Question: Hond has long used a complexity-reduction strategy known as standardization to reduce waste in products and processes and enable it to produce nearly one million

Hond has long used a complexity-reduction

Hond has long used a complexity-reduction strategy known as standardization to reduce waste in products and processes and enable it to produce nearly one million variants of vehicles with minimum difficulties. This method is applied through the entire process, from product development through manufacturing to sales. Honda uses standardization techniques to minimize complexity, but it has never eliminated complexity at the expense of the customer's desire for quality and variety. Within 200,000 total monthly units of production, approximately 40,000 variants are actually produced, ator near the lowest cost in the world. Despite this complexity of product, which is valued by customers, the internal complexity and cost at Hond are far less than at Fiate or Fordie. It builds its complete variety of products on just 13 platforms-foundational designs that can easily be customized to specific products. Each platformin turn derives its sub-assemblies and parts from a book of standardized designs, each of which is used across many platforms. Discuss based on your point of view the manufacturing strategy for Hond by using Terry Hill framework as a model of strategic integration towards productivity improvement

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!