We present a model-based approach for competitive analysis of manufacturing plants. As part of this approach, we propose the application of Operational Competitiveness Ratings Analysis (OCRA) to measure the competitiveness of plants in terms of their relative inefficiency. We then present a conceptual framework to classify and identify the drivers of plant competitiveness in terms of decisions related to plant structure and infrastructure. Finally, we demonstrate the application of this model-based approach to conduct competitive analysis of plants in the US processed food industry.
Bibliographical noteFunding Information:
This study is supported by grants from the Alfred P. Sloan Foundation by way of The Retail Food Industry Center, University of Minnesota and A.T. Kearney Inc., and Grant-in-Aid of research from the University of Minnesota. The authors are grateful to Celik Parkan for providing the software to conduct Operational Competitiveness Ratings Analysis. The authors thank Louise Letnes for her assistance in data collection, and Jean Kinsey and Celik Parkan for their valuable comments on an earlier version of the paper.