I. Overview

II. Achieving Superior Efficiency

1. Efficiency and Economies of Scale
2. Efficiency and Learning Effects
3. Efficiency and the Experience Curve

III. Efficiency, Flexible Manufacturing, and Mass Customization

1. Marketing and Efficiency
2. Materials Management, Just-in-Time, and Efficiency
3. R Strategy and Efficiency
4. Human Resource Strategy and Efficiency
   1. Hiring Strategy
   2. Employee Training
   3. Self-Managing Teams
   4. Pay for Performance
5. Information Systems, the Internet, and Efficiency
6. Infrastructure and Efficiency

IV. Achieving Superior Quality

1. Attaining Superior Reliability
2. Implementing Reliability Improvement Methodologies
   1. Build Organizational Commitment to Quality
   2. Focus on the Customer
   3. Find Ways to Measure Quality
   4. Set Goals and Create Incentives
   5. Solicit Input from Employees
   6. Identify Defects and Trace Them to Source
   7. Supplier Relations
   8. Design for Ease of Manufacture
   9. Break Down Barriers Among Functions
3. Developing Superior Attributes

V. Achieving Superior Innovation

1. The High Failure Rate of Innovation
   1. Uncertainty
   2. Poor Commercialization
   3. Poor Positioning Strategy
   4. Technological Myopia
   5. Slow to Market
2. Building Competencies in Innovation
   1. Building Skills in Basic and Applied Research
   2. Project Selection and Management
   3. Cross-Functional Integration
   4. Product Development Teams
   5. Partly Parallel Development Processes

VI. Achieving Superior Responsiveness to Customers

1. Customer Focus
   1. Leadership
   2. Employee Attitudes
   3. Bringing Customers into the Company
2. Satisfying Customer Needs
   1. Customization
   2. Response Time