Documente Academic
Documente Profesional
Documente Cultură
Prepared By: Eddylene Francis Salac Submitted To: Prof. Michelle H. Concepcion,DBA
Product Compaq Computers ability to follow the PC market Volume Process Southwest Airlines No-frills service Location Layout
Pizza Huts five-minute guarantee at lunchtime Speed Dependability Federal Expresss absolutely, positively on time
QUALITY
Human Resource
Conformance Motorolas automotive products ignition systems Supply Chain Motorolas pagers Performance
Inventory Scheduling
IBMs after-sale service on mainframe computers AFTER-SALE SERVICE Fidelity Securitys broad line of mutual BROAD PRODUCT LINE funds
Maintenance
PowerPoint presentation to accompany Operations Management, 2001 by Prentice Hall, Inc., Upper Saddle River, N.J. 07458 2-2
Preconditions
One must understand:
Strengths and weaknesses of competitors and possible new entrants into the market Current and prospective environmental, technological, legal, and economic issues The product life cycle Resources available within the firm and within the OM function Integration of OM strategy with companys strategy and with other functional areas
Maturity
Poor time to change image, price, or quality Competitive costs become critical Defend market position
Decline
Cost control critical
Company Strategy/Issues
Internet search engines LCD & plasma TVs Sales Xbox 360 iPods
Drivethrough restaurants
Growth
Forecasting critical Product and process reliability Competitive product improvements and options Increase capacity Shift toward product focus Enhance distribution
Maturity
Standardization Less rapid product changes more minor changes Optimum capacity Increasing stability of process Long production runs Product improvement and cost cutting
Decline
Little product differentiatio n Cost minimization Overcapacity in the industry Prune line to eliminate items not returning good margin Reduce capacity
OM Strategy/Issues
Figure 2.5
SWOT Analysis
Mission Internal Strengths Analysis Internal Weaknesses Strategy External Threats External Opportunities
Form a Strategy
Build a competitive advantage, such as low price, design, or volume flexibility, quality, quick delivery, dependability, after-sale service, broad product lines. Figure 2.6
Chapter
Customized, or standardized 5 Define customer expectations and how to achieve 6, S6 Facility size, technology, capacity 7, S7 Near supplier or near customer 8 Work cells or assembly line 9 Specialized or enriched jobs 10, S10 Single or multiple suppliers 11, S11 When to reorder, how much to keep on hand 12, 14, Stable or fluctuating production rate 13, 15 Repair as required or preventive maintenance 17 2.7 Figure
2-16
Growth rate
2-18
Introduction
Practical to change price or quality image Strengthen niche Drive-thru restaurants CDROM
Growth
Maturity
Poor time to change image, price, or quality Competitive costs become critical Defend market Fax position machines
Decline
Cost control critical
Company Strategy/Issues
Sales
Color copiers HDTV Product design and development critical
Internet
Forecasting critical Product and process reliability Competitive product improvements and options Increase capacity Shift toward product focused Enhance distribution
Standardization Less rapid product changes - more minor changes Optimum capacity Increasing stability of process Long production runs
Little product differentiation Cost minimization Overcapacity in the industry Prune line to eliminate items not returning good margin Reduce capacity
OM Strategy/Issue s
Frequent product and process design changes Short production runs High production costs Limited models Attention to quality
2-19
Little product differentiation Cost minimization Overcapacity in the industry Prune line to eliminate items not returning Good margin Reduce capacity
2001 by Prentice Hall, Inc., Upper Saddle River, N.J. 07458 2-23
Integrate OM with other functional areas such as marketing, finance, HR, MIS, etc
PowerPoint presentation to accompany Operations Management, 2001 by Prentice Hall, Inc., Upper Saddle River, N.J. 07458 2-24
External Opportunities
Competitive Advantage
2001 by Prentice Hall, Inc., Upper Saddle River, N.J. 07458
External Threats
2-26
Finance/Accoun ting
Leverage Cost of capital Working capital Receivables Payables Financial control Lines of credit
Production/Opera tions
Sample Options
Product Customized, or standardized Quality Define customer expectations and how to achieve them Process Facility size, technology Location Near supplier or customer Layout Work cells or assembly line Human resource Specialized or enriched jobs Supply chain Single or multiple source suppliers Inventory When to reorder, how much to keep on hand PowerPoint presentation to accompany 2001 or fluctuating Schedule Stable by Prentice Hall, Inc.,productions Operations Management, Upper Saddle River, N.J. 07458 rate
2-27
2-28