Training and proprietary equipment : the bow and the arrow to shoot the target

This study aims to investigate the relationship between proprietary equipment and anticipation of new technologies in enhancing product innovativeness and competitive performance.It used survey data collected in the fourth round of the High-Performance Manufacturing project (HPM), which comprised 270 plants in 15 countries across three industries. The relationships proposed in this study were analyzed through structural equation modeling, confirmatory factor analysis and endogeneity tests.Results show that proprietary equipment alone does not directly impact performance but can still serve as as a source of advantage since the proper mechanisms are implemented.The theoretical underpinnings of the relationship among proprietary equipment, anticipation of new technologies and training provide a strong foundation for a better understanding of the integration of the structural and infrastructural elements of operations strategy and their benefits for competitive performance.Results show how operations managers can capitalize on proprietary equipment to anticipate new technologies by developing training routines to absorb and apply new knowledge in the plant.This research contributes to the competitiveness of manufacturing firms by showing how knowledge can be created and disseminated in their operations to develop better-prepared employees.This study advances the literature on world-class manufacturing by demonstrating that proprietary equipment per se has no direct impact on product performance and innovativeness, contrary to what previous literature has demonstrated.