1.

Operational Excellence

Operational Excellence of the business strategy more consistently and reliability than the
competition. Operational Excellence is evidenced by results. Given two companies with the
same strategy, the operational Excellency company will have lower operational risks, lower
operating cost and increased revenues relative to its competitors, creating value for

customers and shareholders. It may more simply interested as operational

excellence.
Many frameworks on operational excellence have been developed to
structure it along consistent organization management areas, though there are
some minor differences, we find the following areas.
1. Strategy Development
2. Performance Management
3. Continuous improvement
4. Organization Excellence
5. Process Excellence
6. Leadership, People, and Culture

2. Information Systems for Competitive Advantage

It is very important to gain completive advantage for any organization. Baltzan and Philips
(2010, p.16) define competitive advantage as ‘a product or service that an organization’s
customers value more highly than similar offerings from its competitors.’ They further
mentioned that competitive advantages are typically temporary as competitors may copy the
competitive advantage. If companies need to stay ahead of competition, companies must
continually develop new competitive advantages.

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 3. MAS Holdings
Amalean brother started their journey in apparel industry 27 years ago in Ratmalana with 30

workforces. The first business was begun with a handshake with the Mark and Spencer

representatives and Mahesh Amalean, where no formal agreement was signed between these

two companies. Today this company has grown to the largest apparel providing employment

opportunities for over 60,000 people in 34 manufacturing factories which are located in

various geographical locations in Sri lanka and worldwide with their design offices and

production factories.

MAS Holdings invest heavily on information systems to sustain their business and services.

With regards to achieve operational excellence, MAS has implemented the world best ERP

system named “SAP Enterprise Resource Planning System”

In 1997 MAS became only the fourth apparel manufacturer worldwide and the first in Asia to

implement SAP solutions for the apparel industry.

MAS believe in using the best technology in both manufacturing and information systems to

set the bar in global industry stand in enterprise resource planning.

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The system operates a central information repository where it provides efficient

communication between all the processes related parties. And it further enables the visibility

and exchange of information among them. This eliminates the convienient communication

barrier within the process. This system facilitates a smooth flow over the entire process.

With regards to competitive advantage, MAS has followed below strategies.

MAS uses Six Sigma approach and ERP (Enterprise Resource Planning) system (SAP) which

includes highly developed technology infrastructure and support the company to make the

process efficient and effective. This leads to gain cost advantage from firms ability to produce

a goods or services at a lower cost than its competitors, which gives the firm the ability sell its

goods or services at a lower price than its competent or to generate a large margin of sales.

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