Manufacturing technology sourcing practices in the USA

Some companies are heavily reliant on the capabilities of their manufacturing technology for product competitiveness. Likewise, the capabilities of a manufacturing technology are dependent on the sourcing policy that the host company practices. This paper describes research that has explored a wide variety of US companies to understand manufacturing technology sourcing policies and how they have been formed. This research finds that there is a preference amongst the US organizations studied not to become involved with equipment manufacture, though some examples of full integration do occur. These policies are not determined by formalized decision processes, rather they are formed implicitly during technology choice. In this research, factors that influence a technology source have been identified. These drivers are then used to establish a methodology that will help practising managers to form a technology sourcing decision. This methodology takes into account the business demands placed on a technology, along with the characteristics of the host company's supplier base.

An investigation into manufacturing technology sourcing practices

This paper investigates the decisions that companies make when choosing the source of their manufacturing technology. It builds on previous research that has identified differences between the practices of US and Japanese manufacturing companies. A structured study of manufacturing technology sourcing practices at 14 US-based manufacturing companies is described. This research has confirmed that there is a trend in the companies studied to acquire manufacturing technology from sources external to their organisations. However, no formal processes are used to form these policies. When a rationale for this behaviour was sought, companies gave a series of reasons concerned with business focus, efficiency of technology acquisition, and the extent, defence and support of manufacturing capabilities.

Gaining social values of wireless technology:an interpretive case study in the healthcare institutional context

The existing literature has given little consideration to social values of information technology in general or of wireless technology in particular. The purpose of this paper is thus to shed new light on this issue. Based on an interpretive case study, we examine two healthcare organisations and discover that social values are often manifested beyond, as well as within, organisations. A matrix of social values in relation to technology changes and their interactions with various stakeholders is further discussed. The matrix helps understand how various social values emerge from and revolve around organisations’ strategic management of information technology. The implications of the findings about social values are discussed and future research directions are suggested.

Sourcing knowledge for innovation:the international dimension

Drawing knowledge from external sources in the UK, or internationally, has become increasingly important to small and medium-sized firms (SMEs). SMEs cannot generate all they need to know to develop new products and processes within their own companies, they need to look elsewhere for new ideas and expertise. This practice is known as knowledge sourcing. This report provides a detailed review of patterns of knowledge sourcing, and the key factors influencing these patterns, particularly from a small business perspective. We present key findings from a survey of 393 UK companies and analyse the results. We also highlight case studies of UK SMEs that work closely with overseas partners and agents to widen their own knowledge.

Determinants of employment growth at MNEs:evidence from Egypt, India, South Africa and Vietnam

Many foreign investment operations into emerging markets are small, and are likely to have only a limited impact on the local economy. However, host governments often expect transfer of advanced technology from multinational enterprises (MNEs) operating in these markets to local firms by way of inter-firm mobility of skilled labourers. The extent of such transfers would be limited, among other factors, by the size of the pool of skilled labourers that can potentially be mobile between MNEs and local firms. This, in turn, is determined by employment growth at the MNEs. We develop an empirical specification that models this employment growth, by drawing on both the economics and international business literature. This model is then estimated using firm-level data from four emerging markets. We find that wholly owned foreign direct investment operations have higher employment growth, while local industry and institutional characteristics moderate the growth effect. This suggests that policies encouraging foreign investors to set up in form of joint ventures may not actually raise the benefits for the host economy.

Learning by exporting:lessons from high-technology SMEs

We investigate the learning by exporting hypothesis by examining the effect of exporting on the subsequent innovation performance of a sample of high-technology SMEs based in the UK. We find evidence of learning by exporting, but the pattern of this effect is complex. Exporting helps high-tech SMEs innovate subsequently, but does not make them more innovation intensive. There is evidence that consistent exposure to export markets helps firms overcome the innovation hurdle, but that there is a positive scale effect of exposure to export markets which allows innovative firms to sell more of their new-to-market products on entering export markets. Service sector firms are able to reap the benefits of exposure to export markets at an earlier (entry) stage of the internationalization process than are manufacturing firms. Innovation-intensive firms exhibit a different pattern of entry to and exit from export markets from low-intensity innovators, and this is reflected in different effects of exporting. © 2012 Elsevier Ltd.

Technology flows, outsourcing and productivity:an analysis of UK trade and FDI

The literature on technology spillovers from trade and FDI is ambiguous in its findings. This may in part be because of the assumption in much of the work that trade and FDI flows are homogeneous in their determinants and thus in their effects. We develop a taxonomy of trade and FDI determinants based on R&D intensity and unit labour cost differentials, and test for the presence of spillovers from inward investment and imports on an extensive sample of UK manufacturing plants. We find that both trade and FDI have measurable spillover effects, but the sign and extent of these effects varies depending on the technological and factor cost differentials between the recipient and host economies. There is therefore an identifiable link between the determinants and effects of trade and FDI which the previous literature has not explored.

Efficiency in Islamic and conventional banking:an international comparison

The paper investigates the efficiency of a sample of Islamic and conventional banks in 10 countries that operate Islamic banking for the period 1996 to 2002, using an output distance function approach. We obtain measures of efficiency after allowing for environmental influences such as country macroeconomic conditions, accessibility of banking services and bank type. While these factors are assumed to directly influence the shape of the technology, we assume that country dummies directly influence technical inefficiency. The parameter estimates highlight that during the sample period, Islamic banking appear to be associated with higher input usage. Furthermore, by allowing for international differences in the underlying inefficiency distributions, we are also able to demonstrate statistically significant differences in efficiency across countries even after controlling for specific environmental characteristics and Islamic banking. Thus, for example, our results suggest that Sudan and Yemen have relatively higher inefficiency while Iran and Malaysia have lower estimated inefficiency. Except for Sudan, where banks exhibits relatively strong returns to scale, most sample banks exhibit very slight returns to scale, although Islamic banks are found to have moderately higher returns to scale than conventional banks. However while this suggests that Islamic banks may benefit from increased scale, we would emphasize that our results suggest that identifying and overcoming the factors that cause Islamic banks to have relatively high input requirements will be the key challenge for Islamic banking in the coming decades.

Nurturing communities of practice for effective university-to-industry technology transfer:two exemplar cases from the Cauca Region of Columbia

This paper’s primary aim is to demonstrate how university-industry technology transfer can be achieved effectively by nurturing and bridging communities of practice amongst recipients of technology and stakeholders concerned with technology diffusion, productivity and economic development. Its empirical evidence is from an intervention initiative targeting two small-scale industries, namely fish farming and coffee production, in the Cauca region of Colombia. Results show how barriers to transfer have been overcome and the intervention’s design elements and outcomes are discussed.

The multinational enterprise as a source of international knowledge flows:Direct evidence from Italy

This paper examines the determinants of technology transfer between parent firms and their international affiliates, and of knowledge spillovers from those affiliates to host-country firms. Using a unique data set of foreign multinational enterprise (MNE) affiliates based in Italy, we find that affiliate investment in R&D and investment in capital-embodied technology plays a significant role in determining the nature of intra-firm technology flows. However, the basis for any spillovers arising from MNE affiliates does not originate from codified knowledge associated with R&D, but rather from the productivity of the affiliate.

Managing the impacts of wireless technology

This paper investigates and implicates how organisations renovate their service operations and improve business productivity in the context of wireless networks and mobile technologies. Drawing from two case studies conducted in healthcare institutions situated in southwest USA, the findings suggested that wireless networks and relevant technologies evidently enhanced business productivity and fundamentally changed service provision and, in turn, shaped or reshaped organisational images in the community. The implications reinforced the notions that technology could provide foundation for an organisation’s economic growth and that organisations’ business and IT strategies need to seriously consider aligning with this technological trend. For researchers, how organisations in different industries manoeuvre their ways around these technologies might provide interesting venues for future investigation.