Advanced manufacturing technology, quality of product and level of performance: empirical evidence from Chongqing

To be successful in this globally competitive and rapid changing environment, organization must formulate strategic plans that are consistent with their investment in and use of manufacturing technology. This study proposes that organizations invest in advanced manufacturing technology will have improved quality of product and better performance than those do not. In order to verify these arguments, the survey based on questionnaires was widely employed in this paper. Chongqing manufacturing industry was selected to be the population of samples. Empirical results with the help of structural equation modeling and its tool - AMOS show that the relationships between a firm´s practices in the areas of AMT and quality are statistically significant and positive. Also, high level of quality leads to high level of performance.