Focus Factory Mode Of Operation In A Cost-competitive Strategy

Cost leadership strategy is the core strategic target in current competition among local manufacturing enterprises The key of acquiring cost leadership advantage lies on adopting and implementing various advanced management approaches investigated for the enterprise, to achieve the goal of high-efficiency, low cost. Different type, scale manufacturing enterprises can carry out different advanced management approaches and technologies, which match the enterprise's strategic target and current situation. Facing expanding business and increasing business species, many conventional factories try to use a set of inconsistent manufacturing strategy to complete mutually inconsistent manufacturing tasks. But it results in low efficiency and high cost, and finally leads to lose competition ability.This article discussed the production mode and application of the focused factory, focused production mode to a certain key business combination in a multi-target and multi-purpose enterprise. It solved the confliction of each section with tasks of different targets in the production system, and found the productions system with consistent target in the enterprise to solve the conflictions of influencing efficiency, promote cost advantage realization, establish the powerful strength of assurance competitive advantage.The author of this article had been a manager who was in charge of auto parts manufacture business in Shanghai Xingfu motorcycle company. Having studied and practiced, the author tried to resolve actual management problems that the enterprise faced during the business development, such as missing of resource , descending of manufacture system efficiency, loss of the cost advantage .For this, the author tried to apply focused factory theory to reorganizing and integration of manufacture business, and practice to made every key manufacture function in closing system focus on the same mission and same target ,thus exalt and improve the responding ability and efficiency of the manufacturing system of the enterprise, and acquire the advantage of cost competition by setting up focus factory in original factory. The author mainly discussed the establishment of main cylinder block focused factory, in terms of the analysis of each main factor, looking for the inconsistent and existent antinomy of mission, then reorganize each main factor in the production system to build a manufacturing system with consistent target, which is the key of the of focus factory. With the establishment of main cylinder block focused factory, integrating the manufacturing resources of the main cylinder block business, raising utilization rate of resource and adjust flexibility; Simplifying production control process and promoting management efficiency; Reducing the complexity of the product, and making the quality target rationalization; Simplifying the mission target, and favoring the study of employee and the construction of a team.Because of the focusing of mission and the elevation of efficiency, the factory get the advantage of cost competition. The author summarized several contributions of the establishment of main cylinder block focused factory to cost advantage: Raising the operation efficiency and utilization rate of equipments through resources integration and modularized reasonable allocation ,which reflected directly in the decrease of direct labor expense and depreciation expense of manufacturing cost; The realization of simplicity, homogeneity and repeatability of product mission accelerated the control and progress of the production technology, Discussing main cylinder block focused factory's function to cost descending and ability raising through the analysis to study curve; Decreasing antinomy in the manufacturing ,increasing management efficiency and finally carrying out to lower the cost of production supporting system by the establishment of the manufacturing mission consistency.