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Canadian Excellence

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Hamid Noori

Fractal manufacturing partnership: exploring a new form of strategic alliance between OEMs and suppliers (ABSTRACT)


Noori, H., & Lee, W.B.

published: 2000 | Research publication | Refereed Journals - ODS

Noori, H., & Lee, W.B. (2000). "Fractal manufacturing partnership: exploring a new form of strategic alliance between OEMs and suppliers". Journal of Logistics Information Management, 13 (5), 301-311.



ABSTRACT:  This paper explores the concept of fractal manufacturing partnership (FMP); an emerging system designed to combine the logistical attributes of lean production with the strategic configuration of agile network capabilities. FMP allows complete flexibility in the operation of the sub-factory within a factory and provides a physical link between the partners. Building on a case study of the automotive industry, the work demonstrates that FMP is more than sharing investment costs and squeezing suppliers to cut component costs. It is an alliance whose benefits go beyond reducing inventory. The paper: 1. provides a short overview of different forms of partnership between OEMs and their suppliers that have been practiced in recent years, 2. provides structural characteristics of the FMP based on the case study we have completed, and 3. presents the conclusion.

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revised Jan 14/05

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