Assessing Enabling Competence of Leagile Manufacturing Model and Its Impact on Performance of Small and Medium Factories in Uganda

Abstract

Purpose: Leagile manufacturing is one of the time-based manufacturing practices used to improve factory performance. It is a practice that combines initiatives of Lean and agile manufacturing under certain enabling competences. Therefore, the purpose of this study is investigate the combinative nature of time-based manufacturing practices under unique enabling competences and their impact on performance of factories in Uganda. Methodology: Firstly, the underlying factor structure of competences and time-based manufacturing was examined was conducted using Principal Component Analysis (PCA). Enabling competences and time-base manufacturing practices were modelled and validated for each using confirmatory factor analysis, particularly composite reliability, average variance extracted and convergent validity. A fully fledged structural equation model was used to test the impact of leagile manufacturing on performance of factories. Findings: The study results revealed that time-based manufacturing of lean, and leagile are related but differ, in terms of their enabling competences and philosophical orientation. The findings also revealed that when small and medium factories in Uganda adopt leagile practice, they are likely not improve their performance. This is perhaps due to the fact that small and medium factories have inadequate resources. Practical Implications: The study findings shed more insights on the factors that enable adoption and implementation of time-based manufacturing practices. The extent to which these competences are orchestrated determines the benefits derived from the time-based manufacturing practices. In addition, small and medium enterprises should keenly make a choice on the appropriate practices that purposely reduce their lead time and cost of conversion. Originality: This study investigated the combinative nature of time-based manufacturing practices under unique enabling competences and their impact on performance of factories in Uganda. It is among the few studies that provide evidence on the leagile model anchored in the appropriate enabling competences in the context of developing countries. The empirical survey was done on small and medium factories to validate a leagile manufacturing model and tested its impact on factory performance.