Lecture 3_Outline - Process Strategy

Lecture 3_Outline - Process Strategy - Lecture 3 - Outline...

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Lecture 3 - Outline 1 Lecture 3: Process Strategy (Textbook: Chapter 3) Objectives ¾ To highlight four major process decisions ¾ To discuss Customer-Contact Matrix for Service Processes and Product- Process Matrix for Manufacturing Processes ¾ To present the production and inventory strategies and to discuss the relationship between competitive priorities with manufacturing strategies ¾ To highlight decision patterns for service and manufacturing processes ¾ To discuss strategies for process focus and change management. Process Strategy Principles of process strategy - Make choices that fit the situation and that make sense together, that have a close strategic fit - Individual processes are the building blocks that eventually create the firm’s whole supply chain - Management must pay particular attention to the interfaces between processes Major process decisions include : Process Structure Customer Involvement Resource Flexibility Capital Intensity Major Process Decisions Four common process decisions
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Lecture 3 - Outline 2 a. Process Structure determines how processes are designed relative to the kinds of resources needed, how resources are partitioned between them, and their key characteristics. b. Customer Involvement refers to the ways in which customers become part of the process and the extent of their participation. c.
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Lecture 3_Outline - Process Strategy - Lecture 3 - Outline...

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