Analysis for Implementation of Advanced Manufacturing Technologies in Small and Medium Scale Industries

Abstract

As it becomes important for industries to focus on reducing costs and improving the quality of the products, most companies are approaching towards implementation of different types of advanced manufacturing technologies (AMTs). AMT is broadly defined by many authors [1], [2], [3] as – “an automated production system of people, machines and tools for the planning and control of the production process, including the procurement of raw materials, parts, and components and the shipment and service of finished products”. Any new manufacturing process that is intended to result in changes in a company's manufacturing processes, management systems, and approaches to product design and production engineering is referred to as AMT. Design AMTs, Administrative AMTs, and Manufacturing AMTs are the three types of Advanced Manufacturing Technologies (AMTs). This research paper discusses the findings of a survey on the use of advanced manufacturing technology in small and medium-sized enterprises. The SEM model developed based on 274 responses of various executives obtained through a questionnaire survey is found to be highly reliable and stands at 0.99 goodness-of-fit level. We have also discussed the case study for the validation of the results obtained by the analysis of the collected data of questionnaire survey using Statistical Package for the Social Sciences (SPSS) and Analysis of a Moment Structures (AMOS) software. The research also reveals that the most significant competitive goals for the deployment of AMT in any Indian business are cost, quality, delivery, and flexibility. The outcome of the present study will act as inspiration for future studies and to promote AMTs implementation in future.