Formulating Manufacturing Strategies - Case study in Automotive Industry

The change of environment in organizations is a phenomenon that continues to have a profound effect on their functionality, and only those who adopt a suitable strategy may endure the roaring waves and by making effective use of their resources, gain a competitive advantage. One of the most effective and instrumental methods of implementing this vital point is the formulation of a compiled and coherent strategy. The strategy would involve the procession of the organization from the status quo to a favorable position. Adopting the best manufacturing strategy is not an easy task, given the restrictions the organization would have to face and also the wide range of choices available. A multitude of frameworks for the formulation of a suitable strategy for the organization have been recommended by researchers. Considering that the system of manufacturing should be a reflection of the manufacturing strategy of the company and its selected competitive priorities, the introduction of tools for the measure of convergence between manufacturing strategy and manufacturing systems may provide a competitive edge for companies. A suitable prototype to address the issue with an industrial approach is the Miltenburg strategic worksheet. In this article, an empirical research has been made with a case study approach, in one of the Iran Khodoro Company’s supplier in order to formulate the manufacturing strategy. For the sake of the credibility of the research and to discourage prejudgment in determining the levels of manufacturing, a check list has been used, and in order to rank the strategies, an analytical hierarchal approach has been implemented.