Categorizing WIP inventories in the food industry

Shellyanne Wilson

Journal of Agribusiness in Developing and Emerging Economies, 2013, vol. 3, issue 1, 27-48

Abstract: Purpose - The food and beverage industry, particularly the agro‐processing and packaging industry, plays a critical role in the economies of Latin America and Caribbean countries. To remain competitive and to increase competitiveness, companies operating in this industry must achieve operational efficiency – where one contributing factor would be the efficient management of their work‐in‐progress (WIP) inventories. Design/methodology/approach - Constructs from related manufacturing management research areas such as manufacturing strategy and coordination theory, are incorporated into a conceptual framework to examine the reasons WIP are needed in food plants. The framework is used to inform the development of an audit tool, which is applied in a case study. Findings - An audit tool is proposed, which can be used by practitioners to review the structural and infrastructural decisions that impact WIP. Research limitations/implications - The audit tool is applied in one case study. Further application of the tool will test its overall comprehensiveness. Practical implications - The audit tool can be used as part of a structured decision making process. Originality/value - The paper brings together a number of constructs to create an audit tool that can be used in both greenfield and existing plants in the food industry.

Keywords: Work‐in‐progress; Work‐in‐progress inventory; Food manufacturing; Coordination theory; Mix flexibility; Form postponement; Logistical complexity; Food industry (search for similar items in EconPapers)
Date: 2013
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Persistent link: https://EconPapers.repec.org/RePEc:eme:jadeep:v:3:y:2013:i:1:p:27-48

DOI: 10.1108/20440831311321647

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