Abstract
M.Tech. (Operations Management)
The South African manufacturing sector is considered the main driver of economic growth, but is falling behind in adopting and adequately using information and communication technology (ICT) to improve productivity and competitiveness. This is creating a constraint that hinders the manufacturing sector, adversely affecting its ability to access the global market and produce high value-added goods, and also to compete globally. Thus, the main objective of this dissertation is to gain an in-depth understanding of the impact of ICT on service design and operations to address barriers to manufacturing sector growth and to improve productivity and competitiveness. This study proposes an ICT-based service design model to increase productivity and competitiveness in the South African manufacturing sectors. It argues that the challenges faced can be addressed and that some of the solutions lie in the integration of ICT into service design and operations processes. The research adopted an interpretive approach through qualitative methods and, was carried out as a single case study using ArcelorMittal South Africa for which a purposive sampling technique was considered appropriate. Qualitative data were collected through semi-structured interviews, and tape recorded and analysed through descriptive procedures. The findings suggest that ICT diffuses rapidly, creating opportunities and challenges for manufacturing companies. In addition it was found out that the adoption and adequate use of ICT depends on the implementation phase. This is when most challenges and impacts are experienced: for example, technological capability, technical skills, resources and ICT infrastructure capabilities. In addition, the findings suggest that a more educated workforce possesses the capability to acquire the necessary skills, in the form of self-education to overcome any challenges encountered. Evidence also shows that companies are facing challenges in relation to the selection and integration of the right technologies due to lack of ICT expertise. Therefore, this research proposes an ICT-based service design model to increase productivity and global competitiveness in the manufacturing sectors in South Africa.