The Electronic Re‐Organization of Industry: Implications for Sub‐Contractors

Discusses the predicted impact on industrial structures of these developments considering various important points relative to this area. Examines the new technologies based on sophisticated data analysis techniques such as CAD, CAM, FMS, CAT, etc., which encompass the new production procedures. Advocates that firms are being encouraged to sub‐contract work previously maintained in‐house ‐ this is expected to flourish with the growth of CAE. Contends that as the use of sub‐contractors grows, long‐term commitments between customer and supplier are less likely to develop. Concludes that sub‐contracting is likely to become more common with the development of CAE and points out that, under CAE sub‐contracting's nature will change from its existing state in many industries. Asks what form effective marketing will take under such circumstances.