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    Ensuring Competitive Advantage through Innovation Capability and Clustering in the Thai Automotive Parts Molding Industry: A SEM Approach
    (2017-03-01)
    Tiengtavaj, Sirorath
    ;
    Phimonsathienand, Thepparat
    ;
    Fongsuwan, Wanno
    Thailand hosts over 50 percent of the world's top OEM automotive parts suppliers and additionally is home to over 2,400 Tier 1-3 manufacturers and suppliers. Given the significance of these numbers and Thailand's leading ranking and contribution to the global automotive industry, research was undertaken to determine how manufacturing clusters and innovation capability effect competitive advantage as it relates to automotive production part management. Multiple objectives were established which included the study of the effects and overall influences of the various variables on competitive advantage as well as the development of a structural equation model (SEM) to define how innovation and manufacturing clustering affects the competitive advantage within the Thai automotive parts molding sector. Quantitative methods analysis was conducted on the data from 240 automotive production and components suppliers' questionnaires collected from industry managers with the research results partially obtained from the analysis by use of (PLS)-graph. Qualitative research was also obtained by use of purposive sampling from in-depth interviews from ten senior managers. The results obtained indicated that clusters and innovation capability has a significant and positive effect on competitive advantage. Thus, the findings from the research illustrate that if an organization focuses on clusters, there will be a knock-on effect within the automotive parts groups leading to the increase in innovation capability, which creates a greater competitive advantage, not only for the enterprises, but also for Thai society as well.
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    Factors affecting high performance organizations within Bangkok's Metropolitan Administration (BMA) government offices
    (2015-01-01)
    Nuchudom, Chaleampol
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    Fongsuwan, Wanno
    This research study is concerned with the analysis of the Bangkok Metropolitan Administration's (BMA) District Offices using the Linear Structural Model (LEM) to determine the variables that affect governmental organizational performance. Three hundred and forty quantitative samples were drawn from all 50 of BMA's district offices using simple random sampling (Purposive Sampling) while using Partial Least Square (PLS-Graph) software to apply Structural Equation Modeling (SEM) analysis. The research found that key factors determining BMA's strategy include government marketing and government strategic marketing as well as transformational leadership. The first element, governmental marketing factors had a direct and positive influence on BMA's performance. The second element, government strategic marketing included Customer Relations Management (CRM) as well as Corporate Social Responsibility (CSR) while a third, transformational leadership was shown to have a positive although indirect effect through variables in BMA's organizational strategy. These factors were important in achieving the goals of satisfying the constituency and optimizing public sector resources. The qualitative findings of 12 key executives confirmed the quantitative findings that transformational leadership within Bangkok district offices is important in the management of public sector organizations. A high performance organization must embrace a strategy which keeps pace with the flow of change by modernizing public administration processes enabling an organization to achieve their goals along with the agility and efficiency to meet strategic goals.
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    Environmental impact factors on Thai biomass power projects: A structural equation model
    (2015-01-01)
    Aueatchasai, Somboon
    ;
    Fongsuwan, Wanno
    This study discusses factors, relating to the environmental impact of biomass power generation within Thailand and the broader regional ASEAN community. While there are ambitious government targets to increase the share of renewable energy in many countries, it is increasingly recognized that social acceptance may be a constraining factor in achieving this target. This study introduces three dimensions of environmental impact namely; public perception, government policy and community participation. Thailand's economic growth is in many respects determined by power generation with electricity demand moving hand-in-hand with rapidly expanding economic growth. With the doubling of Thailand's population since the 1960s, the necessity for rural electricity coverage has also increased dramatically. This, however, is at times difficult and expensive to achieve in these remote rural locations with their sparsely populated areas. However, power must be available nationwide and when areas are not appropriate for a large-scale power plant investment, smaller and less expensive local power plants are required. In these rural cases, biomass power plants can be considered as one alternative. Since, Thailand outside the main metropolitan areas is still mostly rural and agricultural, there is a ready source of raw material for biomass conversion. This study undertook the modeling and analysis of Thailand's biomass industry using both quantitative and qualitative research methods. Results showed from the hypotheses that public perception, government policy and community participation had a significant and direct contribution on the overall environmental impact of the local community.
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    A structural equation model of factors that affect the ASEAN competitive advantage of the Thai automotive parts industry
    (2015-01-01)
    Chamsuk, Wawmayura
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    Phimonsathien, T.
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    Fongsuwan, Wanno
    Thailand is considered the heart of Asia and a gateway to the most densely-populated countries in the world included China and India. Thailand is also part of the 600 million people ASEAN Economic Community which is considered the ninth largest global economy representing $2 trillion USD. Under this community's free trade framework with a projected average output increase of 10% annually, Thailand's 'Detroit of Asia' is a crucial component of any future growth. As such, the researchers have therefore developed a structural equation model of influences on research and development (R and D) and technological capabilities affecting the competitive advantage of the Thai automotive parts industry. This sector in 2013 was the 3rd largest part of the economy contributing 12% of GDP. This study clearly shows that in developing countries technology plays a key role in competitive advantage and even more so to Thailand which faces intense competition from both regional and other global players. Therefore, it is crucial that organizations focus on innovative research and development capabilities which need to collaborate, support, fund and incentivize players, both domestic and foreign, to upgrade Thailand's innovative capacity and fill in gaps in its cluster environment going forward. Thailand's recognized success as a global automotive hub is a classic case of a well-executed industrial plan but it must not rest on its laurels and continue moving forward with innovation combined with R and D capability.
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    Determinates of foreign real estate investment within Thailand's special autonomous systems (SAS) of Bangkok and Pattaya city
    (2015-01-01)
    Teeranantawanich, Natthapat
    ;
    Fongsuwan, Wanno
    Thailand's real estate laws can at times be difficult to navigate with Bangkok and Battaya's special legal status for foreign real estate investment even more so. These special autonomous systems, however thrive with both commercial and residential real estate transactions with the Board of Investment and Industrial Estates playing a key role in Thailand's growth. In 2015, Battaya alone is projected to have 10 million international and domestic visitors contributing $3.26 billion to the local economy. Japan currently leads international investing but with southeast nation economic integration in 2015, other community members will take a bigger role. As such, the researchers undertook a study to explore the various factors affecting the reasons for foreign real estate holdings. These included government policy, the economy and investment factors and social and environmental conditions. Quantitative survey input came from 301 parents of international school students, expat groups and condominium owners. Qualitative data was secured from 10 senior executives involved in real estate transactions as well as individuals from Thailand's Board of Investment promotion agency. The study revealed that due to limited ability of foreigners to hold property, other mechanisms such as nominees, Thai nationals and wives were commonly used. Additionally, foreigners were sensitive to the 6.3% land transfer tax which they considered quite high. Overall government policy, internal economic factors and the environment (flooding, etc.) and infrastructure (sea and airports, roads, power, etc.) played key roles in foreign investment decisions.
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    Thailand's provincial electricity authority (PEA): A structural equation model of factors determining customer satisfaction
    (2015-01-01)
    Choaknumkij, Karn
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    Fongsuwan, Wanno
    Under the Association of Southeast Asian Nations Economic Community Blueprint 2015, energy security was stated as a top priority. The 10 member community is projected to have a combined gross domestic product of US$ 1.9 trillion by 2020, making this economic block the eighth-largest economy worldwide. With the community's energy consumption rising at a projected 4.4% per year, Thailand with its 67 million people is a key player in both terms of power production, consumption and distribution and at the center of this is the Provisional Electricity Authority which has expanded electricity supply to 73 Thai provinces, covering 510,000 km<sup>2</sup> while servicing 99% of the country's total area and villages. Given the critical importance of the PEA to both Thailand and the region, the researchers undertook a study to examine the variables affecting this organization's capability to serve this vital regional sector. Examining both service quality and electronic customer management systems via structural equation modeling, the study determined that there was a direct effect on customer satisfaction by these factors in power generation and distribution within the Kingdom. Given the rising importance of global energy "Smart grid" systems, the study furthermore opened up this area as follow-on to the present research.
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    Thailand's provincial electricity authority queuing performance management system
    (2015-01-01)
    Siripongdee, Surapong
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    Fongsuwan, Wanno
    This study was conducted on Thailand's Provincial Electricity Authority using Structural Equation Modeling on the queuing performance management. This state enterprise is vital to the security and stability of Thailand and is responsible for organizing production, delivery and distribution of electricity being delivered to the public from 73 provincial sales offices out of a total of 77. Research methodologies used within this study include both quantitative and qualitative research. Quantitative is further qualified in this research essay from the survey given to 344 power generation and distribution executives. The Partial Least Square (PLS) technique, a form of structural equation modeling, is additionally used due to it being component-based rather than covariance-based. Additionally, qualitative research is supported by input from questionnaires from 10 key Thai government electricity officials utilizing the purposive sampling approach. The results showed that Competency and Organizational Management had a direct and immediate effect on innovation management and innovation management had a direct and positive effect on queuing management performance. A fact recognized by a hypothesis significance p<0.05, respectively, with the results of qualitative research being consistent with the results of quantitative research. The findings from this study concluded that transformational leadership affects queuing management performance within the state electricity agency and is required by service staff to effectively and efficiently implement innovation management leading to organizational changes.
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    Determinants of modern management of private vocational colleges: A structural equation model
    (2015-01-01)
    Phusalux, Jongdee
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    Buatama, Urasa
    ;
    Fongsuwan, Wanno
    The study was focused on finding ways to manage Thailand's private vocational colleges so that they might both survive and thrive under a highly competitive environment. Currently, vocational education in Thailand is a highly competitive business enterprise with competition coming from government schools, international schools and other private sector schools which accounts for almost 37% of t he total educational system. The researchers therefore undertook the development and validation of t he effective management construct using confirmatory factor analysis of strategic management and innovation management on Thai private vocational colleges. A multi-stage random sampling was used to collect the sample from 614 Thai college administrators. The questionnaire was employed as the instrument for data collecting and PLS Graph was used for model verification. Results illustrated from the Structural Equation Modeling that confirmatory factors of innovation management and strategic management had both a direct and indirect effect on administrator effective management. Trained industrial staffs are now in short supply and this will only be exacerbated with the upcoming 2015 integration of 10 Southeast Asia nations. It is therefore, paramount that vocational institutions, both private and public, develop strategic vision, implement technological innovation such as 'flipped classrooms' while simultaneously developing efficient and effective communication channels with industry and state agencies that better serves the nearly 1 million Thai vocational school students.
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    ASEAN and thai rubber industry labor mobility determinants: A structural equation model
    (2015-01-01)
    Nobnorb, Preecha
    ;
    Fongsuwan, Wanno
    The ASEAN rubber industry is in a state of crisis with prices in a continuing three year downward spiral but over the horizon is the 2015 AEC integration date promising closer integration, reduction of tariffs and the freer mobility of labor. This research therefore undertook a structural equation model to study and identify the determinants of ASEAN and Thai labor mobility of which 1 million families or more than 6 million people are dependent on rubber production while another 4.8 million households or 18 million people are dependent on rice farming which are both highly intensive foreign labor endeavors. The study revealed that the vast majority of Thai expatriates who choose foreign work have a very positive experience who state that foreign work should be supported by the government. For the structural equation model, 340 rubber industry management staff were queried using both quantitative and qualitative research tools including PLS-Graph software for qualitative analysis of in-depth interviews from 10 senior level executives involved in corporate policy. From the research it was determined that skill levels have a direct and positive influence on labor mobility and the factors that have the maximum overall positive influence are migration pull and push factors. Government labor policies include foreign worker and labor law policies which have both a direct and indirect effect on labor mobility. Although the rubber industry is in an extended period of falling prices, new applications and sectors are being explored, such as rubber use in road construction.
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    ASEAN Biomass energy a Thai environmental impact analysis by use of a Structural Equation Model (SEM)
    (2014-01-01)
    Aueatchasai, Somboon
    ;
    Fongsuwan, Wanno
    Thailand's economic growth is in many respects determined by power generation with the demand for electricity moving hand-in-hand with rapidly expanding economic growth. With the doubling of Thailand's population since the 1960s, the necessity for rural electricity coverage has also increased dramatically. This however is at times difficult and expensive to achieve in these remote rural locations with their sparsely populated areas. However, power must be available nationwide and when areas are not appropriate for a large-scale power plant investment, smaller and less expensive local power plants need to be chosen. In these rural cases, biomass power plants can be considered as one alternative. Since, Thailand outside the main metropolitan areas is still mostly rural and agricultural, there is a ready source of raw material for biomass power plant conversion. The purpose of this research therefore was to determine the environmental impact of certain variables on the environmental impact on the local community. This study concerns the modeling and analysis of Thailand's biomass power industry using both quantitative and qualitative research methods. Quantitative data was obtained using stratified sampling from 323 biomass power community members and qualitative data from in-depth research of 10 community leaders using simple random sampling while using Partial Least Square (PLS-Graph) software to apply Structural Equations Modeling (SEM) analysis. Results showed from the hypotheses that government policy and community participation had a significant and direct contribution on the overall environmental impact of t he local community.