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An empirical study of factors affecting hours-per-vehicle in automotive industry

Majid Jaridi

The main goal of this research was to pinpoint and understand factors that improve performance in automotive industry in North America. Obviously, the most important factor to improve automakers’ productivity is the manufacturing processes itself. However, in general, hours per vehicle (HPV) is a widely recognized and practiced measure that companies use to increase their performance level and raise productivity. Unfortunately, there is a limited understanding of the set of factors that affect HPV across the automotive industry at conceptual and technical levels.