Please use this identifier to cite or link to this item: https://scholarbank.nus.edu.sg/handle/10635/170445
Title: AN ACE ANALYSIS OF MRP IMPLEMENTATION IN SINGAPORE
Authors: LIM HOON ENG
Issue Date: 1994
Citation: LIM HOON ENG (1994). AN ACE ANALYSIS OF MRP IMPLEMENTATION IN SINGAPORE. ScholarBank@NUS Repository.
Abstract: The increasing global competition and growing affluence of the consumer markets have presented new challenges to manufacturing companies in Singapore. Today, manufacturers not only have to offer quality and reliable products to consumers, but also compete on low costs in order to thrive in such a competitive environment. In Singapore, an increasingly popular means through which manufacturing companies have responded to such environmental forces is the adoption of MRP systems to improve their manufacturing processes. A primary interest to MRP managers and implementers is the critical success variables for MRP implementation. Although the MRP implementation literature is quite extensive, there has been no attempt so far to study the interaction effects between critical variables for successful MRP implementation. All previous studies have primarily focused on the main effects only. This study represents the first to include interaction effects within the theoretical framework of MRP implementation. In addition, the novel use of Alternating Conditional Expectations (ACE), an advanced statistical modeling technique that increases the model fit by approximating the optimal transformations for the independent and dependent variables, results in a more accurate regression model. The findings indicated that there are significant interaction effects between the variables. These interaction variables affected success in a nonlinear fashion, suggesting the presence of fundamental nonlinear relationship between success and the significant independent variables. The findings support the contention that data accuracy is a prerequisite to successful MRP implementation and further suggest that the importance associated with data accuracy increases with the size of the company. The findings also suggest that when production problems degenerate to a critical level, users could still derive success by resorting to info.ma) systems to accomplish their tasks. Proper training and education in the use of the MRP system is more important in larger companies than in smaller companies. Lastly, the findings suggest that as long as either top management or production management exhibits slightly less than complete support for the MRP implementation effort, the effort will be far from successful.
URI: https://scholarbank.nus.edu.sg/handle/10635/170445
Appears in Collections:Bachelor's Theses

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