MODELING SUCCESSFUL TECHNOLOGY IMPLEMENTATION

The design by a firm to invest in advanced manufacturing technology is based on the expectations of at least a market return on the investment within the competitive marketplace. In this paper, a conceptual model is proposed describing the sequential relationship between new technology investment and profitability. The model is based on an empirical study of Canadian manufacturing companies undertaken recently. In a broader sense, the investment and implementation of new technology will affect many factors that can be captured under three general categories: (i) technical, (ii) human organizational, and (iii) strategic. Each of these three categories contains a a number of components which could, in turn, affect profitability sources independently in combination with components in one of the other categories.