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The purpose of this paper is to compare two distinct network structures to determine and show which structure is more profitable. Specifically, it aims to show which factors render the lead factory concept advantageous.

Based on a simple, two‐stage model for prototype and serial production, the authors highlight factors that determine the relative advantages and disadvantages of the lead factory concept in comparison to an archetype network. The archetype network mirrors those networks that have not implemented special strategic plant roles.

The analysis shows that the lead factory concept benefits from an efficient knowledge transfer. Particularly, it is more profitable than the archetype network under the following conditions: there are a high number of production plants; the adaptation costs for implementing the transferred prototype from the lead factory to the plant are low; the manufacturing costs for the prototype are high; and the manufacturing processes are not highly specific or knowledge intensive.

The paper enables better understanding of the conditions under which the lead factory concept is advantageous for transferring knowledge within an intra‐firm network.

Ten factories in Spain (eight non‐Japanese‐owned plants and two Japanese transplants) were evaluated using the Kobayashi 20‐key scoring method on issues such as cleanliness, quick set‐up practices, coupled manufacturing, level production scheduling, quality assurance policies, small group activities and others. The methodology has shown its ability to compare different factories in Spain and Japan. The research indicates that factories in Spain have focused their first‐year improvement programmes on the factory floor, led by plant managers and executed by industrial engineers. Work‐in‐Process (WIP) has generally decreased, but the relationships with other departments (e.g. purchasing or quality), or with the labour force, have not changed. This leads to the conclusion that three scenarios are possible. Judges the “stagnate” and “slow change” scenarios to be more likely to happen than the “fast change” scenario, featuring extensive top management involvement to change the company culture.

The purpose of this paper is to analyse the prerequisites for lateral knowledge transfer in manufacturing networks.

Data stem from a single case study involving 26 interviews at the management level of a manufacturing network and a survey of 17 manufacturing plants in the network.

The requirements for lateral knowledge transfer between knowledge-sending and knowledge-receiving plants are similar strategic orientation, product portfolio similarity and process similarity. If the knowledge-sending and knowledge-receiving plants meet at least one of these requirements, then knowledge transfer is facilitated. Plant age, functional ties and geographical proximity do not seem to be important in lateral knowledge transfer.

The results come from a single case study, limiting their generalisability. Further research should consider the influence of the network’s coordination mechanism on lateral knowledge transfer.

The paper investigates prerequisites for lateral knowledge transfer in manufacturing networks, shedding light on the fundamental factors that must be in place at the knowledge-sending and knowledge-receiving plants.

The overarching objective of this research is to integrate the Lean Six Sigma (LSS) framework with computer simulation to improve the production efficiency of a light-emitting diode (LED) manufacturing factory.

Recently, the idea of taking advantage of the benefits of Six Sigma and simulation models together has led both industry and the academy towards further investigation and implementation of these methodologies. From this perspective, the present research will illustrate the effectiveness of using LSS methodology in a real factory environment by using the combination of three simulation methods which are system dynamics (SD), discrete-event simulation (DES) and agent-based (AB) modelling.

The hybrid simulation method applied in this research was found to accurately mimic and model the existing real factory environment. The define, measure, analyse, control and improve (DMAIC)-based improvements showed that the applied method is able to improve machine utilization rates while balancing the workload. Moreover, queue lengths for several stations were shortened, and the average processing time was decreased by around 50%. Also, a weekly production increase of 25% was achieved while lowering the cost per unit by around 8%.

While the case study used was for a LED manufacturing system, the proposed framework could be implemented for any other existing production system. The research also meticulously presents the steps carried out for the development of the multi-method simulation model to allow readers to replicate the model and tailor it for their own case studies and projects. The hybrid model enables managers to navigate the trade-off decisions they often face when choosing advanced production output ahead of continuous improvement practices. The adoption of methodologies outlined in this paper would attain improvements in terms of queue lengths, utilization, reduced costs and improved quality and efficiency of a real, small factory. The findings suggest improvements and create awareness among practitioners for the utilization of quality tools that will provide direct benefits to their companies. Although the multi-method simulation is effective, a limitation of the current study is the lack of micro details within each station. Furthermore, the results are all based on one specific case study which is not enough to suggest and generalized findings.

This research combines the use of the three main hybrid simulation paradigms (SD, DES and AB) in a unified framework DMAIC methodology. Choosing the right models in DMAIC is important, challenging and urgently necessary. Also, this paper shows empirical evidence on its effectiveness.

The introduction of cellular manufacture in two factories is examined. In the first factory, the economic difficulties driving the changes were anticipated rather than being felt. Its most pressing problem was how to divide its products into the “families” necessary for cellular production. It was decided that this division should to some extent determine what products should be produced rather than vice versa. For the second factory, where economic difficulties were already present, the stage had been reached at which it had to be decided who was to work in the cells. Though the decisions had been made, they had not been communicated to the workforce for fear of disrupting current production. In both cases it can be seen that in order to gain the benefits of cellular manufacture, fundamental changes have to be made not only in the production process but also in the management of human resources.

The purpose of this study is to propose that in-factory experiences transfer into souvenir evaluation, and the process is moderated by customers’ commitment and readiness cumulated in daily life.

The study collected data from 398 tourists of tea leaves tourism factories.

The results reveal that interactive experience is a dominant determinant of perceived souvenir value. Interactive and hedonic experiences reinforce each other to create perceived souvenir value. Low commitment diverts customers to emphasize hedonic experience, whereas low readiness constraints customers’ resources, and hence, depreciates value delivered from interactive experience.

Intrinsic hedonic values are weaker predictors than extrinsic ones for perceived value in a leisure tourism setting. Merchandize quality is perceived and judged together with interpersonal interactions in the industrial tourism contexts, instead of objectively evaluating by customers themselves.

The experience or credence attribute of tea leaves is difficult for ordinary customers to evaluate, leaving most of the consumption value to be fostered by the firm. Perceived souvenir value could transfer to routinized purchase behavior, it is more imperative turning initial tourists into committed loyal customers by relationship management strategies than merely creating hedonic surroundings.

The study contributions are twofold: first, the study extends the influence of tourist experience to the perceived souvenir value; second, the study verifies the interaction effects of in-factory experiences and customer roles on perceived souvenir value.

This chapter investigates the perceptions of social audit within the context of the garment companies of Bangladesh. The chapter highlights two recent incidents that claimed the lives of about 1,300 garment workers in Bangladesh. Based on the fact that Western clothing brands use social audits before sourcing their products from Bangladesh, this chapter investigates if any real change happens as a result of the information provided in the social audit reports.

The insights were gathered through conducting personal interviews with managers of social audit firms, corporate managers and various stakeholders of the textile and garment companies of Bangladesh. This chapter used the accountability theory to understand the perceptions of social audit.

The chapter finds that different stakeholders have different perspectives regarding social audits. The high-profile catastrophes within the supply chain garment factories of Bangladesh provided evidence that social audits did not help prevent such catastrophes in a different socio-economic context. The results have revealed stakeholder dissatisfaction with the procedures and content of social audits. It also finds that there is an expectation gap between the preparers and users of social audit reports.

The insights provided in this chapter would benefit garment manufacturers of developing countries and relevant stakeholders to demonstrate more accountability while conducting a social audit.

This is the first known chapter investigating stakeholders’ perceptions of social audit within the context of a developing country. More importantly, it focuses on responsible corporate behaviour in a socially sensitive industry.

This paper aims to compare the prognostic and visualisation capabilities of all the three simulation paradigms to identify their suitability and rigor in eliminating weaknesses and bottlenecks in a Lean Six Sigma (LSS) project.

The paper uses an light-emitting diode (LED) factory as a business case to show the differences and advantages of using three different simulation techniques to solve a manufacturing problem.

Even though this is only one business case that shows how system dynamics (SD) can be effective in a Six Sigma manufacturing project, more examples are needed to validate this hypothesis within Six Sigma and Lean manufacturing fields. Even though, discrete-events (DE) and agent-based (AB) models are both equally well suited to develop the manufacturing processes and the choice of what to use may be arbitrarily dependent on the available software or the preference of the modeller, hybrid models seem to become extremely powerful. Therefore, more hybrid models need to be constructed within LSS (especially when a flowchart and a SIPOC ((Suppliers, Inputs, Process, Outputs and Customers) table are combined to develop a hybrid model) to achieve the most accurate results with accurate representation of reality.

There are three commonly used simulation techniques, DE, AB and SD, but choosing the right simulation methodology has often been a challenge.

The transformation of US manufacturing, led by computer‐integrated manufacturing (CIM) systems, has already begun to take root. This article examines the potential benefits to firms which understand and can exploit CIM technology to its fullest extent. Because CIM simultaneously provides high product variety with low costs, conventional assumptions about competitive strategy and organisation design need reevaluation. As companies must work with increasingly scarce capital, human resources and time, CIM becomes an attractive option not only for highly capital‐intensive industries such as automobiles, but also for fast‐changing areas such as textiles, fashion design, and consumer appliances. CIM combines the benefits of economies of scope with the scale economies traditionally garnered only with large, rigid and dedicated factories. Success with CIM and other new manufacturing technologies depends on new organisational designs and incentives that foster fast innovation and cross‐functional integration. CIM′s promising role in transforming the manufacturing firm into a service business across many different industries will spur many US firms′ efforts to enter a global marketplace.

In quite a number of the American states strict regulations forbidding the use of leaded coating materials have been passed in recent years. As a matter of fact, there is nothing new about the fact that lead compounds are toxic. Centuries ago, sugar of lead (lead acetate) had been a well‐known “legacy powder” used by poisoners. Its sweet taste and slow effect made it particularly suitable for such purposes. Thus, in Germany, a law was passed as early as in 1887 prohibiting the use of leaded paints in packing material for foodstuffs and toys. In all civilized states ordinances exist which protect workers in contact with such paints from lead poisoning.