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Open Access
Article
Publication date: 11 August 2020

Chukwuebuka Bernard Azolibe

This study empirically assessed the influence of foreign direct investment on the manufacturing sector growth in the Middle East and North African region using panel data of 18…

4801

Abstract

Purpose

This study empirically assessed the influence of foreign direct investment on the manufacturing sector growth in the Middle East and North African region using panel data of 18 countries covering the period of 1975–2017.

Design/methodology/approach

The study employed Levin et al. (2002) test (LLC) and Im et al. (2003) panel unit root test. Furthermore, Kao’s cointegration test was applied to examine the long-run relationship between the variables. Both the Dynamic OLS and Fully modified OLS were used in estimating the short-run relationship.

Findings

The results of the DOLS and FMOLS indicate that both inward and outward FDI influence the manufacturing sector growth positively. This shows that much of the manufacturing sector growth in the MENA region is driven by both inward and outward FDI. Our findings made a strong new proposition that aside from the negative influence proposed by Stevens and Lipsey (1992), outward FDI could also have a positive influence on the manufacturing sector of a country through effective utilization of domestic raw materials that are produced locally for production of goods in a foreign country.

Practical implications

MENA countries should concentrate more on making policies that will encourage the effective utilization of domestic resources for outward foreign direct investment in other countries of the world as it has the capacity to boost the manufacturing sector growth. Also, policies that will attract more inflows of FDI in the region should be encouraged. Both inward and outward FDI should be considered as an integral part of MENA economic policy in order to spur the manufacturing sector growth.

Originality/value

Previous empirical studies on the relationship between FDI and manufacturing sector growth have focused much on the influence of inward FDI. Thus, very little attention has been paid to the contribution that the outward FDI makes to the growth of the manufacturing sector of the host country. Our empirical study focused on the influence of both inward and outward FDI on the manufacturing sector growth with specific emphasis on the MENA region that remains the center of attraction of inward FDI and a source of inward FDI to most nonoil producing developing and developed countries given the oil-rich nature of the region.

Details

International Trade, Politics and Development, vol. 5 no. 1
Type: Research Article
ISSN: 2586-3932

Keywords

Open Access
Article
Publication date: 6 May 2020

Runong Xu, Yuming Wu and Yao Huang

Increasing carbon productivity is an effective way to reduce carbon emissions, while boosting economic prosperity. For appropriate formulating and enforcement of energy saving and…

1201

Abstract

Purpose

Increasing carbon productivity is an effective way to reduce carbon emissions, while boosting economic prosperity. For appropriate formulating and enforcement of energy saving and carbon emissions reduction policies in various sectors, it is of great significance to investigate the evolution characteristics and convergence modes of carbon productivity across the manufacturing sectors.

Design/methodology/approach

Using slack-based measure directional distance function (SBM-DDF) and global Malmquist–Luenberger (GML) productivity index, this paper measures the carbon productivities of 29 manufacturing subsectors in Shanghai, China, from 2001 to 2016 under the total factor framework. Furthermore, based on the convergence theories, it empirically examines the convergence of carbon productivity across these manufacturing sectors.

Findings

The measurement results suggest that the carbon productivities of the manufacturing sectors in Shanghai show an increasing tendency on the whole, and technical efficiency instead of technological change makes a main contribution to the increase. It is found that there is no obvious σ convergence across the manufacturing sectors in Shanghai, but there exist both absolute ß convergence and conditional ß convergence. Moreover, there is heterogeneity in convergence characteristics between the clean sectors and polluting sectors. The findings also show that firm size and industry structure have significant positive impacts on the growth of carbon productivities of the manufacturing sectors, whereas the impacts of capital deepening and energy consumption structure are significantly negative.

Originality/value

This paper measures the carbon productivities of the manufacturing subsectors by applying SBM-DDF and GML index, so as to improve the accuracy. It provides an insight into the convergence of carbon productivity across the manufacturing sectors.

Details

International Journal of Climate Change Strategies and Management, vol. 12 no. 3
Type: Research Article
ISSN: 1756-8692

Keywords

Open Access
Article
Publication date: 20 September 2022

Shoaib Abdul Basit, Thomas Kuhn and Uwe Cantner

Knowledge competencies and (R&D) activities are one of the most important sources of innovation and have been widely discussed in the literature. In comparison, the role of the…

1506

Abstract

Purpose

Knowledge competencies and (R&D) activities are one of the most important sources of innovation and have been widely discussed in the literature. In comparison, the role of the competitive environment for the innovation activities of firms is still open to debate and has not been fully understood yet. Therefore, this paper intends to provide new evidence on the interaction between knowledge competencies and R&D activities of firms on the one side and their competitiveness in the market environment on the other. In particular, the moderating function of market competition is explored. In this respect, the analysis covers the main innovation types as well as both sectors, manufacturing and services.

Design/methodology/approach

The empirical analysis is based on a three years panel dataset of German manufacturing and service firms obtained from Mannheim Innovation Panel (MIP) and Community Innovation Surveys (CISs: 2011, 2013 and 2015). For the estimation, a binary instrumental variable treatment model with Heckman selection method is used. Also, it provides a suitable approach to estimating the binary variables in order to cope with endogeneity concerns.

Findings

The estimation results show that R&D activities and knowledge competencies are positively related to innovation activities of different types conditioned on firms' specific perception of their competitive environment, in terms of outdated products/services as well as strong competition from abroad. Most importantly, the results from the moderation estimation reveal that there is a significant difference between the manufacturing and service sector. Service firms engage more in internal R&D activities on generating product innovations while the manufacturing firms conduct more external R&D on specific types of innovation. Further, the authors find that strong competition from abroad positively and significantly reinforces the effect of knowledge competencies on innovation activities for more types in services than in manufacturing. In contrast, outdated products and services tend to decline the effect of knowledge competencies for some innovation types in both sectors. The authors also observe a positive and significant reinforcement effect on knowledge competencies. However, it is found more beneficial for service firms since they can employ more innovation strategies.

Originality/value

The focus of the study is mainly on the impact of firms' competitive environment on innovation activities in various types through its interaction with knowledge competencies and R&D activities, across manufacturing and service firms.

Details

European Journal of Management Studies, vol. 27 no. 2
Type: Research Article
ISSN: 2183-4172

Keywords

Open Access
Article
Publication date: 6 December 2022

Gaurav Kumar Badhotiya, Leena Sachdeva and Gunjan Soni

The manufacturing industry is one of the most disrupted systems as a result of the global spread of the Covid-19 pandemic. Manufacturing firms are looking for strategies and…

Abstract

Purpose

The manufacturing industry is one of the most disrupted systems as a result of the global spread of the Covid-19 pandemic. Manufacturing firms are looking for strategies and policies to deal with the situation while also meeting customer demands. This study aims to discuss and analyze the barriers that have impacted manufacturing systems during this period.

Design/methodology/approach

The barriers and performance measures were extracted from the extant literature and further discussed with academic and industry experts. Based on the response of experts, a list of ten barriers and five performance measures were selected for further analysis. The interpretive ranking process (IRP) is applied to analyze the inter-relationship among the barriers with respect to performance variables. The cross-interaction matrices and the dominance profile are created to prioritize the barriers. Based on dominance value, an IRP-based manufacturing barrier evaluation model is developed for validation.

Findings

The impact of the pandemic on the manufacturing industry is analyzed through the list of barriers and a structured ranking model is proposed. The research findings of the study indicate that “Financial constraints” is the most influential barrier to manufacturing due to the outbreak of Covid-19, followed by “Government imposed restrictions” and “Setbacks in logistics services.”

Practical implications

The ranking of barriers and developed interpretive ranking process model would be helpful for practitioners and policymakers to formulate strategies for manufacturing organizations to deal with the pandemic situation. The finding can be beneficial as it promotes similar studies in other sectors.

Originality/value

This study contributes to the manufacturing sector by developing a contextual relationship among the set of identified barriers against various performance measures. As per the author's knowledge, this is the first study that provides a relationship and ranking of manufacturing barriers due to the outbreak of Covid-19.

Details

International Journal of Industrial Engineering and Operations Management, vol. 4 no. 3
Type: Research Article
ISSN: 2690-6090

Keywords

Open Access
Article
Publication date: 22 March 2024

Sheak Salman, Shah Murtoza Morshed, Md. Rezaul Karim, Rafat Rahman, Sadia Hasanat and Afia Ahsan

The imperative to conserve resources and minimize operational expenses has spurred a notable increase in the adoption of lean manufacturing within the context of the circular…

Abstract

Purpose

The imperative to conserve resources and minimize operational expenses has spurred a notable increase in the adoption of lean manufacturing within the context of the circular economy across diverse industries in recent years. However, a notable gap exists in the research landscape, particularly concerning the implementation of lean practices within the pharmaceutical industry to enhance circular economy performance. Addressing this void, this study endeavors to identify and prioritize the pivotal drivers influencing lean manufacturing within the pharmaceutical sector.

Findings

The outcome of this rigorous examination highlights that “Continuous Monitoring Process for Sustainable Lean Implementation,” “Management Involvement for Sustainable Implementation” and “Training and Education” emerge as the most consequential drivers. These factors are deemed crucial for augmenting circular economy performance, underscoring the significance of management engagement, training initiatives and a continuous monitoring process in fostering a closed-loop practice within the pharmaceutical industry.

Research limitations/implications

The findings contribute valuable insights for decision-makers aiming to adopt lean practices within a circular economy framework. Specifically, by streamlining the process of developing a robust action plan tailored to the unique needs of the pharmaceutical sector, our study provides actionable guidance for enhancing overall sustainability in the manufacturing processes.

Originality/value

This study represents one of the initial efforts to systematically identify and assess the drivers to LM implementation within the pharmaceutical industry, contributing to the emerging body of knowledge in this area.

Details

International Journal of Industrial Engineering and Operations Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2690-6090

Keywords

Open Access
Article
Publication date: 6 August 2018

Jurandir Peinado, Alexandre Reis Graeml and Fernando Vianna

The purpose of this paper is to assess the differences in importance assigned by manufacturing or service organizations to topics related to operations management and its…

32338

Abstract

Purpose

The purpose of this paper is to assess the differences in importance assigned by manufacturing or service organizations to topics related to operations management and its attendant body of knowledge.

Design/methodology/approach

The authors did this by cataloguing and analyzing vacancy announcements related to operations management, presented by manufacturing and services companies in major Brazilian human resources websites.

Findings

The results show that manufacturing companies primarily hire personnel with skills in routine process management, quality management, lean manufacturing, ergonomics and work organization. Service companies generally seek professionals with knowledge and experience in logistics, supply chain management and project management.

Research limitations/implications

This study presents some limitations that reduce the power of its conclusions. There is some degree of subjectivity in the interpretation of the contents of the analyzed ads. In order to reduce this problem, the authors who did the tabulation of data marked the situations for which there were some doubts about the classification, discussing them with the other author, until they reached a consensus on the best way to classify each one.

Originality/value

The discussion about the importance assigned by manufacturing and service companies to the topics of operations management is crucial for not only the results obtained, but also to stimulate the debate on topics that comprise or should comprise the body of knowledge of operations management, and the way they are incorporated into business practice. This provides an additional opportunity to reflect on the potential of operations management in supporting business managers now and in the future.

Details

Revista de Gestão, vol. 25 no. 4
Type: Research Article
ISSN: 2177-8736

Keywords

Open Access
Article
Publication date: 1 August 2016

Alireza Shokri, Teresa Shirley Waring and Farhad Nabhani

The purpose of this paper is to focus on three fundamental human-related behaviour factors associated with Lean Six Sigma (LSS) projects in German manufacturing small-and…

10044

Abstract

Purpose

The purpose of this paper is to focus on three fundamental human-related behaviour factors associated with Lean Six Sigma (LSS) projects in German manufacturing small-and medium-sized enterprises (SMEs) on the readiness of people (managers and their staff) to commence LSS projects. These are core personal competence, strategic vision of the people and the organisational culture of the specific organisation.

Design/methodology/approach

Based on a thorough review of the academic literature a set of hypotheses were constructed to examine the level of association between people’s competence, vision and culture with LSS readiness within SMEs. This was done using correlation and regression analysis. Data collection were carried out in seven different German manufacturing SMEs involved in aerospace supply and agro-food manufacturing using a survey instrument.

Findings

It was found that there is a strong positive association between the core competence of people and organisational culture with readiness for commencing LSS in the manufacturing SMEs studied. The core values of people, education level and the vision of making continuous quality improvement were identified as key variables in promoting LSS readiness in these manufacturing SMEs. This study indicates that these “softer” variables can be essential to successful LSS implementation and need to be explored further before undertaking the process.

Practical implications

From the perspective of the implementers of LSS the results of this research could be of interest to different manufacturing SMEs intending to embark upon an LSS journey as it highlights the significance of human-related behavioural factors in the process. SME organisations may consider carrying out development or training with their managers and employees around personal and organisational values, addressing core competence and strengthening organisational culture in order to facilitate LSS readiness and enhance the prospect of its success.

Originality/value

It would appear that this LSS research has not been carried out within the German manufacturing SME context before and although discrete in nature has surfaced the “softer” variables of core competence of staff and organisational culture as important readiness issues to address when undertaking LSS. This integrated approach of human behavioural factors, organisational culture, LSS and manufacturing SMEs demonstrates the originality of the research.

Details

International Journal of Operations & Production Management, vol. 36 no. 8
Type: Research Article
ISSN: 0144-3577

Keywords

Open Access
Article
Publication date: 28 March 2024

Elgazzar Iman Mahmoud Khalil

At the beginning of the 21st century, a new class of information workers, the “information have-less” has risen. This class of workers alleviates the influence of information and…

Abstract

Purpose

At the beginning of the 21st century, a new class of information workers, the “information have-less” has risen. This class of workers alleviates the influence of information and communication technologies (ICTs) revolution on poverty and unemployment. The purpose of this study is to investigate the presence of this class of workers in Egypt and assess the size and potential growth of this category of workers.

Design/methodology/approach

The study clarifies the conceptual framework of the new division of labor, in the information age. The Central Agency for Public Mobilization and Statistics, American Chamber of Commerce in Egypt, Ministry of Communications and Information Technology and Information and Decision Support Center websites provided secondary data for this study. These data are used to assess the size of “the information have less” in Egypt.

Findings

The division of work and class, in the 21st century, depends on the level of skills possessed to work with ICTs. So, class and labor nowadays could be divided into self-programmable labor (Innovators). Information have-less labor class, adding value to the economy by learning skills and presenting repetitive work. Generic labor class, who cannot work with ICTs, and work in jobs, that do not need computers or other ICTs. The study has shown that the “information have-less” labor class is present in Egypt since the beginning of the 21st century, in all its categories; entrepreneurism, the service sector and the manufacturing sector. There are approximately 50% of this labor class in the service sector and only 13% of the information have-less works in manufacturing sector despite the great opportunities that Egypt has to expand manufacturing to absorb more employment. The inclusion of information technology (IT), in all domains, has not decreased employment in Western countries but has reallocated information have-less employment toward the service sector, and there would probably be the same effect in Egypt.

Practical implications

The study highlights the need for Egyptian policymakers to encourage the manufacturing and service sectors to provide huge working opportunities. The Egyptian government has to change the educational policies, at all stages, to include digital learning skills so IT can be incorporated in a wide range of economic activities. Further research includes: conducting a survey to measure the contribution of the entrepreneurial part of the information have-less employment in Egypt. In addition, a model may be developed, by the researcher to examine the reallocation of employees in Egypt.

Originality/value

Studying employment, in Egypt, using the conceptual framework of the information age is rarely being done.

Details

Review of Economics and Political Science, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2356-9980

Keywords

Open Access
Article
Publication date: 5 December 2016

Sang Sup Cho

This study aims to estimate the firm size distributions that belong to the service sector and manufacturing sector in Korea.

3971

Abstract

Purpose

This study aims to estimate the firm size distributions that belong to the service sector and manufacturing sector in Korea.

Design/methodology/approach

When estimating the firm size distribution, the author considers the following two major factors. First, the firm size distribution can have a gamma distribution rather than traditional accepted distributions such as Pareto distribution or log-normal distribution. In particular, industry-specific enterprises can have different size distributions of the type of gamma distribution. Second, the firm size distribution that is applied to this study’s data set should reflect a number of factors. For example, estimating mixture gamma distribution for firm size distribution should be required and compared, because the total amount of configuration data is composed of small businesses, medium-sized and large companies.

Findings

Using 8,230 number of firm data in 2013, the author estimates mixture gamma distribution for the firm size.

Originality/value

From the comparison, empirical results are found for the following characteristics of core firm size distribution: first, the firm size distribution of the manufacturing sector has a longer tail than firm size distribution of the service sector. Second, the manufacturing firm size distribution dominates the entire country firm size distribution. Third, one factor among the three factors that make up the mixed gamma firm size distribution is described for 99 per cent of the firm size distributions. From the estimated firm size distributions of the service sector and manufacturing sector in Korea, the author simply implies the strategy and policy implications for the start-up firm.

Details

Asia Pacific Journal of Innovation and Entrepreneurship, vol. 10 no. 1
Type: Research Article
ISSN: 2071-1395

Keywords

Open Access
Article
Publication date: 14 July 2020

Giselle Cappellesso, Cristiano Moreira Raimundo and Karim Marini Thomé

This study aims to measure the intensity of innovation in the Brazilian food sector and compares it to other manufacturing sectors in the country.

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Abstract

Purpose

This study aims to measure the intensity of innovation in the Brazilian food sector and compares it to other manufacturing sectors in the country.

Design/methodology/approach

The authors used economic and financial data provided by the annual survey of industry [Pesquisa Industrial Anual (PIAs), in Portuguese] and other supporting data provided by the survey of innovation [Pesquisa de Inovação (PINTEC), in Portuguese] and the classification of technology intensity (TI) proposed by the Organization for Economic Co-operation and Development. The authors subsequently applied the Malmquist index in addition to the data envelopment analysis to measure innovation.

Findings

The results reveal that the Brazilian food sector is classified as a sector with low TI and investment in research and development (R&D), which represents one of the lowest rates when compared to other sectors. Thus, the Brazilian food sector is far from achieving its full potential. Nevertheless, the authors noticed that the sugar refinery industry showed an evolution in its technology frontier and presented a frequency of innovation similar to the average of high-tech industries.

Originality/value

This study contributes to the debate on innovation in the food sector, emphasizing the need to accomplish higher investments in R&D to increase the productivity of the sector.

Details

Innovation & Management Review, vol. 17 no. 4
Type: Research Article
ISSN: 2515-8961

Keywords

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