Research On Decision Making Strategy Of Independent And Outsourced Production For M Company

Rapid economic and technological development and rapid market changes have led to increasingly fierce competition among global companies,especially in the manufacturing industry.With the deepening of global integration,the continuous improvement of supply chain is accompanied by fierce competition.As a key strategic model in the development and competition of enterprises and supply chains,outsourcing production enables enterprises to focus on the core part to improve their core competitiveness.For manufacturing enterprises with independent core technologies,the joint production method of independent production and outsourced production can not only focus on the development and protection of core technologies,but also realize the diversification of production methods and improve the competitiveness and management level of the supply chain,thereby enhancing enterprises’ core competitiveness.Therefore,it is of great practical strategic significance for the development of enterprises to explore the joint production mode of independent production and outsourcing production suitable for enterprises.The research object of this paper,M company,is a US-funded electronic manufacturing enterprise,mainly engaged in R&D,production,sales,technical support and other businesses of data acquisition and automatic identification systems and equipment.As a global enterprise,M’s products are sold worldwide,with a wide variety of products and relatively complicated production management models.At present,there are both independent production and outsourced production in the production mode of M company,but there is still a lack of scientific selection standards and systems on how to reasonably choose the production mode of independent production,outsourced production or the combination of the two.Scientific production methods play a vital role in maintaining the core competitiveness of M company.This paper is theoretically supported by outsourcing production theory.First,using SWOT analysis method and Porter’s five forces model to analyze the advantages/disadvantages and its industry competition environment of M company,separately,to discuss the influence of internal and external factors on M company.The current situation of the supply chain and production management of the enterprise,combined with the typical product PDA51,analyzes the problems in the production mode management of M company.The problems of M company’s production mode management are mainly reflected in three aspects: imperfect development and management of outsourcing suppliers,weak operation management of independent production and outsourcing production,and imperfect decision-making system for independent production and outsourcing production.Finally,the corresponding improvement measures are put forward for the above problems found.the above problems,and the decisionmaking optimization model is established by using integer programming,and the influence of internal and external factors on the production decision-making model is analyzed.Meanwhile,the corresponding implementation plan and safeguard measures for the production mode optimization plan of M enterprise is provided.This has certain reference for the development of scientific and reasonable production methods,the improvement of the supply chain of M enterprises,the upgrading of production and operation strategies and the improvement of competitiveness.