Socio-technical organization of cell manufacturing and production islands in the metal manufacturing industry in Germany and the USA

Abstract

I report on research conducted on the US and German metal manufacturing industry. It examines recent changes in technology and work organization: cell manufacturing in USA, and production islands in Germany. The argument will be made that under considerable external pressure to change, the focus of response is on work organization rather than technology, with similar problems occurring. A particular problem in each country is the lack of job rotation both within and between cells and production islands, and the presence of an incentive pay system whose goals lack compatibility with the tenets of the new manufacturing environment. While in both countries, there is considerable experimentation with new forms of work organization, the German approach tends to be more steady with slower change, whereas in the USA change has been rapid with major consequences for unions. The latter part of the paper deals much with industrial relations.