Best manufacturing practices and their linkage to top‐performing companies in the US furniture industry

Abstract

PurposeThis study aims to examine the relationship between top‐performing US furniture manufacturers and industry's best manufacturing practices.Design/methodology/approachIn the past studies, best manufacturing practices were mostly determined using qualitative methods. In this paper, a quantitative evaluating method to determine best manufacturing practices was designed by taking into consideration qualitative criterions. A sample of 122 manufacturing practices was observed in six US furniture companies, two of them considered world‐class performers and the other four considered average. A logistic regression was used to examine the relationship between best manufacturing practices and top‐performing companies.FindingsStatistical analyses showed a positive relationship between top‐performing companies and use of best manufacturing practices by these companies. A database of best manufacturing practices was created and shared with the participant companies.Research limitations/implicationsOne limitation of this study is that the causal relationship between performance and best practices was not considered. Future studies could employ statistical methods such as structural equation model to better understand this causality. Other methods could possibly be developed to audit and classify manufacturing practices.Originality/valueIt is believed that the database of best manufacturing practices will help average or below‐average performing companies to identify and adopt best manufacturing practices. It will also help top‐performing companies in the cycle of continuous improvement.