To survive and prosper in this new environment, many firms have had to reorganize
and become more responsive to change. They have had to build trust and
responsibility. This has been achieved internally on the one hand, by flattening
hierarchical structures and delegating responsibility in order to mobilize skills more
effectively, and externally on the other, by building durable networks as a fundamental
part of maximizing value-added output. The benefits of these networks are evident in the
automotive industry, particularly in component manufacturing and sub-assembly.
Flexibility has become the key word. Smaller units have always predominated in services,
and in manufacturing the average number of employees in work places has been declining
in the majority of Organization for Economic Co-operation and Development (OECD)
countries.