Abstract

ABSTRACT The current study aims to explore relationship between manufacturing metrics or manufacturing performance factors and manufacturing fitness, which establishes the basis for manufacturing strategy. Previous researches on manufacturing strategies and competitive strategies to measure firm performance guided the manufacturers towards further developments. To emphasize these developments, this study continued after the development of strategic fit models by generalizing these models through linear structural relations (LISREL) analysis. Results from hypotheses tests and LISREL analysis found manufacturing metrics are directly linked to firm’s performance. This article found strong relation of availability of materials (AM) to order variation handling (OVH) & order fill rate (OF); OVH, problem handling (PH), & OF to shipment time (ST); and ST to strategic fitness (SF). Identification of affecting metrics and determination of their strength & significance to manufacturing fitness by using this article’s generalized models & firm’s performance determinants is the main significance of this article.

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