| This study seeks to answer the questions, "Why might, and how are performance outcomes on the competitive priorities of manufacturing be related?" It examines relationships among actual (realized, not "intended") performance outcomes (results), using the manufacturing plant as the level of analysis. Rather than use the general manufacturing performance categories of cost, quality, delivery, and flexibility, this study focuses upon relationships among specific plant performance outcomes. The specific plant performance outcomes considered in this study include labor productivity, inventory turnover, manufactuing cycle (throughput) time, delivery time (customer lead-time), delivery dependability (reliability), quality defined as "conformance," and flexibility of product mix.;The study articulates the theory supporting several specific relationships and elucidates competing perspectives. Data from a sample of 122 manufacturing plants in the electronics, machinery, and auto parts industries from Italy, Japan, and the United States is analyzed. Empirical analysis of the hypothesized relationships among the plant performance outcomes stated above is performed using correlation, regression, and structural equation analysis. Results obtained from the analyses generally supported one another. However, differences in the results obtained from the various analyses lead to some surprising and interesting results.;Initial empirical analysis provides evidence supporting a number of compatible relationships and no trade-offs. Further analysis reveals that some relationships, previously believed to be "compatible," are actually spurious statistical relationships. In addition, empirical evidence suggests that some relationships between performance outcomes are mediated by other performance outcomes.;Additional analysis provides evidence that many relationship which are not supported as either compatible or trade-off may actually be context-dependent--that is, that the relationship is compatible under one set of circumstances and a trade-off under other circumstances. Potential moderators include factors indicating production context, industry, country, and even other performance outcomes. Further analysis and additional study is required to verify the context-dependent results.;Results obtained in this study substantively enhance existing knowledge concerning relationships among plant performance outcomes. In addition, a number of important implications are drawn from the results.;The study is closely allied with the following streams of research: trade-offs versus compatibilities, factory focus, and the content side of manufacturing and operations strategy. |
