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Article
Publication date: 5 December 2016

Ruggero Golini, Patricia Deflorin and Maike Scherrer

The purpose of this paper is to provide guidance in setting the level of autonomy (i.e. parental control) of plants in a network to enhance operational performance. In particular…

1064

Abstract

Purpose

The purpose of this paper is to provide guidance in setting the level of autonomy (i.e. parental control) of plants in a network to enhance operational performance. In particular, the effect of autonomy on performance is analysed directly and indirectly through internal manufacturing network integration (MNI) and external supply chain integration (SCI) as two dimensions of manufacturing network embeddedness.

Design/methodology/approach

The analysis is based on data from 441 manufacturing plants in 17 countries. Data were gathered during the Sixth International Manufacturing Strategy Survey. Five main constructs were obtained after carrying out a confirmatory factor analysis: plant autonomy, internal MNI, external SCI, efficiency and effectiveness. Direct and indirect relationships among the constructs are tested through a structural equation model.

Findings

Higher levels of autonomy correlate with higher effectiveness and similar efficiency. However, lower autonomy leads to higher levels of manufacturing network and SCI, which enhance performance. Although not statistically significant, the analysis of the total effects reveals a mildly positive effect of autonomy on effectiveness and negative effect on efficiency, which requires further investigation.

Research limitations/implications

Further research could include headquarters’ perspectives or additional determinants (e.g. business strategy objectives).

Practical implications

Managers should set autonomy levels strategically: higher for effectiveness and lower for efficiency. However, lower autonomy can also strengthen internal MNI and external SCI, thus improving operational performance.

Originality/value

The concept of manufacturing network embeddedness highlights the importance of considering external supply chain and internal MNI in the same framework, as both dimensions can affect operational performance.

Details

International Journal of Operations & Production Management, vol. 36 no. 12
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 1 February 1985

Nicholas Kinnie

Senior managers of industrial relations in large multi‐plant companies are faced by both centrifugal and centripetal forces and ask: “How can we achieve the benefits of…

Abstract

Senior managers of industrial relations in large multi‐plant companies are faced by both centrifugal and centripetal forces and ask: “How can we achieve the benefits of decentralisation while at the same time maintaining centralised control?” In response to these countervailing pressures, senior managers create the appearance of autonomy for plant managers but in reality exercise centralised authority over major industrial relations decisions. To achieve this, managers at head office promote an ideology of decentralisation while actually practising central control. Local managers' autonomy on major industrial relations issues is largely a myth, perpetuated by formally decentralised management and bargaining structures, and techniques designed to enhance the independence of each plant. Central managers' authority is exercised by making all major decisions at head office and by co‐ordinating plant industrial relations through a variety of measures. Two factors are examined to explain this inconsistency between the levels of decision making over important issues and the level at which collective agreements are made—first, the changes in bargaining structure, and in particular the move towards single‐employer bargaining, and, second, developments in organisational structures and control techniques, especially those associated with divisionalised organisations.

Details

Personnel Review, vol. 14 no. 2
Type: Research Article
ISSN: 0048-3486

Article
Publication date: 1 February 1987

P.K. Edwards and Paul Marginson

Surveys based on standard questionnaires have long been a major research tool of the social scientist. The great majority have focused on one type of respondent — the workers of a…

Abstract

Surveys based on standard questionnaires have long been a major research tool of the social scientist. The great majority have focused on one type of respondent — the workers of a given firm, the voters in a particular constituency, or whatever. For one sort of survey, namely, those that seek to know about the individuals in question, this is plainly sensible. But another sort of survey uses a respondent to provide information about the organisation for which he/she can be taken to be an authoritative informant. Questionnaires sent to the head offices of companies or unions and asking about the organisation's policy are a good example. How do we know whether the replies are in some sense representative of the organisation or are just the views of the respondent chosen?

Details

Personnel Review, vol. 16 no. 2
Type: Research Article
ISSN: 0048-3486

Article
Publication date: 4 January 2016

Raffaele Secchi and Arnaldo Camuffo

Adopting a knowledge-based perspective, the purpose of this paper is to investigate the roll-out process of lean production systems and explores the dimensions that might enhance…

3189

Abstract

Purpose

Adopting a knowledge-based perspective, the purpose of this paper is to investigate the roll-out process of lean production systems and explores the dimensions that might enhance or hinder its performance. It develops a framework to understand and design lean roll-out processes, identifying the research dimensions/design variables to classify and interpret such processes.

Design/methodology/approach

This exploratory multiple case study analyses seven lean roll-out processes in multinational companies’ plants. An original data set, developed on the basis of a purposely design research protocol, was built through two rounds of plant visits and structured interviews. The cross-case analysis compares and contrasts the lean roll-out processes according to the research dimensions constituting the framework.

Findings

The effectiveness and the efficiency of the lean roll-out processes: first, negatively co-vary with the degree of lean knowledge codification; second, positively co-vary with the degree of autonomy of the plant; third, positively co-vary with the degree of contextual ambidexterity. Moreover, lean roll-out processes characterized by principles-based knowledge replication strategy, plant autonomy and contextual ambidexterity are comparatively more effective and efficient.

Research limitations/implications

This is an exploratory qualitative study that develops propositions potentially testable in larger scale, more analytical research.

Practical implications

This study provides a tentative roadmap to successfully approach the roll-out of lean production systems in complex organizations.

Originality/value

This study challenges the current theory and practice which implicitly assumes that lean roll-outs take place linearly, cascading a set of predefined lean operations practices. Instead, the authors show that a less codified, more decentralized and contextually ambidextrous approach might be more effective.

Details

International Journal of Operations & Production Management, vol. 36 no. 1
Type: Research Article
ISSN: 0144-3577

Keywords

Book part
Publication date: 13 August 2014

Arnaldo Camuffo, Raffaele Secchi and Chiara Paolino

Rolling out lean operations practices in MNCs’ plants is a complex knowledge transfer process whose design and implementation, though critical to operations performance, to date…

Abstract

Rolling out lean operations practices in MNCs’ plants is a complex knowledge transfer process whose design and implementation, though critical to operations performance, to date has not been investigated by operations management, international business, strategy, and organizational design research. Applying conceptual tools drawn from various theoretical approaches to knowledge management, transfer and diffusion, this exploratory study: (a) classifies and interprets lean roll-out processes in MNCs, framing them in terms of (i) knowledge replication strategies (template vs. principles-based), (ii) decentralization of decision making (degree of plant autonomy), and (iii) type of organizational ambidexterity (structural vs. contextual) underlying the process; (b) develops, through seven case studies of lean roll-outs in MNCs’ plants, three testable propositions about what might enhance the lean roll-out process performance, arguing about the individual and combined effect of the three above mentioned dimensions on lean roll-out effectiveness and efficiency. We posit that an approach characterized by principles-based knowledge replication, larger decentralization, and prevalence of contextual ambidexterity positively impacts on roll-out process performance.

Details

Orchestration of the Global Network Organization
Type: Book
ISBN: 978-1-78350-953-9

Keywords

Article
Publication date: 29 April 2021

Patricia Deflorin, Maike Scherrer and Katrin Schillo

The coordination of a manufacturing network is a challenging task and may be contingent upon the manufacturing environment. The purpose of this paper is to analyse how industrial…

Abstract

Purpose

The coordination of a manufacturing network is a challenging task and may be contingent upon the manufacturing environment. The purpose of this paper is to analyse how industrial Internet of Things (IIoT) and manufacturing network coordination relate.

Design/methodology/approach

Based on a single case study, the paper at hand provides insights on IIoT enablers and the relationship to manufacturing coordination mechanism. The data sample is based on 15 group interviews with overall eight employees from headquarters and business units.

Findings

The derived results show that the IIoT enablers (digital technologies, connectivity, data, capabilities and management) are highly related to the manufacturing network coordination mechanism. The results indicate that IIoT initiatives and manufacturing network coordination should be designed to support each other.

Originality/value

The implementation if IIoT initiatives is often analysed in isolation without considering the manufacturing network and more specifically the manufacturing network coordination mechanism. The results highlight how the implementation of IIoT initiatives may act as trigger to adapt formal manufacturing network coordination mechanism.

Details

Journal of Manufacturing Technology Management, vol. 32 no. 6
Type: Research Article
ISSN: 1741-038X

Keywords

Article
Publication date: 12 June 2020

Michael Wiech and Thomas Friedli

This paper sets out to identify barriers to intra-network exchange within international manufacturing networks (IMNs) from the micro-level perspective of key actors at the plant

Abstract

Purpose

This paper sets out to identify barriers to intra-network exchange within international manufacturing networks (IMNs) from the micro-level perspective of key actors at the plant level, namely, plant leaders.

Design/methodology/approach

Data were collected through interviews with 12 plant leaders from nine different firms operating in at least three geographically dispersed manufacturing facilities.

Findings

Six partially interrelated barriers to intra-network exchange were identified. First, there are a lack of resources, network strategies, plant overlap and individual-level ties between plant leaders. Furthermore, this study shows that the pronounced local focus of plant leaders, fierce inter-plant competition and falsely designed incentives constitute barriers to inter-plant exchange. The results underline the need for network management to consider the individual-level perspective when designing rules and policies for IMNs.

Research limitations/implications

The generalisability of the results is limited by the sample, which consists of plant leaders from firms headquartered in German-speaking areas.

Practical implications

The findings indicate that network managers should consider the interests and concerns of plant leaders when trying to facilitate network thinking. In addition to delayering the overall IMN into distinct subnetworks of peer plants, network managers should set clear and openly communicated objectives in a mission for each subnetwork that also points to inter-plant exchange and provides the resources for such activities. Practitioners should also apply shared objectives for plant leaders and promote individual-level ties between them to benefit from intra-network exchange.

Originality/value

By analysing the perceptions of plant leaders, this study sheds light on the individual level of global operations, which has been neglected in research on IMNs to date.

Details

Journal of Manufacturing Technology Management, vol. 32 no. 6
Type: Research Article
ISSN: 1741-038X

Keywords

Article
Publication date: 15 November 2011

Yang Cheng, Sami Farooq and John Johansen

The purpose of this paper is to examine the effect of changes at the manufacturing plant level on other plants in the manufacturing network and also investigate the role of…

3226

Abstract

Purpose

The purpose of this paper is to examine the effect of changes at the manufacturing plant level on other plants in the manufacturing network and also investigate the role of manufacturing plants on the evolution of a manufacturing network.

Design/methodology/approach

The research questions are developed by identifying the gaps in the reviewed literature. The paper is based on three case studies undertaken in Danish manufacturing companies to explore in detail their manufacturing plants and networks. The cases provide a sound basis for developing the research questions and explaining the interaction between different manufacturing plants in the network and their impact on network transformation.

Findings

The paper highlights the dominant role of manufacturing plants in the continuously changing shape of a manufacturing network. The paper demonstrates that a product or process change at one manufacturing plant affects the other plants in the same network by altering their strategic roles, which leads to the subsequent transformation of the manufacturing network.

Originality/value

A review of the existing literature investigated different elements of a manufacturing network independently. In this paper, the complex phenomenon of a manufacturing network evolution is observed by combining the analysis of a manufacturing plant and network level. The historical trajectories of manufacturing networks that are presented in the case studies are examined in order to understand and determine the future shape of the networks. This study will help industrial managers make more knowledgeable decisions regarding manufacturing network management.

Details

International Journal of Operations & Production Management, vol. 31 no. 12
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 25 February 2014

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…

1981

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

International Journal of Operations & Production Management, vol. 34 no. 3
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 1 February 2016

Marek Szwejczewski, Michael T Sweeney and Alan Cousens

The purpose of this paper is twofold; first, to investigate whether the manufacturing specializations of network plants fulfilling similar strategic plant roles (Ferdows, 1997…

2403

Abstract

Purpose

The purpose of this paper is twofold; first, to investigate whether the manufacturing specializations of network plants fulfilling similar strategic plant roles (Ferdows, 1997) are common in type. Second, to examine current strategic manufacturing network management practice and develop a map of this process.

Design/methodology/approach

Three multisite manufacturing businesses participated in this case research. The first phase of the study consisted of an initial visit made to the headquarters of each firm to be briefed on its manufacturing network strategy and to collect company manufacturing performance data. Visits were then made to 11 network plants to collect site manufacturing performance data and to research the manufacturing specialization of each site and the degree of autonomy of its management team. The second phase of the research comprised a number of additional visits to the headquarters of one of the three case study firms to investigate the process employed to downsize its existing manufacturing network capacity in response to a significant decline in customer demand.

Findings

Three common types of manufacturing specialization have been identified in the networks of plants studied and the case research findings have enabled the development of a process for manufacturing network strategy deployment.

Research limitations/implications

The proposed process for the strategic management of a manufacturing network is based upon the findings of a single case study and thus the generalizability of the findings is limited.

Practical implications

Auditing the manufacturing specialization of network sites is an essential preparatory procedure for determining a manufacturing network strategy. How this information is used to facilitate the management of manufacturing network configuration and coordination and for manufacturing network strategy deployment is detailed in the paper.

Originality/value

A process map has been developed that includes a review of current network configuration and coordination policies, in combination, as these underpin manufacturing network strategy deployment. Such a process map has not been detailed previously in the literature.

Details

Journal of Manufacturing Technology Management, vol. 27 no. 1
Type: Research Article
ISSN: 1741-038X

Keywords

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