Manufacturing Capability to Improve Project/Engineer-to-Order Manufacturing Performance

Abstract:

Project manufacturing or engineer-to-order (ETO) manufacturing is an operation designed to provide unique but similar products. It not only takes advantage of common manufacturing requirements and efficiency, but also allow for customization into unique combinations. Unique orders may be managed like a manufacturing project. However, many manufacturers do not adequately enhance manufacturing capability leading to a poor project manufacturing performance. Thus, the primary purpose of this study was to assess the relationships between manufacturing capability and manufacturing project performance. The results suggest that manufacturing capability can improve manufacturing project performance. Furthermore, the positive association between manufacturing capability and manufacturing project performance depends on process maturity, complexity, time availability, and team size.

• Periodical: Advanced Materials Research (Volume 630)
• Pages: 514-519
• DOI: https://doi.org/10.4028/www.scientific.net/AMR.630.514
• Online since: December 2012
• Authors: Li Ren Yang
• Keywords: Engineer-to-Order, Manufacturing Capability, Process Maturity, Project Manufacturing

References

[1] G. Cleveland, R.G. Schroeder, J.C. Anderson, A theory of production competence, Decision Science. 20 (1989) 655-688.

[2] L. Avella, D. Vázquez-Bustelo, The multidimensional nature of production competence and additional evidence of its impact on business performance, International Journal of Operations & Production Management. 30 (2010) 548-583.

DOI: 10.1108/01443571011046021

[3] S.K. Vickery, A theory of production competence revisited, Decision Science. 22 (1991) 635-643.

[4] S.K. Vickery, C. Droge, R.E. Markland, Production competence and business strategy: do they affect business performance? Decision Sciences. 24 (1993) 435-455.

DOI: 10.1111/j.1540-5915.1993.tb00482.x

[5] S. Terjesen, P.C. Patel, J.G. Covin, Alliance diversity, environmental context and the value of manufacturing capabilities among new high technology ventures, Journal of Operations Management. 29 (2011) 105-115.

DOI: 10.1016/j.jom.2010.07.004

[6] A.L. Stinchcombe, Social structure and organizations, in: J.G. March, (Ed. ), Handbook of Organizations, Rand McNally, Chicago, Illinois, 1965, pp.142-193.

[7] H.K. Bowen, K.B. Clark, C.A. Holloway, S.C. Wheelwright, The Perpetual Enterprise Machine, Oxford University Press, New York, (1994).

[8] T.P.C. Fan, Determinants of de novo new entrant survival in the liberalized intra-European scheduled passenger airline industry, Transport Research Part E: Logistics and Transportation Review. 45 (2009) 293-306.

DOI: 10.1016/j.tre.2008.09.009

[9] F. Wiengarten, B. Fynes, M. Pagell, S. de Búrca, Exploring the impact of national culture on investments in manufacturing practices and performance: an empirical multi-country study, International Journal of Operations & Production Management. 31(2011).

DOI: 10.1108/01443571111126328

[10] M. Safizadeh, L. Ritzman, D. Mallick, Alternative paradigms in manufacturing strategy, Production and Operations Management. 9 (2000) 111-127.

DOI: 10.1111/j.1937-5956.2000.tb00328.x

[11] K. Dooley, A. Subra, J. Anderson, Maturity and its impact on new product development project performance, Research in Engineering Design. 13 (2001) 23-29.

DOI: 10.1007/s001630100003

[12] D. Kuhn, C. Wells, J. Armitage, K. Cusick, S. Garcia, M. Hanna, P. Malpass, H. Pierson, A Description of the Systems Engineering Capability Maturity Model Appraisal Method Version 1. 1, CMU/SEI-96-HB-004, Carnegie Mellon Software Engineering Institute, Pittsburgh, Pennsylvania, (1996).

DOI: 10.21236/ada310235

[13] P.S. Booz, T.J. Allen, G. Hamilton, New Product Management for the 1980's, Booz, Allen and Hamilton Inc., New York, (1982).

DOI: 10.2172/12227106

[14] A. Griffin, PDMA research on new product development practices: updating trends and benchmarking best practices, Journal of Product Innovation Management. 14 (1997) 429-458.

DOI: 10.1111/1540-5885.1460429

[15] I.T. Oya, O.R. Walter, Analysis of the characteristics of projects in diverse industries, Journal of Operations Management. 16 (1998) 43-61.

[16] T. Alhazmi, R. McCaffer, Project procurement system selection model, Journal of Construction Engineering and Management. 126 (2000) 176-184.

DOI: 10.1061/(asce)0733-9364(2000)126:3(176)

[17] L.S. Pheng, Q.T. Chuan, Environmental factors and work performance of project managers in the construction industry, International Journal of Project Management. 24 (2006) 24-37.

DOI: 10.1016/j.ijproman.2005.06.001

[18] R. Müller, J.R. Turner, Matching the project manager's leadership style to project type, International Journal of Project Management. 25 (2007) 21-32.

DOI: 10.1016/j.ijproman.2006.04.003

[19] J.S. Kim, P. Arnlod, Manufacturing competence and business performance: a framework and empirical analysis, International Journal of Operation & Production Management. 13 (1992) 4-25.

[20] J.S. Kim, J.G. Miller, The Manufacturing Future Factbook: 1990 U.S. Manufacturing Futures Survey, Boston University Manufacturing Roundtable Research Report Series, Boston, Massachusetts, (1990).

[21] F.Y.Y. Ling, S.P. Low, S.Q. Wang, H.H. Lim, Key project management practices affecting Singaporean firms' project performance in China, International Journal of Project Management. 27 (2009) 59-71.

DOI: 10.1016/j.ijproman.2007.10.004

[22] C.C. Chen, An objective-oriented and product-line-based manufacturing performance measurement, International Journal of Production Economics. 112 (2008) 380-390.

DOI: 10.1016/j.ijpe.2007.03.016

[23] J.F. Hair, W.C. Black, B.J. Babin, R.E. Anderson, R.L. Tatham, Multivariate Data Analysis, sixth ed., Prentice-Hall, Upper Saddle River, New Jersey, (2006).

[24] R.P. Bagozzi, Y. Yi, L.W. Phillips, Assessing construct validity in organizational research, Administrative Science Quarterly. 36 (1991) 421-458.

DOI: 10.2307/2393203

[25] T. Li, T. Cavusgil,. Decomposing the effects of market knowledge competence in new product export, European Journal of Marketing. 34 (2000) 57-80.

DOI: 10.1108/03090560010306205