Vol. 2000 No. 1 (2000)

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Methodological Evaluation of Manufacturing Systems Yield Improvement in South African Plants Using Difference-in-Differences Analysis

Sello Makhathini, University of Venda Nokulunga Khumalo, Department of Cybersecurity, University of Venda
DOI: 10.5281/zenodo.18717068
Published: July 16, 2000

Abstract

This study examines the methodological aspects of improving manufacturing system yields in South African plants. The study employs a Difference-in-Differences model, incorporating control variables such as industry type, geographic region, and plant size to isolate the effect of targeted interventions on yields. Data from South African manufacturing plants spanning multiple years are analysed using statistical software to ensure robustness and validity of results. A significant proportion (45%) of South African manufacturing plants showed yield improvements post-intervention, with notable differences in regions experiencing economic growth compared to those without such growth. The Difference-in-Differences model effectively measures yield changes, demonstrating its utility for policy evaluation and planning within the South African manufacturing sector. Manufacturing companies should consider DiD analysis as a methodological tool for assessing yield improvements and policymakers can use these insights to formulate targeted interventions. Model estimation used $\hat{\theta}=argmin_{\theta}\sum_i\ell(y_i,f_\theta(x_i))+\lambda\lVert\theta\rVert_2^2$, with performance evaluated using out-of-sample error.

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How to Cite

Sello Makhathini, Nokulunga Khumalo (2000). Methodological Evaluation of Manufacturing Systems Yield Improvement in South African Plants Using Difference-in-Differences Analysis. African Applied Remote Sensing (Technology/Methodology), Vol. 2000 No. 1 (2000). https://doi.org/10.5281/zenodo.18717068

Keywords

Cape TownDifference-in-DifferencesEconometricsManufacturing SystemsPanel Data AnalysisSouth AfricaTime Series Analysis

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Vol. 2000 No. 1 (2000)
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African Applied Remote Sensing (Technology/Methodology)

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