The impact of smart manufacturing on the business agility of SMEs in an emerging economy

Purpose The purpose of this research is to empirically investigate the connection between smart manufacturing (SM) and business agility (BA) within manufacturing Small and Medium Enterprise (SMEs), along with the moderating effects of marketing analytics (MA) and the Internet of Things (IoT). Design/methodology/approach In this research, a survey methodology was employed to gather data from 244 SMEs in the manufacturing sector located in the Eastern Region of Ghana, all of which were registered with the Ghana Enterprise Agency. Through the application of structural equation modelling (SEM) and path analysis, the study investigated the moderating influences of MA and the IoT on the relationship between SM and the BA of manufacturing SMEs. Findings The findings of this research indicate that the BA of SMEs in the manufacturing sector is positively and significantly influenced by SM practices. Furthermore, the study reveals that MA and the IoT play a substantial and beneficial role in moderating the relationship between SM and the BA of manufacturing SMEs. Originality/value The findings of the present study provide strong support for the Technology-Organization-Environment (TOE) framework and the theory of dynamic capabilities. Consequently, this study reinforces the concept that, especially within the framework of an emerging economy, manufacturing SMEs ought to consider SM, the IoT, and MA as essential strategic capabilities to enhance their BA.