The Second Century

The Second Century

Reconnecting Customer and Value Chain Through Build-to-order : Moving Beyond Mass and Lean Production in the Auto Industry

eBook - 2004
Rate this:
MIT Press

As the auto industry moves into its second century, it suffers from low margins and a sclerotic value chain that cannot evolve with customer desires. Inventories of many weeks pile up on dealer lots and at distribution centers around the world while executives applaud marginal improvements in factory efficiency.Value streams based on Henry Ford's mass-production model from the early 1900s do not deliver the strategic flexibility that is needed in today's increasingly competitive and demanding market. With billions of potential product variations, customers still compromise by selecting from a limited number of products sitting at dealerships or at distribution centers. Those customers who dare insist on a specific variation not only wait weeks but also pay extra for the privilege of telling vehicle manufacturers what they actually want.In The Second Century, Matthias Holweg and Frits Pil provide a comprehensive look at today's dysfunctional value-chain strategies, then systematically discuss the changes in products and in processes that are needed to bring about responsiveness to customer needs through build-to-order. They look beyond the dealer, the factory and the design studio to examine the web of relationships and dynamics that have brought the auto industry to its current low point.Holweg and Pil argue that in this century the winners will not be those firms that search for larger and larger scale or those who run efficient factories, or those that squeeze the last drop of profitability from their suppliers. The winners, they say, will be those who build products as if customers mattered.


How the auto industry can replace obsolete strategies dating to Henry Ford's era with a system that reconnects customers to the value chain: a build-to-order model centered on process, product, and volume flexibility.

Blackwell North Amer
In The Second Century, Matthias Holweg and Frits Pil take a look at the dysfunctional nature of current value-chain strategies, then systematically discuss the changes in product and processes that are needed to bring about responsiveness to customers' needs. They look beyond the dealer, the factory and the design studio to understand the web of relationships and dynamics that have brought the auto industry to its current low point.
Holweg and Pil argue that in this century the winners will not be those firms that search for larger and larger scale or those who run efficient factories and squeeze the last drop of profitability from their suppliers. The winners, they say, will be those who build products as if customers mattered.

Publisher: Cambridge, Mass. : MIT Press, ©2004
ISBN: 9781417560578
1417560576
9780262275613
0262275619
Characteristics: 1 online resource (xi, 238 pages) : illustrations
Additional Contributors: Pil, Frits K.
Alternative Title: 2nd century

Opinion

From the critics


Community Activity

Comment

Add a Comment

There are no comments for this title yet.

Age Suitability

Add Age Suitability

There are no age suitabilities for this title yet.

Summary

Add a Summary

There are no summaries for this title yet.

Notices

Add Notices

There are no notices for this title yet.

Quotes

Add a Quote

There are no quotes for this title yet.

Explore Further

Recommendations

Subject Headings

  Loading...

Find it at SPL

  Loading...
[]
[]
To Top