Abstract

Advanced manufacturing technology (AMT) has been introduced in Indian manufacturing industries to have a competitive edge in the global market. Despite the claims that attractive benefits can accrue through the use of AMT in manufacturing firms, only modest benefits are reported. Productivity of AMT organizations is found to be low even after several years of implementation of AMT. One of the reasons attributed for low productivity is the organizational structure that remains mechanistic and not compatible with new technology in most of the AMT firms. This paper presents a framework to implement AMT in an existing environment with organic structure to achieve superior performance. Data collected from 927 employees of 27 AMT firms in a cross-sectional survey revealed significant information to change existing organizational structure and make it compatible with change in technology to achieve higher productivity.

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