| Book
Reviews
Time-Based Competition:
The Next Battle Ground in American Manufacturing
By Joseph D. Blackburn
Reviewed by Steve Buchwald,
CIRM
At an APICS event I recently
attended, I heard the comment, "Our company is now in
the third year of focused factory...." and at the time
I didn't think much of it. However, after reading this
month's book review selection, Time-Based Competition
- The Next Battle Ground in American Manufacturing,
edited by Joseph D. Blackburn, I am wondering if American
Manufacturing (I know that I didn't) really understands
the importance of flexibility in the total product delivery
cycle. Mr. Blackburn writes that our Japanese competitors
were very effective in the '60s and '70s at penetrating
Western markets by restricting their product lines and
operating in very focused factories. Nonetheless, those
same Japanese competitors are now altering the economics
of focus by developing flexible factories. These companies
are compressing the time required to move products through
their distribution systems. In addition, they are significantly
compressing the time required to develop and introduce
new products. In essence, these companies are able to
now increase the breadth of products offered and reduce
costs, allowing them to cover more segments of their
markets, and to increase the technological sophistication
of their products.
This book is not another how
to book, it is a collection of works written by experts
in the field of time compression that gives you food
for thought on how your company may be able to use TIME
to an advantage. The works included deal with Just in
Time, Total Quality Commitment, and Computer Integrated
Manufacturing. It consists of four parts: Strategic
Overview; New-Product Development; Time Compressing
Logistics and Distribution; and lastly The Top Managers
Role. It includes case histories from such notable companies
as, Federal Express, Hewlett-Packard, Honeywell, and
Xerox Corporation. Moreover, it has interesting research
like, what matters and what doesn't matter in productivity
improvement, and interesting discussions like, the similarity
between the manufacturing process (large batch vs. small
lots) and the new product development process, scattered
throughout.
If you still think American
manufacturing can be saved on the shop floor or that
JIT is a shop floor inventory control system then you
really need to read this book. As Toyota discovered,
time saved through improved manufacturing efficiency,
can be dissipated in distribution. Toyota learned that
although they could manufacture a car in 2 days, 15
to 26 days were required to close the sale, transmit
the order to the factory, get the order scheduled, and
deliver the car to the customer. They further learned
that 20 to 30 percent of a car's cost to the customer
was sales and distribution related. Time-Based Competition
takes the basic principles underlying JIT and demonstrates
how other businesses have been able to apply them to
the other crucial business functions so you can take
non value-added time out of your entire product delivery
cycle.
This book is available from
APICS. Good reading!
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