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Delayering the global production network into congruent subnetworks
Ferdows, Kasra Vereecke, Ann De Meyer, Arnoud
Ferdows, Kasra
Vereecke, Ann
De Meyer, Arnoud
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Publication Type
Journal article with impact factor
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Supervisor
Publication Year
2016-01
Journal
Journal of Operations Management
Book
Publication Volume
41
Publication Issue
1
Publication Begin page
63
Publication End page
74
Publication Number of pages
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Abstract
Abstract The literature in operations management has not kept up with the growing complexity of and opportunities offered by global production networks. Managers need new tools to cope with this complexity. We propose one that is based on a model that delayers the global plant network into a set of subnetworks on the basis of complexity and proprietary information in the products they produce and production processes they use to produce them. This allows examining whether each subnetwork is congruent —i.e., has an appropriate manufacturing mission and the competencies that it would need to carry it out. We apply this tool to analyze the global production networks of five companies and illustrate its usefulness in performing periodic audit of the global production network and identifying potential strategic anomalies that deserve attention.
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Keywords
4014 Manufacturing Engineering, 40 Engineering, 35 Commerce, Management, Tourism and Services, 3507 Strategy, Management and Organisational Behaviour