Developing a framework for make‐or‐buy decisions
International Journal of Operations & Production Management
ISSN: 0144-3577
Article publication date: 1 November 2000
Abstract
The make‐or‐buy question represents a fundamental dilemma faced by many companies. Companies have finite resources and cannot always afford to have all manufacturing technologies in‐house. This has resulted in an increasing awareness of the importance of make‐or‐buy decisions. This paper reports on the development of a make‐or‐buy framework to address the make‐or‐buy decision for either a specific individual part or family of parts. Firstly, a literature review of the principal make‐or‐buy approaches is discussed. Secondly, the development of a make‐or‐buy framework is described and the framework is explained and illustrated using case studies. Thirdly, the operationalisation of the framework is outlined. The paper concludes with a discussion of its contribution to both the academic understanding of the subject, and the improvement of industrial practice.
Keywords
Citation
Cánez, L.E., Platts, K.W. and Probert, D.R. (2000), "Developing a framework for make‐or‐buy decisions", International Journal of Operations & Production Management, Vol. 20 No. 11, pp. 1313-1330. https://doi.org/10.1108/01443570010348271
Publisher
:MCB UP Ltd
Copyright © 2000, MCB UP Limited