• Industrial Engineering and Management Systems
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• v.14 no.3
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• pp.236-247
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• 2015

This study aims to examine the effects of industrial clustering and manufacturing flexibility on innovation capability and operational performance. This study follow a survey method to collect data pertaining to the phenomena of industrial clustering, manufacturing flexibility, innovation capability, and operational performance by utilizing a single respondent design. A total of 124 Indonesian manufacturing SMEs are taken to test the proposed theoretical model by utilizing covariance-based structural equations modeling approach. It was found that both industrial clustering and manufacturing flexibility was positively associated with operational performance and innovation capability as well. In addition, innovation capability may account for the effects of industrial clustering and manufacturing flexibility on operational performance. This implies that manufacturing SMEs have to reorient their production and operation perspectives, including agglomerate with other similar or related SMEs to develop and utilize their own resources. The SMEs also need to possess some degree of manufacturing flexibility in respond to the uncertain environment and market changes. In addition, the SMEs should put a greater emphasize to use industrial cluster and manufacturing flexibility benefits to generate innovation capability to achieve high performance.

• Knowledge Management Research
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• v.13 no.2
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• pp.95-109
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• 2012

Changing customer expectation, global competition, and technological requirements force firms to develop agile supply chain capabilities sustaining competitive advantage and business success. To respond, firms are seeking to enhance supply chain agility across the inter-organizational, this study explores the relationship between supply chain competence and supply chain agility on firm performance. The research reviews literature on supply chain capability and classifies capability into two categories as competence and capability based on resource based view and dynamic capabilities. It describes a framework to explore the relationships among supply chain competence (IT flexibility, supply chain flexibility, shared value), supply chain capability (supply chain agility), and firm performance (supply chain performance). The purpose of this study is to find the determinants of supply chain agility and improving firm performance in the perspective of vendor companies. The results indicate strong, positive, and direct relationships between supply chain competence and supply chain agility. Supply chain agility have significant relationships with firm performance. Implication for future research and practice are offered.

• Asia pacific journal of information systems
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• v.17 no.2
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• pp.1-28
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• 2007

The success of new product development is a key factor for getting competitive advantages. Marketing research has been investigating marketing capability, manufacturing technical capability, cross-functional integration, market knowledge competence, market orientation, and competitive environment as the key success factors of new product development. Recently, the role of IT infrastructure in enhancing new product advantage is assumed in the literature. However, the empirical studies on the role of IT infrastructure are lacking. The purpose of this study is to empirically exam the impacts of IT infrastructure on new product competitive advantage. In this study, IT infrastructure is conceptualized as the flexibility of IT infrastructure. Based on previous research, a conceptual model is established by incorporating the direct impact of IT infrastructure flexibility and its indirect impact through the key success factors on new product development. To empirically test the research model, data are surveyed from a pair of IS department and Marketing department of 92 consumer goods manufacturers. By employing PLS technique, the measurement reliability and reliability of research variables are tested and the path analysis is conducted to do the hypothesis testing. The path analysis shows that IT infrastructure flexibility has no direct effect on new product advantage, However, the indirect effect of IT infrastructure is found, which is mediated by marketing capability, manufacturing technical capability, cross-functional integration, and market orientation respectively. Hence, The flexible IT infrastructure increases cross-functional integration (H1), market orientation (H3), marketing capability (H5), and manufacturing technical capability (H6). All success factors of new product development excepts for competitive environment have a positive association with new product competitive advantages (from H10 to H14). Finally, the path from IT infrastructure flexibility to cross-functional integration, to market orientation, to market knowledge capability, and to new product advantage is found as the strongest path. These results indicate that the flexible IT infrastructure enhances information sharing with multiple departments and collaboration within a distributed innovation environment. The collaboration among departments positively affects the level of customer and competitor intelligence. The ability to obtain knowledge about customers and competitors makes firms to adapt to a changing environment quickly and to respond to customers' demands adequately. The flexible IT infrastructure also enhances the capability of organization to more rapidly respond to the changes in product design resulting in faster product development and reduced costs. In addition to, it enhances marketing capability by the two-way communications with customers and the analyses of various kinds of customer data. In brief, the finding of this study suggests that the flexible IT infrastructure allows many firms to pursue sustained new product competitive advantages. This study advances research on IT infrastructure in two important aspects. First, by Integrating marketing research and IS research, this study develops a conceptual model on the role of IT infrastructure in enhancing new product advantage. Second, it empirically finds the indirect impacts of IT infrastructure on new product advantage, which confirms the potential for the IS field to contribute to new product development research. The limitations of this study are also discussed to provide research directions for future research.

• The Journal of Information Systems
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• v.28 no.2
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• pp.1-23
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• 2019

Purpose This study exploratory investigated the effects of the fit between forms of knowledge management(KM) strategy and types of information technology(IT) capability on the kinds of innovations such as product and process innovations. In this study, the openness of innovations that affects the innovations of a firm is considered. Design/methodology/approach For this empirical study, 104 manufacturing firms' data were finally collected through field survey. For the analysis of the data, cluster analysis and multiple regression analysis were employed. Findings This study demonstrated that when a system-oriented KM strategy is adopted, IT flexibility, which supports the implementation of a system-oriented strategy, is highly employed and utilized. It was also found that under a dynamic KM strategy, both IT integration and IT flexibility are highly employed. For the innovation of a firm, it was found that when a system-oriented strategy is employed and the flexibility of IT is highly adopted, the levels of product innovation are enhanced. Under a dynamic strategy, when the degrees of IT integration and IT flexibility are high, high levels of product and process innovations were empirically found. The impact of innovation openness on the innovations of a firm were partially demonstrated. Finally, the positive impact of the innovations on the improvement of performance in manufacturing firms were demonstrated.

• Industrial Engineering and Management Systems
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• v.3 no.1
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• pp.52-58
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• 2004

This report examines the issue of designing an efficient production system by increasing several types of flexibility. Increasing manufacturing flexibility is a key strategy for efficiently improving market responsiveness in the face of uncertain market demand for final products. The manufacturing system comprises multiple plants, of which individual plants have multiple manufacturing lines that are designed to produce limited types of products in accordance with their size and materials. Imbalance in the workload occurs among plants as well as among manufacturing lines because of fluctuations in market demand for final products. Thereby, idleness of some manufacturing lines and longer lead times in some manufacturing lines occur as a result of the high workload. We clarify how these types of flexibility affect manufacturing performance by improving only one type of flexibility or by improving multiple types of flexibility simultaneously. The average lead time and the imbalance in workload are adopted as measures of manufacturing performance. Three types of manufacturing flexibility are interrelated: machine flexibility, routing flexibility, and process flexibility. Machine flexibility refers to the various types of operations that a machine can perform without requiring the prohibitive effort of switching from one order to another. Routing flexibility is the capability of processing a given set of part types using more than one line (alternative line) in the plant. Process flexibility results from being able to build different types of final products at the same plant.

• Journal of Korea Port Economic Association
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• v.38 no.4
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• pp.45-64
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• 2022

Due to the recent and rapid globalization, logistics outsourcing has expanded globally and is seen as a means of creating a robust logistics system. However, many businesses continue to have difficulties with their logistics outsourcing contracts, which compels them to reinstate the logistics function for internal management. This study aims to investigate how organizational capabilities of logistics service providers (LSPs), notably flexibility, integration, innovation, and technological capabilities, impact on the logistics outsourcing success in Ugandan food processing firms. Using a structured questionnaire survey, cross-sectional data collected from 211 food processing firms in Kampala - Uganda were analyzed by partial least squares-structural equation modeling (PLS-SEM) using SmartPLS 3.3.7 software to examine the theorized relationships. The study findings revealed that whereas the technological and innovation capabilities positively and significantly influence logistics outsourcing success, the effects of flexibility and integration capabilities were insignificant. Additionally, the importance-performance map analysis (IPMA) reveals that the technological capability is a priority capability, followed by the innovation capability if logistics outsourcing success is to be achieved. Conversely, flexibility and integration capabilities are of low priority.

• The Transactions of the Korean Institute of Electrical Engineers A
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• v.54 no.11
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• pp.533-539
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• 2005

According to NERC definition, Available Transfer Capability (ATC) is a measure of the transfer capability remaining in the physical transmission network for the future commercial activity. To calculate Available Transfer Capability, accurate and defensible Total Transfer Capability, Capacity Benefit Margin and Transmission Reliability Margin should be calculated in advance. This paper proposes a method to quantify time varying Available Transfer Capability based on probabilistic approach. The uncertainties of power system and market are considered as complex random variables. Total Transfer Capability is determined by optimization technique such as SQP(Sequential Quadratic Programming). Transmission Reliability Margin with the desired probabilistic margin is calculated based on Probabilistic Load Flow analysis, and Capacity Benefit Margin is evaluated using LOLE of the system. Suggested Available Transfer Capability quantification method is verified using IEEE RTS with 72 bus. The proposed method shows efficiency and flexibility for the quantification of Available Transfer Capability.

• The Journal of Information Systems
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• v.15 no.2
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• pp.195-226
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• 2006

The purpose of this study is (1) to develop a conceptually integrated model of IT capability comprising hierarchically structured lower capabilities, and (2) to investigate the impacts of IT capability on firm performance. To do this, the study defined IT capability as a third-order factor model and identified three conceptual dimensions of IT capability IT resource integrating capability, IT infrastructure flexibility, and IT personnel expertise. The relationships between IT capability and firm performance are assessed with 243 firm level data using LISREL. The results of confirmatory factor analysis (CFA) demonstrated that the constructs is highly reliable and valid. Further, we found that IT capability not directly but indirectly affects firm performance through the impacts on business processes.

• Journal of the Korean Society for Railway
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• v.9 no.6 s.37
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• pp.664-670
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• 2006

This Research aims to analyze the effects of SCM management capabilities and IT capabilities on firm performance. The strategic performance was shown to be positively and significantly affected by flexibility and responsiveness which were proxies for SCM management capabilities. However, neither main effect of IT capability nor interaction effects of IT capability and SCM management capability on firm performance was found.

• Asia pacific journal of information systems
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• v.17 no.3
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• pp.79-103
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• 2007

The main purpose of this study is to define antecedents that influence e-SCM synchronization and to investigate how it affects e-SCM performance. We, therefore, investigate (1) the impact of firms' internal IT planning capabilities on e-SCM synchronization and on SCM process management capability, (2) the impact of firms' internal IT infrastructure on e-SCM synchronization and on SCM process management capability, (3) the impact of firms' internal SCM process management capabilities on e-SCM synchronization, and finally (4) the impact of e-SCM synchronization on SCM performance. A survey has been administrated to the firms' SCM and marketing staffs and 171 returns analyzed. The results show that (1) IT plan has not direct impacts on e-SCM synchronization, but has direct impacts on organizational support, purchasing, and operations processes except logistics process. IT plan, however, has indirect impacts on e-SCM synchronization through purchasing and operations of SCM process management capability. (2) IT infrastructure has both direct and indirect effects on e-SCM synchronization, and also has direct impacts on organizational support, purchasing, and operations processes except logistics process. (3) SCM process management capabilities have direct impacts on e-SCM synchronization. Among these SCM core processes purchasing positively influences operations, which in turn positively influences logistics process management capability. (4) e-SCM synchronization has positive impacts on SCM performance indicator (SCOR), such as delivery reliability, responsiveness & flexibility, and cost. These results indicate that e-SCM synchronization can be critical to achieve better internal performance like cost and external performance like delivery reliability, responsiveness & flexibility of firms' SCM. In sum, this study demonstrates that the intervening role of e-SCM synchronization between e-SCM performance and IT management capability and between e-SCM performance and SCM core process management capability has been significant in achieving better e-SCM performance. Therefore, it can be suggested that e-SCM performance should be accomplished in consequence of the acceleration of e-SCM synchronization through the enhancement of preceding factors for the e-SCM synchronization.