The impact of manufacturing strategy on the design of production management systems: An exploratory study

Abstract

This paper deals with the link between manufacturing strategy and the design of production management systems, from both theoretical and practical perspectives. We present a framework for relating the manufacturing strategy to the design of production management systems, based on theoretical approaches in the literature. The factors that influence the decisions to be made when designing such systems are identified. Furthermore, we apply the framework to four manufacturing frrms. The results of this exploratory empirical study indicate the applicability and usefulness of the concepts in the theoretical framework.

Manufacturing planning and control approaches: market alignment and performance

“…JIT-based approaches, on the other hand 'provide important support for standard products produced in limited variety and high volume' (Vollmann et al 2005: 458). Support for such alignment is found in, for example Karmarkar (1989), Maes and Van Wassenhove (1991), Kochhar and McGarrie (1992), Bhattacharya and Coleman (1994), Newman and Sridharan (1995), Olhager and Cimander (1998), Porter et al (1999), and Olhager and Rudberg (2002).…”

“…Finally MTS supports 'products of standard design produced in high unit volumes in narrow product variety for which short customer delivery lead times are critical' (Vollmann et al 2005: 457). Support for such alignment is found in, for example Kochhar and McGarrie (1992), Bhattacharya and Coleman (1994), Olhager and Cimander (1998), and Olhager and Rudberg (2002).…”

“…Rate-based material planning 'is appropriate for a relatively narrow range of standard products, with stable product designs produced in high volume' and 'is much more limited in its ability to cope with changes in product mix' (Vollmann et al 2005: 458). Support for such alignment is found in, for example Karmarkar (1989), Maes and Van Wassenhove (1991), Bhattacharya and Coleman (1994), Olhager and Cimander (1998), and Olhager and Rudberg (2002). downstream stocks that support end item requirements.…”