International operations strategy: current efforts and future directions

Distribution network model using big data in an international environment

This paper proposes dynamic mixed integer facility location model to design an international manufacturing network (IMN). The proposed model considers a broad facility network linking production and distribution facilities located internationally. The proposed model discussed in the paper assumes significance over the traditional manufacturing model as it provides a country specific analysis making it more convenient for the decision maker to devise country specific strategies within an international ecosystem. Therefore, the model considers import export cost, loan subsidies along with depreciation expense and other operating costs applicable to specific country. The objective of the model is to identify optimal facility locations and the production distribution in the entire network to meet the demand of global markets. The proposed model is illustrated and computationally tested using two cases. Model parameters are mapped using 3Vs of Big Data viz. Volume, Velocity and Variety.

How do national cultures impact the operations strategy process?

Purpose

The purpose of this paper is to analyze the extent to which different patterns of cross-functional integration and the operations strategy (OS) process may be explained by national cultures differences.

Design/methodology/approach

Perceptual survey data from 105 manufacturing plants in four countries were used to validate the constructs and to test the hypotheses. The plants are located in two Western and two Eastern countries with different industrialization and development backgrounds (Brazil, China, Germany and South Korea). CFA validated the constructs, and ANOVA and t-tests evaluated the differences between levels of four Hofstede’s elements (i.e. power distance, individualism vs collectivism, uncertainty avoidance and long-term vs short-term orientation) on the OS process enablers (i.e. leadership for cross-functional integration and functional integration) and elements (i.e. manufacturing strategy linkage to corporate strategy and formulation of manufacturing strategy).

Findings

Results suggest that different OS and OM processes are present in different national cultures. Leadership for cross-functional integration and manufacturing strategy linkage to corporate strategy differ between levels of power distance, individualism vs collectivism and uncertainty avoidance. Functional integration and formulation of manufacturing strategy also present differences according to the degree of individualism vs collectivism and long-term orientation.

Originality/value

Results indicate that national culture is a key aspect for the OS process. Prior studies usually do not consider cultural aspects. Therefore, the OS process varies in different countries and contexts. Managers need to adjust their OS process when they are developing a global OS.

International manufacturing network: past, present, and future

Purpose

– The purpose of this paper is to examine, and present a comprehensive review of, the existing literature on the international manufacturing network (IMN).

Design/methodology/approach

– The original data set used for reviewing the IMN literature consisted of 107 articles selected from 21 journals: more specifically, 40 articles are concerned with plant-level analysis, and 67 articles are related to IMN-level analysis. The literature is simultaneously reviewed by two researchers. The relevance and contribution of each reviewed paper is discussed and mutually agreed upon.

Findings

– The paper highlights the different concepts related to IMN and traces the evolution of IMN-related research. Based on two levels of analysis (i.e. plant and network), this paper further reviews and discusses the IMN-specific literature in detail to determine the number of IMN articles published across the journals, the dominant methodologies employed, and the research focus reflected in IMN studies. A research trajectory is finally developed to provide an integrated and intuitional view on the development of IMN research.

Originality/value

– This is the first effort that has been made towards thoroughly investigating the existing literature on IMN, aiming to trace different concepts related to IMN from a historical perspective, to review and discuss the IMN-specific literature in detail, to provide an overview of the evolution trajectory of different existing IMN research themes, and to propose future research directions. Keeping in mind the growing importance of IMN for practitioners as well as the academic community, this study provides a timely overview of existing and emerging IMN research themes.

Multi-plant improvement programmes: a literature review and research agenda

Purpose

– To advance the productivity of all plants in the network, multinational corporations develop and deploy multi-plant improvement programmes. In this paper, the authors systematically review and synthesise the emerging literature on multi-plant improvement programmes. The paper aims to discuss these issues.

Design/methodology/approach

– Through a systematic manual search, the authors examine 15 top journals from operations management, general management and international business literature in the time span between 1998 and 2011.

Findings

– The authors found 30 papers that specifically deal with operational improvement programmes in a multi-plant international setting, of which only nine take a headquarter perspective. This low number contrasts sharply with the magnitude and importance of such programmes in industry. The authors discuss key dimensions that explain how multi-plant improvement programmes result in the adopting, adapting, acting or avoiding of programme practices in subsidiaries and propose a related research agenda.

Research limitations/implications

– The authors affirm that a new field is in the making, with IJOPM as the leading professional journal. Further empirical research is called for, but particular methodological caution must be paid to the phenomenon of acting in subsidiaries.

Originality/value

– No coherent stream of research has addressed multi-plant improvement programmes. This paper represents a focused review that supports the further development of the field.