Search results

This paper aims to propose a framework to assess the readiness of Brazilian small and medium service companies to use Industry 4.0 technologies to improve the efficiency of processes, reinforcing the idea that evaluating and planning the implementation is as important as the use, without the need for big investments.

The paper presents two applications on the readiness level of small and medium enterprises, with support from researchers and stakeholders. The literature seems to focus more on the maturity level than on providing a sequence of operational steps or decision support. It would lead to better implementation of I4.0 technologies in assessing the company’s readiness level to adopt them.

The authors analyze the relevant case studies in Brazilian small and medium service enterprises based on the proposed framework to investigate the main challenges and hardships for Industry 4.0 readiness in the current scenario and outline directions to increase their readiness for adopting key Industry 4.0 technologies. Moreover, the case studies consolidate a fundamental advantage to small and medium enterprise service: a guided implementation provides more knowledge about products, processes and I4.0 technologies, even in unsuccessful case studies.

The need was identified when studying market trends with the digital transformation provided by Industry 4.0 technologies and, in parallel, the difficulties of small and medium service companies in adapting to this new scenario. Through the proposed framework, an action plan can be drawn up with well-defined objectives, goals and activities so that the service enterprises can increase their Industry 4.0 readiness level within three months.

A relevant aspect is that this study is based on feedback from stakeholders and managers, which makes the analyses and conclusions from empirical points of view without relevant theoretical knowledge of the relationship between I4.0 technologies. Therefore, the proposed framework made it possible to diagnose the organization’s external and internal environments, allowing the ideal condition and the current situation of the companies to be compared, as argued in the Industry 4.0 readiness literature review.

The purpose of this paper is to analyze the innovation process of organizations representing the main sectors of Brazilian economic activity.

The literature review focuses on analyzing the innovation process characteristics regarding the innovation types. The authors carried out interviews with executives and managers in charge of innovation at the leading large companies in the respective sectors analyzed. The data analysis of this qualitative research was structured in three steps. The first step is the analysis of data collected for encoding, the second step, the summarization of the common points presented by the companies in each sector and, finally, the interpretation of these data, aided by triangulation from secondary data that support the analysis of the collected primary data.

The main contribution of this study is to characterize the innovation process of organizations representing the main sectors of the Brazilian economy, with a classification regarding the sectoral innovation standard.

The authors’ intent is that the paper can contribute with a comparative analysis among companies of the same sector and, subsequently, among companies of the different surveyed sectors. Thus, the characterization aims to present the companies’ innovation process and the comparative analysis aims to verify the innovation sectoral patterns. In addition, as implications for management practice, some strategies for better knowledge management in the organization are suggested for each type of innovation.

The main theoretical contribution focuses on the development of a conceptual model that structures the analyzed variables of the constructs “innovation process” and “innovation sectoral patterns”, allowing not only the characterization but also the comparative analysis of the representative organizations present in the sample.

The purpose of this paper is to investigate the effects of different kinds of merger and acquisitions (M&As) on domestic industries’ productivity in the form of technological change (TC) and efficiency change (EC) in the Brazilian extracting and processing industries.

Panel data analysis is employed to test the impact of different kinds of M&As spillovers on each component of productivity growth. The database contains data collected from 2007 to 2011 referring to the Brazilian industries. The estimation procedure involves two stages. The first stage decomposes TFP growth into EC and TC using a input-based Malmquist Productivity Index. In the second step, EC and TC indexes are used interchangeably as a dependent variable in panel data regressions on the M&As-spillover variables.

The results indicate a positive relationship between TC and M&As made by Brazilian majority capital acquiring foreign-held capital from a company established abroad, which is consistent with reverse spillover theory. They also suggest an inverse relationship between TC and M&A operations made by companies with foreign majority capital acquiring both Brazilian-held capital and foreign-held capital from a company established in Brazil. Only the sectors that are capable of increasing their productivity via TC are able to benefit from technology transfer.

This study is limited by the extent of data aggregation applied, which did not identify M&A transaction effects at the firm level. The available data do not allow isolating the effects of M&A processes on industry performance, given the co-occurrence of several factors that affect the performance of the industry. The study results imply that public managers must remain cognizant of the critical need to preserve and maximize competition between foreign and domestic firms while promoting a competitive environment that encourages the development of domestic technological capacities and skilled human capital.

M&A processes raise important issues with respect to organizational decisions and industrial policy. Studies of M&A transactions may be of fundamental importance to the expansion of healthy companies as they evolve through successive stages of growth and development. Liberalizing regulations to promote M&A transactions, and corporate market control is only justified if it promotes social welfare and economic development. Understanding the complexity and dynamics of this phenomenon and appreciating the heterogeneity of possible outcomes can lead to more relevant discussion regarding their contributions.

Results found in this study indicate the need for greater efforts to understand how M&A operations, especially those associated to foreign-held capital, interact with local owned enterprises in developing economies and what benefits can be achieved through public policy. M&A operations need to be well evaluated by considering the kinds and intensities of externalities they might generate, whether and how local firms can potentially internalize those gains, building up absorptive capacities in order to achieve productivity spillover gains.

This study not only offers a more accurate understanding of the diverse nature and effects of M&A operations, but also stimulates a more relevant public policy discussion related to both foreign direct investment and OFDI incentives in Brazil. The growing economic importance of the activities of developing emerging countries’ multinational enterprises is making governments more inclined to re-evaluate their political strategies. Indeed, governments are beginning to recognize that markets need to be created, monitored and nurtured.