Innovation Development Needs in Manufacturing Companies

Abstract

The manufacturing sector in Romania has undergone great challenges during the last decades. The globalization process has lead to a severe decrease in the demand for the Romanian manufacturing sector. Thus, in particular the small enterprises need to focus on identifying innovative solutions for surviving the competition. The present paper aims to explore the innovation development needs of Romanian manufacturing companies. Bearing in mind the findings brought by the analyses performed on technology focused manufacturing companies, the paper sheds light on the development needs expressed by Romanian manufacturing companies with regard innovation. The research methodology is based on a quantitative survey applied on small manufacturing companies. The questionnaire was developed based on the literature review and on qualitative interviews conducted with owners of small companies. The research instrument was applied on 30 small and medium size companies in the Cluj county. The survey measured the development needs of the companies with respect products or services, information and communication technologies, technology issues, leadership, organization structure, work process, employees’ skills, work conditions, team work, cooperation with other companies, and wage system. Next, the research instrument explored the companies’ perceived development needs in order to foster innovation. When finding new ideas for developing the workplace, the most frequently used methods reside in using the internet (85%), followed by customers (83%). Study results and scientific publications, universities, research institutes, or other authorities are less often valued by the surveyed companies. The paper identifies some of the main information sources used by companies in order to innovate. The results show that the companies value less the scientific oriented sources, which might be a cause for the low innovation outcomes. The paper brings light on the relationship between education and technological innovation practices implemented in small and medium manufacturing companies.