Manufacturing strategy auditing for garment making companies

Abstract

PurposeTo illustrate the development and use of a manufacturing strategy audit tool for both assessing the current manufacturing strategy and for selecting appropriate alternative strategies with a view to implement benchmarks, specifically in garment making companies.Design/methodology/approachThe paper is a supplement to the existing literature on the process of manufacturing strategy. The methodology is mainly based on the generic frameworks proposed by Platts and Gregory and Skinner and involved the development of a manufacturing strategy audit tool through the use of manufacturing system models constructed for the purpose using the IDEF0 technique. An analysis of the manufacturing system models together with company surveys led to the compilation of data regarding poor, average and better practices within garment‐making companies. The developed audit tool is a compilation of extensive data with regards to these practices for comparison purposes and for setting strategic targets.FindingsThe manufacturing strategy audit tool has been used in five case study companies which have been selected on the basis of their turnover, size and products manufactured. Only one case study has been presented here, as an exemplar, to illustrate the appropriateness of the audit tool for identifying poor, average and good practices for each of the functional areas within the company. Moreover, the use of the audit tool as a guide for the formulation of alternative strategies is illustrated.Research limitations/implicationsThe use of the audit approach supported by manufacturing system modelling has been found to be very appropriate for manufacturing strategy formulation and analysis. The present research illustrates its relevance and importance in the garment‐making sector for benchmarking purposes among others. The use of this methodology needs further investigation in other sectors.Practical implicationsUse of the tool has shown promising results in the set of companies considered for the research. It is in fact seen as a vital instrument for garment making companies around the world, willing to achieve enhanced product competitiveness in an era of liberalised apparel trade.Originality/valueThis paper fulfils the needs of companies, which see the process of manufacturing strategy formulation and analysis as a myth. It adds to the literature on the process of manufacturing strategy. The novel methodology using the case study technique sets the foundation for all people involved in the organisation to work in teams for identifying areas of poor performance and while appreciating benchmarks within the sector, set targets for meeting better performance levels.