The strategic influence of structural manufacturing decisions

2007 ◽  
Vol 27 (6) ◽  
pp. 605-626 ◽  
Author(s):  
Begoña Urgal‐González ◽  
José Manuel García‐Vázquez
Keyword(s):  
Competitive Advantage ◽  
Business Strategy ◽  
Postal Survey ◽  
Structural Equations ◽  
Competitive Priorities ◽  
Content Type ◽  
Business Units ◽  
Relevant Role ◽  
The Creation ◽  
Using Data

PurposeThe purpose of this study is to examine the relationship between the implementation of certain structural manufacturing decisions and the importance that is attached to certain competitive priorities in the firm's business strategy. The paper seeks to analyse the role these decisions play in the creation of a firm's competitive advantage, and aims to provide evidence of which decisions provide the firm with strategically relevant production capabilities.Design/methodology/approachThe hypotheses were tested using data collected from business units in the metal industry in Spain, by means of a postal survey. A total of 188 completed questionnaires were obtained and a structural equations analysis was conducted on the results.FindingsThis study has provided evidence for the strategic importance of structural decisions in the production area. The findings of this research suggest that the implementation of certain decisions can originate capabilities on which a competitive advantage can be based.Research limitations/implicationsThe results of this research are specific to the industry, and the analysis is static. Further research should be conducted in other industries. A longitudinal study would be convenient, in order to obtain a good understanding of the causal relationships between structural production decisions and the competitive priorities emphasised in the business strategy.Practical implicationsStrategic management of the capabilities which derive from structural manufacturing decisions is shown to have a relevant role in the creation of competitive advantage.Originality/valueThe present paper contributes to the study of the strategic function of manufacturing from the perspective of manufacturing capabilities. In particular, we examine the strategic contribution of structural manufacturing decisions by contributing different capabilities.

scholarly journals Environmental and social sustainability priorities

2015 ◽  
Vol 35 (2) ◽  
pp. 216-245 ◽  
Author(s):  
Annachiara Longoni ◽  
Raffaella Cagliano
Keyword(s):  
Business Strategy ◽  
Social Sustainability ◽  
Operations Strategy ◽  
Manufacturing Strategy ◽  
Competitive Priorities ◽  
Content Type ◽  
Short And Long Term ◽  
Using Data ◽  
Term Performance

Purpose – Environmental and social sustainability are becoming key competitive priorities for companies, but the way in which they are integrated in operations strategies remains an open issue. The purpose of this paper is to determine whether established operations strategy configuration models (i.e. price-oriented, market-oriented and capability-oriented models) are modified to include environmental and social priorities and whether different operations strategy configuration models are equally successful in the short and long term. Design/methodology/approach – Analyses were performed using data from the International Manufacturing Strategy Survey (2009), including companies in the assembly industry in 21 different countries. According to previous studies, cluster analysis of competitive priorities and ANOVA analysis of the business strategy and short- and long-term performance were performed. Findings – The results show that traditional operations strategy configuration models are slightly modified. Market-oriented and capability-oriented operations strategies are complemented by environmental and social sustainability priorities. These operations strategies are adopted by companies with a differentiation and innovation business strategy. Moreover, capability-oriented companies, which are the most committed to environmental and social sustainability, perform better in both the short and long term. Practical implications – This research shows to companies that traditional operations strategies focusing on specific competitive priorities (e.g. low price) are being replaced by more holistic strategies that include sustainability priorities. However, environmental and social priorities contribute to competitive advantage when complementing capability-oriented operations strategies. Originality/value – This paper extends operations strategy configuration models highlighting how environmental and social sustainability priorities can be deployed together with traditional competitive operations priorities.

Better value chains: a matrix for competitive advantage

2014 ◽  
Vol 35 (5) ◽  
pp. 43-48 ◽  
Author(s):  
Conrad den Hertog
Keyword(s):  
Competitive Advantage ◽  
Value Chain ◽  
Business Strategy ◽  
Senior Management ◽  
Business Strategies ◽  
Value Chains ◽  
Future Research ◽  
Business Unit ◽  
Content Type ◽  
Business Units

Purpose – The purpose of this paper is to present a new and comprehensive business strategy matrix which can be used to create competitive advantage for the value chain of every business unit of any firm. Design/methodology/approach – This paper reviews the key findings of several well-known papers within the value chain literature and then adds several new conceptual insights to step by step create a logically developed, business strategy matrix featuring four strategy choices. Findings – This paper presents the four business strategy choices of competitive value chains, based on the business strategies of innovative quality, lean cost, agile delivery and attentive service. Research limitations/implications – A future research implication of this paper is to empirically test the financial benefits for producers of custom products, of applying agile delivery as a key business strategy. Practical implications – This paper provides the senior management of each business unit of any firm, with a clear guide to defining an optimal business strategy. Social implications – This paper is intended to advance the practice of business strategy by senior management, to enhance customer value across all business units. Originality/value – This paper expands upon existing business strategy models by providing a comprehensive business strategy matrix, which can be applied to all possible business units. It does this by building upon current best practice to demonstrate that next to innovative quality, lean cost and attentive service strategies, an agile delivery strategy is required in the case of custom products.

Developing a model for supply chain agility and innovativeness to enhance firms’ competitive advantage

2019 ◽  
Vol 57 (7) ◽  
pp. 1511-1534 ◽  
Author(s):  
Chih-Jou Chen
Keyword(s):  
Supply Chain ◽  
Competitive Advantage ◽  
Dynamic Capabilities ◽  
Business Environment ◽  
Structural Equations ◽  
Survey Method ◽  
Content Type ◽  
Supply Chain Agility ◽  
It Integration ◽  
The Impact

Purpose Developing agility and innovativeness as dynamic capabilities are important for firms to sustain their competitive advantage in today’s global economy. The purpose of this paper is to develop and empirically test a framework to investigate how the supply chain agility and innovativeness are achieved through IT integration and trust in members of supply chain and how these, in turn, can enhance firms’ competitive advantage. Design/methodology/approach This research employs a survey method and data are collected from senior managers working in the supply chain or IT area. The model and hypotheses are tested utilizing data from 204 usable Taiwan manufacturing firms via structural equations modeling methodology. Findings The study demonstrates that both IT integration and trust in supply chain members significantly enhance supply chain agility and innovativeness, which in turn positively affect firm’s competitive advantage. The results indicate that IT integration and trust are antecedents and major joint partnership resources for improving supply chain agility and innovativeness. Research limitations/implications Data are collected from manufacturing industry in Taiwan and single respondent from each firm, the generalizability of current findings to other industries or countries should require additional investigation. Practical implications The study suggests that a firm should focus on IT integration and trust in supply chain members to achieve supply chain agility and innovativeness. To take advantage of supply chain agility and innovativeness, through maximizing firm’s competitive advantage, firms should continually adapt to the fast changing business environment and search for creative ways to satisfy new market needs. Originality/value Given the attention paid to supply chain agility and innovativeness in terms of importance to responding to business uncertainty and competitiveness, and more recently, as important capabilities in managing supply chain management, this paper investigates how IT integration and trust can contribute to supply chain agility and innovativeness. Provide evidence regarding the impact of IT integration and trust on agility of supply chains, innovativeness and competitive advantage.

Enhancing participation through organizational drivers

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Fernando Ruiz-Pérez ◽  
Álvaro Lleó ◽  
Elisabeth Viles ◽  
Daniel Jurburg
Keyword(s):  
Job Satisfaction ◽  
Social Influence ◽  
Self Efficacy ◽  
Employee Participation ◽  
Research Literature ◽  
Structural Equations ◽  
Content Type ◽  
Individual Outcomes ◽  
Managerial Implications ◽  
Using Data

PurposeThis paper unifies previous research literature on employee participation in continuous improvement (CI) activities through the development and validation of a conceptual model. The purpose of this model is to illustrate how organizational drivers foster organizational and individual enablers which, in turn, strengthen employee participation in CI. The article also discusses the results and managerial implications.Design/methodology/approachFirstly, the article introduces the main variables affecting employee participation in CI, looking at the different possible relationships proposed in existing literature. In accordance with the Kaye and Anderson (1999) framework, these variables are categorized into organizational drivers, organizational and individual enablers and individual outcomes. Based on these categories, a model was put forward and empirically validated using data collected from three Spanish companies (n = 483) and using partial least squares structural equations modelling (PLS–SEM).FindingsA model was put forward, proposing PIRK systems (power, information, rewards, knowledge) as the main organizational driver of employee participation in CI activities. PIRK impacts positively on social influence (organizational enabler), self-efficacy and job satisfaction (individual enablers). These enablers, together with employee intention of participating, help determine employee participation in CI activities.Practical implicationsOrganizations with CI programmes should develop systems based on employee empowerment, information, rewards and knowledge in order to foster their self-efficacy and seek out a culture where social influence may help to improve job satisfaction. By suitably managing these organizational drivers, managers can help to further develop certain organizational and individual enablers responsible for fostering employee participation in CI activities.Originality/valueBy unifying different behavioural and CI-related frameworks, this paper carries out an in-depth study into the process of fostering employee participation as the key aspect in helping organizations sustain CI programmes. This paper shows the importance of managing PIRK organizational drivers as levers in the process of developing certain organizational and individual enablers, which are responsible for enhancing employee participation in CI.

Volunteering drivers and continuation will: the role of engagement

2019 ◽  
Vol 38 (5) ◽  
pp. 405-420 ◽  
Author(s):  
Mohammed Aboramadan ◽  
Abderrahman Hassi ◽  
Hatem Jamil Alharazin ◽  
Khalid Abed Dahleez ◽  
Belal Albashiti
Keyword(s):  
Nonprofit Organizations ◽  
Work Engagement ◽  
Structural Equations ◽  
Content Type ◽  
Theoretical Perspectives ◽  
Using Data ◽  
The Relationship ◽  
And Training ◽  
Practical Implications

Purpose As volunteering research in nonprofit organizations is growing significantly, the purpose of this paper is to examine the effects of volunteering drivers and work engagement on volunteer continuation will. Design/methodology/approach Building on empirical and theoretical perspectives, the authors hypothesized that work engagement mediates the relationship between volunteering drivers and volunteer continuation will. To verify our hypotheses, we examined data collected from 372 active volunteers from Palestinian nonprofit organizations. The authors conducted structural equations modeling (SEM) analyses using the AMOS 24 platform to investigate direct and indirect effects. Findings The results of the study show that work engagement is a significant predictor of volunteer continuation will; mediates the relationship between career driver of volunteering and volunteer continuation will; and mediates the relationship between the protective driver of volunteering and volunteer continuation will. Research limitations/implications The research design limits establishing cause and effect relationships among the examined variables. Practical implications The results of the current study may be of use for nonprofit organizations managers formulating effective recruitment and training policies to retain their volunteers. Originality/value The paper contributes to the limited empirical body of the volunteering research. The study is novel as it is one of the few studies conducted using data coming from a non-western context.

Business strategy and tax aggressiveness in Brazil

2019 ◽  
Vol 12 (4) ◽  
pp. 522-535
Author(s):  
Antonio Lopo Martinez ◽  
Bruno Afonso Ferreira
Keyword(s):  
Business Strategy ◽  
Stock Exchange ◽  
Content Type ◽  
Tax Aggressiveness ◽  
Strategy Type ◽  
Clear Result ◽  
The Usa ◽  
Reactor Types ◽  
Using Data ◽  
The Relationship

Purpose The purpose of this paper is to analyse the relationships between company business strategy type and tax aggressiveness for companies listed on the Brazilian Bovespa stock exchange. Design/methodology/approach Following the concepts of Miles and Snow (1978, 2003), we classified company strategies into four types, analyser, defender, prospector and reactor, using data from 2012 to 2016. The authors excluded financial companies due to a differential tax regime. Next, prospector and defender companies were identified, and the relationship of these strategies with tax aggressiveness assessed using regression analysis; analyser and reactor types were not included as these are defined as a combination of the prospector and defender type, or non-strategic, respectively. To assess aggressiveness, the authors used effective tax rates on corporate profits, as well as a metric that captures tax burden in terms of all taxes paid by a company. Findings Most Brazilian companies were analysers (76.66 per cent), with prospector companies being a minority, and defenders representing a little over 21 per cent. Unlike the findings of Higgins et al. (2015), the authors found that defender companies also have a tendency to practice aggressive tax planning. Practical implications The authors found the Brazilian defender companies similar to prospectors, tended to be more tax aggressive or to take higher tax risks. Thus, findings in economies such as the USA may not be generalizable to other countries, such as Brazil, Russia, India or China (i.e. the BRICs), for example. The particularities of each country, such as ease of access to the capital market, tax deductibility of investment in research and development and legal issues must be considered before applying generalized prognostics. Originality/value This paper offers original empirical evidence from Brazil of the relationship between company strategy type and the tax aggressiveness, offering a clear result that differs in part from results from American companies. It therefore encourages further studies on this topic.

scholarly journals How Collaborative Culture Supports for Competitive Advantage: The Mediating Role of Organizational Learning

2017 ◽  
Vol 8 (2) ◽  
pp. 73 ◽  
Author(s):  
Hui Lei ◽  
Phong Ba Le ◽  
Hanh Thi Hong Nguyen
Keyword(s):  
Organizational Learning ◽  
Competitive Advantage ◽  
Theoretical Basis ◽  
Structural Equations ◽  
Service Firms ◽  
Collaborative Culture ◽  
Mediating Role ◽  
Using Data ◽  
The Relationship

The paper aims to clarify the influences of collaborative culture and specific aspects of organizational learning on competitive advantage. Structural equations modeling (SEM) is applied to test degree of influence of each variable has on each other through using data collected from 298 participants at 150 large manufacturing and service firms. The result shows that organizational learning act as mediating roles in the relationship between collaborative culture and competitive advantage. Our results indicate that collaborative culture practices will yield significant effects to competitive advantage directly or indirectly through improving specifics aspects of organizational learning. The findings of this study provide a theoretical basis, which can be used to analyze relationships between collaborative culture, specifics aspects of organizational learning and competitive advantage. From a practical perspective, the study brings more deeply understanding for CEOs/managers about the necessary factors to encourage and promote firm’s competitive advantage.

Servitization and digitalization in manufacturing: the influence on firm performance

2019 ◽  
Vol 35 (3) ◽  
pp. 564-574 ◽  
Author(s):  
María-Luz Martín-Peña ◽  
José-María Sánchez-López ◽  
Eloísa Díaz-Garrido
Keyword(s):  
Firm Performance ◽  
Business Strategy ◽  
Mediating Effect ◽  
Linear Regression Models ◽  
Analysis Model ◽  
Industrial Firms ◽  
Content Type ◽  
Emerging Trends ◽  
Using Data ◽  
The Relationship

Purpose This paper aims to present a comprehensive framework that integrates the emerging trends of servitization and digitalization in manufacturing. The influence between digitalization and servitization is defined and quantified. Their contribution to firm performance is analyzed. Design/methodology/approach This paper presents a theoretical model that captures the relationships between the analyzed variables. Drawing on the Spanish Business Strategy Survey, hypothesis testing is conducted using data on 828 Spanish industrial firms. Linear regression models are built to capture the effect of each variable on firm performance and the type of interaction between the variables. Findings Servitization and digitalization are positively related to firm performance. Digitalization positively mediates the relationship between servitization and firm performance. The mediating effect of digitalization contributes to differentiating between the direct and indirect effects of servitization on firm performance. Practical implications The paper provides a useful analysis framework for firms to evaluate servitization and digitalization as success strategies. It is proposed that firms must simultaneously commit to digital transformation and the incorporation of services to create value, especially in business-to-business settings. Servitization and digitalization interact to exert a greater influence on performance. Originality/value The paper contributes to the theory on service strategy by providing an analysis model that includes digitalization as a mediator of the relationship between servitization and firm performance. Digitalization may provide a mechanism to unlock the benefits of servitization and thereby enhance firm performance.

Integrative capability, business model innovation and performance

2019 ◽  
Vol 22 (3) ◽  
pp. 541-561 ◽  
Author(s):  
Changwei Pang ◽  
Qiong Wang ◽  
Yuan Li ◽  
Guang Duan
Keyword(s):  
Firm Performance ◽  
Business Model ◽  
Business Strategy ◽  
Business Model Innovation ◽  
Mediating Effect ◽  
Business Strategies ◽  
Cross Sectional ◽  
Content Type ◽  
Using Data ◽  
The Relationship

Purpose The purpose of this paper is to examine how business model innovation (BMI) mediates the relationship between integrative capability, business strategy and firm performance. Design/methodology/approach A literature review provides the model and hypotheses. Using a sample of 165 Chinese firms, the authors conduct the examination using a theoretical model and hypotheses following standard analysis methods. Findings The results show that BMI positively mediates the relationship between integrative capability and firm performance. Moreover, a differentiation strategy positively moderates the link between BMI and firm performance, while a cost leadership strategy presents a significantly negative moderating effect. Research limitations/implications First, the authors test the hypotheses using data from China; thus data from other emerging economies should be tested. Second, the authors use cross-sectional data in this study making it impossible to verify the dynamic developed in the process of BMI; a longitudinal study could provide a more comprehensive understanding. Third, the authors consider one intermediate mechanism to test the relationship of integrative capability and firm performance; additional factors may link integrative capability and firm performance. Practical implications The mediating effect of BMI suggests managers should pay more attention to BMI to improve firm performance, and they should understand that BMI’s role varies across different business strategies. Originality/value The paper is original in its investigation of the effect of integrative capability and BMI on firm performance using data from China and demonstrates the mediating effect of BMI on the relationship between integrative capability and firm performance.

Empirical assessment of factors influencing potential of manufacturing flexibility in organization

2018 ◽  
Vol 24 (1) ◽  
pp. 158-182 ◽  
Author(s):  
Ruchi Mishra ◽  
Ashok K. Pundir ◽  
L. Ganapathy
Keyword(s):  
Business Strategy ◽  
Postal Survey ◽  
Manufacturing Flexibility ◽  
Key Factors ◽  
Process Technology ◽  
Content Type ◽  
Leadership Quality ◽  
Supplier Integration ◽  
Plant Level ◽  
Group Interviews

Purpose The purpose of this paper is to develop an understanding of factors and their associated attributes that largely influence achievement of manufacturing flexibility. Design/methodology/approach Using two sequential phases consisting of literature review, plant visits and focus group interviews, the study identifies key factors that influence manufacturing flexibility and develop and validate these factors through postal survey. In total, 211 responses from multiple industries were collected to analyze the data. Findings The study identifies and develops eight factors and their associated 39 attributes that largely influence achievement of manufacturing flexibility. Out of eight underlying constructs, operational improvement practices construct reported highest level of variance followed by advanced manufacturing technology, human resource practices, supplier flexibility, supplier integration, customer integration, product-process technology integration and marketing and manufacturing integration. Research limitations/implications The scope of the study is limited to the plant level. Therefore, other strategic-level factors, such as business strategy, the amount of investment, leadership quality have not been addressed in this research. Practical implications The findings can assist managers in improving the level of manufacturing flexibility by specifying key factors essential for achievement of manufacturing flexibility. An important implication for managers is that identification of factors should be followed by proper assessment and implementation so as to remain competitive in the market. Originality/value The findings provide insight into the factors that facilitate in achievement of manufacturing flexibility.

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