Title: Justification of advanced manufacturing technologies for small and medium enterprises from auto component sector: AHP approach

Authors: Dimple Bhandari; Rajesh Kr Singh; S.K. Garg

Addresses: Delhi Technological University, Shahbad Daulatpur, Main Bawana Road, New Delhi, 110042, India ' Management Development Institute, Sukhrali, Sector 17, Gurugram, Haryana 122007, India ' Delhi Technological University, Shahbad Daulatpur, Main Bawana Road, New Delhi, 110042, India

Abstract: Small and medium enterprises (SMEs) are considered as engine of economic growth in most of the countries. They need to change themselves with dynamic market requirements. This study tries to justify implementation of advanced manufacturing technologies (AMTs) in small and medium enterprises (SMEs) from auto component sector. The seven major benefits of using AMTs are identified from literature and expert's opinion. These are improvement in flexibility, reduction in production cost, inventory reduction, lead time reduction, delivery on time, productivity improvements and innovative products. Global desirability index of SMEs with AMTs and traditional manufacturing is calculated and compared with the help of AHP. It is observed that AMTs-based production systems have more global desirability index as compared to traditional manufacturing systems. Therefore findings imply that SMEs can improve their performance by judicious application of AMTs in their processes.

Keywords: advanced manufacturing technology; analytic hierarchy process; AHP; small and medium enterprises; SMEs; productivity improvement; competitive advantage.

DOI: 10.1504/IJPQM.2018.090260

International Journal of Productivity and Quality Management, 2018 Vol.23 No.4, pp.473 - 491

Received: 20 Jul 2016
Accepted: 03 Jan 2017
Published online: 07 Mar 2018 *

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