Sign Up Now
Get instant access to over 1 million+ study documents
OR
Already registered? click here to login
By creating your account, you agree to our terms of service, privacy policy and student honor code.
Quality & Leadership in Corporations
Strategic objectives of operational management
In a competitive market environment, organizations employ different strategies to achieve market advantages. Wining new markets and maintaining the existing markets depends on the quality of the products and services that organizations produce. To enhance the quality of the products, and achieve market competitive advantages, firms should employ operations management techniques to produce and distribute products. Operations management focuses on the various strategies that firms employ to create, develop, produce, and distribute products and services to achieve market advantages. (Slack, Chambers. & Johnston, 2008). The model of operation management is very critical to business success because it influences how managers understand customers and translate customers' needs into performance objectives, which is translated into operational business strategy. (Slack, Chambers, & Johnston 2010).
Operations management is the method that an organization employs to coordinate business operations in term of efficient utilization of resources. Typically,...
Operation performs three roles:
• Implementer of business strategy.
• Supporter of business strategy.
• Driver of business strategy.
The input resources may be raw materials, facilities, or staff that an organization transforms into final goods and services. However, the concept of operations management is the overall strategy that an organization employs to manage the organization inputs into finished goods. The success of an organization depends on its fulfillment of business process. Efficient implementation of operations management within an organizational could lead a firm to attain success. Operations management can improve organizational performances through product…
• Supporter of business strategy.
• Driver of business strategy.
The input resources may be raw materials, facilities, or staff that an organization transforms into final goods and services. However, the concept of operations management is the overall strategy that an organization employs to manage the organization inputs into finished goods. The success of an organization depends on its fulfillment of business process. Efficient implementation of operations management within an organizational could lead a firm to attain success. Operations management can improve organizational performances through product design and specification, process reengineering, and strategic capacity planning for products and services. Operations management could enhance organizational supply chain management, improve waiting times, enhance efficiency, and inventory management. (Islam & Ali 2011). The operations management is widely implemented in the manufacturing industry than other industries. In the implementation of operations management, manufacturing organizations use the overall process in planning and controlling for the production of goods. While application of concepts of operations management has focused mainly on the manufacturing sector, the service sector has also started to integrate the concept of operation management in their business process. Davis & Heineke (2005) argue that many concepts of operations management currently being applied in the manufacturing sector are now being applied in the service sectors. For example, many service companies have started to apply Information Technology (IT) to assist boosting workers' productivity and deliver quality service to customers. Amazon.com is a good example that applies operations management to Increase workers' productivity. In 2001, Amazon Increased workers' productivity and the company was able to achieve 35% Increase shipped by the same number of workers. Amazon introduced new software to improve the company forecasting, and accuracy of customers purchase. With the introduction new software, Amazon was able to reduce the inventory by U.S.$31 million in the fourth quarter of 2001. Moreover, between 2000 and 2002, Amazon was able to boost revenues from U.S.$2.7 billion to U.S.$3.9 billion revealing a 4.4% Increase in revenues within two years. To lower the costs, Amazon decided to streamline the number of workers. Amazon reduced the workforce from 9,000 to 7,500 workers. Despite the 17% reduction in the workforce, Amazon was able to achieve 73% Increase in worker
Executive Stock Option Plans "If the company does not do better than its competitors, but the stock market goes up, executives do very well from their stock options. This makes no sense." Discuss viewpoint. Can you think of alternatives to the usual executive option plan that take the viewpoint into account? Executive stock options are performance-based incentive plans that became popular in the 1950s and 1960s. They declined due to the stock
Companies such as XYZ Widget Corporation are well situated to take advantage of burgeoning markets in developing nations, particularly in Asia and Africa. 2. XYZ can grow its business by expanding its operations to certain developing nations in ways that profit the company as well as the impoverished regions that are involved, particularly when marketing efforts are coordinated with nongovernmental organizations operating in the region. 3. Several constraints and challenges must