An exploratory study of manufacturing practice and performance interrelationships

Abstract

Abstract PurposeThis paper is an exploratory investigation of manufacturing practices, dimensions of manufacturing performance, and their relationships via an empirical study, in an effort to develop new insights into operations strategy.Design/methodology/approachBy examining manufacturing data gathered from 58 of "America's Best Plants", we investigate an extended core set of manufacturing practices that we use to characterize the plants. Using cluster analysis, we classified each of the plants into one of four groups.FindingsThe analysis of the practices‐performance relationships for these clusters implies a progression of capabilities linked to specific performance gains.Research limitations/implicationsWe develop the notion of "strategic capability progression", and discuss its implications for operations strategy. The results of this exploratory study accord well with existing studies in operations strategy.Practical implicationsThe findings have broad implications for manufacturing managers regarding effective deployments of resources aimed at improving operating capabilities and manufacturing plant performance.Originality/valueThe findings point to new and promising avenues for enriching and elaborating contemporary theories of operations strategy.