Manufacturing capabilities reconfiguration in manufacturing strategy for sustainable competitive advantage

Yohanes Kristianto, Petri Helo and Josu Takala

International Journal of Operational Research, 2011, vol. 10, issue 1, 82-101

Abstract: This paper focuses on reconfiguring manufacturing capabilities by aligning know-how and customer focus capabilities in finding manufacturing capabilities mechanism. The methodology applies Newsboy problem to capability transformation and game theory to capture bigger market share. Further, response analysis finds reconfiguration response pattern. The results show that a firm manufacturing strategy should consider know-how and customer focus on their manufacturing capability transformation to get information related to product life cycle and costs of technology and opportunity lost. The proposed approach shows that combination among Newsboy vendor problem, game theory and system dynamic models is suitable to be applied in maintaining the firm competitiveness. An innovated model of 'Newsboy vendor-game theory-system dynamic' shows the novelty of this proposed methodology.

Keywords: manufacturing capabilities; know-how; newsboy vendor problem; game theory; system dynamics; capability reconfiguration; manufacturing strategy; sustainable competitive advantage; customer focus; capability transformation; product life cycle; technology ancosts; opportunities lost; modelling. (search for similar items in EconPapers)
Date: 2011
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Citations: View citations in EconPapers (1)

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Persistent link: https://EconPapers.repec.org/RePEc:ids:ijores:v:10:y:2011:i:1:p:82-101

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