Computer Integrated Flexible Manufacturing: Organizational, Economic, and Strategic Implications

Computers and communications technology in manufacturing fundamentally change the nature of the factory. Because capabilities and constraints are changed, organization and management must also change. Assumptions underlying manufacturing's shift from economies of scale to economies of scope. The central organizing concept changes from materials flow to information flow. With this new perspective, business strategy and the mission of the firm must also change. Above all, the focus on information forces us to conceptualize anew what characteristics are desirable for advanced factories, for organizations to operate them, and for management thinking.