Manufacturing strategy and improvement activities of Sri Lankan furniture manufacturers

Abstract

Furniture industry is a significant industry in the manufacturing sector in Sri Lanka based on the number of employees. This paper studies the manufacturing strategy of Sri Lankan furniture industry. A questionnaire survey was carried out among the key players of the industry to investigate the manufacturing strategy and improvement activities. Cluster analysis is used to identify the strategic manufacturing groups based on their competitive priorities and three strategic groups were formed. Top competitive priorities of the Sri Lankan furniture manufacturers were identified as low price, conformance quality and product performance. Performance improvement activities under three major categories namely advanced manufacturing technologies, integrated information systems and advanced management systems were investigated. Manufacturing strategy stages of the furniture manufacturers were studied based on the Hayes and Wheelwright model and it is found out that majority of the companies have the characteristics of stage II of the model.