Research On Relationship Between Competitive Priorities And Manufacturing Objectives Under Different Production Modes Based On CODP

With global economic integration and industrial economy to knowledge economy,customer demand tends to personalized and market diversified. In response to changes in market and environmental conditions, shifts among production modes have taken place. In this context, to understand customer needs and produce the individualized product of customer satisfaction become the important content of production mode selection decision for manufacturing enterprise. Customer involvment is the most direct way for quickly and accurately understanding customer demand, scholars put forward the concept of customer orders coupling point(CODP)based on the manufacturing practice of customer involvment. In manufacturing strategy, different CODP formed different production mode. In order to meet customer demand also maximize their manufacturing system function, manufacturing enterprise produces strategic decision problem under different production mode. Since Skinner proposed the concept of manufacturing strategy in 1969, the relationship between competitive priorities and manufacturing objectives have been attach importance by researchers and practitioners of manufacturing strategy as an important part of manufacturing strategy decision-making process. Scholars regard the relationship between competitive priorities and manufacturing objectives as reflection of relationship between outward market environment and inward manufacturing system, that is the internal consistency of manufacturing strategy. High consistency of manufacturing strategy can provide competitive for enterprises, and low consistency of manufacturing strategy will not realize enterprise competition goals. This paper will research on relationship between competitive priorities and manufacturing objectives under different production modes based on CODP, and provide manufacturing strategy decision-making for different production modes to support development of manufacturing enterprise.This paper first expounded classification of production mode based on CODP, relationship between competitive priorities and manufacturing objectives, and theory for relationship between competitive priorities and manufacturing objectives under different production modes. At the same time, this paper defined concept for CODP, production mode,competitive priorities and manufacturing objectives, divided production modes into four as: MTS,ATO,MTO and DTO. This paper puts forward hypotheses based on characteristic of competitive priorities, manufacturing objectives and relationship between competitive priorities and manufacturing objectives, accordingly constructs the theory model.Empirical research data is from database of International Manufacturing Strategy Survey (IMSS)in 2005, this database samples are from all over the world in 23 countries and regions 709 enterprises. The theoretical model for empirical study is conducted by relevant statistical analysis and the structural equation model based on this database. Results show that there are differences among competitive priorities elements, some element of competitive priorities reflect the mutually reinforcing relationship under MTS and DTO; some element of competitive priorities reflect the trade-off relationship under ATO and MTO. Characteristic of manufacturing objectives was divided into manufacturing objectives of single-mode operation and mix-mode operation, and manufacturing objectives for mix-mode operation are divided into upstream and downstream manufacturing objectives based on theoretical analysis and data calculations. This result has some theoretical significance for transfer decision-making of production mode and measurement of competitive priorities and manufacturing objectives.Under single-mode production, competitive priorities and manufacturing objectives have complexity relationship besides consistency relationship; Under mix-mode production, competitive priorities also affect upstream and downstream manufacturing objectives, and upstream manufacturing objectives reverse effect downstream manufacturing objectives, this is the new mode for relationship between competitive priorities and manufacturing objectives. The results of this study is the new development for relationship between competitive priorities and manufacturing objectives based on strategic decision-making process, and have certain reference for strategic decision-making.According to the above analysis, this paper summarizes transfer decision-making process model of the different production mode based on CODP, and analyzes transfer decision-making process of the production mode from MTS to ATO, from ATO to MTO, from MTO to DTO, proposes it follows process for"market-products- manufacturing process", and conforms to relationship between"competitive priorities and manufacturing objectives". It analyzes difference between transfer process of three production mode from three aspects as change of competitive priorities, manufacturing objectives and implementation path. This decision-making model summarizes transfer decision-making process of different production mode, and has certain reference on transfer decision-making process of different production mode.