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Manufacturing Strategies
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What is Strategy?
Table of Contents
Merriam-Webster's collegiate dictionary includes multiple
definitions for the word "strategy," including definitions that
Abstract focus on the art and science of military maneuvers for overcom-
ing the enemy. While there certainly may be common elements
Overview between military strategy and business strategy, the definition of
What is Strategy? strategy that is considered for this article is the following:

What are Manufacturing Strategies? Strategy: "A careful plan or method; the art of devis-
ing or employing plans or stratagems toward a goal"
Applications (Merriam-Webster's collegiate dictionary, 2000).
Strategic Management
What are Manufacturing Strategies?
Design for Manufacturability Manufacturing strategies are the plans and methods that are par-
Lean Manufacturing ticular to furthering the goals of a company that makes products.

Six Sigma One or more of the following five strategies are frequently used
Manufacturing for a Sustainable Society by manufacturing companies:

Terms & Concepts • Strategic Management

• Design for Manufacturability
Bibliography
• Lean Manufacturing
Suggested Reading • Six Sigma
• Manufacturing for a Sustainable Society

Abstract
Manufacturing strategies are the plans and methods that are par-
ticular to furthering the goals of a company that makes products.
This article outlines features of five strategies that are frequently
used by manufacturing companies: Strategic management;
design for manufacturability; lean manufacturing; Six Sigma;
and manufacturing for a sustainable society. The article includes
a glossary of relevant terms.
Applications
This section examines the five strategies that are frequently used
by manufacturing companies. Some of the strategies overlap
with others. For example, the first strategy examined, strategic
management, may incorporate the remaining four strategies.
And the third strategy, lean manufacturing, may incorporate
design for manufacturability and Six Sigma.

Overview
The manufacturing industry is composed of companies that make
products by hand or by machine. In this article, the focus is on
manufacturing strategies for products that are made by machine.
Strategic Management
The first manufacturing strategy is strategic management. Stra-
tegic management revolves around devising and following a
detailed plan for capturing and maintaining a competitive advan-
tage in the marketplace. Presumably, most manufacturers would
have some sort of plan for competing in the marketplace, so how

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 ​​​Manufacturing Strategies​
does strategic management elevate that plan to "strategy" level?
A strategic management plan does the following:
• Determines broad concepts of mission and goals;
• Defines long and short-term objectives;
• States the specific details of analysis and decision-making;
• Assigns roles and responsibilities for implementing the
plan;
• Establishes timelines for accomplishing each aspect of
the plan.
As you can see, strategic management is comprehensive and
is characterized by a clear, detailed plan for competing in the
marketplace; it is this detailed plan that elevates strategic man-
agement to "strategy" level.
Design for Manufacturability
The second manufacturing strategy is design for manufacturability.
The manufacturability of a product refers to characteristics that
make the product suitable for reproduction (manufacture), usu-
ally on a large-scale basis.
Manufacturability is dependent upon two conditions:
• The ability to consistently manufacture a reliable product
without problems.
• The ability to manufacture the product at minimal cost.
When these two conditions for manufacturability are given fore-
most consideration during the design cycle of a product, the
concept is known as design for manufacturability (DFM), also
known as design for manufacture.
The principle behind DFM is to create the ability to economi-
cally manufacture a reliable product into an initial design rather
than to fix problems later in the manufacturing process. This
principle expands the idea of "do it right the first time" into "do it
right the first time, but as inexpensively as possible."
DFM generally relies upon standardization practices; it incor-
porates manufacturing processes that use standard parts, reduce
the number of parts, and minimize handling during production.
However, the most sophisticated DFM strategies allow for a
range of product customization.
Depending upon the product or manufacturing process, DFM
may incorporate a variety of tools to reach its goal.
The following is a brief description of four DFM tools:
• Additive Manufacturing (AM) Technologies
• Concurrent Engineering
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• Poka-yoke
• Product Lifecycle Management (PLM)
Additive Manufacturing (AM) Technologies
The first DFM tool is Additive Manufacturing (AM) Technolo-
gies. AM technologies, also known as "rapid prototyping," allow
a manufacturer to fabricate customizable parts of any shape
from complex materials. (Rapid prototyping refers to quicker-
than-average production of models for the purpose of working
out problems. ) Because of its intent to tackle the manufacturing
issues involving the complexities of shape and materials, AM
technologies have the potential to move beyond providing cost-
cutting benefits to actually achieving new, higher manufacturing
capabilities (Rosen, 2007, p. 585-586).
Concurrent Engineering
The second DFM tool is concurrent engineering. Concur-
rent engineering is a method of product or process design that
includes simultaneous input from everybody with a stake or role
in the final product, including engineers, salespersons, support
personnel, vendors, and customers, throughout the entire design
process (Sapuan, 2006).
Poka-yoke
The third DFM tool is Poka-yoke. Poka-yoke is the concept of
mistake-proofing the entire manufacturing process by prevent-
ing mistakes in the product design, the process, and from human
actions. Poka-yoke refers to the mechanisms used throughout
a manufacturing process to ensure that proper conditions exist
before a process step is begun. Or, if it is not possible to invoke
poka-yoke before the process actually begins, then it is used to
detect defects at the earliest point in the process (Manivannan,
2007). Poka-yoke is also frequently employed as part of a lean
manufacturing strategy. (See also "DFM Tools: Lean Manufac-
turing.")
Product Lifecycle Management (PLM)
The last DFM tool is Product Lifecycle Management (PLM).
PLM integrates all the people, processes, and information
related to a product in order to communicate information across
the enterprise, from initial product concept to the end of its life.
PLM takes the concept of concurrent engineering (people and
process integration throughout the design cycle) further, by
applying the principles throughout the product's life, from incep-
tion to disposal.
Lean Manufacturing
The third manufacturing strategy is lean manufacturing. Lean
manufacturing refers to a company's ongoing, systematic effort
to eliminate the sources of waste in a production process.
Syddell (2005, p. 20), notes that Brad Perkins, senior director,
auto and industrial, for Oracle Asia Pacific, indicates that there
are eight major causes of waste in the production process:
• Over Production
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 ​​​Manufacturing Strategies​
• Waiting
• Conveyance
• Processing
• Inventory
• Unnecessary Motion
• Processing Failures
• Space
The following six tools are frequently used to combat the major
causes of waste in the production:
• Cellular Manufacturing
• Just-in-time (JIT)
• Kaizen
• Kanban
• Poka-yoke
• Outsourcing
Cellular Manufacturing
The first lean manufacturing tool is cellular manufacturing. This
strategy involves the arrangement of "production work stations
and equipment in a sequence that supports a smooth flow of
materials and components through the production process with
minimal transport or delay" (EPA, 2003, p.11). Cellular manu-
facturing minimizes the time required to manufacture a single
product by moving the product through the entire production
process one-piece at a time, according to a rate determined by
a customer's needs. Cellular manufacturing is in direct contrast
to batch-and-queue (also known as large-lot) production which
involves processing multiple parts before moving them onto the
next machine or process (EPA, 2003).
Just-in-time (JIT)
The second lean manufacturing tool is JIT. The practice of JIT
refers to the supplying of parts or items at the time that they are
needed and not before. JIT can apply to parts or items supplied to
the manufacturer or to the items that the manufacturer produces
for its customers. In either scenario, JIT directly contrasts with
the practice of building up inventory by stockpiling items.
Kaizen
The third lean manufacturing tool is kaizen. Kaizen is a Japanese
term that refers to the process of continuous improvement, often
in small, incremental steps. To be effective, kaizen must involve
the entire workforce in its philosophy and practice.
Kanban
The fourth lean manufacturing tool is kanban. Kanban is an inte-
gral part of the JIT production process; it is an information tool
that specifies exactly which parts or items are needed during the
production process and exactly when they are needed.
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Poka-yoke
The fifth lean manufacturing tool is poka-yoke. Poka-yoke refers
to error-proofing the production process during the design phase
to eliminate faulty products altogether, or if that is not possible,
to detect defects at the earliest possible moment in the produc-
tion process. Poka-yoke is also frequently employed in DFM
strategies. (See also DFM Tools: Poka-yoke.)
Outsourcing
The last lean manufacturing tool is outsourcing. When a manu-
facturer hires another company to manufacture parts, or perform
services (such as testing of products) instead of doing it in-
house, this is called outsourcing. Products or services are usually
outsourced because it is less expensive than doing so in-house.
(Or, because the hiring company does not have the expertise in-
house.) While products or services are sometimes outsourced to
companies within the United States, they are often outsourced
to foreign countries with cheaper labor rates for skilled workers.
Outsourcing to foreign countries is known as "offshoring."
Six Sigma
The fourth manufacturing strategy is Six Sigma. Six Sigma is a
tightly-managed, statistical quality control methodology that is
used to detect and eliminate defects or variations in the manu-
facturing process.
Six Sigma involves a five step process, called DMAIC, which
stands for the first letter of the word in each step:
• "Define (Identify the variable to be improved.)"
• "Measure (Capture data on the identified data.)"
• "Analyze (Brainstorm the root cause variables and their
relationship with the variable that is to be improved.)"
• "Improve (Remove root causes and/or minimize varia-
tions around the mean of the target variable.)"
• "Control (Sustain the improvements in the process via
control chart applications.)" (Calabrese, 2007, p. 31). The
control chart, a significant feature of Six Sigma method-
ology, is used to plot and graph a process over time in
order to detect variations.)
Manufacturing for a Sustainable Society
The last manufacturing strategy is manufacturing for a sustain-
able society. A sustainable society is one that meets current
environmental, economic, and community needs without com-
promising those needs in the future.
There are three main categories of issues that affect a sustainable
society.
• Environmental issues
• Economic issues
• Community issues
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 ​​​Manufacturing Strategies​
A manufacturer that intends to incorporate a strategy that embraces
and contributes to a sustainable society may incorporate a variety
of practices that tackle the three issues, including the following
initiatives:
Environmental Issues: Initiatives
• Design products that are recyclable or biodegradable.
• Purchase products from companies that employ sustain-
able packaging.
• Offer financial incentives to employees who travel to
work by bicycle, public transportation, and hybrid or
electric motor vehicles.
• Operate facilities during non-peak utility and travel hours.
• Offer to remanufacture products when appropriate. (Re-
manufacturing "is the process of disassembly of products
during which time parts are cleaned, repaired or replaced
then reassembled to sound working condition") (The
Remanufacturing Institute, n.d.)
Economic Issues: Initiatives
• Streamline costs and processes in order to offer goods
and services at a fair price.
• Pay employees fair wages.
• Promote and enforce equal opportunity for employees.
• Refuse to do business with companies that engage in
child labor or other human rights violations.
• Refuse to invest in companies or countries that engage in
child labor or other human rights violations.
Community Issues: Initiatives
• When building or developing facilities, provide additional
community benefits such as burying utilities, improving
existing roads, or bringing in high-speed Internet access.
• Contribute funds for fire, police, and social service orga-
nizations.
• Contribute funds and manpower to projects that provide
free or low-cost medical care, food, and housing to low-
income persons.
• Volunteer funds and manpower for community service proj-
ects, such as beautification programs, arts programs, com-
munity gardens, playgrounds, and after-school programs.
• Set aside a percentage of new housing for affordable
housing. If building or developing on land that will dis-
place low-income persons, fund suitable alternative living
arrangements for them.
Terms & Concepts
Additive Manufacturing (AM) Technologies: Enable the fabrica-
tion of parts and devices that are geometrically complex, have
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graded material compositions, and can be customized. This tech-
nology is also known as "rapid prototyping" (Rosen, 2007, p.
585). (See also "Rapid Prototyping.")
Concurrent Engineering: A method of product or process design
that includes simultaneous input from everybody with a stake or
role, including engineers, salespersons, support personnel, ven-
dors, and customers throughout the entire design process.
Control Chart: "A chart with upper and lower control limits on
which values of some statistical measure for a series of samples
or subgroups are plotted. The chart frequently shows a central
line to help detect a trend of plotted values toward either control
limit" (American Society for Quality, n.d., Glossary).
Design for Manufacturability (DFM): The tailoring of product
designs to eliminate manufacturing difficulties and minimize
costs (Rosen, 2007, p. 585). Also known as design for manu-
facture.
DMAIC: "A data driven quality strategy for improving processes
and an integral part of a Six Sigma quality initiative. DMAIC is
an acronym for define, measure, analyze, improve and control"
(American Society for Quality, n.d., Glossary).
Lean Manufacturing: An ongoing, systematic effort to eliminate
the sources of waste in a production process (Mark, 2007).
Manufacture: To make a product from raw materials by hand
or by machine (Merriam-Webster's collegiate dictionary, 2000).
Offshoring: The movement of domestic production (and the
related jobs) offshore (United States Government Accountability
Office, 2004, p. 55).
Outsourcing: The procuring of services or products from an
outside supplier or manufacturer in order to cut costs (Brooks,
2004, p. 4).
Poka-yoke: A concept introduced by an engineer at Toyota
Motor Corporation in 1961 that uses process or design features
to error-proof the entire manufacturing process by preventing
the manufacture of a non-conforming or faulty product; promot-
ing safer working conditions; and preventing machine damage.
The original term was "baka-yoke" which translates as "fool-
proofing," but in 1963, a worker at Arakawa Body Co. refused
to incorporate the process into her work because she felt that
the term was dishonorable and offensive, so it was changed to
poka-yoke which means error-proofing or mistake-proofing
(Manivannan, 2007, p. 18-19).
Product Lifecycle Management (PLM): "A strategic business
approach that applies a consistent set of business solutions in sup-
port of the collaborative creation, management, dissemination,
and use of product definition information across the extended
enterprise from concept to end of life, integrating people, pro-
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 ​​​Manufacturing Strategies​
cess, and information" (CIMdata, Inc. as cited by Gould, 2002,
p.44).
Quality Control: "The operational techniques and activities used
to fulfill requirements for quality" (American Society for Qual-
ity, n.d., Glossary).
Rapid Prototyping: Quicker-than-average production of models
for the purpose of working out problems. (See also "Additive
Manufacturing (AM Technologies.")
Remanufacturing: The process of refurbishing products by
taking them apart to clean, repair, and replace parts as needed,
then reassembling the product in working condition.
Six Sigma: "A method that provides organizations with tools to
improve the capability of their business processes. The increase
in performance and decrease in process variation leads to defect
reduction and improvement in profits, employee morale and
quality of products or services. Six Sigma quality is a term gen-
erally used to indicate that a process is well controlled (±6 s from
the centerline in a control chart)" (American Society for Quality,
n.d., Glossary). Six Sigma quality performance means no more
than 3.4 defects per million opportunities (American Society for
Quality, Six Sigma Overview).
Statistical Quality Control (SQC): "The application of statisti-
cal techniques to control quality" (American Society for Quality,
n.d., Glossary).
Strategic Management: A company roadmap for capturing and
maintaining competitive advantage by determining the broader
concepts of mission, goals, and long and short-term objec-
tives; and by defining and managing the more specific details
of analysis, decision-making, actions, roles, responsibilities, and
timelines.
Strategy: "The science and art of employing the political, eco-
nomic, psychological, and military forces of a nation or group
of nations to afford the maximum support to adopted policies
in peace or war; a careful plan or method; the art of devising or
employing plans or stratagems toward a goal" (Merriam-Web-
ster's collegiate dictionary, 2000).
Sustainable Society: A society which meets current environ-
mental, economic, and community needs without compromising
those needs in the future.
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Essay by Sue Ann Connaughton, MLS

Sue Ann Connaughton is a freelance writer and researcher. Formerly, she was the Manager of Intellectual Capital & Research at Silver
Oak Solutions, a spend management solutions consulting firm that was acquired by CGI in 2005. Ms. Connaughton holds a Bachelor
of Arts in English from Salem State College, a Master of Education from Boston University, and a Master of Library & Information
Science from Florida State University.

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Copyright of Manufacturing Strategies -- Research Starters Business is the property of Great
Neck Publishing and its content may not be copied or emailed to multiple sites or posted to a
listserv without the copyright holder's express written permission. However, users may print,
download, or email articles for individual use.
Copyright of Manufacturing Strategies -- Research Starters Business is the property of Great
Neck Publishing and its content may not be copied or emailed to multiple sites or posted to a
listserv without the copyright holder's express written permission. However, users may print,
download, or email articles for individual use.
Copyright of Manufacturing Strategies -- Research Starters Business is the property of Great
Neck Publishing and its content may not be copied or emailed to multiple sites or posted to a
listserv without the copyright holder's express written permission. However, users may print,
download, or email articles for individual use.
Copyright of Manufacturing Strategies -- Research Starters Business is the property of Great
Neck Publishing and its content may not be copied or emailed to multiple sites or posted to a
listserv without the copyright holder's express written permission. However, users may print,
download, or email articles for individual use.
Copyright of Manufacturing Strategies -- Research Starters Business is the property of Great
Neck Publishing and its content may not be copied or emailed to multiple sites or posted to a
listserv without the copyright holder's express written permission. However, users may print,
download, or email articles for individual use.