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Coordination in International Manufacturing: The Role of Competitive Priorities and the Focus of Globally Dispersed Facilities
KTH, School of Industrial Engineering and Management (ITM), Industrial Economics and Management (Dept.), Industrial Management.ORCID iD: 0000-0002-1185-3696
KTH, School of Industrial Engineering and Management (ITM), Industrial Economics and Management (Dept.), Industrial Management.
UPM Madrid.
2018 (English)In: Sustainability, ISSN 2071-1050, E-ISSN 2071-1050, Vol. 10, no 5Article in journal (Refereed) Published
Abstract [en]

In this era of globalization, network integration has received great attention, as it certainly has implications for the competitiveness in international manufacturing. A key issue in integration is to coordinate activities of dispersed facilities in a way to align the target of locating abroad and the priorities to be competitive. This study explores and clarifies the effect of competitive priority and focus of dispersed facilities on coordinating the activities in intra-firm network manufacturing. Based on a multiple case study involving four different companies manufacturing in globally dispersed facilities, the results confirm that both competitive priorities and specific focus of global manufacturing are important for selecting mechanisms to coordinate overseas facilities, with the competitive priorities ‘quality’ and ‘flexibility’ being the more important. Furthermore, the findings reveal that companies place emphasis on informal mechanisms to coordinate the low-cost focused facilities. In turn, the importance of formal mechanisms seems equal for coordinating both low-cost focused facilities and those focused on capturing a local market. Finally, the findings of this paper suggest that elements of competitive priority, as well as the focus of dispersed facilities, should be considered towards making the choice for mechanisms of coordination. The findings bear important implications for the effective coordination of activities in international manufacturing.

Place, publisher, year, edition, pages
MDPI , 2018. Vol. 10, no 5
Keywords [en]
international manufacturing; competitiveness; globalization; sustainability; formal coordination; informal coordination
National Category
Other Mechanical Engineering
Identifiers
URN: urn:nbn:se:kth:diva-226693DOI: 10.3390/su10051314Scopus ID: 2-s2.0-85046094137OAI: oai:DiVA.org:kth-226693DiVA, id: diva2:1201295
Note

QC 20180507

Available from: 2018-04-25 Created: 2018-04-25 Last updated: 2018-05-07Bibliographically approved

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CiteExportLink to record
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Citation style
  • apa
  • harvard1
  • ieee
  • modern-language-association-8th-edition
  • vancouver
  • Other style
More styles
Language
  • de-DE
  • en-GB
  • en-US
  • fi-FI
  • nn-NO
  • nn-NB
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  • Other locale
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Output format
  • html
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  • asciidoc
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