Risk analysis in manufacturing footprint decisions

A key aspect in the manufacturing footprint analysis is the risk and sensitivity analysis of critical parameters. In order to contribute to efficient industrial methods and tools for making well-founded strategic decisions regarding manufacturing footprint this paper aims to describe the main risks that need to be considered while locating manufacturing activities, and what risk mitigation techniques and strategies that are proper in order to deal with these risks. It is also proposed how the risk analysis should be included in the manufacturing location decision process

Supply chain risks: an automotive case study

The supply chain is a complex system exchanging information, goods, material and money within enterprises, as well as between enterprises within the value chain. An effective supply chain management contributes to large corporate profits and it is therefore a valid path to reinforce the enterprises' competitiveness. However, supply chain is exposed to influences from undesirable factors both from the outside environment and the entities in the chain. Moreover, industrial trends towards lean production, increasing outsourcing, globalisation and reliance on supply networks capabilities and innovations, increase the complexity of the supply chain . Therefore, managers need to identify, and manage risks, as well as opportunities, from a more diverse range of sources and contexts. This paper contributes to identify and categorise supply chain risks based on a literature study and an automotive manufacturer’s viewpoint. The empirical results indicate suppliers and raw material prices as the major internal and external potential risks

Conditions for Innovation: Insights from a Multi-case Study

The paper is based on a multiple-case study of conditions for product-based innovations. Key actors from 18 cases were interviewed concerning the specific character of the innovation process, its parts and phases, with a focus on the realization phase. The cases are analyzed and discussed on the basis of an experience-based framework with seven specific components. In addition, the data are illustrated and discussed by more general themes of successful and unsuccessful innovation processes. It is concluded that the components of the used framework are necessary but individually not sufficient to maintain a continuous friction-free innovation process. The dynamics of the innovation processes are well illustrated by the framework

Production localization factors: an industrial and literature based review

Decision are commonly based on the available or easily accessible information; this is also true for more complex assessments like production localization. Where to locate production is often a key strategic decisions that has great impact on a company’s profitability for a long time; insufficient business intelligence may therefore have grave consequences. Six production localization factor studies have been assessed to see if they are focusing on the same issues and if there are any gaps. A new approach for structuring localization factors and the localization process is then presented and assessed with regards to some previously identified critical issues

Industrial waste management within manufacturing: a comparative study of tools, policies, visions and concepts

Industrial waste is a key factor when assessing the sustainability of a manufacturing process or company. A multitude of visions, concepts, tools, and policies are used both academically and industrially to improve the environmental effect of manufacturing; a majority of these approaches have a direct bearing on industrial waste. The identified approaches have in this paper been categorised according to application area, goals, organisational entity, life cycle phase, and waste hierarchy stage; the approaches have also been assessed according to academic prevalence, semantic aspects, and overlaps. In many cases the waste management approaches have similar goals and approaches, which cause confusion and disorientation for companies aiming to synthesise their management systems to fit their waste management strategy. Thus, a study was performed on how waste management approaches can be integrated to reach the vision of zero waste in manufacturing

From Metrics to Process: Towards a Dynamic and Flexible Performance Measurement System for Manufacturing System

ABSTRACT Performance measurement systems are challenged by today's rapidly changing and highly competitive markets. Measures and management of these systems often fail to continuously reflect the dynamic business environment. This purpose of this paper is to discuss how to achieve a dynamic and flexible performance measurement system applicable for manufacturing sites. The analysis is based on a literature review on major performance measurement schemes, as well as a problem identified in industry. The paper introduces an industrial case where the current measurement at Operations is briefly evaluated and put in relation to the findings made in the literature study. The industrial challenges and possibilities are set as one basis for a proposed future structure. Important aspects on functionalities/abilities for future research as well as development at the case company when choosing indicators and their implementation are discussed. Keywords: performance measurement system, productivity, manufacturing. INTRODUCTION In recent years considerable attention has been given on the design and use of performance measurement systems. As global competition increases and ownership and management has increasingly been separated, financial measures on return of investment have been applied for expanding range of applications, in order to facilitate a monitoring of management and execution from executive levels and owners. However, as Kennerly and Neely (2003) point out, there is wide documentation on the deficiencies in traditional financial performance measures and their insufficiency for the effective management of businesses in today's rapidly changing and highly competitive markets [1]: "Authors suggest that traditional financial performance measures are historical in nature ; provide little indication of future performance; encourage short termism These drawbacks of traditional measures have been especially visible during the latest year of financial crisis and rapid decline in orders, especially for the automotive sector. In addition, in an increasingly complex performance measurement context, the management of performance systems and performance indicators is increasingly important. Companies often fail to continuously reflect the dynamic business environment and their new priorities in their performance measurement systems. One specific aspect is the performance indicator's behaviour in relation to investments. When investing, the performance measures may in many cases indicate a decline in productivity, while the readiness for change in fact is improved. With this background, Neely (2005) points out five key research issues for performance measurement [9]: • How to design and develop enterprise performance management rather than measurement systems? • How to measure performance across supply chains and networks rather than within organisations? • How to measure intangible as well as tangible assets for external disclosure as well as internal management? • How to develop dynamic rather than static measurement systems? • How to enhance the flexibility of measurement systems so they can cope with organisational changes? On the basis of an industrial background from a case company, this paper focuses the two latter aspects in the research challenges, to develop a more dynamic and flexible performance measurement system. The objective is to present aspects important for enabling a dynamic behaviour and flexibility within performance measurement schemes and a complementary procedure for a manufacturing context. The paper is a part of a larger one-year project ambition to explore and develop a dynamic and flexible measurement system applicable for manufacturing sites in today's rapidly changing and highly competitive global market