You are required to read and agree to the below before accessing a full-text version of an article in the IDE article repository.

The full-text document you are about to access is subject to national and international copyright laws. In most cases (but not necessarily all) the consequence is that personal use is allowed given that the copyright owner is duly acknowledged and respected. All other use (typically) require an explicit permission (often in writing) by the copyright owner.

For the reports in this repository we specifically note that

  • the use of articles under IEEE copyright is governed by the IEEE copyright policy (available at

  • the use of articles under ACM copyright is governed by the ACM copyright policy (available at

  • technical reports and other articles issued by M‰lardalen University is free for personal use. For other use, the explicit consent of the authors is required

  • in other cases, please contact the copyright owner for detailed information

By accepting I agree to acknowledge and respect the rights of the copyright owner of the document I am about to access.

If you are in doubt, feel free to contact

Towards achieving network capabilities in global production network of contract manufacturers

Publication Type:

Licentiate Thesis


The growth of global trade throughout the world has created remarkable opportunities for manufacturing companies to capture potential market share. This along with access to low-cost production resources and knowledge has encouraged manufacturing companies including global contract manufacturers to establish production plants overseas. However, managing and operating a network of geographically dispersed production plants all over the world requires systematic network management for achieving critical network capabilities. Network capabilities have been introduced and examined extensively, yet few studies, if any, have studied network capabilities in a contract manufacturing context. Therefore, the objective of this research is to develop knowledge regarding network capabilities in a global contract manufacturing context. In order to fulfil the objectives of this research, literature reviews were conducted as well as three case studies with data collected in a global contract manufacturing company headquartered in Sweden. The results refer to cost and flexibility as two major challenges facing global contract manufacturers. Moreover, product, production processes and complementary processes were identified as three synergetic areas within the production network of a global contract manufacturer. Working actively with those synergetic areas in the production network could facilitate the achievement of network capabilities especially in response to demands of being cost efficient and flexible. Finally, taking into account the unique needs of global contract manufacturers when developing the production systems, some results refer to possibility of achieving network capabilities during the production system development process.


author = {Farhad Norouzilame},
title = {Towards achieving network capabilities in global production network of contract manufacturers},
month = {November},
year = {2015},
url = {}