Abstract:Driven by global value chains, industrial division of labor is further refined, which promotes enterprise to explore more efficient production strategy in order to deal with cost balance, product in-time delivery and customer satisfaction. This paper initially analyzes the existing research background, and then points out that the modular architecture could be utilized to better increase efficiency in production process. Moving forward, the following methodologies are raised including: 1) ideas to build and optimize enterprise’s production lines, such as stable main line and dynamic switch of module in-house manufacturing and sourcing strategy, 2) modular production network model, in which enterprise is core followed by module suppliers, OEM, etc., to pay way for collaboration among R D, production and marketing aspects. . In the final, a practical modularity case of Haier Group Corporation is given in order to further explain the applicability of the mentioned theory.