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The four stage model of Hayes and Wheelwright (H‐W) describing the strategic role of manufacturing function is widely accepted in the literature. However, there is little research that has examined the underlying factors of the H‐W model. This paper aims to fill this research gap by developing an instrument for measuring factors of strategic manufacturing effectiveness of a company based on the H‐W model.

The general principle of designing an instrument is followed in this paper. Attributes of strategic manufacturing effectiveness are identified from critical analysis of the original text of Wheelwright and Hayes, and Chase and Hayes. Then these attributes are grouped into four factors: catalysts of manufacturing initiatives; proactiveness of manufacturing function; attitude of top management towards manufacturing; and nature of manufacturing initiatives. Question for each attribute along continuum of four stages in the H‐W model is developed. The reliability and validity of the instrument are assessed through responses obtained from managers of 28 manufacturing units.

The empirical evidence supports that the proposed instrument has quite good reliability (Cronbach's α for different factors in the range of 0.575 to 0.705) and validity (multiple correlation coefficient between factors and manufacturing performance of 0.801).

This instrument can be used to position the companies along the continuum of four stages. Also, this can help managers assess the strengths and weaknesses in manufacturing for making the improvements.

This study is one of its kind which focuses on the development of an instrument to assess the strategic role of manufacturing based on the H‐W model.

The service positioning matrix shows how the desired nature of the customer’s service encounter activity sequence translates into a recommended service system design. The matrix helps managers think about marketing and operations linkages, roles of the customer and service‐provider in creating and delivering services, facility design and process choice, and the different types of management challenges at each position in the matrix. Concepts such as the service encounter activity sequence and the degree of repeatability in the activity sequence are defined and used in the matrix. Examples are given to illustrate the positioning of service entities within the matrix. An empirical evaluation provides statistical support for the logic of the service positioning matrix. The criteria used in the matrix are meaningful to survey participants. Future research directions and issues are discussed.