Abstract
In today’s hyper-competitive manufacturing world, the rapidly changing landscape has put new demands on organizations, and they need to reinvent themselves by injecting new strategies in order to stay ahead of the competition. Therefore, to achieve world-class performance and competitiveness in the global environment and competition, there is immense pressure on manufacturing organizations with limited resources to invariably pursue main drivers to enable them to improve process innovation. In this backdrop, this questionnaire-based study investigates the impact of various enabling practices on process innovation of manufacturing organizations. The questionnaire package included scales of lean manufacturing (LM), organizational culture (OC), human resource management (HRM), total quality management (TQM), supply chain management (SCM) and process innovation (PI). The data were collected through convenient sampling technique from presidents, CEO’s, directors, managers and senior supervisors of different functional areas of large-scale organizations. The theoretical model was analyzed using structural equation modeling (SEM) through AMOS®. The key findings revealed positive and significant relationships of LM, HRM and OC as drivers with TQM and SCM. The results also demonstrated affirmative and significant associations of TQM and SCM with PI. Similarly, the outcomes indicated that TQM and SCM, as carriers, partially mediate the relationships of LM, HRM and OC with PI. Overall, the findings elucidate the imperativeness for manufacturing organizations to reinforce their mediators (TQM and SCM practices) while effectively implementing LM, HRM and OC practices as drivers of PI. The study has important implications for the organizations seeking to determine the relative importance of various practices as an effective source of process innovation.
Highlights
Over the past few decades, the concept of innovation has become a hot research topic [1].The Organization for Economic Cooperation and Development (OECD) constantly accentuates the potential for innovation at both national and firm levels for the long-term economic growth [2].Innovation has been the central interest of entrepreneurs and policymakers for firms’ growth and economic development, and it is considered that market competition is an important determinant of firms’ inducement to innovate [3]
Based on the literature review, the importance of lean manufacturing (LM), human resource management (HRM), organizational culture (OC), total quality management (TQM) and supply chain management (SCM) to process innovation (PI) can be on the literature review, the importance of LM, HRM, OC, TQM and SCM to PI can be established, established, and we argue that these interrelated variables can affect PI
This paper aimed to find out the practices that contribute significantly to the process innovation in manufacturing organizations
Summary
Over the past few decades, the concept of innovation has become a hot research topic [1].The Organization for Economic Cooperation and Development (OECD) constantly accentuates the potential for innovation at both national and firm levels for the long-term economic growth [2].Innovation has been the central interest of entrepreneurs and policymakers for firms’ growth and economic development, and it is considered that market competition is an important determinant of firms’ inducement to innovate [3]. Over the past few decades, the concept of innovation has become a hot research topic [1]. The Organization for Economic Cooperation and Development (OECD) constantly accentuates the potential for innovation at both national and firm levels for the long-term economic growth [2]. Innovation has been the central interest of entrepreneurs and policymakers for firms’ growth and economic development, and it is considered that market competition is an important determinant of firms’ inducement to innovate [3]. Development of innovation is required because of the rise in global competition, rapid technical changes, uncertainty, changing customer demands and shorter product lifecycles. Considerable attention has been received by innovation for securing a sustainable competitive advantage [4,5].
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