Manufacturing technology, lean and strategic flexibility the silver bullet for Malaysia lean manufacturers

The purpose of this paper is to conceptually propose the elements that constitute an ideal manufacturing strategy framework needed by Malaysian manufacturing sector.Malaysian manufacturing sector has so far underwent various challenges and exhibited fluctuating performance as reaction to these challenges.This paper is the product of an extensive literature review done on previous researches on the subject of manufacturing strategy and performance.In this review, the subject matter was comprehensively studied, and thoroughly discussed from the strategic perspective of Malaysian manufacturing sector.This paper manages to provide a fundamental framework, for expert in the area of manufacturing strategy and performance, emphasizing on the complementary effect of multiple strategies on performance.The subject approach is relatively new in Malaysia, however based on previous studies and the critical impact of manufacturing towards the economic health of Malaysia, the sector is in dire need of suitable and favorable manufacturing strategy in order to continue to compete globally. Malaysian manufacturing sector is still lacking of a strategic approach on its national manufacturing direction and guideline, to serve as the launching pad for the sector's sustainable growth.This paper not only ventures into a new perspective of strategy-performance research, but it also explores the possibility of studying different complementing strategies impact on the performance of manufacturers

Mediating impact of manufacturing technology, lean and strategic flexibility on manufacturing performance

In respect of Malaysian lean manufacturer; there has been insufficient research on what are the winning formulate to overcome the mounting challenges from the business environment. In this study, three identified strategies i.e lean, manufacturing technology and strategic flexibility, that could positively improve manufacturing performances, are investigated in depth. The research approach used was quantitative with data analyzed using SmartPLS.Results from this study also emphasize several interesting quasi - paradoxical relationships which implied that Malaysian lean manufacturers prefer a cautious approach towards manufacturing technology implementation, preferring to incorporate technology in a more stable business environment and view strategic flexibility as unfavorable toward performance improvement.In conclusion, this study manages to produce a strong predictive strategy-performance model, which explains the mediation impact of manufacturing strategies on external environmental factors and manufacturing performance

Mediation impact of manufacturing strategies on external environmental factors and manufacturing performance

The growing global competition has presented firms around the world, including manufacturers in Malaysia, with unprecedented challenges to ensure survival. Such a challenging environment should propel these manufacturers to adapt certain, well-proven manufacturing strategies, such as lean manufacturing, the inclusion of manufacturing technology and the appliance of a strategic level of flexibility. With respect to Malaysia insufficient research has been done on what are the winning formulae to overcome the mounting challenges in the business environment. In this study, all three identified strategies – lean, manufacturing technology and strategic flexibility – were investigated in depth as integrated factors that could positively improve manufacturing performance. The research framework examined the impact of such an integrated and strategic approach on the performance of Malaysian manufacturers. Data was collected using survey method, through the distribution of structured questionnaires to lean manufacturers in Peninsula Malaysia. Structural equation modeling (SEM) was used to test multiple mediator models the results of which indicated that all three strategies had a significant impact and mediated the relationship between external environmental factors and manufacturing performance. The results from this study also emphasized several interesting quasi-paradoxical relationships that implied that Malaysian lean manufacturers preferred a cautious approach towards manufacturing technology implementation, preferring to incorporate technology in a more stable business environment and viewed strategic flexibility as unfavorable toward performance improvement. This study produced a strong predictive model that explained the mediation impact of manufacturing strategies on external environmental factors and manufacturing performance that would be useful to those managing such companies. The main limitation found in this research was the small number of respondents. Future research should focus on a wider dimension for performance measurement, include additional manufacturing strategies as part of the research framework and enlarge the scope of this study in order to increase the generalizability of the research outcome

Signification framework of a business intelligence tool for SME business decision-making

Abstract : Business Intelligence (BI) tools are being adopted more frequently, especially in large organisations that have the resources to deploy it. BI tools are allowing businesses to optimise their decision-making process and sustain competitive advantage. There is, however, limited published research into how BI tools are being used by small and medium enterprises (SMEs), as well as limited research in terms of the affordable features from IBM Cognos that support SMEs’ decision-making needs. Application of the key features of BI tools are helping organisations to take decisions to ensure their sustainable growth and competitive advantage. BI is also vast and complex hence it requires skilled human resources, and it makes the development and maintenance of BI highly expensive for SMEs. The main motivation of the research has been associated with the fact that finding a BI tool that is cost efficient for SMEs can be important for the success of the business and to cater effectively to their decision-making needs. Objective The study’s purpose was to determine which of the fundamental features of IBM Cognos are affordable features for addressing the business needs of SMEs. The objective was to analyse the significance of BI tools in the SMEs by identifying affordable and suitable features from IBM Cognos based on SMEs’ needs and business functions using a signification framework. Method A quantitative research method has been used in which primary method of data collection has been adopted. With respect to this, data collection instrument chosen for the research is in the form of a questionnaire online survey which was sent to the respondents through survey monkey. The sample size for this research was 200 research participants, and amongst these total 200 research participants, 80 participants were BI Consultants from consultancy firms and with the composition of their own consultancy firm’s clients, the other participants were 60 iv SME BI developers and 60 SME managers. For the purpose of data analysis, this research has used SPSS software and Microsoft Excel and analysed the results by using demographic and frequency analysis. Results The findings of this research have revealed that BI is a broad field and can be used as a tool for solving various issues faced by the SMEs. BI tool is able to solve issues through their features. All the questions asked from the respondents were associated with the features of BI and how they are effective for decisionmaking in SMEs. The features of IBM Cognos are cost effective but not necessarily affordable in the context of SME business needs. Affordability was identified as the mediating variable in this study. Conclusion The research has concluded that the SMEs established in South Africa should adopt the IBM Cognos tool for supporting their decision-making process and needs. The implementation of low cost and affordable features is important for SMEs but it requires a specialised IT employee for managing and running the tool. This tool would help the SMEs in articulating solutions based on the issues as well as making operational decisions that would improve the growth and profitability of the business. Overall, it has been indicated from the study that IBM is an important tool for the SMEs in that, it aids in gathering relevant data and further interpreting the data for making effective decisions.M.Com. (Business Management

The adoption of a SME dual market strategy and its influence on organisational culture: The case of employee motivation

Following a dual market strategy can lead to conflicts with regards to focus, process complexity or governance. Such conflicts are likely to be especially pronounced and difficult to solve in SMEs due to a limited workforce and employees having to work for both strategies. This may have an impact on their work motivation. Such influence of (a dual) market strategy on employee motivation is currently not well researched. To advance our understanding of employee behaviour in a multi-strategy environment I performed an at-home ethnography (Alvesson, 2009) in a German SME that operates in the personal care industry with two competing market strategies – selective market/brand vs. mass-market/private label. As previous research indicated that organisational culture could be a potential bridging element between strategy and motivation I explored facets of that SME’s organizational culture, which evolved as a consequence of adopting a dual market strategy. I further explored how this may influence work motivation of employees having to satisfy both strategies. Data was formed through a qualitative approach using multiple methods including document and website analysis, observant participation, and in-depth interviews (in total 17) in the three departments of the organisation working concurrently for both strategies. That allowed in-depth understanding of work motivation against the backdrop of the two strategies and the thereto-related facets of organisational culture. The findings of the research illustrate that the two competing market strategies have been translated into conflicting cultural values and that these impact on work motivation primarily via levels of value congruence levering the fulfilment of psychological needs. Impairment of the needs-related motivators due to the prevalence of one strategy and entailed imbalance of strategy associated values, cultural values, and employees’ personal values, frustrates self-motivation to work and identification with the organisation – prestige-based pride being the root cause. The research further suggests pleasure to work to associate market strategy with work motivation and organisational identification, depleting pleasure reducing both motivation and identification. The research moreover supports the view that culture is a dynamic element, which is hardly manageable and that employees show rather behavioural compliance to than genuine acceptance of changing cultural values (Ogbonna & Wilkinson, 2003). Apart from detailing on these theoretical contributions the thesis concludes with managerial implications of the findings to create a frame for facilitating work motivation in a dual strategy environment

Internationalization of small and medium-sized enterprises related to their dynamic suppy chain flexibilities

During the last two decades, the internationalization of small and medium-sized enterprises (SMEs) has called the attention of policymakers, practitioners, and scholars due to their role in the economic growth and job creation in their nations. However, due to the complexity and uncertainty of international environments, internationalization has become a high-risk strategy to be embraced. In contrast, flexibility is one of the largest recognized capabilities of SMEs which has been used by these firms to overcome their lack of resources and poor capabilities. This capability leads to a closer link to customers and suppliers allowing at the same time a faster response to both sides. In addition, SMEs need to adopt a network orientation to cope with the nowadays supply-chain competitive scenario. Hence, manufacturing SMEs require a sustainable competitive advantage to enhance their internationalization considering an integrative perspective. This paper addresses this gap by providing an integrative model to investigate the implementation of supply chain flexibility (SCF) to sustain SMEs internationalization by adopting a multi-disciplinary perspective. Three areas of study are included in this paper, i.e. SMEs internationalization, SCF, and logistics capabilities. The paper is among the first on providing an understanding of the relationships between these areas and their impact on manufacturing SMEs internationalization process. It also provides critical elements to support manufacturing SMEs internationalization in their decision-making process with respect to SCF as a source of sustainable competitive advantage