Global operations strategy: Coordinating manufacturing networks
This paper presents a concept that describes how companies can manage their international operations so as to facilitate the coordination of their manufacturing networks. The research presented originates from a model that was developed at the Swedish telecommunications company Ericsson in the mid-1990s, but has since then been further elaborated. More specifically, the purpose of this paper is to show how Ericsson Radio Systems incorporated the recent research on manufacturing networks found in literature in their global operations strategy, and to present the conceptual model that was the result of these efforts. The conceptual model described in this paper focuses on the blending of cost competitiveness, flexibility, and innovativeness; a combination termed the "transnational solution" in the literature. In addition to a literature review on manufacturing networks and global operations and the proposed conceptual model, the paper also contains a case illustration showing how Ericsson has implemented a version of the conceptual model so that their global operations strategy realizes the transnational solution.
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Volume (Year): 36 (2008)
Issue (Month): 1 (February)
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References listed on IDEAS
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- Frank L DuBois & Brian Toyne & Michael D Oliff, 1993. "International Manufacturing Strategies of U.S. Multinationals: A Conceptual Framework Based on a Four-Industry Study," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 24(2), pages 307-333, June.
- Childerhouse, Paul & Towill, Denis R., 2003. "Simplified material flow holds the key to supply chain integration," Omega, Elsevier, vol. 31(1), pages 17-27, February.
- Leong, G. K. & Snyder, D. L. & Ward, P. T., 1990. "Research in the process and content of manufacturing strategy," Omega, Elsevier, vol. 18(2), pages 109-122.
- Jan Johanson & Jan-Erik Vahlne, 1977. "The Internationalization Process of the Firm—A Model of Knowledge Development and Increasing Foreign Market Commitments," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 8(1), pages 23-32, March.
- Rudberg, Martin & Olhager, Jan, 2003. "Manufacturing networks and supply chains: an operations strategy perspective," Omega, Elsevier, vol. 31(1), pages 29-39, February.
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