Production of Quality Goods

Paper Summary:

This paper discusses how not only is information technology - especially the Internet - allowing customers to become more selective and demanding in wanting customized products, at mass-produced prices and with superior quality, but the pressures of global competition are also driving the development and implementation of advanced manufacturing and distribution technologies. The paper looks at how companies have developed a strong interest in how advanced manufacturing technology (such as flexible manufacturing) can be used as a competitive tool in the global economy to combat the phenomena of fragmented mass markets, shorter product life cycle, and increased demand for customization.

Outline:
What Are Their Enabling Benefits?
What Do They Permit?
What Advantage Do They Convey?
What is Behind the Development and Deployment of the Technologies?

From the Paper:

"Flexible manufacturing which incorporates just-in-time purchasing can also provide substantial economic benefits. According to George Stalk (1988), while economies of scale will reduce costs about 15 percent to 25 percent per unit when volume doubles, costs go up by 20 percent to 35 percent every time variety doubles. Just-in-Time, conversely, reduces the major contributors to the cost of variety. As for the relation with suppliers, since a flexible manufacturing is more conducive to JIT, it is believed that flexible manufacturing users should encourage similar flexibility in their suppliers. This requires the sharing of sensitive data between producer and supplier (Brandt, 1998)."

Sample of Sources Used:

• Brandt, J. R. (1998). Beyond the supply chain. Industry Week, November 2, 1998. vol 247, pp. 6-10.
• Candadai, A., Champati, S., Herrmann, J. W., Minis, I. and Ramachandran, V., (1994). Information needs in agile manufacturing. ASME Database Symposium, 1994, pp. 101-109.
• Gunasekaran, A. and Yusu, Y.Y. (2002). Agile manufacturing: a taxonomy of strategic and technological Imperatives, International Journal of Production Research (2002); vol. 40, no. 6, ppg 1357-1385. Retrieved 6 October 2006 from http://www.umassd.edu/charlton/birc/am_taxonomy.pdf#search=2relationshipbetweenjust-in-timeCCADCCAMCCIMCMRPIICflexiblemanufacturingCandmasscustomization.2
• Ghani, A. K., & Jayabalan, V. (2000). Advanced manufacturing technology and planned organizational change. Journal of High Technology Management Research, vol 11(1), pp. 1-18.
• Gupta, U. G. and Mittal, R. O., (1996). Quality, time, and innovation based performance measurement system for agile manufacturing. Proceedings - Annual Meeting of the Decision Sciences Institute, vol 3, 1996, ppg1511-1513.

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