Decision Sciences Journal
Volume 28, Number 1
Winter 1997
Measuring the Congruence Between Market Requirements and Manufacturing: A Methodology and Illustration
Cecil C. Bozarth
College of Management, North Carolina State University, Box 7229, Raleigh, NC 27695-7229, cecil_bozarth@ncsu.edu
William L. Berry
Max M. Fisher College of Business, The Ohio State University, 1775 College Road, Columbus, OH 43210, berry.95@osu.edu
ABSTRACT
This paper presents a measurement methodology, based on existing research in the manufacturing strategy and general strategy areas, for evaluating the congruence between market needs and manufacturing plant capabilities. The proposed methodology has several important advantages over current approaches. First, the methodology uses available data and statistical techniques to measure market-manufacturing congruence. As a result, it is not dependent on assumptions about "classic" process choices. Second, the proposed methodology can evaluate the strategic fit between market needs and manufacturing in light of one or more performance criteria. Third, the methodology can be used to derive scalar measures of market-manufacturing congruence, allowing users to evaluate congruence for a large number of products, customers, or market segments.
The theoretical basis, research objectives and major steps of the methodology are discussed, followed by an illustrative example from a North American manufacturer. Finally, the applicability of the methodology to a wide range of strategic manufacturing decisions is discussed.
Subject Areas: Production/Operations Management and Strategic Management and Policy.
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