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If companies are to be successful they must have a competitive strategy. A composite, formed of successful manufacturing company strategies, is outlined in order to resolve manufacturing industry′s perceived conflict of financial product and manufacturing objectives. The proposed solution, cash sensitive restructuring, is described as a method of enabling companies to raise their performance by using resources hidden within the business in four major areas: fixed assets,inventory, overheads and manufacturing policy. Cash sensitive restructuring is shown to provide a bridge between the theory and practice of manufacturing strategy.

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