Thesis (M.B.A. (Investec Business School))--Rhodes University, 2006. / A dissertation submitted in partial fulfilment of the requirements of the degree of Masters of Business Administration.

DaimlerChrysler’s investment of R 1.4 billion in its East London Plant has resulted in the formation and development of an industry cluster, with DaimlerChrysler as the main industry driver. The rest of the cluster is made up of suppliers to the motor industry, as well as organisations involved in attracting and stimulating economic development in the region. The investment by DaimlerChrysler signalled the entry of DaimlerChrysler South Africa (DCSA) into global markets, supplying right-hand drive C-Class vehicles to the rest of the world. As a global player, world-class quality standards are expected of DCSA and, in turn, their suppliers. World-Class skills are therefore expected of the employees from all of the organisations within the cluster. This factor poses a challenge to South African organisations who are subjected to and challenged by the legislation that seeks to address and correct the societal imbalance of the past. The research problem addressed in this study was two-fold. The first objective was to determine whether or not there was a competitive advantage to be gained by being part of an industry cluster. The second objective was to determine how suppliers to DCSA from within the cluster developed world-class skills despite the constraints imposed upon them by South African legislation. To achieve these objectives, a theoretical study was conducted on existing conditions within clusters worldwide, as well as on methods being implemented by global organisations to develop world-class skills. An empirical study, covering the topics of competitive advantage and developing world-class skills, was developed and sent to suppliers of DCSA to test the degree of concurrence between methods implemented in the Border-Kei Motor Industry Cluster and global organisations elsewhere in the world. The results of the empirical study indicated a strong concurrence in many of the factors, and essentially only differed in instances where a cluster was more developed.

The research problem addressed in this study was to determine what makes a work team successful. To achieve this objective a theoretical model of factors promoting team effectiveness was developed, using relevant literature in which models for team effectiveness are described. The theoretical model consisted of the following factors: Individual background factors; Facilitation; Team Factors; Synergy; Team effectiveness; Organisational factors. Each factor of the model was broken down into dimensions that were then analysed using literature identified during the literature study. The theoretical model was then used to develop a questionnaire to test the degree to which managers working for automotive component manufacturers in the Port Elizabeth /Uitenhage magisterial district and falling under Chapter III of the Bargaining Council for the Motor Industry concur. The empirical results obtained indicate a strong concurrence with the theoretical model of factors promoting team effectiveness that was developed in the study. This resulted in the theoretical model being confirmed and being accepted as a model of factors promoting team effectiveness.

South African businesses are facing unforeseen opportunities and threats following the country’s remarkable political transformation that culminated in its first non-racial, democratic elections in April 1994 (Krüger, 1997: 138). The objective of this paper was to understand what core competences a South African motor vehicle assembler requires to survive this era of declining protectionism and increasing competition. It is argued in this paper that organisations that want to compete with the best in the world market needs to adopt lean manufacturing principles. This paper is concerned with the core competences of an organisation and how an organisation identifies and utilises these in order to become a lean enterprise. The qualitative research method was identified as the most appropriate for the study. Two methods of data collection were used i.e. interviews with senior and middle management and a detailed literary study on the subject. The senior management interviews were aimed at identifying what they perceived to be the core competences a motor vehicle assembler requires in order to be a world-class lean manufacturing enterprise. The literary study was the base for the understanding of core competence and lean manufacturing. Finally, a second round of interviews with middle management was conducted to obtain clarity on the perceived role of middle management in the selected organisation’s quest to be a lean manufacturing concern. This paper concludes that if an organisation wants to survive it needs to identify and assess its core competences. These competences need to be developed or discarded in the organisation’s aims to be a lean manufacturing enterprise by eliminating all forms of non-value added activity. The programmes or projects that the selected organisation embarked on were primarily driven from the top down, placing middle management in the centre with the resistance coming from the lower levels in the organisation. Middle management should be given the necessary tools to overcome the resistance and assist the company to make smooth transitions.

The Motor Industry is set in a highly competitive and dynamic global arena constantly shaped by both external and internal forces. From an organisations point of view many of the external or macro forces are largely uncontrollable. Against this backdrop, players in the South African Motor Industry need to find new methods of differentiating themselves from competitors – One manner of performing this strategy is for Motor Dealerships to understand, meet or exceed customer requirements. In this research, the literature survey revealed the concepts of Total Quality Management (TQM) and fail-safing, the meaning of superior customer service and the importance of customer loyalty and retention. Customer service excellence levels of three Williams Hunt dealerships in the Port Elizabeth – Uitenhage metropole were measured by utilizing the SERVQUAL instrument for calibrating service quality. Customer expectations and perceptions were determined by means of the empirical study which yielded a service quality “gap.” From analysis of this gap and related findings, suggested improvements were suggested as a guideline for dealerships to utilise with the aim of improving customer service levels.

Lean manufacturing has become an integral part of the global automotive industry where manufacturers strive to improve quality, reduce costs while providing customers with more variety. Organisations are implementing the Lean Production System (LPS) as a process improvement methodology to deliver their products faster, better quality and at a lower cost (Laureani & Antony, 2012). This is accomplished through the elimination of waste and continuous improvement (Kaizen). Through the effective implementation of lean principles, an organisation can realise cost competitiveness, process improvement and ultimately gain a competitive advantage. Although the theory of lean manufacturing is based on the implementation of tools, techniques and operational methods, many organisations that have implemented Lean have not reaped its full benefit. Thus, the realisation that lean manufacturing must consist of more than the summation of its operational based principles, tools and techniques. It has to be approached as a philosophy, which encompasses the entire organisation (Womack & Jones, 1996). Lean is a way of thinking and not merely the implementation of thoughts (Bhasin & Burcher, 2006). Laureani & Antony (2012) added that the fundamentals behind Lean are continuous improvement, waste elimination and employee empowerment. Lean introduction is more than the redesign of processes; the most important change must be in the knowledge of the employees (Dombrowski, Mielke & Engel, 2012). The literature clearly states that the successful implementation of a lean production system depends on more than the application of lean tools and techniques. Many authors and researchers hint that another critical factor associated with its implementation is the human aspect of the organisation. Hence, this study will examine the human related Key Success Factors (KSF‟s) required for the successful implementation of a lean system.

This research takes place in a South African multinational automotive industry, which needs to be on the forefront for being globally competitive and sustainable to remain viable in the country. A strategic initiative was embarked upon to identify talent within their staff population, through the psychometric assessment of learning potential. The objective was to identify high potential employees and provide them with the requisite training and development to meet the demands of the rapidly advancing technology. The primary purpose of this study is to investigate the usefulness of the Ability, Process of Information and Learning Battery (APIL) as a psychometric assessment tool for identifying talent, within a heterogeneous workforce. This research adopts a cross-cultural approach as it is comparative in nature and addresses the adequacy of a psychometric instrument in a multicultural context. The Employment Equity Act has transformed the landscape of the use of psychological measurement in South Africa, in that it stipulates that no psychological test that is biased against any cultural group can be used. A sample of 841 heterogeneous staff employees was assessed with three major research objectives: (a) to ensure that the instrument could stand scientific scrutiny thereby complying with the Employment Equity Act; (b) to recommend ways the organisation can identify and understand employees’ talent more holistically; and (c) to manage talent more effectively. The heterogeneous sample was divided into six homogeneous subsets for statistical analysis. This research attempted to answer the first objective through the examination of internal consistency, bias and equivalence of the APIL. Results showed good internal consistency, very good construct equivalence and low item bias, demonstrating the APIL can be applied fairly in a multicultural industrial setting. The second objective was determined by investigating whether significant difference in mean learning potential scores occur among the identified subsets in the sample. Statistical analyses provide clear trend lines indicating that sociopolitical and socioeconomic factors of advantagement and disadvantagement, age and education influence learning potential. However it is also evident that there are individuals across all subsets that demonstrate strong cognitive potential. This supports the rationale on which the APIL was developed, in that it distinguishes people with high learning potential despite the fact that there may be gaps or limitations in skill repertoire due to past disadvantagement. Recommendations to address the third objective is provided by aligning learning potential with the performance management system to provide a holistic overview of the talent composition. This will assist in the identifying of strategic training and development interventions needed at the individual, functional and organisational level, which is key for the South African automotive industry to remain competitive and viable.

The quality control of geometrical coherences and relations in modern automobile production is done by different stationary and flexible measurement systems and strategies. Furthermore, there currently exists possibilities of inline measurements and offline measurements. This project presents the basic research concerning the possibility of a flexible wireless measurement system in modern automobile production, that is able to combine the advantages of both strategies. An investigation of existing measurement techniques was done in order to find a sensor technology, which enables the wireless measurement process. The research project introduces the current location systems and positioning systems. These techniques are compared by a value benefit analysis to expose a suited technology as basis for the measurement system. As result of the value benefit anlysis, the ultrasonic technique was selected for further investigations. The ultrasonic test setup is used to analyze the accuracy of modern sensors and to verify the possibility of a project related integration. The tests are done in different conditions, in order to compare the laboratory application and the industrial application. During the test measurements different physical influencing variables and disturbances occurred. From this research project, it can be concluded that the laboratory application of the system is possible. However, the industrial application is subject to restrictions.

Retirement has different meanings for different people. Retirement represents a significant transitional period in the life cycle of an individual. The aim of the study was to explore and describe the experiences and coping resources of retirees. The researcher applied an exploratory, descriptive research design employing the mixed methods of quantitative and qualitative research to gain an in-depth understanding of the phenomenon. A non-probability purposive sampling method was used to identify participants who retired from a specific vehicle manufacturing company in Port Elizabeth. Semi-structured interviewing techniques and a questionnaire called the Coping Resources Inventory were used for data collection. The rationale for using a mixed method approach was to increase the validity of the research findings. Descriptive statistics and the framework provided by Tesch (in Creswell, 2003) were used in data analysis of quantitative and qualitative data respectively. The results of the Coping Resources Inventory indicated that the participants perceived themselves as having an average level of coping resources. The results from the semi-structured interviews reflected that participants’ retirement experiences are mainly influenced by the following three factors: (a) economic resources, (b) social relationships and (c) personal resources. Recommendations were made for future research and intervention regarding retirement planning. The researcher included suggestions for the implementation of a retirement preparation programme. Lastly the limitations and the value of the study were outlined.

M.Com. (Business Management) / Please refer to full text to view abstract