Factory strategy

Abstract

Papers on operations management in major journals have studied (1) relationships between the level of alignment in business and manufacturing strategies, practice realization, and performance; (2) the role of plants in global production networks; and (3) the reconciling of business and manufacturing strategies by operational executives. However, while these studies have positioned the role of plants as a strategic weapon in firms, their perspective is that the role of plants is imparted by headquarters or business units. Actually, the phenomenon which Japanese domestic plants have continued to work on various issues in an advanced manner from a global view went beyond this scope. There is a need for exploratory research from the perspective of plants as to the relationship between the role of plants and the strategic behavior of factory managers in continuing to grow while trying to survive in challenging environments and organizational capabilities built in plants.

Why can Toyota's <i>keiretsu</i> recover from earthquakes quickly?

“…Therefore, a factory needs to have a disaster-response factory strategy (Fukuzawa, 2019;Wada, 2018), and there are two disaster recovery policies: (a) maintaining surplus resources during normal times and (b) possessing the capability to recover from a crisis quickly. However, maintaining surplus resources per option (a) lowers both inventory turnover and return on assets.…”