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International Operations by Harm-Jan Steenhuis

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CHAPTER 7

Transferring Operations

The need and complexities of transferring operations across several different plants became very clear to me in 1998 while I was working at an aircraft production plant in Romania. A Canadian manufacturer of aircraft had outsourced some of its production to a Romanian company. This was mostly for cost reasons. The part that was produced in Romania was a cockpit. The international operations network at that time could be considered a sequential or convergent network while the Romanian plant could be considered an offshore plant because it had limited responsibilities. At that time, the Romanian company was not allowed to further subcontract any work and it had to follow the Canadian production methods. The Canadian ...

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