Operationalising Ambidexterity: The Role of "Better" Management Practices in High-Variety, Low-Volume Manufacturing

Abstract

Innovation and change are fundamental to the long-term sustainability of any organisation. Whilst it is important to improve operating efficiency in the bid to become more cost competitive, there is still an underlying need to venture out of the norm and explore new opportunities. Though a great deal of research has emerged regarding the achievement of ambidexterity, there remains a gap in understanding how this is actually operationalised in organisations. This paper takes aim at this problem in the context of SME manufacturers that produce a high variety of customised products at low volumes (HVLV). Under such circumstances, ambidexterity appears intuitively easier to achieve given the manufacturer is designed to be as flexible as possible in the first place-though, it would seem this may be to their detriment. Based on a literature review and drawing from ambidexterity and organisational theory, our contribution is geared towards investigating the underlying mechanisms that make HVLV manufacturers ambidextrous in the first place. In particular, we concern ourselves with exploring how ambidexterity is enacted through what are deemed "better" management practices that result in innovative organisations. By better understanding the more latent characteristics of HVLV manufacturers, we shed some light on the interactions between external and internal influences affecting the impact of ambidexterity under such an environment. Further theoretical and managerial implications are discussed.

Deploying ambidexterity through better management practices: an investigation based on high-variety, low-volume manufacturing

“…Finally, this paper also substantiates the conceptual arguments presented in Katic et al (2019) concerning the potential for BMP to help HVLV manufacturers in deploying ambidexterity. Building off the apparent bias towards exploitation in HVLV manufacturing literature (Katic and Agarwal, 2018), we extend these contributions by empirically demonstrating the dual nature of capability investments in both ambidexterity and BMP towards both exploratory (process innovation) and exploitative (operational flexibility) performance outcomes.…”

Carving out New Business Models in a Small Company through Contextual Ambidexterity: The Case of a Sustainable Company

“…This is relevant because there is also a gap in the literature about the key elements regarding the BMI process [26]. There are few studies dealing with ambidexterity processes for BMI [21], and an operational approach on how can SMEs perform it not clear in the literature. This is in line with recent studies that do highlight the importance of ambidexterity for the innovativeness of SMEs [22].…”

“…Organizational ambidexterity has also been often highlighted as a mechanism to attain sustainability [19,20]. However, this is another concept that is difficult to implement [21]. Again, in the context of SMEs, it becomes an even more difficult task [12], even though, as suggested by recent studies, SMEs could benefit from being ambidextrous and should take action in this direction [22].It is observed that, although BMI and ambidexterity are important mechanisms for achieving sustainability, the connection between both concepts has received limited attention in the literature [23].…”

Performance measurement indicators influential to the espousal of cyber-physical systems for facilities management – a Delphi approach

“…However, the performance measurement process can serve other functions within the ambit of the control process. Katic and Bevanda (2019) stated that aside from the provision of insights, performance measurement might clarify the objectives of the organisation's management to the lower levels of the organisations. Looy and Shafagatova (2016) outlined the fundamentals of performance measurement as alignment of measures of performance with adopted strategies of the organisation; measures in sub-unit aggregating into wide measures of the organisation; measurement regime commitment; performance having effect from measurement; and reliability of measures.…”