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A Typology of Plants in Global Manufacturing Networks

Vereecke, Ann
Van Dierdonck, Roland
De Meyer, Arnoud
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Publication Type
Journal article with impact factor
Editor
Supervisor
Publication Year
2006
Journal
Management Science
Book
Publication Volume
52
Publication Issue
11
Publication Begin page
1737
Publication End page
1750
Publication Number of pages
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Abstract
The purpose of this paper is to propose a new, empirically derived typology of plants in the international manufacturing network of multinational companies. This typology is based on the knowledge flows between the plants. In our research, network analysis has been used as a methodology for understanding the position of plants in international manufacturing networks. The focus has been primarily on the intangible knowledge network, and secondarily on the physical, logistic network. Our analysis leads to four types of plants with different network roles: the isolated plants, the receivers, the hosting network players, and the active network players. Our analysis shows that the different types of plants play a different strategic role in the company, have a different focus, and differ in age, autonomy, and level of resources and investments. Also, the analysis suggests that the evolution of the plant depends to some extent on the network role of the plant. Finally, two scenarios for the development of a strong network role are identified. The research is useful for the scholar studying the architecture of knowledge networks, as well as for the practitioner who is in charge of an international network of manufacturing units.
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Keywords
Manufacturing
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Knowledge Domain/Industry
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