Abstract:
Amid increased competition associated with globalisation, the South African
manufacturing sector has come under increased pressure in recent times, with an
associated decline in competitiveness. There has been a strong drive by organisations
to invest in innovations in the form of Advanced Manufacturing Technologies (AMTs) in
an effort to improve their technological status and performance. While investment in
AMTs often has a positive impact on performance, numerous accounts of the AMT not
meeting expected benefits have been reported. Inability to effectively extract intended
benefits from the AMT is often a result of the complex nature of the process, which
requires technological considerations and a strategic approach. The objective of this
research was to identify the critical organisational factors that impact AMT
implementation and establish the relative importance of the factors to provide a guide
to managers implementing AMTs to prepare their organisations for the new technology
and extract the intended benefits.
The research took the form of a quantitative study guided by a self-developed survey
and was carried out on manufacturing organisations operating in South Africa. The
survey put forward a set of four critical factors that impact AMT implementation, each
defined by a proposed set of sub-factors that were validated as accurate definitions in
the research.
The research established the importance of the proposed factors in contributing to
effective AMT implementation, with top management ability and training and education
ranked highest, followed by organisational ability a level below and incentives and
rewards occupying the lowest level of importance. The importance of these factors was
validated through a correlation established between AMT implementation success and
the degree to which the organisational factors are evident within an organisation.
Organisational readiness of manufacturing companies in South Africa to effectively
implement AMTs was also assessed. AMT Considerations related to the size of the
organisation and the type of AMT being implemented are also presented along with a
summary of key benefits targeted from AMT implementations. Findings were used to
develop a model that presents a guide to highlight areas that need attention within an
organisation to assist in the allocation of resources during AMT implementations.
