Agile enablers and outcomes: empirical validation of agile manufacturing model in developing countries context-Ugandan SME’s experience

Abstract

This article focuses on the extent to which agile mnufaccturing enablers contribute to factory performance of small and medium enterterprises enaged in manufacturing business. This study was aimed at establishing the influence of technological adaptive capabilities, efficient transaction processes and systems and organizational and politicl ties on factcory performance. A questionnaire based survey was conducted in Western region of uganda and Kampala Capital City with a population 148 SMEs engaged in manufacturing. A sample of 129 SMEs was selected and data were successfully and effectively collected from a 103 SMEs. Care was taken to ensure reliability and validity of data. hypothesized relations were tested usins correlations and hierarchical regression. Result indicate that organizational and political ties and efficient transaction processes appear as most important agile enablers because they significantly influence the level of factory performance. Technological adaptive ability appear not to give advantage to SMEs in improving factory performance. The findings add an important aspect of involving politics in ties and alliances in fostering factory performance. In addition more insight was provided on how internalization can provide a more efficient mode of manufacturing that further enhances factory performance. The study shades light of the more robust agile manufacturing model that mangers of SMEs should embrace to remain competitive.