Search results
1 – 10 of over 1000Kasra Ferdows and Fritz Thurnheer
The purpose of this paper is to introduce the notion of fitness in production as something different from leanness and show that building fitness puts a factory on a course of…
Abstract
Purpose
The purpose of this paper is to introduce the notion of fitness in production as something different from leanness and show that building fitness puts a factory on a course of developing cumulative capabilities and improving its ability to respond to changing market and business conditions.
Design/methodology/approach
The paper examines the process of design, launch, and management of a fitness program in 42 factories of the Hydro Aluminum Extrusion Group on five continents between 1986 and 2001. The design was based on the “sandcone model” proposed by Ferdows and DeMeyer but the sequence of capabilities was modified to improve safety, reduce process variability, codify and share tacit production know‐how, improve responsiveness, and improve labor and machine efficiency.
Findings
Most factories showed improvements higher than industry average in these capabilities during the 15 years. Moreover, they improved the capabilities listed earlier in the above sequence faster than those listed later, indicating that they were becoming more fit.
Research limitations/implications
Observations were in only one company and industry, which limits general applicability of the model. However, measurements were taken over a relatively long period, factories were spread on five continents, and the authors had access to the actual data during the 15 years, which together provided a unique opportunity to gain deep insights from this case. Future research should test the applicability of the model in other industries and companies.
Practical implications
A fitness regimen provides a roadmap for improving core capabilities in a factory. It is different from building leanness. Fitness helps the factory become leaner, but the opposite is not always true. A factory can become too lean but never too fit.
Originality/value
This paper is the first, to the authors' knowledge, to introduce the notion of fitness in production in the literature. Results observed in this case suggest that a better understanding of how factories become fitter provides insights into some of the deeply ingrained practices of superior manufacturers, especially those that stay competitive over long periods.
Details
Keywords
George Onofrei, Brian Fynes, Hung Nguyen and Amir Hossein Azadnia
The purpose of this study is to investigate the relationship between investments in quality and lean practices, and their impact on factory fitness. Using concepts originating in…
Abstract
Purpose
The purpose of this study is to investigate the relationship between investments in quality and lean practices, and their impact on factory fitness. Using concepts originating in the theory of swift even flow, this study asserts that manufacturers, in order to improve their production swiftness and evenness, must leverage the potential synergetic effects between quality and lean practices.
Design/methodology/approach
This research uses data from the Global Manufacturing Research Group (GMRG) survey project (with data collected from 922 manufacturing plants, across 18 countries). The constructs and measurement model were assessed using confirmatory factor analysis (CFA) and the hypotheses were tested using ordinary least square (OLS) models.
Findings
This study highlights that both investments in quality and lean practices have direct impact factory fitness. The results provide insights into the efficacy of the investments in manufacturing practices and their role in augmenting the operational performance. The investments in quality practices were found to enhance the efficacy of investments in lean practices, which in turn impact the factory fitness.
Practical implications
From a practical perspective, the study informs managers on how to leverage investment in quality practices to enhance the impact of lean practice on performance. The results provide empirical evidence to support management decision-making concerning the development of competences in quality and lean practices, which may create competitive advantage.
Originality/value
This study contributes to the quality and lean literature and provides empirical evidence of the synergetic effects between investments in quality and lean practices. The analysis offers a greater understanding of the mechanisms that can be used to maximise the impact of investments in lean practices, from a global perspective. The findings are important to the advancement of theory in operations management, as it integrates three research streams: quality practices, lean practices and swift even flow research.
Details
Keywords
Alex Hill, Richard Cuthbertson, Benjamin Laker and Steve Brown
The purpose of this paper is to present 13 propositions about how internal strategic fit (often referred to as fit) impacts the business performance of low cost and differentiated…
Abstract
Purpose
The purpose of this paper is to present 13 propositions about how internal strategic fit (often referred to as fit) impacts the business performance of low cost and differentiated services. It then uses these relationships to develop two “fitness ladder” frameworks to help practitioners understand how to improve fit given their business strategy (low cost or differentiation) and performance objectives (operational, financial or competitiveness).
Design/methodology/approach
In total, 11 strategic business units were studied that perform differently and provide a range of low cost and differentiated services to understand how changes in internal strategic fit impacted business performance over a 7 year period.
Findings
The findings suggest aligning systems with market needs does not improve performance. Instead, firms serving low cost markets should first focus managers’ attention on processes and centralise resources around key processes, before reducing process flexibility and automate as many steps as possible to develop a low cost capability that is difficult to imitate. By contrast, firms serving differentiated markets should first focus managers’ attention on customers and then locate resources near them, before increasing customer contact with their processes and making them more flexible so they can develop customer knowledge, relationships and services that are difficult to imitate.
Research limitations/implications
Some significant factors may not have been considered as the study only looked at the impact of 14 internal strategic fit variables on 7 performance variables. Also, the performance changes may not be a direct result of the strategic fit improvements identified and may not generalise to other service organisations, settings and environments.
Practical implications
The strategic fit-performance relationships identified and the “fitness ladder” frameworks developed can be used by organisations to make decisions about how best to improve fit given their different market needs, business strategies and performance objectives.
Originality/value
The findings offer more clarity than previous research about how internal fit impacts business performance for low cost and differentiated services.
Details
Keywords
George Onofrei and Brian Fynes
The purpose of this research is to test a model that incorporates investments in quality and Lean practices and production fitness constructs, originating in the theory of swift…
Abstract
Purpose
The purpose of this research is to test a model that incorporates investments in quality and Lean practices and production fitness constructs, originating in the theory of swift even flow (SEF), to provide insights into successful implementation of manufacturing practices.
Design/methodology/approach
This research uses data from the Global Manufacturing Research Group fourth round survey and empirically tests the relationships between investments in Lean practices and improvements in production fitness, using a sample of 844 plants in 17 countries.
Findings
The results highlight that the implementation of Lean practices yields better results on production evenness, when the company has higher levels of investments in quality practices. Therefore, the implementation of quality practices is a prerequisite for achieving higher production fitness.
Originality/value
The findings are important to the development and testing of operations management theory, as it integrates two research streams, manufacturing practices and SEF research, to gain insights into the interplay of manufacturing practices and how it influences the production fitness. For practitioners, this research assesses how better-performing plants compete. It provides operations managers with a better understanding of production fitness and how manufacturing practices foster its development.
Details
Keywords
Sourabh Kulkarni, Priyanka Verma and R. Mukundan
The purpose of this paper is to update existing Kauffmann’s NK model to evaluate the manufacturing fitness of strategic business capabilities. The updated model is tested in a…
Abstract
Purpose
The purpose of this paper is to update existing Kauffmann’s NK model to evaluate the manufacturing fitness of strategic business capabilities. The updated model is tested in a digital manufacturing (DM) setting to investigate the sequence for developing cumulative capabilities that can yield the maximum payoff.
Design/methodology/approach
The authors develop a grey–DEMATEL–NK fitness model and show its application, through a case study, to a DM firm in India.
Findings
The grey–DEMATEL–NK model helps evaluate multiple manufacturing capabilities and indicates that quality–flexibility–cost–delivery is the sequence that yields the maximum manufacturing fitness (competitive payoff) for a DM firm. This sequence helps the firm reorganise its internal business processes and is different from that used to develop cumulative capabilities in a traditional manufacturing setting (quality–delivery–flexibility–cost).
Originality/value
This study presents a pilot model for computing the cumulative capabilities payoff and prescribes a sequence for developing cumulative capabilities within a DM context.
Details
Keywords
Torbjørn H. Netland and Arild Aspelund
To advance the productivity of all plants in the network, multinational corporations develop and deploy multi-plant improvement programmes. In this paper, the authors…
Abstract
Purpose
To advance the productivity of all plants in the network, multinational corporations develop and deploy multi-plant improvement programmes. In this paper, the authors systematically review and synthesise the emerging literature on multi-plant improvement programmes. The paper aims to discuss these issues.
Design/methodology/approach
Through a systematic manual search, the authors examine 15 top journals from operations management, general management and international business literature in the time span between 1998 and 2011.
Findings
The authors found 30 papers that specifically deal with operational improvement programmes in a multi-plant international setting, of which only nine take a headquarter perspective. This low number contrasts sharply with the magnitude and importance of such programmes in industry. The authors discuss key dimensions that explain how multi-plant improvement programmes result in the adopting, adapting, acting or avoiding of programme practices in subsidiaries and propose a related research agenda.
Research limitations/implications
The authors affirm that a new field is in the making, with IJOPM as the leading professional journal. Further empirical research is called for, but particular methodological caution must be paid to the phenomenon of acting in subsidiaries.
Originality/value
No coherent stream of research has addressed multi-plant improvement programmes. This paper represents a focused review that supports the further development of the field.
Details
Keywords
Thomas Wurzer and Gerald Reiner
The purpose of this paper is to examine whether modular product design is an appropriate practice to improve manufacturers’ flexibility performance and cost performance as well as…
Abstract
Purpose
The purpose of this paper is to examine whether modular product design is an appropriate practice to improve manufacturers’ flexibility performance and cost performance as well as to evaluate whether combined effects of modular product design and delivery performance on flexibility performance and cost performance exist.
Design/methodology/approach
Structural equation modeling with moderating effects is used. Moderating effects allow an evaluation whether combined effects of modular product design and delivery performance exist. For the analysis, data from the international high-performance manufacturing survey are used.
Findings
Analysis results show a positive relationship between modular product design and cost performance, but do not show a significant moderating effect. Thus, no combined effect of modular product design and delivery performance exists in the data at hand.
Research limitations/implications
A potential limitation of this study is the cross-sectional nature of the analysis. In order to test for causal relationships or chronological sequences, longitudinal data are deemed more suitable.
Practical implications
The findings make improvement processes more predictable and help managers to overcome traditional trade-off situations, especially in terms of flexibility performance and cost performance. Manufacturers are still neglecting the implementation of complementary methods for achieving an increase in flexibility while maintaining efficiency.
Originality/value
This paper complements prior research on the effect of improvement practices on operational performance dimensions. It also takes an alternative approach to examine whether a beneficial implementation sequence of improvement practices can be assumed.
Details
Keywords
Much has been written about the need to align the supply chain with the product/market but it has proved, elusive especially in response to a supply change transitions. The…
Abstract
Purpose
Much has been written about the need to align the supply chain with the product/market but it has proved, elusive especially in response to a supply change transitions. The purpose of this paper is to review the established theoretical models before considering how the realignment process can be better supported in the light of a longitudinal study.
Design/methodology/approach
This paper uses a single apparel case where data were gathered over a five-year period involving multiple site visits, management interviews and archival data across three echelons of the supply chain. Repeated visits enabled the collection of contemporary evidence and the development and testing of the causal relationships. This case was part of a multi-case research project that explored the causal relationship between variation, uncertainty, performance trade-offs and buffering mechanisms (time, capacity and inventory).
Findings
The case analysis demonstrates how established theory and causal reasoning can be used to explain the trade-off oscillations that characterised this case. As with earlier studies, local cost considerations predominated, interspersed with strategic countermeasures. Fisher’s (1997) concept of coordinated strategies is shown to provide an effective means of clarifying the trade-off implications of the transition in support of proactive realignment. This concept is discussed in relation to other cases and literature before proposing how this could be developed and used as a basis for further research.
Research limitations/implications
This research was limited to a single case and although this involving several transitions the findings require further testing.
Practical implications
Supply chain redesign is of growing importance and with it the need to more effectively manage such transitions. This paper clarifies the need for supply chain orientation and offers means of clarifying the implications of such transitions to management.
Originality/value
This paper provides case evidence of the underlying operations management issues and the associated analysis.
Details
Keywords
Yang Cheng, Atanu Chaudhuri and Sami Farooq
The purpose of this paper is to investigate the relationships at the level of plant in a manufacturing network, labelled as networked plant in the paper, between inter-plant…
Abstract
Purpose
The purpose of this paper is to investigate the relationships at the level of plant in a manufacturing network, labelled as networked plant in the paper, between inter-plant coordination and operational performance, supply chain integration (SCI) and operational performance and inter-plant coordination and SCI.
Design/methodology/approach
This paper is developed based on the data obtained from the sixth version of International Manufacturing Strategy Survey (IMSS VI). Specifically, this paper uses a subset of the IMSS VI data set from the 606 plants that identified themselves as one of the plants in a manufacturing network.
Findings
This paper finds that external integration is significantly related to operational performance of networked plant, whereas internal integration is not. As an enabler for external integration, the influence of internal integration on operational performance of networked plant is mediated by external integration. This paper also provides evidence to the purported positive impact of internal integration on inter-plant coordination, as well as the positive impact of inter-plant coordination on external integration. It further suggests that inter-plant coordination can influence operational performance of networked plant through external integration and also mediate the relationship from internal integration to performance through external integration.
Originality/value
This paper contributes to the SCI literature and extends the understanding of the impact of SCI on the operational performance by selecting networked plant as a unit of analysis. Besides, this paper distinguishes inter-plant coordination from SCI and investigates the relationship between inter-plant coordination, SCI, and operational performance for the first time.
Details
Keywords
Javier Tamayo-Torres, Jens K. Roehrich and Michael A. Lewis
The purpose of this paper is to examine the relationship between organizational ambidexterity, the ability of companies to explore new and to exploit existing processes…
Abstract
Purpose
The purpose of this paper is to examine the relationship between organizational ambidexterity, the ability of companies to explore new and to exploit existing processes simultaneously, and manufacturing performance as represented by the sand cone model. Moreover, the paper analyses the impact of stable and dynamic environments on this relationship.
Design/methodology/approach
A set of research questions are tested using structural equation modeling on a sample of 231 Spanish manufacturing companies.
Findings
Results illustrate a significant relationship between ambidexterity as the basis and enabler for manufacturing performance improvements, building on the sand cone model and its dimensions of quality, delivery, cost, and flexibility. This relationship is further emphasized when companies work in a dynamic environment.
Practical implications
The study contributes to practice by investigating the important and yet under-explored relationships of ambidexterity, the sand cone model, performance, and a company’s wider market environment. Findings suggest a positive relationship between the sand cone model and ambidexterity capability.
Originality/value
This study adds to the limited theoretical and empirical understanding of the relationships between ambidexterity, the sand cone model, environmental dynamism, and performance. It also contributes through a set of empirical data derived from Spanish manufacturing companies.
Details