OCTOBER 19-20, 2012 - YMCA University of Science & Technology

Proceedings of the National Conference on
Trends and Advances in Mechanical Engineering,
YMCA University of Science & Technology, Faridabad, Haryana, Oct 19-20, 2012
INTENSITY OF CRITICAL FACTORS FOR IMPLEMENTING AMT–
AN ANP APPROACH
Sanjeev Goyal and Sandeep Grover
Department of Mechanical Engineering, YMCA University of Science & Technology, Faridabad
E-mail: goyal.sanjeev@hotmail.com
Abstract
To attain flexibility and shorter lead times, industries are attaining Advanced Manufacturing Technologies
(AMT). These technologies although provide many benefits but involve large cost and complex implementation
process. Organisations are unaware of the strategies to implement AMT. It would be beneficial for the
organisations to know the intensity of critical factors affecting the AMT implementation process. In the present
work, an endeavour has been made to find the intensity of critical factors affecting the AMT using Analytical
Network Process (ANP). ANP allows interdependencies and feedback within and between clusters of factors.
ANP is the generalized form of AHP. A group of experts were consulted to establish interrelations and to
provide weightage for pairwise comparison. Outcome of the ANP is weighted comparison of the factors.
Keywords: AMT, Implementation Process, Critical factors, Analytical Network Process (ANP)
1. Introduction
With the quest of globalization, changing daily prices, increasing labour cost, increasingly sophisticated
customer, a record number of companies are looking for advanced manufacturing systems so that they can
become flexible, adaptive, responsive and innovative. Extensive literature available on AMT reveals the various
facets of AMT covered by various authors and researchers across the globe.
Advanced manufacturing technology can be defined according its application and use. According to McDermott
and Stock (1999), it is an automated production system of people, machines and tools for the planning and
control of the production process, including the procurement of raw materials, parts, components and the
shipment and service of finished products. In the same way, Small and Yasin (1997) described it as a group of
computer-based technologies, including Computer-Aided Design (CAD), robotics, Flexible Manufacturing
Systems (FMS), Automated Materials Handling Systems (AMHS), Computer Numerically Controlled (CNC)
machine.
St-Pierre et al. (2004) feel that the pressure of quality, cost and delivery are the main hurdles for any company to
remain competitive in today’s scenario. Pagell et al. (2000) & Dangayach & Deshmukh (2004) find that
advanced manufacturing technologies are looked as a tool for gaining competitive advantage for manufacturing
industries. Advanced manufacturing technology provides the manufacturing company a competitive advantage at
every level of the operation, if used in proper way. The benefits of advanced manufacturing technologies have
been realised and classified into tangible and intangible [Kaplan (1986); Choobineh (1986)].The tangible
benefits are reduced inventory, more return on equity, less cost per unit and intangible benefits are flexibility,
competitive advantage, enhanced quality and improved delivery. Dangayach & Deshmukh (2004) conducted a
survey on 120 companies and found that even, advanced manufacturing technologies are being touched by
progressive firms in developing countries.
Thomas et al. (2007) conducted a survey on 300 SME’s and classified them into three categories like large scale
companies, which have already adopted AMS, medium sized companies, which have not adopted the AMS, but
already realized its potential for competitive advantage, but don’t know how to implement it and at the last,
small scale industries which are reluctant to go for advanced manufacturing systems seeing its high cost and
complexity.
The author, during literature survey has not come across any work related to find the intensity of critical factors
pertaining to AMT implementation. In the present work, it is proposed to find the intensity of critical factors
affecting the AMT implementation process.
2. Identification of critical factors for AMT Implementation
The critical factors of AMT implementation have been taken from Goyal & Grover (2011) and are listed in
Table 1 below:
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