Organizational readiness for advanced manufacturing technology implementation by Malaysian manufacturing SMEs

Abstract

Nowadays, transformation in organization seem like a must for company to keep compete and sustain in business field. Because of that, it is important to devise the changes happen in organization so that it may reduce the obstacles that occur from the members and also might predict the future potential circumstances. Therefore, readiness organization should improve the effectiveness and efficiency in organization structure. Changes in organization should happen either in small or huge company. The aim of this research is to explore the organization readiness that influences the implementation of advanced manufacturing technology (AMT) among manufacturing SMEs in southern Malaysia. There are three main dimensions were study within this research include top management support, organization structure and organization rules. Total of 120 questionnaires were collected among Southern region in Malaysia embraced Melaka, Johor and Negeri Sembilan. The questionnaire was developed based on previous study. Then, the data were analyzed using Exploratory Factor Analysis (EFA) and regression. From the results, it indicated that organizational commitment which arise from combination of two components of top management support and organization structure present the strongest unique contribution (0.519) for the standardized coefficient value.