A thesis study submitted in partial fulfillment of the requirements for the degree of Master of Business Administration, School of Management

Thesis (M.B.A.) - Asian Institute of Technology, 1993

The business environment today is less stable and more complex than in the past. Traditional manufacturing systems were oriented towards a more stable and less complex environment. This has resulted in ajrustrating "productivity paradox": the more efficient these factories are built to operate, the less responsive they are to change. The new manufacturing technologies (NMTs) will meet this challenge. NMTs have a reputation of being smarter, faster, better integrated and far more flexible. However, much has been reported about the seeming inability of many firms to attain the expected levels of benefits and a preponderance of managerial and organizational issues over technological issues as a barrier/or effective implementation and use of NMT. The obstacles to realizing the benefits also constrain the diffusion. This study attempts to analyze the factors affecting the diffusion and successfu.l implementation of NMT with a view to developing a suitable model for planning and implementing NMT. A model consisting of seven steps is proposed. These are: assessing needs for NMT,· climate evaluation,- technoeconomic evaluation,- implementation plan,- implementation,- impact assessment; and remedial action/or undesired impacts. Six case studies in companies that have implemented NMT(three from Thailand and three from Belgium) were conducted to test the applicability of the model. It appears that model is suitable for practical applications. Based on the.findings some refinements to the proposed model have been made. A set of guidelines for companies planning to implement NMT are also proposed.