Answer CH 1

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1- Describe operations and supply chains in terms of inputs, processes, outputs,

information flows, suppliers and customers.


As we know any process should has inputs and outputs, and for the work processes in an organization the
inputs can consist of human resources such as (workers, managers), and capital such as (equipment and
facilities), materials, services, land, and energy then these inputs will go through different processes and
operations because each job and customer can have different requirements, then the processes provide
outputs to customers. These outputs could be tangible goods and products or intangible inform of services.
Then any organization has customers, some are external customers such as end users and others are
internal customers such as employees in the firm, and for the information there are internal suppliers, who
may be employees or processes that supply important information or materials. Managers need all types
of information to manage processes most effectively.

2- Define an operations strategy and its linkage to corporate strategy, as well as


the role it plays as a source of competitive advantage in a global market place.
Operation strategy clarify the means by which operations implements the firm’s corporate strategy and
helps to build a customer-driven firm. The links between the corporate strategy and operation strategy
divided into to two parts which are long-term and short-term links. The operations strategy links the
operations decisions to corporate strategy and develops the capabilities the firm needs to be competitive.
It provides the resources to develop the firm’s core competencies and core processes, and it identifies the
strategy the firm will employ in international markets.
Developing a corporate strategy have four considerations:
(1) monitoring and adjusting to changes in the business environment,
(2) identifying and developing the firm’s core competencies
(3) developing the firm’s core processes
(4) developing the firm's global strategies.

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3- Identify the 4 main competitive priorities used in operation strategy, and their
linkage to marketing strategy.
The four main competitive priorities are:
(1) Cost
(2) Quality
(3) Time
(4) Flexibility
These priorities are connecting with the marketing strategy of any organization in a direct effect. For
example, if the cost is low with high quality, speed providing services and there is a flexibility if there
are any requirements of the customers or any modification, they need so in this situation the
organization will push the customers to buy its products or its services.

4- Explain how operations can be used as a competitive weapon


The operations can be used as a competitive weapon when the management of the firm takes some
decisions in order to develop the firm and identify gaps in their competitive priorities and build
capabilities through related process. Any gap between a competitive priority and the capability to
achieve that competitive priority must be closed by an effective operations strategy.

5- Identify the global trends and challenges facing operations management


(1) Productivity improvement
• The challenge is to increase the value of output relative to the cost of input. If processes
can generate more output or output of better quality using the same amount of input,
productivity increases. If they can maintain the same level of output while reducing the use
of resources, productivity also increases.
(2) Global competition
• the challenge is to produce services or products that can compete in a global market, and
to design the processes that can make it happen.
(3) Ethical, workforce, and environmental issues
• The challenge is clear: Issues of ethics, workforce diversity, and the environment are
becoming part of every manager’s job. When designing and operating processes, managers
should consider integrity, respect for the individual, and customer satisfaction along with
more conventional performance measures such as productivity, quality, cost, and profit.

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