The Effect of Deployment of Advanced Manufacturing Technology on Performance: Evidence from Large Manufacturing Firms in Kenya
Keywords:
Advanced Manufacturing Technology, Organizational Performance, Emerging Markets, Large Manufacturing Companies, KenyaAbstract
Global manufacturing is increasingly competitive and technology-driven, prompting firms to adopt Advanced Manufacturing Technology (AMT) to sustain performance. However, empirical evidence from emerging economies—especially sub-Saharan Africa—remains scarce. This study examines the effect of AMT deployment on the performance of large manufacturing companies (>100 employees) in Kenya via a descriptive cross-sectional survey. Primary data, collected through structured questionnaires from 125 firms, were analyzed using simple linear regression. Results indicate a statistically significant, moderately strong positive relationship between AMT deployment and organizational performance (F=19.62, p<0.05; r=0.565), with AMT explaining 31.9% of performance variation (r2 =0.319). This suggests that while AMT is an important factor in the relationship between AMT and performance of large manufacturing firms in Kenya, other organizational and external factors account for the majority of the observed variance in performance. Strategic AMT investment, coupled with effective implementation and complementary organizational capabilities, is vital for maximizing benefits. These recommendations are valuable for managers, policymakers, and researchers aiming to leverage AMT for industrial performance in emerging markets.
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