Progression or regression in facilities focus

Terence J. Hill and R. M. G. Duke‐Woolley

Strategic Management Journal, 1983, vol. 4, issue 2, 109-121

Abstract: In many industries today, advances in technology and changes in market demand have together resulted in the need for significant manufacturing change, both in terms of products and processes. This need to respond in order to stay competitive means not only planning for product change but also planning for process change. Further, this latter aspect has two dimensions. The first concerns process technology changes which are due to the introduction of new products or to gain distinct, accrued advantages such as process capability or cost. The second is the need for process alterations which are necessary to support changes relating to existing products in terms of mix, volumes and product maturity. In many situations, however, the consideration of process change, particularly to support alterations in product mix, is an anathema to the presently‐held view of cost‐effective manufacturing. Consequently, such changes tend to be made on an ad hoc rather than planned basis. However, if this attitude is not reviewed then companies may gradually lose their competitive edge as the required facilities focus deteriorates.

Date: 1983
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