Manufacturing Strategy a Methodology And An Illustration
Manufacturing Strategy a Methodology And An Illustration
Charles H Fine
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The framework we use (which borrows heavily from Wheelwright [1984]) consists of defining the nine major categories of manufacturing strategic decision making (discussed in Section 3) and identifying the four manufacturing performance measures to address the objectives of the manufacturing strategy (discussed in the early part of Section 2. 2). This framework is briefly* summarized in Figure 4. 2. -17- 1. Major Types of Decisions Linked to the Manufacturing Function - Facilities (number, size, ...location, focus) - Capacity (amount, excess or tight capacity, expansion sequence, handling of peaks, competitive interactions) - Vertical Integration (direction, extent, capacity balance among stages) - Technologies and Processes (general or specific purpose, labor skills required, degree of automation, flexibility) - Scope/New Products (product breadth, rate of new product introduction, length of product life cycle) - Human Resources (incentives, skills, selection, training, security, unionization, participation) - Quality Management (definition of quality, quality improvement programs, responsibility, training, quality control, prevention and testing) - Manufacturing infrastructure (organization, planning and scheduling systems, control and information systems, inventory policies, forecast- ing, degree of centralization, lines of authority and responsibility) - Vendor Relations (vendor strategies, selection, qualifications, degree of partnership, use of competitive bidding, controls) 2;.
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