Impact of Manufacturing Flexibility on Supply Chain Performance in the Automotive Industry

  • Stephan Biller
  • Ebru K. Bish
  • Ana Muriel
Part of the International Series in Operations Research & Management Science book series (ISOR, volume 42)


The basis of competition in the automotive industry is changing. While product innovation and styling remain the most important areas of competition, an almost equally fierce battle is now developing in the areas of customization and order fulfillment (Stalk, Stephenson and King [35]). Currently, all models of vehicle distribution are fundamentally inventory-driven and do not promote customized ordering. However, several vehicle manufacturers — most notably Ford and General Motors — have recently launched initiatives to transform their companies from predominantly make-to-stock to predominantly make-to-order producers. This will enable vehicle manufacturers and their dealers not only to dramatically reduce their finished goods inventory but also respond to challenges and threats from third party Internet companies.


Supply Chain Inventory Level Mass Customization Allocation Policy Flexible System 


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Copyright information

© Springer Science+Business Media New York 2002

Authors and Affiliations

  • Stephan Biller
    • 1
  • Ebru K. Bish
    • 2
  • Ana Muriel
    • 3
  1. 1.Enterprise Systems LabGM Research and Development CenterWarrenUSA
  2. 2.Department of Industrial and Systems EngineeringVirginia TechBlacksburgUSA
  3. 3.Mechanical and Industrial Engineering DepartmentUniversity of Massachusetts AmherstAmherstUSA

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