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To investigate the relationship between performance frontier and operations strategy. A two-level conceptual framework is proposed based on performance elements that act as output/input variables and delimit the scope of the frontier analysis.

The framework proposition is based on the fourth round of high-performance manufacturing survey data. A representative set of variables for assessing performance based on operations strategy constructs is defined through multivariate data analysis techniques. The main method used is the principal component analysis.

The proposed first-level conceptual framework formalizes the relationships between performance frontier analysis techniques and operations strategy, delimiting the scope and the structural definitions. The second-level conceptual framework defines the constructs of the input and output dimensions for frontier analysis studies.

The paper contribution is developed in the gap of market-led orientation to study operations strategy performance frontier since most related literature focuses on capabilities development with a main focus on the resource-based view (RBV) approach. A conceptual framework based on the competitive priorities is therefore proposed to represent the operations strategy in the view of the frontier techniques. The value lies in defining performance measures which are not a straightforward task as the growth of organization competitiveness and complexity require multiple performance measures. A deeper understanding of frontier estimation on the operations strategy context is also provided, contributing to positively influence firms to succeed in the current dynamic competitive environments.

The purpose of this paper is to test the integrated model of operations strategy as proposed by Schmenner and Swink to explain whether firms trade‐off or accumulate capabilities, taking into account their positions relative to their asset and operating frontiers.

The four major airlines based in Australia were studied. The paper is based on longitudinal data obtained from secondary sources. The four operations capabilities cost, quality, delivery and flexibility, and asset and operating frontiers, were all measured with proxy variables.

The study provides some support for the integrated model. Firms do appear to trade‐off capabilities when their asset and operating frontiers are close to each other. Firms show signs of accumulation when the asset frontiers are expanding significantly over time. There is indirect evidence that firms could be accumulating capabilities when the gap between the two frontiers is large.

The study provides insights into when firms trade‐off or accumulate capabilities. A good understanding of asset and operating frontiers is important in this regard. Managers need to better identify, establish and combine their firms' capabilities in response to varying internal and external contingencies.

The paper provides an original and detailed empirical validation of Schmenner and Swink's integrated model. In doing so, this study contributes to informing and clarifying the debate in the operations strategy area relating to the circumstances in which firms trade‐off and/or accumulate capabilities.

This study investigates the influence of ownership composition on market-based and accounting-based financial performance in the European frontier markets (EFMs), a target region for global investors.

Ownership composition is defined as shareholders' concentration and structure (i.e. foreign, domestic, state and free-float), whereas financial performance is measured as Tobin's Q and return on assets. The system generalised method of moments panel data estimation technique is employed on a sample of 241 companies.

Findings reveal that companies from European Union (EU) frontier markets are controlled, on average, by one to five large shareholders. Being a signal of expropriation rationale of majority shareholders regardless of the capital structure, this highly concentrated ownership and decision-making model negatively affects the market-based and accounting-based financial performance of the companies and thereby supports the agency theory in the frontier markets.

The findings provide empirical evidence for authorities, investors, analysts and corporations regarding the effect of ownership percentage and structure in the Eastern European region, assisting also other frontier and emerging markets in corporate governance and other regulatory decisions.

The ownership–performance relationship varies from developed to emerging markets with conflicting results. This study provides evidence on monitoring and expropriation effects of majority shareholders in the context of different categories of shareholders. In doing so, it combines the analysis of both ownership concentration and structure in the EFMs.

Historically standard regression has been used to assess performance in marketing, especially of salespeople and retail outlets. A model of performance is estimated using ordinary least squares, the residuals are computed, and the decision-making units, say store managers, ranked in the order of the residuals. The problem is that the regression line approach characterizes average performance. The focus should be on best performance. Frontier analysis, especially stochastic frontier analysis (SEA), is a way to benchmark such best performance. Deterministic frontier analysis is also discussed in passing. The distinction between conventional ordinary least squares analysis and frontier analysis is especially marked when heteroscedasticity is present. Most of the focus of benchmarking has been on identifying the best performing units. The real insight, though, is from explaining the benchmark gap. Stochastic frontier analysis can, and should, model both phenomena simultaneously.

The aim of this paper is to develop a contribution to knowledge that adds to the empirical evidence of predictive condition-based maintenance by demonstrating how the availability and reliability of current assets can be improved without costly capital investment, resulting in overall system performance improvements

The empirical, experimental approach, technical action research (TAR), was designed to study a major Middle Eastern airport baggage handling operation. A predictive condition-based maintenance prototype station was installed to monitor the condition of a highly complex system of static and moving assets.

The research provides evidence that the performance frontier for airport baggage handling systems can be improved using automated dynamic monitoring of the vibration and digital image data on baggage trays as they pass a service station. The introduction of low-end innovation, which combines advanced technology and low-cost hardware, reduced asset failures in this complex, high-speed operating environment.

The originality derives from the application of existing hardware with the combination of edge and cloud computing software through architectural innovation, resulting in adaptations to an existing baggage handling system within the context of a time-critical logistics system.

This paper aims to assess two distinct aspects of performance in terms of technical (sales) efficiency and efficiency in market value generation of a sample of Greek metallurgical firms listed on the Athens Exchange by using data envelopment analysis (DEA).

Both aspects of performance are measured by employing the DEA BCC model, combined with bootstrap and generalized proportional distance function (GPDF). Statistical analysis is performed to investigate whether there is a positive link between the two examined performance dimensions.

Inefficiency is uncovered in both performance dimensions, but there is a lower level of performance in market value generation than in technical efficiency. Correlation analysis results do not point out positive links between performance measures for the sample firms.

The derived performance measures allow firm managers to set their own priorities and to seek out improvements along the two dimensions of performance; moreover, they may contribute to the reduction of information asymmetry among investors.

This paper is one of a few that investigate the link between DEA-based sales performance and performance in market value generation. It contributes methodologically through the adoption of fundamental analysis principles in estimating efficiency in the two performance dimensions and the development of a DEA efficiency model in the presence of negative data.

The purpose of this paper is to concentrate on measuring and evaluating the performance efficiency of electrical machinery manufacturing small- and medium-sized enterprises (SMEs) in Turkey. The industry-based efficiency evaluation provides management with information including the relatively best practice firms in the observation sets and locates the relatively inefficient firms by comparing with the frontiers.

In this study, an evaluation model, based on previous literature and recent industry SWOT analysis, is proposed to carry out efficiency analysis for electrical machinery manufacturing SMEs and output-oriented CCR data envelopment analysis methodology is used to find out frontier SMEs. The proposed efficiency measurement model is used for 93 SMEs from electrical machinery manufacturing sector.

Rely on the model results, efficiency score of the firms are compared and enhancements required for becoming an efficient unit are denoted. This study is based on previous research model that was carried out for ten different industries. The results indicated that 39 out of 93 companies efficiently performed in general perspective. The analysis also resulted that firms have significant resource excesses and shortages on outputs.

The distinguished way of this study is to evaluate Turkish electrical machinery manufacturing companies’ resources relying on performance efficiency model that compromises of strategic competitive priorities and also the model provides enhancement opportunities to SMEs for being more competitive in the sector. The characteristics features of the firms are offered with respect to demographic, financial and quality perspectives.

Extant manufacturing strategy research dichotomizes the trade‐off model and the cumulative model, but fails to explain each strategic result. The purpose of this paper is to propose four key antecedents of a trade‐off versus a cumulative model by manufacturing business units (MBUs), and in turn, their association with business performance.

The authors first review literature pertaining to the history and major themes of manufacturing strategy. Next, the authors present a theoretical model with explanations of the methodology and research design used. The model is empirically tested, and conclusions, managerial implications, and future research opportunities that stem from this research effort are provided.

Strategic time orientation, as well as manufacturing practices of supply chain integration intensity and advanced manufacturing technology, are empirically found to be associated with MBUs' combinative competitive capabilities. More specifically, manufacturers following these practices are more apt to realize higher levels combinative capabilities, as depicted by the cumulative model.

The paper shows that these manufacturing practices may extend the time within which the MBU reaches its capability frontiers, and therefore, increase the odds that it can exploit its current resources. Moreover, MBU size negatively moderates the relationship between advanced manufacturing technology and the cumulative model.

The paper uses a procedure called data envelopment analysis (DEA) to compare internal against external (outsource) efficiency in the delivery of finance function activities. The approach allows a direct comparison between the in‐house efficiency of UK small, medium and large companies in managing their accounting activities both with UK outsource contractors and also against the rather larger and more numerous contractors observed in Italy. The paper finds that, through comparative advantages, outsourcing presents a more efficient solution for the management of very small firm accounting than internal provision. Furthermore, there is evidence that substantial scale benefits continue to be available to outsource contractors, while inefficiency on internal provision is mainly technical. The paper concludes that outsourcing provision is likely to offer worthwhile savings to small firms, allowing them to shed competitive weaknesses and operate at efficient or best practice levels. At the same time, by converting an internal fixed cost, fixed capacity activity into a flexible, variable cost activity, SMEs have the potential to transform a previously unmanageable activity into an efficient or best practice activity that can grow or contract with the business.

The paper seeks to test the relationships among product design and supply chain design, with specific reference to the product‐supply chain model by Fisher.

An extensive empirical survey with data from 128 companies; the approach is basically theory testing, in that it investigates an existing framework, and discusses extensions.

Significant relationships are found between product types and supply chain types, as well as concerning the impact of alignment on performance.

Instead of treating the supply chain characteristics associated with different supply chain types as either/or choices, some companies select properties from both supply chain types in order to gain additional benefits. This creates a supply chain frontier of physical efficiency and market responsiveness; a concept that deserves further attention by researchers. A limitation is that it would be interesting to perform a longitudinal study.

Different product types call for different types of supply chains. Alignment between the type of product and the type of supply chain is important, and significant for delivery speed, delivery dependability, and cost performance.

This research empirically tests a model that has received considerable attention in the research literature as well as acting as guidelines in practice, but that has not been tested explicitly before.