The use of manufacturing technologies–an external influence perspective

Abstract

Given the generally positive relationship between technology utilisation and performance, why do some plants use installed technologies to a lesser extent than others? Literature suggests that the extent of use of technology, as a decision of choice, is influenced by a variety of factors. Organisational and individual influences include process type, plant size, perceived usefulness of the technology, and user demographics (Zhang, P., Aikman, S.N., and Heshan, S., 2008, Two types of attitudes in ICT acceptance and use. International Journal of Human–Computer Interaction, 24 (7), 628–648; Swamidass, P.M. and Kotha, S., 1998, Explaining manufacturing technology use, firm size and performance using a multidimensional view of technology. Journal of Operations Management, 17 (1), 23–37; Davis, F., Bagozzi, R., and Warshaw, P., 1989, User acceptance of computer technology: a comparison of two theoretical models. Management Science, 35 (8), 982–1003). External factors such as customer mandates and firm nationality have also been found to affect technology use (White, A., Johnson, M., and Wilson, H., 2008, RFID in the supply chain: lessons from European early adopters. International Journal of Physical Distribution and Logistics Management, 38 (2), 88–107; Kotha, S. and Swamidass, P.M., 1998, Advanced manufacturing technology use: exploring the effect of the nationality variable. International Journal of Production Research, 36 (11), 3135–3146). In this stream of research, one external factor of potential influence–supply chain management–remains conspicuously absent. This study uses data from industry to (a) develop rationales for a relationship between the extent of use of manufacturing technologies and supply chain management; and (b) offer data-based verification and insights on the nature and management of this relationship. Results suggest that the extent of use of specific manufacturing technologies increases or declines depending on the specific supply chain management practice in use. The findings raise interesting implications for managers and scholars.