Ch 2 - Chapter 2. Operation Strategy and Competitiveness...

Info iconThis preview shows pages 1–13. Sign up to view the full content.

View Full Document Right Arrow Icon

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: Chapter 2. Operation Strategy and Competitiveness Xun Li 2 Learning Objectives 1) The role of operations strategy* 2) Developing a business strategy** 3) Developing an operation strategy** 4) Strategic role of technology* 5) Productivity** 3 LO1: The Role of Operations Strategy What is a strategy? Business strategy The long-range plan of a business, designed to provide and sustain shareholder value (pp.29). Michael Porters competitive strategies (pp.29) Cost Leaderships (e.g. Southwest Airlines ) Service (e.g. Singapore Airlines) A plan of action intended to accomplish a specific goal (wiktionary) 4 LO1: The Role of Operations Strategy Operation Strategy (OS) A long-range plan for the operations function that specifies the design and use of resources to support the business strategy An OS must be aligned with the companys business strategy and enable the company to achieve its long-term plan 5 LO1: The Role of Operations Strategy LO2: Developing a Business Strategy 6 LO2: Developing a Business Strategy Environmental Scanning Marketplace trends Economic trends Political trends Social trends 7 Environmental Scanning Core Competencies Review Which of the following would not be considered a core competency that a company might have? a) a highly trained workforce b) an inefficient distribution system c) skills in attracting and raising capital d) use of information technology e) quality control techniques 8 Operations Strategy is a long-term plan for the design and management of operations functions Operation Strategy developed after the business strategy Operations Strategy focuses on specific capabilities which give it a competitive edge competitive priorities 9 LO3: Developing an Operating Strategy LO3: Developing an Operating Strategy 10 Four Important Operations Questions: Will you compete on Cost? Quality? Time? Flexibility? All of the above? Some? Tradeoffs? LO3: Developing an Operating Strategy 11 Competing on Cost ? Offering product at a low price relative to competitors Typically high volume products Often limit product range & offer little customization May invest in automation to reduce unit costs Can use lower skill labor Probably use product focused layouts Low cost does not mean low quality LO3: Developing an Operating Strategy 12 Competing on Quality ?...
View Full Document

Page1 / 42

Ch 2 - Chapter 2. Operation Strategy and Competitiveness...

This preview shows document pages 1 - 13. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online