Optimization of Mechanical Companies Production Performance through the Operations Management Models: Moderating Role of Technology Capability
DOI:
https://doi.org/10.31181/rme569Keywords:
Operations Management Models, Technology Capability, Mechanical Companies, OptimizationAbstract
The research aim to test the optimization of production performance through operations management models of mechanical companies. Moderating effect of technology capabilities also tested. Cross sectional quantitative data was collected from the 450 mechanical company’s employees employing convenient sampling technique. Both of the descriptive and inferential statistics were conducted using SPSS and Smart PLS respectively. The results shown that all operations management models have positive and significant impact on the production performance of mechanical companies. From the direct effects, ERP has more effect on production performance which is showing the critical importance of integrated information systems in improving production planning, resource coordination, and real-time decision-making. While six sigma and JIT also has positive significant impact on production performance. Balance scorecard also significantly contributed to increase the production performance. Moderating effect results also confirmed that technology capability positively strengthens the relationship between operation management models and production performance. Study with significant finding highlighted the significance of combining managerial practices with technological readiness to achieve superior mechanical company’s performance. The research theoretically also contributed to operations management literature through demonstrating that production performance is enhanced through the integrated adoption of lean, quality, strategic, and digital management systems. From the practical aspect, research also suggested that mechanical organizations should invest in digital transformation, quality improvement programs, and technological capability development to sustain long-term operational competitiveness.
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