Ingeniería y Gestión Industrial

Performance Analysis of Manufacturing Industries for System Improvement

Abstract

Alie Wube Dametew and Frank Ebinger

This study is to investigate and evaluate the performance of basic metal industries, so as to know performance gaps and developing further research themes for sector improvement and changes required. Through industrial survey 86 Ethiopian basic metal sectors and literature review, were studied. Though, the study mainly focused on raw material utilization, production capacity, innovation and Technological capability, product demand and supply, import-export process, job creation and labor force and supply chain systems performances used as performance dimension on this investigations. Since, the main aim of the study is to investigated the challenges and identify the gaps of the sector that needs for further investigation and policy measures to enhance efficient and competitive metal sectors. Since, this study design to evaluate how basic metal industries were performing in their objective, role, goals and identify the areas where the action, improvement and changes required. Based on the investigation, we find that, in some extent the basic metal performance is good. Even though, the combined effects of each performance dimension results lower performing sector. This lower performance occurred due to high cost of international market, problems forging currency, logistics and public infrastructure, warehouse problems, outdated technology, system are the main constraints of the sectors. As result of this performance the overall GDP contribution of the sector is infant and only recorded on 0.4% of the five light manufacturing sectors. Finally the further research directions and theme were investigated and proposed.