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1 – 10 of 502Elena Stefana, Paola Cocca, Federico Fantori, Filippo Marciano and Alessandro Marini
This paper aims to overcome the inability of both comparing loss costs and accounting for production resource losses of Overall Equipment Effectiveness (OEE)-related approaches.
Abstract
Purpose
This paper aims to overcome the inability of both comparing loss costs and accounting for production resource losses of Overall Equipment Effectiveness (OEE)-related approaches.
Design/methodology/approach
The authors conducted a literature review about the studies focusing on approaches combining OEE with monetary units and/or resource issues. The authors developed an approach based on Overall Equipment Cost Loss (OECL), introducing a component for the production resource consumption of a machine. A real case study about a smart multicenter three-spindle machine is used to test the applicability of the approach.
Findings
The paper proposes Resource Overall Equipment Cost Loss (ROECL), i.e. a new KPI expressed in monetary units that represents the total cost of losses (including production resource ones) caused by inefficiencies and deviations of the machine or equipment from its optimal operating status occurring over a specific time period. ROECL enables to quantify the variation of the product cost occurring when a machine or equipment changes its health status and to determine the actual product cost for a given production order. In the analysed case study, the most critical production orders showed an actual production cost about 60% higher than the minimal cost possible under the most efficient operating conditions.
Originality/value
The proposed approach may support both production and cost accounting managers during the identification of areas requiring attention and representing opportunities for improvement in terms of availability, performance, quality, and resource losses.
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Krisztina Demeter, Levente Szász, Béla-Gergely Rácz and Lehel-Zoltán Györfy
The purpose of this paper is to investigate how different manufacturing technologies are bundled together and how these bundles influence operations performance and, indirectly…
Abstract
Purpose
The purpose of this paper is to investigate how different manufacturing technologies are bundled together and how these bundles influence operations performance and, indirectly, business performance. With the emergence of Industry 4.0 (I4.0) technologies, manufacturing companies can use a wide variety of advanced manufacturing technologies (AMT) to build an efficient and effective production system. Nevertheless, the literature offers little guidance on how these technologies, including novel I4.0 technologies, should be combined in practice and how these combinations might have a different impact on performance.
Design/methodology/approach
Using a survey study of 165 manufacturing plants from 11 different countries, we use factor analysis to empirically derive three distinct manufacturing technology bundles and structural equation modeling to quantify their relationship with operations and business performance.
Findings
Our findings support an evolutionary rather than a revolutionary perspective. I4.0 technologies build on traditional manufacturing technologies and do not constitute a separate direction that would point towards a fundamental digital transformation of companies within our sample. Performance effects are rather weak: out of the three technology bundles identified, only “automation and robotization” have a positive influence on cost efficiency, while “base technologies” and “data-enabled technologies” do not offer a competitive advantage, neither in terms of cost nor in terms of differentiation. Furthermore, while the business performance impact is positive, it is quite weak, suggesting that financial returns on technology investments might require longer time periods.
Originality/value
Relying on a complementarity approach, our research offers a novel perspective on technology implementation in the I4.0 era by investigating novel and traditional manufacturing technologies together.
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Azemeraw Tadesse Mengistu and Roberto Panizzolo
This paper aims to identify and empirically analyze useful and applicable metrics for measuring and managing the sustainability performance of small and medium-sized enterprises…
Abstract
Purpose
This paper aims to identify and empirically analyze useful and applicable metrics for measuring and managing the sustainability performance of small and medium-sized enterprises (SMEs).
Design/methodology/approach
To achieve the objective of the paper, potential metrics were adopted from previous research related to industrial sustainability and an empirical analysis was carried to assess the applicability of the metrics by collecting empirical data from Italian footwear SMEs using a structured questionnaire. The SMEs were selected using a convenience sampling method.
Findings
The results of the within-case analysis and the cross-case analysis indicate that the majority of the metrics were found to be useful and applicable to each of the SMEs and across the SMEs, respectively. These metrics emphasized measuring industrial sustainability performance related to financial benefits, costs and market competitiveness for the economic sustainability dimension; resources for the environmental sustainability dimension; and customers, employees and the community for the social sustainability dimension.
Research limitations/implications
Apart from the within-case analysis and cross-case analysis, it was not possible to conduct statistical analysis since a small number of SMEs were accessible to collect empirical data.
Originality/value
The findings of the paper have considerable academic, managerial and policy implications and will provide a theoretical basis for future research on measuring and managing industrial sustainability performance. By providing a set of empirically supported metrics based on the triple bottom line approach (i.e. economic, environmental and social metrics), this paper contributes to the existing knowledge in the field of industrial sustainability performance measurement.
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Mira Holopainen, Minna Saunila and Juhani Ukko
Digital transformation shapes industries and influences the forms of collaboration between companies. This study aims to investigate digital business strategy as a key to…
Abstract
Purpose
Digital transformation shapes industries and influences the forms of collaboration between companies. This study aims to investigate digital business strategy as a key to facilitating collaboration beyond organizational boundaries.
Design/methodology/approach
The study focuses on the connection between digital business strategy and collaboration performance. The authors identify five types of digital business strategy elements based on the literature: development, objectives, resources, management capabilities, and digital leadership. The authors then studied the implications of these elements for collaboration performance using a survey. The study’s empirical data were collected from manufacturing and service companies, and 202 valid responses were received. The implications of the research elements were tested through regression analysis, which included the moderating effects of digitally enabled performance measurement.
Findings
The theoretical research framework identifies digital business strategy as a key determinant of collaboration performance, thus advancing the understanding of how companies can utilize digital business strategies and achieve enhanced collaboration performance. The results also show that the effect of digital business strategy on collaboration performance may be moderated by digitally enabled performance management.
Practical implications
The results suggest that management capabilities associated with digital strategy are a crucial element in positively influencing collaboration performance. Further, digital strategy-related resources can be better managed with digitally enabled performance measurement system, which is reflected in improved collaborative performance. Thus, companies should invest in management capabilities and connect their digital business strategies and performance measurement systems to develop collaboration in digital transformation.
Originality/value
The study is among the first to translate an empirical understanding of the digital transformation of small and medium-sized companies into a conceptual framework of a digital business strategy.
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Petra Pekkanen and Timo Pirttilä
The aim of this study is to empirically explore and analyze the concrete tasks of output measurement and the inherent challenges related to these tasks in a traditional and…
Abstract
Purpose
The aim of this study is to empirically explore and analyze the concrete tasks of output measurement and the inherent challenges related to these tasks in a traditional and autonomous professional public work setting – the judicial system.
Design/methodology/approach
The analysis of the tasks is based on a categorization of general performance measurement motives (control-motivate-learn) and main stakeholder levels (society-organization-professionals). The analysis is exploratory and conducted as an empirical content analysis on materials and reports produced in two performance improvement projects conducted in European justice organizations.
Findings
The identified main tasks in the different categories are related to managing resources, controlling performance deviations, and encouraging improvement and development of performance. Based on the results, key improvement areas connected to output measurement in professional public organizations are connected to the improvement of objectivity and fairness in budgeting and work allocation practices, improvement of output measures' versatility and informativeness to highlight motivational and learning purposes, improvement of professional self-management in setting output targets and producing outputs, as well as improvement of organizational learning from the output measurement.
Practical implications
The paper presents empirically founded practical examples of challenges and improvement opportunities related to the tasks of output measurement in professional public organization.
Originality/value
This paper fulfils an identified need to study how general performance management motives realize as concrete tasks of output measurement in justice organizations.
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María Isabel Roldán Bravo, Juan Manuel Maqueira-Marin and José Moyano-Fuentes
The purpose of this paper is twofold: firstly, to provide a measurement instrument for supply chain 4.0 ambidexterity by applying the theoretical perspective of ambidexterity to…
Abstract
Purpose
The purpose of this paper is twofold: firstly, to provide a measurement instrument for supply chain 4.0 ambidexterity by applying the theoretical perspective of ambidexterity to advance Industry 4.0; secondly, to empirically analyse how supply chain 4.0 ambidexterity and lean supply chain management contribute to enhancing the focal firm’s operational performance.
Design/methodology/approach
Empirical results are obtained through analysis of survey data from a sample of 209 Spanish focal firms in industrial sectors in an intermediate position in the supply chain. Structural equation modelling was performed to test the three proposed hypotheses.
Findings
Drawing on resource orchestration theory and the relational resource-based view, this study empirically demonstrates the full mediating role of lean supply chain management in the relationship between supply chain 4.0 ambidexterity and the focal firm’s operational performance.
Originality/value
Although recent research has highlighted the pertinence of applying inter-organisational ambidexterity to foster Industry 4.0 (Hofmann et al., 2019), to the best of the authors’ knowledge, this is one of the first studies to apply this theoretical framework to explain the transition to supply chain 4.0. In addition, to date, to the best of the authors’ knowledge, no study exists that has developed a measurement scale and used this concept in an empirical analysis to advance theory development.
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Performance framework (PF) is a well-established practice to measure innovation performance and identify improvement opportunities. However, whether PFs academic research are…
Abstract
Purpose
Performance framework (PF) is a well-established practice to measure innovation performance and identify improvement opportunities. However, whether PFs academic research are applicable to companies remains unclear, as well as their support in the definition of improvement actions. This study aims to present the implementation and assessment of a new and updated PF proposed in previous research in a real industrial context.
Design/methodology/approach
The PF was implemented through an in-depth case study carried out in a European machinery manufacturer and further assessed by practitioners.
Findings
The results indicate that the PF enabled the creation of a multidimensional view of the innovation performance and the definition of improvement projects in the company. Additionally, the findings also reveal an overall positive assessment of the PF by senior managers who work with the innovation process.
Research limitations/implications
As a case study, this research is inherently limited in the extent to which results can be generalised. Thus, the analyses are reductive and rationalising. Future research is needed to assess the replicability of the PF.
Practical implications
The study's practical contribution is based on the combination of insights and steps that provide a straightforward and actionable approach for the company to improve performance.
Originality/value
This study aims to advance the importance of implementing the new and updated PF after its proposition, which is often overlooked in preceding research. Furthermore, the assessment of the PF also enables to infer its value to the company's employees.
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Andrea Zani, Alberto Speroni, Andrea Giovanni Mainini, Michele Zinzi, Luisa Caldas and Tiziana Poli
The paper aims to investigate the comfort-related performances of an innovative solar shading solution based on a new composite patented material that consists of a cement-based…
Abstract
Purpose
The paper aims to investigate the comfort-related performances of an innovative solar shading solution based on a new composite patented material that consists of a cement-based matrix coupled with a stretchable three-dimensional textile. The paper’s aim is, through a performance-based generative design approach, to develop a high-performance static shading system able to guarantee adequate daylit spaces, a connection with the outdoors and a glare-free environment in the view of a holistic and occupant-centric daylight assessment.
Design/methodology/approach
The paper describes the design and simulation process of a complex static shading system for digital manufacturing purposes. Initially, the optical material properties were characterized to calibrate radiance-based simulations. The developed models were then implemented in a multi-objective genetic optimization algorithm to improve the shading geometries, and their performance was assessed and compared with traditional external louvres and overhangs.
Findings
The system developed demonstrates, for a reference office space located in Milan (Italy), the potential of increasing useful daylight illuminance by 35% with a reduced glare of up to 70%–80% while providing better uniformity and connection with the outdoors as a result of a topological optimization of the shape and position of the openings.
Originality/value
The paper presents the innovative nature of a new composite material that, coupled with the proposed performance-based optimization process, enables the fabrication of optimized shading/cladding surfaces with complex geometries whose formability does not require ad hoc formworks, making the process fast and economic.
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Matthew Ikuabe, Clinton Ohis Aigbavboa, Chimay Anumba and Ayodeji Emmanuel Oke
The quest for improved facilities management (FM) delivery is receiving immense focus through the incorporation of innovative technologies such as cyber-physical systems (CPS)…
Abstract
Purpose
The quest for improved facilities management (FM) delivery is receiving immense focus through the incorporation of innovative technologies such as cyber-physical systems (CPS). The system’s high computational capabilities can aid in the abatement of some of the challenges plaguing FM functions. However, the requisite ingredients for the uptake of the system for FM have still not gained scholarly attention. Because performance measurement is a vital index in determining the outcome of FM methods, this study aims to investigate the influence of performance measurement indicators that are influential to the uptake of CPS for delivering FM functions.
Design/methodology/approach
A qualitative technique was adopted using the Delphi technique. The panel of experts for the study was selected through a well-defined process based on stipulated criteria. The experts gave their opinions in two rounds before consensus was attained on the identified performance measurement indicators, whereas methods of data analysis were measures of central tendency, inter-quartile deviation and Mann–Whitney U test.
Findings
Results from this study showed that 11 of the performance indicators were of very high significance in the determination of the uptake of CPS for FM functions, whereas 5 of the indicators were proven to be of high significance. Furthermore, there was no statistical difference in the opinions of the experts based on their affiliation with academic institutions and professional practice.
Practical implications
The findings of this study contribute practically by aiding policymakers, facility managers and relevant stakeholders with the vital knowledge of delivery mandates for efficient FM services that can spur the uptake of digital technologies such as CPS.
Originality/value
This study contributes to the body of knowledge as it unveils a roadmap of the expected performance output and its accompanying evaluation that would drive the adoption of a promising technology such as CPS in the delivery of FM tasks.
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Elisa Verna, Gianfranco Genta and Maurizio Galetto
The purpose of this paper is to investigate and quantify the impact of product complexity, including architectural complexity, on operator learning, productivity and quality…
Abstract
Purpose
The purpose of this paper is to investigate and quantify the impact of product complexity, including architectural complexity, on operator learning, productivity and quality performance in both assembly and disassembly operations. This topic has not been extensively investigated in previous research.
Design/methodology/approach
An extensive experimental campaign involving 84 operators was conducted to repeatedly assemble and disassemble six different products of varying complexity to construct productivity and quality learning curves. Data from the experiment were analysed using statistical methods.
Findings
The human learning factor of productivity increases superlinearly with the increasing architectural complexity of products, i.e. from centralised to distributed architectures, both in assembly and disassembly, regardless of the level of overall product complexity. On the other hand, the human learning factor of quality performance decreases superlinearly as the architectural complexity of products increases. The intrinsic characteristics of product architecture are the reasons for this difference in learning factor.
Practical implications
The results of the study suggest that considering product complexity, particularly architectural complexity, in the design and planning of manufacturing processes can optimise operator learning, productivity and quality performance, and inform decisions about improving manufacturing operations.
Originality/value
While previous research has focussed on the effects of complexity on process time and defect generation, this study is amongst the first to investigate and quantify the effects of product complexity, including architectural complexity, on operator learning using an extensive experimental campaign.
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