Manufacturing strategy in context: environment, competitive strategy and manufacturing strategy

Abstract Considering manufacturing strategy in its larger strategic context has been thematic in conceptual literature in operations but relatively neglected in empirical studies, thus leaving predominant conceptual models of manufacturing strategy largely untested. This research develops a conceptual model of manufacturing strategy from the literature and tests the model using data from a sample of manufacturers in three industries in the United States. This research contributes to manufacturing strategy literature in four ways. First, it supports empirically a model of manufacturing strategy that is predominant in the conceptual literature. Second, it demonstrates that the strategic linkages in manufacturing businesses are clearer among good performers than poor performers. Third, this research suggests that competitive strategy acts as a mediator between an organization's environment and its manufacturing strategy. Fourth, the findings suggest that the relationship between competitive strategy and performance is mediated by manufacturing strategy. These last two findings have important implications for approaching research in manufacturing strategy in the future.