A Study About Application and Refinement of a Production Strategy Formulation Model in a Building Company

In recent years, there have been some important changes in the industrial context, which have turned the production function into an important competitive force in many enterprises. This is due to the fundamental role this function has had in the acquisition of competitive criteria such as cost and quality. Based on this, the companies began to analyze the production function's decisions, no longer with an exclusively operational and short-term vision, but with a strategic approach linked to the company’s global objectives. Thus, this paper intends to study the application in a building company, of a production strategy formulation model developed by Barros Neto (1999). The objective of this application is to refine the model, as well as adjusting it to the local company's features in accordance with the work’s progress. The model’s application lasted six months and included the following stages: strategic diagnosis of the production function, knowledge of the profiles of the company’s customers and competitors, the company's objectives and the production function's objectives, development of plans and the follow up of the defined strategy implementation. It was clearly observed that the success of this work depends strongly on the company's culture, strategic planning knowledge and the importance of production function for the firm.