A model for process-re-development in a small and medium enterprise

Summary form only given. This is a case study of how a small manufacturing firm embarks on and develops a path of organization renewal with support from a government subsidized organization and a university. The intervention from these organizations and the recruitment of a new partner has accelerated the learning required to adopt best practices in the industry. Through learning by doing, the company has made significant changes to its organization. The company, a small manufacturing firm founded by several partners over ten years ago faces the problem of developing from subcontracting/OEM to ODM and OEM. The new partner became a change agent by mobilizing associates in external organizations to provide support for innovations in the management of the factory in China. An integrated productivity improvement (IPI) program and support from a manufacturing information system research (MISR) project were the first two activities to improve the capability of the company. The changes that occurred concern the mentality of the board of directors; their vision of the company; the quality, information, and management systems of the company; and the development of a learning culture in the factory. The paper provides an analysis of the implications of the development from subcontracting/OEM to ODM/OBM on the firm´s manufacturing strategies and its relationships with customers. This case study illustrates how a SME can outsource knowledge and technology skills from external parties to support its development from a low technology based company to lay a foundation towards world class manufacturing performance