Title: Lean supply chains and the competitiveness of emerging market firms

Authors: Robert N. Mefford

Addresses: School of Management, University of San Francisco, 2130 Fulton Street, San Francisco, CA 94117, USA

Abstract: This paper addresses the issue of whether the type of supply chain can have a significant effect on the pace and tenor of economic development of a country. It is argued that the spread of lean production systems such as the Toyota Production System and its derivatives can improve technology transfer to an economy and diffuse it more widely than traditional forms of production systems and supply chains. The result is faster economic development through a more rapid transition to higher value-added manufacturing and more export-competitive industries in terms of price, quality, and flexibility. The mechanisms for technology transfer in lean production are the emphasis on soft technology (that is, process and management skills) and the fuller development of human resources in firms. The spread of these capabilities through the supply chain hastens the economic growth and development effects. Several case studies are used to illustrate these effects.

Keywords: lean manufacturing; lean enterprise; lean production; preserving value; waste reduction; global supply chains; competitiveness; technology transfer; economic development; international business; SCM; supply chain management; lean supply chains; Toyota Production System; value-added manufacturing; export-competitive industries; prices; quality; flexibility; soft technology; process skills; management skills; human resource development; HRD; automotive products; Asia; automobile industry; Japan; Thailand; China; Zhejiang Geely Holding Group; Mazda Motor Corporation; Ford Motor Company; USA; United States; joint ventures; Hermosillo; Mexico; emerging markets.

DOI: 10.1504/IJBEM.2013.050720

International Journal of Business and Emerging Markets, 2013 Vol.5 No.1, pp.3 - 27

Received: 28 Jul 2011
Accepted: 03 Jan 2012
Published online: 13 Nov 2013 *

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