol 29 (5) ◽  
pp. 811-828 ◽  
Author(s):  
Ebenezer Adaku ◽  
Charles Teye Amoatey ◽  
Israel Nornyibey ◽  
Samuel Famiyeh ◽  
Disraeli Asante-Darko
Keyword(s):  
Project Management ◽  
Food Processing ◽  
New Products ◽  
Project Team ◽  
New Product Introduction ◽  
Relative Importance ◽  
Product Introduction ◽  
Food Processing Industry ◽  
Processing Industry ◽  
Content Type

Purpose Speed to the market is becoming a key competitive priority in developing countries’ environments even though lack of technology, poor skilled labour and under-developed infrastructure remain daunting challenges. The purpose of this paper is to examine the causes and relative importance of delay factors in the introduction of food products to the market in the era of time-based competition. Design/methodology/approach The study employed a case study approach in understanding the phenomenon in its natural settings and making sense of it through process and participants observations. Again, a two-stage approach (first, interviews and second, questionnaire) was used in collecting data from the respondents who work in a project team for a large food processing firm. The data was analysed using the relative importance index technique. Findings The results show that the most important causes of delays in new products introduction, especially in the food processing industry, are: high number of projects running concurrently; lack of project management process; lack of consistent project management structure; high workload on project team and delays caused by external laboratory. Originality/value This study sought to identify detailed delay factors in the introduction of new products with respect to the food processing industry and more importantly established the relative importance of these delay factors as a decision support system for managers in the food processing industry.

Investigating the differences in entrepreneurial success through the firm-specific factors

2019 ◽  
Vol 11 (2) ◽  
pp. 154-176 ◽  
Author(s):  
Ivana Blažková ◽  
Ondřej Dvouletý
Keyword(s):  
Financial Performance ◽  
Food Processing ◽  
Fixed Effects ◽  
Estimation Technique ◽  
Entrepreneurial Success ◽  
Food Processing Industry ◽  
Data Set ◽  
Processing Industry ◽  
Content Type ◽  
Specific Factors

Purpose This paper aims to investigate the effect of firm-specific determinants on the entrepreneurial success (measured through the objective financial performance) of the Czech food processing firms over 2003-2014 and with the main particular focus on capital structure and productivity as the tough challenges of the firms in transition and emerging economies. Design/methodology/approach Determinants of profitability are tested econometrically, as for the estimation technique, both-way fixed effects controlling for variety over the time and across enterprises were applied. The collected micro-panel data set consists of 10,509 observations and includes 1,804 firms. Estimated regression models with fixed effects are used to quantify the determinants of the financial performance, operationalized through three key performance indicators – price–cost margin, return on assets and return on equity. Findings Estimated econometric models supported hypothesis assuming a positive relationship between the labour productivity and profitability. In line with the assumptions based on the development of the Czech food market, high leverage of firms led to the decrease of profitability, which can be explained by the high financial distress costs and worsened market position of firms in the competitive environment. Ageing of firms and firm size were associated with the increase of profitability indicators. Practical implications The findings of the presented research are important for investors considering agribusiness as a part of their investment portfolios and for policymakers to enhance the economic efficiency of the food industry through regulations and public support, and particularly, from the firm management viewpoint, e.g. to pay attention to the debt policy due to the negative impact of high indebtedness on firm profitability, and to the productivity factors, which proved to be important drivers of entrepreneurial success. Originality/value Although the firm-specific factors responsible for firm performance have already been studied, the food processing industry has received limited interest from the empirical analysts, and the results are not always unequivocal. This study is expected to contribute to the literature on this subject, both empirically and methodologically, as to the best of the authors’ knowledge, no study has been encountered yet where the factors determining the profitability of the Czech food processing industry have been the focus. With regards to the collected micro-data set and the estimation technique, the study can be considered as extensive not only from the perspective of the research in the Czech Republic but also from the international perspective.

scholarly journals Burden or blessing in disguise: interactions in supply chain complexity

2018 ◽  
Vol 38 (2) ◽  
pp. 314-332 ◽  
Author(s):  
Hendryk Dittfeld ◽  
Kirstin Scholten ◽  
Dirk Pieter Van Donk
Keyword(s):  
Supply Chain ◽  
Food Processing ◽  
Raw Materials ◽  
Structured Interviews ◽  
Food Processing Industry ◽  
Dynamic Complexity ◽  
Processing Industry ◽  
Case Study Methodology ◽  
Content Type ◽  
Different Types

Purpose While systems theory explicitly considers interactions as part of a system’s complexity, supply chain complexity (SCC) is mostly conceptualized and measured as a linear summation of several aspects. The purpose of this paper is to challenge the general understanding by explicitly investigating interactions between and across different types (detail and dynamic) and levels (plant, supply chain, environment) of SCC. Design/methodology/approach An exploratory multiple case study methodology is adopted drawing on in-depth semi-structured interviews with respondents from eight manufacturing plants in the food processing industry. Findings On the one hand, it is found that different types add and increase overall SCC. On the other hand, the study also shows the opposite: interactions between detail and dynamic complexity can reduce the overall SCC experienced. Additionally, the findings highlight the specific food processing characteristics such as the variability of quality and quantity of raw materials that underlie interactions between types and levels of SCC. Originality/value This study adds to theory by empirically showing that interactions across and between types and levels do not automatically increase, but might also reduce SCC. As such, the findings contribute new detail to the concept of SCC: aspects of complexity do not necessarily add up linearly. Additionally, this study is one of the first to demonstrate how specific contextual aspects from the food processing industry relate to SCC.

Novel Taguchi scheme–based DEMATEL methods and DEMATEL method for the principal performance indicators of maintenance in a food processing industry

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Victor Chidiebere Maduekwe ◽  
Sunday Ayoola Oke
Keyword(s):  
Decision Making ◽  
Performance Indicators ◽  
Food Processing ◽  
Analysis Data ◽  
Processing Plant ◽  
Food Processing Industry ◽  
Processing Industry ◽  
Content Type ◽  
Maintenance System ◽  
Key Performance Indication

PurposeKey performance indicators (KPIs) of maintenance systems serve as benchmarks to workers and organizations to compare their goals for decision-making purposes. Unfortunately, the effects of one KPI on the other are least known, restraining decisions on prioritization of KPIs. This article examines and prioritizes the KPIs of the maintenance system in a food processing industry using the novel Taguchi (T) scheme-decision-making trial and evaluation laboratory (DEMATEL) method, Taguchi–Pareto (TP) scheme–DEMATEL method and the DEMATEL method.Design/methodology/approachThe causal association of maintenance process parameters (frequency of failure, downtime, MTTR, MTBF, availability and MTTF) was studied. Besides, the optimized maintenance parameters were infused into the DEMATEL method that translates the optimized values into cause and effect responses and keeping in view the result of analysis. Data collection was done from a food processing plant in Nigeria.FindingsThe results indicated that downtime and availability have the most causal effects on other criteria when DEMATEL and T-DEMATEL methods were respectively applied to the problem. Furthermore, the frequency of failure is mostly affected by other criteria in the key performance indication selection using the two methods. The combined Taguchi scheme and DEMATEL method is appropriate to optimize and establish the causal relationships of factors.Originality/valueHardly any studies have reported the joint optimization and causal relationship of maintenance system parameters. However, the current study achieves this goal using the T-DEMATEL, TP-DEMATEL and DEMATEL methods for the first time. The applied methods effectively ease decisions on prioritization of KPIs for enhancement.

Antecedents and consequences of green supply chain management practices: a study of Indian food processing industry

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mohd Abdul Muqeet Maaz ◽  
Rais Ahmad ◽  
Arif Abad
Keyword(s):  
Supply Chain ◽  
Organizational Performance ◽  
Food Processing ◽  
Green Supply Chain Management ◽  
Green Supply Chain ◽  
Food Processing Industry ◽  
Processing Industry ◽  
Chain Management ◽  
Content Type ◽  
Indian Food

PurposeThis study aims to empirically test a comprehensive green supply chain management (GSCM) practices model. This paper incorporates green intellectual capital (GIC) and green supply chain orientation (GSCO) as antecedents to the successful implementation of GSCM practices and organizational performance as its consequence.Design/methodology/approachThis study has been conducted in the Indian food processing industry. The respondents of this study include 139 plant-level managers working in the food processing industry. The managers were contacted using a combination of personal visits, phone and mail. Structural equation modeling was performed using SPSS AMOS v26 to test the hypothesized model.FindingsThe findings of this study reveal that GIC and GSCO positively impact the implementation of GSCM practices. Further, GSCM practices improve economic and operational performance, leading to improved organizational performance.Practical implicationsThis study provides implications for managers suggesting that GSCM practices should be implemented in phases. The first phase must reflect the organization's commitment toward building GIC and the second phase must reflect managerial orientation toward implementation for GSCM practices.Originality/valueThis study adds to the existing literature by linking GIC to GSCM practices; second, this study provides a framework for implementation of GSCM practices in the food processing industry.

Understanding the impact of human resource practices on employee competencies: evidence from Indian food processing industry

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Sukhpreet Kaur ◽  
Gurvinder Kaur
Keyword(s):  
Human Resource ◽  
Food Processing ◽  
Structural Equations ◽  
Human Resource Practices ◽  
Food Processing Industry ◽  
Processing Industry ◽  
Content Type ◽  
Indian Food ◽  
Employee Competencies ◽  
The Impact

PurposeThe study aims at understanding the impact of individual and bundle of human resource practices (HRPs) on employee competencies. It also compares the impact of the bundle of HRPs with individual HRPs on employee competencies to examine the synergy effect.Design/methodology/approachTo test the hypothesis, a sample of 229 respondents from the Indian food processing industry was taken. This included managerial and nonmanagerial personnel from four large scale food processing firms. The impact was analyzed through several structural equations.FindingsThe individual HRPs are positively related to employee competencies. Recruitment and selection have the least impact, and employee participation has the maximum impact on employee competencies. However, the bundle of HRPs has a positive and stronger impact on employee competencies than when they are studied individually.Practical implicationsThe results of this study bring a wide array of managerial implications for the food processing industry. It recommends the management to adopt proper and well-structured HRPs for the food processing industry.Originality/valueThis is one of the few studies that utilizes resource-based view (RBV) and human capital theory (HCT) for investigating the relationship between HRPs and employee competencies in the Indian context. It attempts to increase the understanding regarding an important strategic HR concept (i.e. bundle of HRPs) on employee competencies.

scholarly journals Lean Six Sigma and environmental sustainability: the case of a Norwegian dairy producer

2017 ◽  
Vol 8 (1) ◽  
pp. 53-64 ◽  
Author(s):  
Daryl Powell ◽  
Sissel Lundeby ◽  
Lukas Chabada ◽  
Heidi Dreyer
Keyword(s):  
Environmental Sustainability ◽  
Six Sigma ◽  
Food Processing ◽  
Continuous Process ◽  
Lean Six Sigma ◽  
Process Industry ◽  
Food Processing Industry ◽  
Processing Industry ◽  
Content Type ◽  
Norwegian Dairy

Purpose The purpose of this paper is to investigate the application of Lean Six Sigma (LSS) in the continuous process industry, taking an insight into the food processing industry; and to evaluate the impact of LSS on environmental sustainability. The authors present observations and experiences from the application of LSS at a Norwegian dairy producer, with the aim of bringing out pertinent factors and useful insights that help us to understand how LSS can contribute toward greater environmental sustainability in this industry type, something that is so far lacking in the extant literature. Design/methodology/approach The authors adopt a single, longitudinal field study approach as we observe an entire cycle of the VSM-DMAIC (value stream mapping-define, measure, analyze, improve and control) LSS process, which evolved over a six-month period at the dairy. Findings The authors highlight some of the important elements that should be considered when using LSS as a contributor toward greater environmental sustainability in fresh-food supply chains. The authors also present some of the specific outcomes and key success criteria that became apparent to the implementation team following the deployment of the VSM-DMAIC approach. Originality/value The authors demonstrate how LSS can be applied in the food processing industry as a contributor to greater environmental sustainability. The authors also make useful reflections regarding the success criteria that can be used by researchers and practitioners for the effective deployment of such an approach, particularly in the continuous process industry.

Traceability systems in the Western Australia halal food supply chain

2015 ◽  
Vol 27 (2) ◽  
pp. 324-348 ◽  
Author(s):  
Delma Poniman ◽  
Sharon Purchase ◽  
Joanne Sneddon
Keyword(s):  
Food Processing ◽  
Food Production ◽  
Food Industry ◽  
Network Effect ◽  
Business Networks ◽  
Food Processing Industry ◽  
Processing Industry ◽  
Content Type ◽  
Traceability System ◽  
Halal Food

Purpose – The purpose of this paper is to explore the emergence and implementation of traceability systems in the Western Australian (WA) Halal food industry. In particular, to understand how individuals in facilitating organizations perceive the Halal idea logic and the benefits that a traceability system can provide to the Halal food processing industry. Design/methodology/approach – An empirical qualitative approach was employed to examine these issues utilizing in-depth interviews. Thematic analysis was carried out using Leximancer software. Findings – Findings suggest that individual’s perception of Halal idea logic is aligned to the roles they perform. These perceptions were impacted by the specific objectives or business interests of each organization. Facilitating organizations also perceive that traceability systems are a strategic tool in the Halal food processing industry. Practical implications – The research provides insights into how to improve existing understanding of the Halal idea logic within Halal food business networks and the benefits of implementing traceability systems in Halal food production. Joint activity between firms creates a network effect, where the value created is greater than that which the firms alone can create. Originality/value – Though traceability systems have become increasingly popular in the food industry, little research has been undertaken to understand how individuals in facilitating organizations perceive these systems, particularly in the growing Halal food industry. Hence, the study contributes to the literature of traceability studies and the area of change and process adaptation in business relationships in the context of halal food production.

Critical success factors of quality management practices among SMEs in the food processing industry in Malaysia

2014 ◽  
Vol 21 (1) ◽  
pp. 152-176 ◽  
Author(s):  
Hayati Habibah Abdul Talib ◽  
Khairul Anuar Mohd Ali ◽  
Fazli Idris
Keyword(s):  
Quality Management ◽  
Food Processing ◽  
Success Factors ◽  
Management Practices ◽  
Measurement Model ◽  
Food Processing Industry ◽  
Processing Industry ◽  
Content Type ◽  
Quality Management Practices ◽  
Critical Success

Purpose – The purpose of this research is to identify and validate a measurement model for assessing the quality management practices among small and medium-sized enterprises, specifically for the food processing industry in developing countries such as Malaysia. Design/methodology/approach – A survey was initially conducted among SMEs using a questionnaire mailed to the managing director of companies selected from the SMECorp directory. A total of 207 respondents from SMEs were used for further analysis. Two steps of analysis were undertaken to validate the measurement model of critical success factors: principal component analysis and confirmatory analysis. Findings – Eight critical success factors of quality management practices are proposed for assessing quality management practices among SMEs in the food processing industry in Malaysia. A measurement model was then developed. PCA with Varimax rotation revealed 13 components, eight of which were retained for further analysis. First- and second-order CFAs identified the CSF measurement model along with the goodness-of-fit index. Thus, the findings also reveal the status of quality management practices among food processing SMEs in Malaysia. Research limitations/implications – This paper is to evaluate only the CSFs; therefore, further work is needed to evaluate the relationship between CSFs and organisational performance of SMEs in the food processing industry in Malaysia. Originality/value – There are various papers regarding the assessment of quality management, especially on TQM practices in various industries. However, few assessments of the critical success factors of quality management practices of SMEs in the food processing industry, especially in developing countries like Malaysia, have been found to date. The findings of this paper will help the industry to identify its current quality management practice to focus on improving its performance.

Sign in / Sign up

Export Citation Format

Share Document