Livoa LogoLivoa
External
Environment
Triggers

•Cost reduction
•Lack of capacity
•Reduce time to market
•Increase quality
•New Product Introduction
•Focus investment
•Balance capabilities
•Skills shortage
•Increase responsiveness

MAKE-OR-BUY?


Technology
& Manufacturing
Processes

•Technology and equipment
•Skills to perform the process
•Technical skills (support)
•Ownership of the process
•Ability to cope with vol. changes
•Quality measures

Cost

•Production cost
•Acquisition cost

Supply Chain
Management &
Logistics

•Supplier selection
•Cost reduction activities with supplier
•Collaboration with suppliers
•Delivery
•Inventory control

Support
Systems

•Quality system
•Information systems
•Engineering changes system
•Training schemes
•Continuous improvement programme
•Technical support

Performance
Measures*

•Cost savings
•Capacity utilisation
•Time to market
•Quality
•Flexibility

•Competition
•Social Elements
•Availability of Suppliers
•Political Elements
•Economical Elements
•Environmental Elements
Areas
Factors

Translating Make-or-Buy Decision Workflow of Aerospace Organizational Behaviours into Machine Economies

by Nanbaima

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