Manufacturing strategies for time based competitive advantages

Abstract

PurposeThe main purpose of this paper is to investigate the current manufacturing strategies and practices of bus manufacturers in China, and to propose a framework of manufacturing strategies for time‐based competitive advantages.Design/methodology/approachThe conceptual research framework is devised from a review of the literature, and case studies are used to investigate the manufacturing strategies and practices in place in the case companies. Data are collected through semi‐structured interviews and secondary documentation.FindingsThe results show that, with over‐capacity in the Chinese bus manufacturing industry, success is no longer determined by high productivity or low price; a quick response to the customers' tailored demands is essential in a climate of fierce competition. The suggested best practices for time‐based competitive advantages comprise building technical centers and post‐doctoral research stations, applying modularity logic, adopting radio frequency identification (RFID), and optimizing processes by, for example, involving customers and integrating inbound and outbound logistics.Research limitations/implicationsThe research results are limited within the context of the bus manufacturing industry in China.Practical implicationsThe research results help both the practitioners and the researchers gain a better understanding of the practices of Chinese bus manufacturers from the perspective of time‐based competitive advantage. The proposed strategies and best practices have the potential to improve the manufacturing performance of this type of manufacturer.Originality/valueThis paper shows the big picture of manufacturing strategy and practice of bus manufacturers in the Chinese automobile industry. Furthermore, it presents a manufacturing strategy framework with best practice guidance to gain a time‐based competitive advantage.