RESEARCH PROPOSAL

Technological advancement alone won’t give the

factory a competitive edge

Name : Pubudu RuhunageBatch :

ID Number : ##########V
Instructor : Dr. R U Kuruppu

Bachelor of Applied Science (Textile Technology)

RMIT University, Australia
1. Title: Technological advancement alone won’t give the factory a competitive
edge

2. Introduction

Phase-out of the Multi Fiber Arrangement (MFA) has opened up the Sri Lankan
garment industry into competitive global apparel industry. Therefore, to compete
in the competitive global apparel industry, local manufacturer has to armored in
providing competitive price, high quality products & on-time delivery.
(Kuruppu,2006,P.200) These factors are mandatory, albeit fundamental rules to
any local apparel manufacturer to stay competitive. In order to provide
competitive price & high quality products, most manufacturers have faith on
implementation of high technology.
Michael E Porter said, ‘It is firms & not nations that actually compete for market
share’ (Porter,M.E,Competitive advantages of nations, The Free Press,New
York,1985) Survival & competitiveness of the apparel manufacturer as for
Dr.Kuruppu is ‘Survival of the fittest’ (Kuruppu,2006,P.200) Therefore,
effectiveness of implementing high technology is worthwhile, mainly from the
perspective of factory per se. And of course, there must be prevailing other factors
that would give competitive edge to the factory.

3. Aim

Study the effectiveness of implementing high technology & other means to have
competitive edge in the factory.

4. Objectives

 Study the effectiveness of implemented high technology equipment in the

factory
 Investigate barriers associated with the technology
 Investigate other factors which essential to be competitive in the market

5. Justification

Even though Sri Lankan garment manufacturers are boasting about high skill that
their employees posses,(LMD,2006,MAS Intimates Tribe,13,Pg.165) Sri Lankan
garment industry as a whole, suffer huge deficit of labour. Therefore, as a
manufacturer, implementation of technology to reduce employee heads in the
factory would be one of the survival strategy to survive in Sri Lanka. Of course,
technology increases the efficiency & maintain the quality standard of the product
(Kuruppu,2006,P.202) Even though, modern technology provide such advantages,
 manufacturer has to invest huge amount of capitol on implementation of
technology. And then, manufacturer has to train employees & recruit competent
employees. Furthermore, utilization of high tech machineries consume energy.
Unfortunately, Sri Lankan is having the highest energy rates in the South Asia
region. Therefore, I believe, investigating in effectiveness of implementing
modern technology & other means to have competitive advantage is, appropriate
in contemporary environment.

6. Problem

What are the factors which give competitive advantage other than modern high
technology?

7. Method

 Select 3 large scale factories. All the factories should have more than 400
machines.
 3 factories then sorted down according to the sophisticated technology which
factory has implemented
 Each factory then study in terms of production, efficiency, total labour &
expenditure
 All sample sizes decided on American Military Standard (MLT-STD 105)
 Information gathered by collecting numerical data, questionnaire, interviewing
factory employees, statistics used by Central Bank, Census Department &
other relevant authorities (BOI, EDB, JAAF...etc)
 Select middle scale factory, which has machines between 200-400
 Asses the technology involved in the factory

Results of data gathering1

Parameter A B C
Production (‘000) 160 148 62
Efficiency % 70 59 38
Total Labour (‘000) 1.4 2.0 1.1
Expenditure (Rs ‘000) 220 125 36

1
Kuruppu,R.U,Chapter4,Page 204,Facets of the Clothing Industry of Sri Lanka
2006
8. Limitations

 3 factories been selected to study in depth & get contrasting numeric to each
other
 To get analytical picture by choosing in fields of production, efficiency, total
labour & expenditure
 One medium scale factory is selected to get the significance in non-
technological factory & compare
 Statistics of the Census Department, Central Bank & other relevant authorities
will be used when necessary

9. References

1. Kuruppu,R.U, Facets of Clothing Industry of Sri Lanka, Modern Book

Company: Nugegoda,2006
2. Porter,M.E, Competitive Advantage if nations, The Free Press,New York,1985
3. LMD,2006,MAS Intimates Tribe,13,Pg. 165
4. The Charted marketer,2005, The global & local apparel industry: from the past
to the future,3,Pg 40-44