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Proposes an approach to improving production management (PM) of a firm through examining its resource utilization and product competence. To understand the status of PM in Taiwan, evaluates the achievement levels of 14 production management subjects from 50 large‐scale manufacturing firms. The subjects are further classified into four planning ranges of PM. Then productivity measures of these firms for resource utilization and product competence are determined. Two groups of patterns with distinct PM characteristics are found through a fuzzy clustering analysis based on resource utilization and product competence. Significant correlation has been found between resource utilization and product competence and PM. The PM patterns with good performance in terms of resource utilization and product competence are considered targets for firms of other patterns. The ways of adjusting PM for these firms of other patterns are then described in terms of the characteristics of the target patterns.

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