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The relationship of integration and automation under an uncertain environment: a SEM model

Author

Listed:
  • Qiang Tu
  • Kun Liao
  • Yulong Li

Abstract

Under a uncertain environment (i.e., growing global competition, changing customer demand, shorter product life cycles, and increasing market diversity), two manufacturing strategies often emerge: manufacturing technology automation and manufacturing system integration. Existing case studies indicate that firms should adapt manufacturing integration first and then automate the manufacturing system to improve manufacturing performance. Using 288 responses from manufacturing managers, the findings of this study empirically supports this proposition. Analytical results also show that the combination strategies of manufacturing system integration followed by manufacturing technology automation have more than twice the effect on manufacturing performance than using manufacturing automation strategy alone.

Suggested Citation

  • Qiang Tu & Kun Liao & Yulong Li, 2011. "The relationship of integration and automation under an uncertain environment: a SEM model," International Journal of Manufacturing Technology and Management, Inderscience Enterprises Ltd, vol. 22(4), pages 344-361.
    • Handle: RePEc:ids:ijmtma:v:22:y:2011:i:4:p:344-361
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