Developing a Model for Managing Production Performance of Small and Medium Enterprises in Sweden

The study developed a model for production performance management of small and medium enterprises (SMEs) in Sweden. The developed model works for assessing, follow up and improvement in production performance. SMEs differ in size, structure, culture, competition, management practices, resource availability and lot more when compared with large organizations. SMEs also lack in effective performance management framework as most of the framework developed are designed for large organizations. Production is core and critical value adding process especially for SMEs manufacturer for their survival and growth. SMEs are more motivated with doing rather than measuring it. Taking all these consideration a comprehensive model is developed which consists of four major steps. The model starts with studying of company’s strategy, and then there are steps for design of production performance measurement which works for identifying details strategically aligned performance measures. Benchmarking step is included to compare performance with best practices, finally measurements results are analysed and improvement actions are taken to continuously improve the production performance. Developed model based on literature study, multiple case study (three case studies) are being conducted to check model applicability. The result of case studies supports the applicability and formulated problem is also well-answered by developed model.

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