Quality in the global color picture tube industry: Managing complex production processes.

Abstract

This dissertation studies quality and manufacturing practices in color picture tube plants all over the world: of 53 plants that exist in the non-ex-communist world, we have collected detailed data on 48. We use a three-phase methodology for our research: in-depth study of one plant, field interviews with managers at ten factories, and a mail survey of four senior managers (plant, production, quality, and engineering) at each of the 48 color picture tube plants. Our key findings for the color picture tube industry pertain to the significance of "managing technology" and "managing the organization". For technology management issues, we find that the quality and productivity of factories is higher when: process and material handling automation are high, automation implementation practices ensure transfer of knowledge, there is cross-functional participation in product design, and product designs are implemented on the factory floor through consistent design release procedures. Key organizational issues include task orientation of workers through broad skills and knowledge, knowledge orientation of engineers through knowledge sharing and learning, and understanding of process interactions through error-analysis and analysis of process information. We also address secondary research issues pertaining to various strategic elements of quality management. First, our research suggests how a manufacturing organization can go from being cost-focused to becoming a "sandcone" organization (Ferdows and DeMeyer 1990). Another finding that has not been consistently observed in other studies, is that financial incentives for quality are correlated with superior quality performance. Our field observations and analysis suggest that the development of a quality culture in an organization can have a strategic impact, and thus, should be the responsibility of top management. Our research also indicates that process complexity influences the kinds of quality and manufacturing practices that lead to superior quality performance. This contingent framework suggests that more complex processes should emphasize knowledge-supporting and enhancing activities. Production and quality managers can use such a framework to help organize their factories. Such a framework also enriches the existing literature that links technology and organizations (Collins et al. 1988; others). In future research, we intend to test this framework more exhaustively.