Linking manufacturing planning and control to the manufacturing environment

Abstract

A manufacturing planning and control (MPC) system is a major part of the infrastructure used by a firm to enhance its competitive position. Although a clear understanding of the mechanics and benefits of alternative MPC systems exists, very little is known about the relationships between such systems, the strategic environment faced by the user‐firms, and their performance in achieving cost/competitive advantage. Historically, the choice of an MPC system appears to have been made based solely on available in‐house expertise, industry trends, or plain inertia. Reports a summary of the results of a survey conducted to explore empirically the relationship between the environmental characteristics faced by the manufacturing function and manufacturing performance of firms using alternative MPC systems. Presents the results of an analysis of the environment faced by best and worst performers using different MPC systems. The results indicate key linkages between the MPC systems, environment, and performance.