Impact of Operations Management Practices On Firm Performance: An Empirical Analysis at Vietnam's Mechanical Firms.

This paper examines the impact of Operations Management (OM) practices on firm performance in Vietnam's mechanical enterprises, since OM practices, such as Just-in-time (JIT), quality management (QM) and infrastructures practices are seen as procedures or solutions to improve the efficiency of manufacturing firms. All questions were answered using a 5-point Likert scale. The data collected was analyzed using SPSS 20.0. The statistical methods used are descriptive statistics, reliability analysis and regression analysis for hypothesis testing. The findings present, firstly, the extent of operations management practices implemented in Vietnam's mechanical enterprises is fairly high; secondly, the impact of these practices on firm performance was positive. Equipment layout and supplier quality management are positively and significantly related to financial performance; whereas equipment layout, JIT delivery by supplier, Kanban, cleanliness and organization, and information and feedback are positively and significantly related to non-financial performance. This result suggests to mechanical enterprises in Vietnam that they should employ these practices to maintain and improve performance as well as to gain competitive advantages. [ABSTRACT FROM AUTHOR]