Vereecke, A., & Van Dierdonck, R. (2002). The strategic role of the plant: testing Ferdows’s
3 important questions on Vereecke, A., & Van Dierdonck, R. (2002). The strategic role of the plant: testing Ferdows’s
What are the strategic reasons for establishing and exploiting the plant?
- Accès to low-cost production input factors
- Access to skills and knowledge/ use of local technological factors
- Proximity to market
What are the site competences?
- Production
- Process technical maintenance
- Procurement
- Logal logistics
- Global hub role for product and process knowledge
What are the six roles?
- Offshore: low wages and other factors for low cost production
- Source: gain accès to low cost production but with additional resource and enterprise
- Outpost: primarily gain access to knowledge and skills
- Lead: ability and knowledge to innovate and create new processes, products, etc
- Contributor: supplies specific national or regional market
- Server: serves local market and product customazition
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