Sustaining growth in electronic manufacturing sector: lessons from Japanese mid-size EMS providers

Hui-Hong J.K. Li, Kim Hua Tan, Atsunori Hida
2011 International Journal of Production Research  
Many small and medium enterprises (SMEs) suffered badly from the recent economic crisis. However, a range of overseas Japanese SMEs in the electronic manufacturing sector seemed to do well, even achieving significant growth. Despite that, the electronic sector is in deep recession. Using three in-depth cases in the electronic manufacturing sector, this article discusses how successful overseas Japanese SMEs could achieve further growth and resilience to marketplace uncertainties. The findings
more » ... ggest that firm growth could be achieved through (1) re-organising of manufacturing supply chain by reducing overseas Keiretsu obligations; (2) gaining negotiation powers to achieve economies of scale through acquisitions; and (3) adopting IT technology to achieve Lean and increase responsiveness to market changes. The implications of these findings for SMEs in other sectors are additionally explored.
doi:10.1080/00207543.2011.563897 fatcat:a7e5wgjjl5dsrn5kialmn3pgiq