Data analysis Methodological reflection on Case Study 6

that the degree to which standard designs are reused in a new product in this firm, had a direct positive relation to the annual sales volume and, it is assumed, to market share. An increase of 50 per cent of sales could be achieved by reusing standard designs for 30 per cent of the components of the new product. The firm concluded from this posi- tive test result that it had sufficient operational flexibility to realize a sufficient level of strategic flexibility. It is important to note that the results of this study were based on data generated by the two simulation models and that, therefore, the credibility of the results is dependent on the quality of the input for these models as well as of the models themselves. The input to the models was provided by experts from the firm. This implies that the validity of the conclusions of this study depends on the quality of this input. Therefore, it is of great importance for this study that these experts confirmed in meetings that the simulation models and their results were realistic, in their opinion.

11.4 Case Study 7: Descriptive practice-oriented research

Building a model of best practice of company standardization 2 by Henk J. De Vries and Florens Slob

11.4.1 Introduction

Companies make use of many different kinds of standards in order to improve their business performance in terms of efficiency and quality. In the process industry chemical and petrochemical industries, bene- fits such as reduction of design and construction costs, procurement costs, training costs, and minimization of design errors and rework, have been reported Simpkins, 2001. Companies in the process indus- try prefer external standards, for example from the ISO International Organization for Standardization and API American Petroleum Institute Barthet, 2000; Qin, 2004; Thomas, 2004. However, these 240 2 This chapter is based on: Oly, M. P. and Slob, F. J. C. 1999. Benchmarking Bedrijfsnormalisatie – Een best practice voor de procesindustrie. Rotterdam: Erasmus Universiteit Rotterdam, Faculteit Bedrijfskunde, and De Vries, H.J. 2006 Best Practice in Company Standardization. International Journal for IT Standards and Standardization Research, 41, pp. 62–85.