The report, "Managing Global Production Networks," highlights the importance of reviewing and adapting network design to respond to dynamic market conditions. The report emphasizes the need for companies to strive for high centralization while meeting local requirements. Key network goals include access to markets and qualified workforce, not low-cost labor. The report also notes that different network types are equally common, with a high degree of standardization and centralization prevalent, regardless of the network structure. Global megatrends, such as the west-east shift, demand volatility, hyper-competition, high speed of technological change, war for talent, energy efficiency, changed demographics, and globalization, have a strong impact on the manufacturing industry and the management of global production networks. Companies must continuously review network structure and strive towards centralization while meeting local requirements to remain competitive in this rapidly changing environment.
