High-Performance Manufacturing: Evidence from the Automotive Components Industry

Abstract

This paper examines the manufacturing performance and management practices of 71 automotive components suppliers located in Europe, Japan and North America. The research reports on the extent to which these plants have adopted 'lean production' practices and tests the proposition that such techniques are linked with high manufacturing performance. The results support the contention that tight process control and closely integrated operations are more productive. However, the data do not support the notion that the work organization and human resource policies associated with the lean production model represent a universal 'best way' for achieving high manufacturing performance. Rather, our findings emphasize the importance of context, specific plant characteristics and choice for understanding the performance of manufacturing organizations.