key success factor in manufacturing
DESCRIPTION
A case study of KIMARTRANSCRIPT
TECHNOLOGY MANAGEMENT AND INNOVATION
MRC1113
Lecturer : Assoc. Prof. Dr. Wan Khairuzzaman Wan Ismail
Group members:Nazifa Abd. Ghani (MR111037)Hamed Tahsildary (MR111117)Shawli Ahsan Tora (MR111074)
Key Success Factors in Innovation
Among Selected Manufacturing Companies
Prepared By: Group 5
Summary Layout
ANALYSIS – INNOVATION PROBLEMS - KEY SUCCESS FACTORS IN INNOVATION
INTRODUCTION
LITERATURE REVIEW
CONCLUSION & RECOMMENDATIONS
Item 1
Item 2
Item 3
Item 4
INTRODUCTION
Innovation means changing the original to a new to new and better object for better purpose.
New ideas implemented so that organizations can continue their existence, be competitive, grow and be able to change with the
future changes and therefore it is essential for all the organisations to be flexible with environmental changes and at the same time make use of innovation for sustainable growth,
future profitability and long term competitive position.
The Objectives of the Study:To identify critical success factors in innovation among Malaysian manufacturing companies followed by the problems that they face in implementing innovation.
04/10/2023
WHAT IS KIMAR?
- A complex Food Industry which located at Mukim Batu, federal territory, Kuala Lumpur.
-Total area of KIMAR =116.750 square feet.
-Modification was done to meet the requirement of halal certification, GMP and HACCP. (cost RM 15.4 million).
LITERATURE REVIEWA review of literature on innovation resulted to several dimensions and is defined as below:
Innovation as something new;Innovation is “a process through new ideas, objects, and practices are created and which are new to the unit of adoption.” (Walker,2006).
Innovation as a process;Innovation is involving a set of activities that start with recognition of need, generation of innovation, implementation and utilisation of a solution that caters to the identified need (Bessant & Tidd 2007, Kinght 1967).
Innovation as a value driveInnovation is regarded as a tool to produce economic value. It has been termed as a source of competitive advantage (Damanpour & Schneider 2006)
It has been revealed that innovation contribute to lead the organisations growth as well as seek to improve future profitability
(Wood, 1988).
The implementation period for innovation starts when relevance execution are undertaken for an innovation (Angle and Van de Ven,
1989).
Various key success factors (KSFs) in Implementing innovation have been found based on the previous study.
Critical Success Factors Researchers
Clear project Mission, strategies, goals and directions
(Bessant &1983) Dickson, 1982; Slevin & Pinto, 1986)
Top management support & Commitment (Bessant & Dickson, 1982; Slevin & Pinto, 1986; Khan &Martin, 1989)
Appropriate personnel/skills/expertise (Bessant & Dickson, 1982; Slevin & Pinto, 1986; Power & Dickson, 1973)
Appropriate technology (Bessant & Dickson, 1982; Slevin & Pinto, 1986; Power & Dickson, 1973; Khan &Martin,
1989 )
Monitoring and feedback (control system) (Bessant & Dickson, 1982; Power & Dickson, 1973; Kerzner,1987)
Problems of implementation of innovations are not just technical in nature.
User resistance to change, have been recognized as Behaviour-related problems of implementation
(Biggart, 1977; Markus).
Even if a certain technology were to be successfully installed in a firm, it might not mean that its people
would actually use it. Even if they used it initially, they might not necessarily continue to use it in the future.
“In such situation the innovation is successful technically, but failed organizationally”.
(Grayson, 1973)
Problems Encountered by the Entrepreneurs in KIMAR from Their Experience in Implementing Innovations
The five most difficult problems faced by the interviewees from the five manufacturing in KIMAR while implementing innovations:
Major
Problems
Fatihah Frozen Sdn.
Bhd.
AJ Food Sdn. Bhd.
Dasree Reality Sdn
Bhd.
Ezzy Classics Products Sdn Bd.
Malinja Doner
Kebab Sdn. Bhd.
Solving Human
Problems
Maintaining commitment
towards innovation
Difficulty in solving
technical Problems
- -
Administrative problems
- - -
SUPPORT AND COMMITMENT OF TOP MANAGEMENT
Innovation culture needs innovative leader
Management’s commitment to innovation in their organization are their active involvement in new product/service planning and frequent attendance and/or interaction with the innovation team.
They are concerned about levels of staffing, appropriate budget/spending authority, and formal recognition and rewards of innovation success.
Senior managers are willing to allocate the necessary resources to innovate work as part of their follow-through to their commitment to innovation.
Organizational Adaptability
-*Organization’s adaptability is driven by demands or needs from outside the organization.
-*Government organizations adapt their services to the new expectations from their communities.
-*Demand and competition is increasing
Management is considering to make organisational changes: Better and innovative production and lower
priced products
Project Leadership Style
Successful project managers manage teams most effectively by motivating and inspiring their teams, building high performance teams, consistently delivering successful projects and continuously developing new leadership skills to complement those that made them successful as managers.
Responsibilities: Friendly Working Environment; Hire professional; Encourage Good Performance; Commission Given
Appropriate Technology
Appropriate technology is the choice of technology and application of either intermediate (labor-intensive) technology or
advanced (capital- intensive) technology , developing on the carefully analyzed needs of each sector.
Key Success Factor in Innovation
A Comparison Between the Techniques and Technologies.
Two Key Success Factors for Innovation Implementations.
A Case Study of KIMAR
Qualitative Research
Non- Probability
Judgment Sampling -
-Fatihah Frozen Sdn. Bhd.-AJ food industries Sdn. Bhd.-Dasree reality Sdn. Bhd.-Ezy classics products Sdn. Bhd.-MalinjaDoner kebab Sdn.Bhd.
Seventeen food manufacturers operating in KIMAR but only five selected manufacturing are involved in this study.
CONCLUSION & RECOMMENDATIOS
Our conclusion is based on the results from the critical success factors for innovation implementations indicates that many of the processes followed by factories in KIMAR in implementing innovations, and many of the factors perceived by them are favorable to the success of innovation implementations.
In fact, the more innovation-active factories in KIMAR were more successful in their implementation efforts than the less innovation active ones.
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