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Adaptation in the Production Process

Author

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  • Ferdinand K. Levy

    (Stanford University and Rice University)

Abstract

The paper presents a new type of learning function useful in describing how firms improve their performances in new processes. The function, termed the "adaptation function," is shown to be capable of being related to variables that may affect a firm's rate of learning. Next, these variables are discussed, and the adaptation function is fitted to some actual sets of data. Finally, the paper turns to some normative implications of the function. Specifically, the adaptation function is shown to be useful to firms in their budgeting of training and in aiding their equipment replacement decisions.

Suggested Citation

  • Ferdinand K. Levy, 1965. "Adaptation in the Production Process," Management Science, INFORMS, vol. 11(6), pages 136-154, April.
  • Handle: RePEc:inm:ormnsc:v:11:y:1965:i:6:p:b136-b154
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    File URL: http://dx.doi.org/10.1287/mnsc.11.6.B136
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    1. repec:spr:syspar:v:30:y:2017:i:5:d:10.1007_s11213-016-9403-6 is not listed on IDEAS
    2. Arumugam, V. & Antony, Jiju & Kumar, Maneesh, 2013. "Linking learning and knowledge creation to project success in Six Sigma projects: An empirical investigation," International Journal of Production Economics, Elsevier, vol. 141(1), pages 388-402.
    3. Thompson, Peter, 2010. "Learning by Doing," Handbook of the Economics of Innovation, Elsevier.
    4. Jaber, Mohamad Y. & Guiffrida, Alfred L., 2004. "Learning curves for processes generating defects requiring reworks," European Journal of Operational Research, Elsevier, vol. 159(3), pages 663-672, December.
    5. David Besanko & Ulrich Doraszelski & Yaroslav Kryukov, 2017. "How Efficient is Dynamic Competition? The Case of Price as Investment," NBER Working Papers 23829, National Bureau of Economic Research, Inc.
    6. Jaber, Mohamad Y. & Guiffrida, Alfred L., 2008. "Learning curves for imperfect production processes with reworks and process restoration interruptions," European Journal of Operational Research, Elsevier, vol. 189(1), pages 93-104, August.
    7. Demeester, Lieven L. & Qi, Mei, 2005. "Managing learning resources for consecutive product generations," International Journal of Production Economics, Elsevier, vol. 95(2), pages 265-283, February.
    8. Scott F. Rockart & Nilanjana Dutt, 2015. "The rate and potential of capability development trajectories," Strategic Management Journal, Wiley Blackwell, vol. 36(1), pages 53-75, January.
    9. Lundmark, Robert, 2008. "Empirical specification of cost reductions associated with accumulated knowledge in the Swedish kraft paper industry," Forest Policy and Economics, Elsevier, vol. 10(7-8), pages 460-466, October.
    10. Vits, Jeroen & Gelders, Ludo, 2002. "Performance improvement theory," International Journal of Production Economics, Elsevier, vol. 77(3), pages 285-298, June.
    11. Fioretti, Guido, 2009. "From men and machines to the organizational learning curve," MPRA Paper 19392, University Library of Munich, Germany.
    12. Chang, Dong-Shang & Liu, Wenrong & Yeh, Li-Ting, 2013. "Incorporating the learning effect into data envelopment analysis to measure MSW recycling performance," European Journal of Operational Research, Elsevier, vol. 229(2), pages 496-504.
    13. Bradley Moore & Javier Calvo-Amodio & Joseph F. Junker, 0. "Applying a Framework for Complementarist Intervention Approaches to Service Organizations to Achieve a Sustainable Holistic Management Model," Systemic Practice and Action Research, Springer, vol. 0, pages 1-27.

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