Maquiladora Plants Research Articles

Metodología de superficie de respuesta dual con variables de ruido cualitativas

The application of the response surface methodology in the optimization of industrial processes has had a great boom in recent decades, however, with a significant limitation, the null inclusion of qualitative factors in the noise variables. Since the methodology assumes the behavior of the noise factors as a continuous behavioral variable that follows a normal distribution. But what happens if this is not the case? How to treat a qualitative noise factor? What probability distribution would best fit the qualitative noise factor? What would be the correct inclusion of this type of noise factor in the methodology? This article summarizes the four-year research work from the mathematical approach to the new equations, case simulations using mathematical software and 2 real cases in maquiladora plants that manufacture plastic parts.

An exploratory study of factors affecting the longevity of manufacturing operations offshore

Because of changes in tax regulations and increased political pressure, firms are reconsidering their practices of shifting manufacturing operations offshore to lower wage countries. Although outsourcing has been well researched, few studies examine managerial practices that influence offshore operations. We investigate the effects of choices regarding labor, suppliers, and outsourcing that influence firm longevity in the maquiladora industry in Mexico. We argue that firms are exposed to labor frictions, supply-chain constraints, and compliance and regulatory risks that if left unresolved can lead to plant closure attributable to labor or regulatory frictions and rising costs. We consider specific actions pursued by managers at maquiladora plants to mitigate the underlying constraints and then analyze factors that affect the likelihood of continuing operations, that is, the longevity of the plants. We find a positive relation between the likelihood of longevity in operations and the following plant characteristics: hourly wages, workforce stability, skill, and the decision to outsource regulatory compliance functions. We document a negative relation between longevity and total labor cost as a percent of total costs as well as using suppliers based in Mexico. We also find that high-tech plants have higher stability, pay higher wages, and experience greater longevity than low-tech plants. Overall, we identify key managerial choices that are related to longevity in offshoring production.

Review: Power Lines: Phoenix and the Making of the Modern Southwest by Andrew Needham

Book Review| February 01 2017 Review: Power Lines: Phoenix and the Making of the Modern Southwest by Andrew Needham Power Lines: Phoenix and the Making of the Modern Southwest. By Andrew Needham. (Princeton: Princeton University Press, 2015, 336 pp. $35.00 hardcover). Sean Parulian Harvey Sean Parulian Harvey Sean Parulian Harvey is a PhD candidate in history at Northwestern University whose main interests include environmental history, the North American West, and the U.S.-Mexico border. His dissertation is titled “Assembling the Borderlands: Assembling the Borderlands: A Political and Environmental History of Maquiladoras” locates the origins of maquiladora plants in the environmental and economic policies of the New Deal and Great Society. Originally from Phoenix, Sean now lives in Chicago with his wife, son, and three cats. Search for other works by this author on: This Site PubMed Google Scholar Southern California Quarterly (2017) 99 (1): 105–107. https://doi.org/10.1525/scq.2017.99.1.105 Views Icon Views Article contents Figures & tables Video Audio Supplementary Data Peer Review Share Icon Share Facebook Twitter LinkedIn MailTo Tools Icon Tools Cite Icon Cite Search Site Citation Sean Parulian Harvey; Review: Power Lines: Phoenix and the Making of the Modern Southwest by Andrew Needham. Southern California Quarterly 1 February 2017; 99 (1): 105–107. doi: https://doi.org/10.1525/scq.2017.99.1.105 Download citation file: Ris (Zotero) Reference Manager EasyBib Bookends Mendeley Papers EndNote RefWorks BibTex toolbar search Search Dropdown Menu toolbar search search input Search input auto suggest filter your search All ContentSouthern California Quarterly Search This content is only available via PDF. © 2017 by The Historical Society of Southern California2017 Article PDF first page preview Close Modal You do not currently have access to this content.

Method for estimating manufacturing competitiveness: The case of the apparel maquiladora industry in Central America

En este trabajo se propone un método integrado para la estimación de la competitividad de fabricación de las empresas utilizando su rendimiento comparativo en sus objetivos de fabricación. El método desarrollado utiliza un extenso análisis de la literatura, junto con un análisis de expertos a través del método Delphi para identificar los factores que influyen en la competitividad de la industria bajo estudio. Diferentes coeficientes estadísticos tales como el alfa de Cronbach, W de Kendall, kappa de Fleiss y la correlación intraclase se utilizan para asegurar la fiabilidad de los instrumentos y de la opinión de los expertos. El análisis exploratorio de factores (EFA por sus siglas en inglés) y un posterior análisis factorial confirmatorio (CFA por sus siglas en inglés) se utilizan como el medio para obtener el modelo de medición con el que se calcula un indicador de la competitividad de fabricación. Un caso de estudio empírico utilizando el método propuesto se lleva a cabo en una muestra de plantas maquiladora de ropa.

A Study of Unethical Behavior in the Relationship Between Maquiladora Plants and Local Mexican Suppliers

This study investigates unethical activities in the supply chain composed of maquiladora plants and local Mexican suppliers, and explores ways of preventing such unethical activities. The author interviewed managers of maquiladora plants and local Mexican suppliers located in the eastern US-Mexico border region; specifically, in Reynosa, Tamaulipas, Mexico. This research will demonstrate that while various unethical activities were described in the interview results, representative activities were found to be postponement of appointments (e.g., delays in delivery) and corruption (e.g., bribery). Delays in delivery appear to be related to Mexico’s “Manana culture,” while Mexican interpersonal relations were suggested as the main reason for bribery and corruption. Both maquiladora plant managers and local Mexican suppliers suggested corporate-level policies (e.g.selectionandcontinuingethicseducationforemployees)asapproachestoeliminatingtheseunethicalactivities.

Forces Driving Maquiladoras Along The Border Of Mexico And The United States: A Short Communication

Mexicos maquiladora industry is as important to the national economy as oil production and tourism for direct foreign investment and is a force that Mexico and partners need to understand and cultivate. Many internal and external factors affect the performance of maquiladora plants and they are heavily influenced by the U.S. economy. Long histories and blending of cultures have created a border region that is interrelated and dependent in both directions across the border. A review of the literature suggests many approaches to make maquiladoras competitive in global commerce. Getting the most out of maquiladoras may go beyond systems and processes because the best results may come from understanding and cultivating the rich culture the region holds as the critical resource in building teams and relationships. World class manufacturing takes systems and processes but does not forget the culture. A combination of nurturing people and nurturing a proximity strategy may be the most effective approach to sustainability.

Agile Manufacturing: A Border Perspective

Manufacturing along the United States-Mexico border was built on the low-cost and low-technology model of early maquiladora plants, which offered cheap alternatives to the U.S. labor rates and an alternative to labor-intensive assembly and attractive tax benefits. Forty years later, other areas of the world are offering a lower cost alternative to the same targeted manufacturing organization. The alternative choices are often a lower-cost option, making the United States-Mexico border region an option that gets left out of the equation. A review of the literature and an investigation of attractive features of the border region suggest a different approach that highlights the advantages of a proximity-based model interspersed with the components of agile manufacturing.

Gender, Aging, and Work: Aging Workers' Strategies to Confront the Demands of Production in Maquiladora Plants in Nogales, Mexico

This work is part of a qualitative socio-cultural investigation with a group of men and women 40 years and older in the maquila export industry in Nogales, Sonora, Mexico. In 1994, as a result of the North American Free Trade Agreement, maquila plants combined traditional intensive work methods with new "just in time" production norms that impacted work and health conditions, particularly in older, or aging, workers. The workers that were interviewed for this study show a reduction in their functional ability to work starting at 40 years of age. Work organization demands, general health conditions, and a decrease in physical abilities brings these 40-year-old workers to prematurely construct an image of themselves as aging workers and to develop coping strategies that vary by gender.

An empirical study of the ISO 9000 certification in global supply chain of maquiladoras

This research examined two sets of constructs in maquiladoras with respect to ISO 9000 certification. The managerial support and employee involvement as well as quality systems were internal constructs and the global supplier selection criteria were external constructs. The maquiladora industry is a manufacturing model that uses the Mexican workforce and foreign investment and technology on the border area between the United States and Mexico. The standards of ISO certification were studied and analysed through a survey instrument and extensive field interviews with experts of maquiladora plants in El Paso, TX and Juarez, Mexico. There was a 78% response rate with 171 usable questionnaires. There were also 11 in-depth interviews conducted with quality and supply chain experts from eight industries in maquiladoras. Extensive statistical analyses including reliability and validity analyses and factor analyses were performed. Based on the results of factor analyses, ISO-certified companies exemplified better and longer-term relationships with their main/core suppliers, greater top managerial support and employee involvement and communication, and more effective quality systems than those of non ISO-certified companies. In conclusion, additional insights and perspectives were provided and future research directions were discussed.

Gendered Violence: An Analysis of the Maquiladora Murders

This study analyzes the social construction of a wave of female homicides surrounding the maquiladora plants in Ciudad Juarez, Mexico. Specifically, it explores the social construction of the murders by three different groups, the news media, human rights organizations, and academic researchers. The research begins with a content analysis of 35 narratives from newspapers, human rights reports, and academic journals. Sixteen of these narratives discuss North American Free Trade Agreement (NAFTA) in relation with the violence in Juarez. Analysis indicates that gender issues are intertwined with the trade agreement and concludes that the policy has aided in the disruption of the social fabric of Mexican society.

Enabling quality management systems in the maquiladoras

PurposeThe maquiladora industry is a manufacturing system that utilizes the Mexican workforce and foreign investment and technology on the border region between the USA and Mexico. This study seeks to explore managerial support and employee involvement as well as quality processes (internal enablers) and supplier selection criteria (external factors) in the maquiladora industry with respect to ISO 9000 certification.Design/methodology/approachThe enablers of ISO certification were studied through a survey instrument and extensive field interviews with experts of maquiladora plants in El Paso, Texas and Juarez, Mexico. Based on a 78 percent response rate (171 usable questionnaires) and 11 in‐depth interviews of quality experts in eight industries, statistical analyses including reliability and validity analyses, factor analyses, tests of hypothesis, and ANOVA were performed.FindingsThe four hypotheses developed were verified. Based on the analyses, ISO‐certified companies exemplified better and longer‐term relationships with main/core suppliers, greater top managerial support and employee involvement and communication, and more effective quality processes than those of non ISO‐certified companies.Practical implicationsThe results of the study could assist maquiladoras to improve their internal and external enablers in order to have a better chance of achieving ISO certification. Likewise, the headquarters of the maquiladoras could benefit from the identification and recognition of these internal and external enablers.Originality/valueThe quality of products manufactured in maquiladoras should be congruent with the parts and products produced in their headquarters. The paper addresses the role and importance of ISO certification for both maquiladoras and their headquarters. The headquarters could provide the necessary support and resources for achievement or ISO certification in maquiladoras.

Maquiladora Employment Dynamics in Nuevo Laredo

ABSTRACT The Nuevo Laredo maquiladora sector has grown enormously during the last two decades. The short‐term time series characteristics of this portion of the regional economy are analyzed in an attempt to quantify the trends underlying this remarkable performance. Parameter estimation is accomplished via linear transfer function (LTF) analysis. Data are drawn from the January 1990–December 2000 sample period. Empirical results indicate that real wage rates, maquiladora plants, U.S. industrial activity, and the real exchange rate of the peso play significant roles in determining month‐to‐month fluctuations in maquiladora employment. Furthermore, sub‐sample forecast simulation exercises are conducted as an additional means for verifying model reliability. Empirical results indicate that the forecasts generated with the LTF model are less accurate than those associated with a simple random walk procedure for twelve separate step‐length periods.

An operational perspective of the relationships between the headquarters and the maquiladoras

This paper explored the role of concurrent engineering (CE) and design for manufacturability and assembly (DFM/DFA) within the context of headquarters–maquiladora relationships. The objective of this paper was to determine which operational model was prevalent and describe the operational relationships between a headquarters and their maquiladoras. The maquiladora industry is a manufacturing model that utilises the Mexican workforce and foreign investment and technology on the border region between the USA and Mexico. This paper conducted an empirical investigation by distributing a survey instrument among maquiladora plants in El Paso, Texas and Juarez, Mexico. The reliability and validity tests, item correlation matrix, descriptive statistics, factor analysis, and structural equation modelling for design and manufacturing data were conducted. Appropriate conclusions and an assessment based on the results and 11 field interviews conducted with maquiladora managers were provided. The analyses indicated inconsistent results for design questions. There seemed to be a lack of understanding as to the role and function of design in the maquiladoras. It did not appear that maquiladoras were directly or heavily involved in the initial stages of design. Maquiladoras appeared, however, to be heavily involved in what is actually a re-design at the maquiladoras. The analyses indicated consistent and strong results for the important role that manufacturing played in the maquiladoras. Finally, future research directions were provided.

Short-run maquiladora employment dynamics in Tijuana

The Tijuana maquiladora sector has grown enormously over the past two decades. Short-term time series characteristics of this segment of the regional economy are analyzed in an attempt to clarify labor market behavior associated with this remarkable performance. Parameter estimation is accomplished using linear transfer function analysis. Data are drawn from the January 1980–December 2000 sample period. Empirical results indicate that real wage rates, maquiladora plants, United States industrial activity, and the real exchange rate of the peso play significant roles in determining month-to-month fluctuations in maquiladora employment. Sub-sample simulation exercises are conducted using a random walk benchmark in order to examine forecast accuracy. Empirical results indicate that the linear transfer function technique provides relatively accurate forecasts all step-lengths.

Human resource management and internal marketing in Mexico: an assessment of the Maquiladora turnover literature

The retention of quality employees is an integral part of organisational human resources and internal marketing efforts and has been linked to organisational success. This topic has received high attention in organisations due to the remarkably high costs associated with the retention of employees. As companies begin increasingly realising that human resources is one of their most important assets, the role of human resources management (HRM) needs to be in line with the firm's strategy formulation in identifying the people-related issues the organisation encounters. The importance retention of employees applies not only to domestic organisations but to international companies as well. Maquiladoras have historically been linked to high turnover rates and while currently this problem has been restrained to a certain extent, this issue is still remains a threat to overall productivity and success of the maquiladora plants. Domestic turnover literature is introduced to serve as a framework as to what has been written followed by all known maquiladora turnover literature.

Cross‐border supply chain relationships: interpretive research of maquiladora realized strategies

Maquiladora plants are foreign‐owned plants operating in Mexico and represent a pre‐North American Trade Agreement (NAFTA) mechanism to reduce tariffs on the assembly of component parts and finished products for re‐export. Maquilas first opened along the Mexican‐US border in the mid‐1960s to provide employment for Mexican workers as well as cheap labor for low‐skilled US manufacturers. Beginning in 1999 the industry started experiencing a sharp decline, which cost jobs and closed factories on both sides of the border. This study applies grounded theory to develop an initial understanding of the factors contributing to the success (and failure) of maquiladora realized strategies, that is, performed operating behaviors and the role of culture in the results these operations achieve. Broadly, these factors include internal relationships (with both management and line employees) and external relationships (both organizational and governmental). The study culminates in a series of suggestions for increasing the likelihood of success of maquiladoras and proposes the applicability of these factors in other multinational operations in labor‐intensive industries.

Beyond the Maquila Model? Nafta and the Mexican Apparel Industry

This paper uses a comparative case study approach to explore the inter-organizational dynamics of the Mexican apparel industry's post-NAFTA export dynamism, and assesses the upgrading prospects that this dynamism entails for exporters in Mexico. The results of fieldwork conducted in three apparel-producing clusters in north, central, and southern Mexico are discussed. The key finding to emerge from this commodity chain analysis of linkages between US clients and local producers is that NAFTA-inspired full-package networks provide opportunities for some apparel-manufacturing clusters to upgrade their operations beyond the assembly-export role traditionally associated with Mexico's maquiladora plants. Evidence of industrial upgrading includes expanded employment opportunities in activities such as textile production, the generation of linkages to local suppliers, and improved working conditions in plants producing for brand-name clients. However, the upgrading process is profoundly uneven across the Mexican landscape. The extent to which national firms and workers benefit as a result of their participation in these networks is contingent on the way in which local clusters become incorporated into the apparel commodity chain, and in particular, on the type of governance exercised by the lead firms that control the organization of Mexico's export-oriented apparel industry.

Global alliances in the motor vehicle industry

Industry Globalization Postwar Growth and Exports of the Japanese Industry Transplants from Japan U.S. Recovery The DaimlerChrysler Merger Mexico: Maquiladora Plants and NAFTA Mercosur and Motor Vehicle Manufacturing Foreign Development of China's Motor Vehicle Industry India: Out from the Nehru-Ghandi Shadow The New Millennium Arrives Selected Bibliography Index

Retaining a Mexican Labor Force

This paper sets forth the findings of a research study undertaken in Chihuahua, Mexico. The length of stay of 1 866 employees in six maquiladora plants is analyzed across a maximum of 24 months. By drawing on discrete time hazard modeling, the research analyzes the extent to which work and nonwork factors contributed to employee length of stay in the late 1980s. It examines, in particular, the influence of position, cohort grouping, plant type, and demographic characteristics on employee duration in the participating plants.

The role of designer-buyer-supplier in the maquiladora industry

This paper explores the role of concurrent engineering (CE), early purchasing involvement (EPI), and early supplier involvement (ESI) in the maquiladora industry. The maquiladora industry is a manufacturing model that utilizes the Mexican workforce and non-Mexican investment and technology on the border region between the US and Mexico. This paper conducts an empirical investigation of CE, EPI, and ESI practices by distributing a survey instrument among maquiladora plants in the El-Paso, Texas-Juarez, Mexico region. The paper also explores the structural development of the maquiladoras in terms of three evolutionary stages of development. A theoretical framework is established to develop research constructs and hypotheses. The respondents included personnel from design, manufacturing, and purchasing departments. Factor analysis, reliability and validity analyses for supplier and purchasing data are conducted and appropriate analyses and perspectives are provided. There seems to be a lack of understanding as to what the role and function of purchasing is in the maquiladora. On the other hand, there is a general consensus that early supplier involvement and effective supplier relationships exist in the maquiladoras. Finally, a set of conclusions and assessments are provided that places various results in perspective.