The Use of Operations Strategy in Business

667 Words2 Pages
bulb-icon

Recommended: Evaluate the organizational impact of diversity in today’s global market

Operations strategy is the real use of resources, technology and production proficiency in accomplishing business goals. Some special strategies are needed by the manufacturing industry in order to face the competition and survive in the market. So, for the constructive effect on the organization’s performance, it is important to choose the proper strategy. Some strategies like Total Quality Management (TQM), Just in Time (JIT) methods, Flexible Manufacturing Systems (FMS) and Lean Six Sigma are commonly used but there are also some tools which helped for the performance development. Performance development also involves developing, positioning and aligning of the managerial resources so that they are all consistent with the overall business strategy which is indirectly known to effect the operation management strategy of the organization. Operations management strategy also integrates the sub categorized functional activities to the environmental changes for the tactical planning and operational control of the organization. (Kenneth, Morgan & Eve, 2005)
This paper mainly deals with the study of involvement of manufacturing strategies and performance results that leads to Operation strategy of the organization. It will result in the drastic increase information about how the strategy and performance effects the overall operation of the organization using various tools like Lean six sigma, TQM and others. Few other strategies used in the Operation management along with TQM , JIT, FMS and Six sigma are concurrent engineering, bench marking and other Information Communication technologies ( ICT).
Goals of the organization will help in the measurement of success rate of the organization. Goals here refers to
• Market perspectives, ...

... middle of paper ...

...uires that operations be integrated with the other functions at the corporate level along with the managerial level and functional level.

Conclusion
In broad terms, an operation has two important roles it can play in strengthening the firm's overall strategy.
 To provide processes that give the firm a distinct advantage in the marketplace. Operations will provide a marketing edge through distinct, unique technology developments in processes that competitors cannot match.
 Operations should play coordinated support for the firm's products to win orders over their competitors, also known for characteristic competencies.

On the whole, the firm's operations strategy must be conducive to developing a set of policies in both process choice and infrastructure design (controls, procedures, systems, etc.) that are consistent with the firm's distinctive competency.

Show More
Related

  • Operational Strategies That Management May Use to Respond to Influences on Operations

    1161 Words  | 3 Pages

    Operations refers to the transformation of raw materials(inputs) into finished products(outputs). The operations process is one of the key business functions and is a crucial component to business success. Like every business, Qantas is affected by many internal and external influences requiring it to have effective strategies to respond to these influences. Businesses that are able to adopt and utilise effective operational strategies are able to quickly adapt and either reduce or take advantage of these influences that impact the business. The effectiveness of these strategies can measured by Qantas’ performance and whether or not it is able to hold it’s competitive advantage. How well these strategies respond to the influences on operations will determine the level of success that Qantas achieves.

    Read More

  • Lean Six Sigma Analysis

    1265 Words  | 3 Pages

    In today’s marketplace and world of business it is critical that customers receive a quality product in a timely manner from the supplier. It is also critical as a supplier and business that waste is reduce in all categories including inventory, time, facility space, storage, and also transportation. Several methods have been created and adopted over the past 20 years from top companies with successful track records such as Toyota, GE, and Motorola. One method or process that has proving to be successful is none other than Lean Six Sigma. Lean Six Sigma evolved as a concept in the early years of the 2000s which combines the Lean manufacturing method and also the concept of Six Sigma. When you blend both processes together, you have in return a better delivery schedule, better quality, outstanding employees, satisfied customers and last but not least profit. Profitability as we all know is the goal for any business, organization, or manufacturing company as well as to increase throughput while reducing inventory and operational expense (Eliyahu M. Goldratt).

    Read More

  • Operations Management of the Kroger Company

    2178 Words  | 5 Pages

    Operations management is essential for the survival and success of any organization. According to Heizer & Render (2011), operations management (OM) is the set of activities that creates value in the form of goods and services by transforming inputs into outputs. Operations managers today contend with competition, globalization, inflation, consumer demand, and consistent change in technology. Managers must focus on the efficiency and effectiveness of processes such as cost, dependability, distribution, flexibility, and speed. The intent of this paper is to discuss the processes and operations management of the Kroger Company.

    Read More

  • Measuring Operations Performance of Price Waterhouse Coopers

    1616 Words  | 4 Pages

    Operations are all the processes in transforming inputs into desired outputs. These processes must be efficiently and effectively coordinated by managers and eventually they must accomplish specific organizational goals. All operations, despite how well managed they are, are capable of improvement. In order for the operations to be improved however, weaknesses should be identified first. Therefore operations need some kind of performance measurement as a prerequisite for improvement.

    Read More

  • The Goal: A Process of Ongoing Improvement

    1122 Words  | 3 Pages

    “The Goal” is a book written by Eliyahu M. Goldratt and Jeff Cox in 1984. The book is very famous in the management field. In 2004, the author published the third revision of it and celebrated selling over than three million copied of it around the world. Also, the goal book is taught in over than 120 collages. The book was recommended by my professor to be read and summarize as an extra credit.

    Read More

  • Case Study Of Differentiation Strategy Of Harley Davidson

    1288 Words  | 3 Pages

    For instance, Harley Davidson may be forced to change their marketing strategy due to the entrance of a new competitor into the market. Second, Harley Davidson has to learn new skills and technologies quickly. For example, technologies are changing rapidly, so it is crucial for Harley Davidson’s business plan to change or alter in order to keep up with innovation. Third, this organization has to effectively leverage its core competencies while competing with its competitors. This is, Flexibility is required for Harley Davidson to learn how to use primary value-chain activities and support functions in the way that allow the organization to produce their products at a lower cost with differentiated features compare to their competitors in the market

    Read More

  • Dynamic Capabilities Of Apple

    957 Words  | 2 Pages

    of a firm to attain new forms of competitive advantage (Müller, 2011). It is due to these

    Read More

  • Operations Management Of British Airways (BA)

    1745 Words  | 4 Pages

    At present, every organization believes that operations management plays a pivotal role in establishing and maintaining global leadership, and is a part of the overall organizational strategy. The strategic part that operations management plays in hierarchical execution can be seen as more companies are moving towards dealing with their operations from a value chain viewpoint. There are many reasons that support, operations management an important element for the success of the business. It encompasses manufacturing and services, and its essential in adequately and effectively dealing with the productivity as every company ought to have high productivity which can prompt economic growth and development and help the company’s work force in getting high wages, as well as lead to a rise in organization's profit. Operations management is likewise imperative as it plays a major role in any company’s

    Read More

  • Toyota Supply Chain

    2794 Words  | 6 Pages

    The business environment is increasingly becoming competitive and challenging. In the recent past, manufacturers have found themselves facing the threat of dwindling profit margins due to unfortunate global events such as the 2007 global financial crisis and the on going Europe economic crisis. The need to improve operation efficiency so as to ensure current and future investment yield the highest rate of return has therefore become extremely important. Manufacturers are now actively engaged in, managing their costs, Research and Development, adopting best procurement strategies, among other Actions. While such actions might eventually lead to positive results, additional business value can be achieved through proper management of the supply chain (Waymer, Ivanaj & Mussa 2009; Krivda 2004).

    Read More

  • FedEx and Operations Management

    2118 Words  | 5 Pages

    For operations management to be successful, the function of the operation must be first be defined. The degree to which this is achieved is a measure of effectiveness, the key objective of operations management. Efficiency is less important since there is no point in which carrying out an irrelevant, or worse damaging, activity effectively. Effectiveness means achieving objectives, efficiency means consuming minimum resources. While both are desirable, the former is of overriding importance.

    Read More

  • Operations Management: McDonald's Competitive Advantage

    3031 Words  | 7 Pages

    Operations management strategies play an important role in any organization to achieve organizational goals. An organization uses these operations strategies to maintain and control all its operations...

    Read More

  • Essay On Financial Accounting Principles And Analysis

    1311 Words  | 3 Pages

    When it comes to running and managing an effective business operation, there are many important considerations to be mindful of. Whether it’s a small business or a conglomerate, it’s crucial to hold a strong competitive advantage. This basically means that there needs to be something that differentiates the business from the rest of the competition, such as the products and services that are offered. In many industries, the market is highly saturated with stiff competition, such as the accounting/tax industry. In this industry, there are many products and services offered, of which, are similar. Some companies have major success, while others have minimal success or go completely out of business.

    Read More

  • Operations Management Reflection

    2516 Words  | 6 Pages

    In every organization, different operational functions exist to ensure the smooth learning of the organization. In order for an individual to have the knowhow on how to operate the functions delegated to them they must have implicit knowledge on the functionalities themselves. Understanding markets, customers and the company goals has always proven to be a core starting point for individuals who ply their trade in the organization. The essence of the skills is evident in globalization, cooperate social responsibility and risk management issues. In operations management, the basic principles of operations should be followed to ensure that the profitability of the organization ensures the operation of the organization is

    Read More

  • Business Forecast

    1434 Words  | 3 Pages

    University of Phoenix(Ed.).(2003) Operations management for competitive advantage[University of Phoenix custom edition e-text]. New York: McGraw-Hill. Retrieved February 01, 2005, from university of phoenix, Resource, MGT554- operations management website: https://mycampus.phoenix.edu/secure/resource/resource.asp

    Read More

  • Strategic Management Reflection Paper

    1135 Words  | 3 Pages

    That reminded me from the case study the director how to plays round of the company to succeed this Colombian Memorial Hospital. External control view of leadership, situations in which external forces where the leader has limited influence determine the organization 's success. Strategy, the ideas, decisions, and actions that enable a firm to succeed. competitive advantage firm 's resources and capabilities that enable it to overcome the competitive forces in its industries. Operational effectiveness, Performing similar activities better than rivals. Intend strategy, strategy in which organizational decisions are determined only by analysis. Realize strategy, strategy in which organizational decisions are determined by both analysis and unforeseen environmental developments, unanticipated resource limitations, and changes from managerial preferences. Strategy analysis studies of firms ' external and internal environments, and there with organizational vision and goals. Strategy formulation, decisions made by firms regarding investments, commitments, and other aspects of operations that create and sustain competitive advantage.

    Read More

More about The Use of Operations Strategy in Business

Open Document