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Strategic aspects of flexible production technologies: theory and evidence

Author: Röller, Lars-Hendrik ; Tombak, MihkelINSEAD Area: Technology and Operations Management ; Economics and Political ScienceIn: International Journal of Production Economics, vol. 23, no. 1-3, October 1991 Language: EnglishDescription: p. 197-204.Type of document: INSEAD ArticleNote: Please ask the Library for this articleAbstract: This paper examines the innovative manufacturing technologies known as "Flexible Manufacturing Systems". The authors begin with a description of these systems and the industries in which they are used, followed by a review of several theoretical models which analyse the decision process to invest in FMS. These models illustrate the importance of such market factors as product differentiation, differences in cost and market size, degree of competition, and market dynamics. In the second part of the paper, new empirical evidence using a database of almost 6000 business units, is presented, showing results consistent with the findings of the theoretical models
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This paper examines the innovative manufacturing technologies known as "Flexible Manufacturing Systems". The authors begin with a description of these systems and the industries in which they are used, followed by a review of several theoretical models which analyse the decision process to invest in FMS. These models illustrate the importance of such market factors as product differentiation, differences in cost and market size, degree of competition, and market dynamics. In the second part of the paper, new empirical evidence using a database of almost 6000 business units, is presented, showing results consistent with the findings of the theoretical models

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