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Falling behind in innovation: The 1996 report on the European manufacturing futures survey

Author: Pycke, B ; De Meyer, ArnoudINSEAD Area: Technology and Operations Management Series: Working Paper ; 96/95/TM Publisher: Fontainebleau : INSEAD, 1996.Language: EnglishDescription: 17 p.Type of document: INSEAD Working Paper Online Access: Click here Abstract: Since 1983, the authors have carried out at INSEAD, the biannual Manufacturing Futures Survey. More than 10 years of empirical studies in maufacturing strategies in Europe have proven a valuable basis to analyse the manufacturing capabilities of the average European manufacturer and the action programmes which are implemented. analyzing trends from previous surveys from 1986 till 1994, the results of the 1996 survey come as no surprise to them. The ability to compete on price and to introduce new products quickly remain the Achilles heel for European manufacturers. Europe's traditional strengh in producing high performance products and the skills it acquired in quality management over the last decade may not be enough to fend off new, indigenous competitors from the Asia acific region. Although market pressures have prompted European firms to roll out new products more quickly, half of them made no improvement over the last two years in the timely completion of new product developement projects or in decreasing the number of avoidable engineering changes. Manufacturing delivers but interface management, be it cross-departmental (eg. in new product development projects) or inter-company (eg. in the sourcing process), remains weak.
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Since 1983, the authors have carried out at INSEAD, the biannual Manufacturing Futures Survey. More than 10 years of empirical studies in maufacturing strategies in Europe have proven a valuable basis to analyse the manufacturing capabilities of the average European manufacturer and the action programmes which are implemented. analyzing trends from previous surveys from 1986 till 1994, the results of the 1996 survey come as no surprise to them. The ability to compete on price and to introduce new products quickly remain the Achilles heel for European manufacturers. Europe's traditional strengh in producing high performance products and the skills it acquired in quality management over the last decade may not be enough to fend off new, indigenous competitors from the Asia acific region. Although market pressures have prompted European firms to roll out new products more quickly, half of them made no improvement over the last two years in the timely completion of new product developement projects or in decreasing the number of avoidable engineering changes. Manufacturing delivers but interface management, be it cross-departmental (eg. in new product development projects) or inter-company (eg. in the sourcing process), remains weak.

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