Introduction to Strategic Operation

Strategic Operations is like a game plan for how a company makes and delivers
its products. It’s all about making smart choices to help the business run better
and beat the competition.

1. Plan: This is like drawing a map for a treasure hunt. The company
decides the best way to make and deliver products.
2. Do: They start making the product, like building a toy or baking a cake.
3. Check: Like a taste test, they make sure everything is going well and the
product is good.
4. Act: If something isn’t right, they fix it, like adding more sugar to the
cake if it’s not sweet enough.

Example: Tata Motors plans how many cars to make (Plan), builds the cars
(Do), checks if the cars are great (Check), and fixes any issues (Act) before
sending them to showrooms.

So, Strategic Operations is the company’s master plan to make sure everything
from planning to making to delivering is done in the best way possible

Benchmarking & World class Operations

Benchmarking is like a race where businesses look at others to see how fast
they’re running and then try to run faster or smarter. World-class operations
mean doing business so well that you’re one of the best in the world. Here’s
how they work, in simple points:

Benchmarking:

1. Look Around: See what other businesses are doing.

2. Compare: Check how your business is doing against others.
3. Learn: Find out what the best businesses do well.
4. Get Better: Use what you learn to improve your business.

Example: A small phone shop looks at a big store to see how they sell so many
phones and then tries to do the same.

World-Class Operations:
 1. Be the Best: Make your products or services really good.
2. Fast and Smart: Do things quickly and without wasting time or money.
3. Happy Customers: Make sure people love what you buy from you.
4. Keep Improving: Always look for ways to do even better.

Example: A car company makes cars that are safe, look great, and don’t break
down, so everyone thinks they’re one of the best.

So, benchmarking is about learning from others to improve, and world-class

operations are about being so good that you set the standard for everyone else

Balanced Scorecard

The Balanced Scorecard is like a report card for a company. It helps them see
how well they’re doing in different parts of their business.

1. Learning and Growth: This is about teaching and improving the skills of
the people who work at the company. Example: A company like Tata
might give training to its employees so they can do their jobs better.
2. Business Processes: This looks at how the company does its work. Are
they doing things in the best way? Example: Tata checks how they make
cars to see if they can do it faster or with less waste.
3. Customers: This part checks if the customers are happy. Example: Tata
might look at how many people buy their cars and if they recommend
them to friends.
4. Finance: This is about the money. Are they making a profit? Example:
Tata looks at how much money they make from selling cars and if it’s
going up or down.

So, the Balanced Scorecard helps companies like Tata keep track of how
they’re doing in teaching their people, making things, keeping customers
happy, and making money
 Investment Decision making

Investment decision-making is like deciding how to spend your pocket money

to get the most goodies.

1. Check Your Money: Look at how much money you have to spend.
2. Set a Goal: Decide what you want to buy with that money.
3. Choose Wisely: Pick things to buy that give you the most fun for your
money.
4. Spread It Out: Don’t spend all your money on one thing; buy a few
different things to enjoy.
5. Keep an Eye Out: Watch how your choices work out, so you know for
next time.

Example: Imagine you have $10. You decide (Set a Goal) you want to buy
snacks for a week. You look at different snacks (Choose Wisely) and decide to
buy a mix of fruits and cookies (Spread It Out). At the end of the week, you see
which snacks were the best (Keep an Eye Out).

So, investment decision-making is about using your money smartly to get the
most of what you want or need

Technology Management

Technology Management is like being the coach of a sports team, but for
technology. It’s about making sure that all the tech stuff a company uses works
well together and helps the company score big goals.

1. Plan: Just like a coach plans the plays, companies plan how to use
technology to win in business.
2. Get Tech: They find and get the best tech tools and gadgets, like a coach
picks the best players.
3. Use Tech: They use these tools to do great work, like players use their
skills in a game.
4. Keep Getting Better: They keep learning and getting better tech, so they
stay ahead of the game.

Example: Tata Motors uses technology management to make sure they have
the latest car-making machines and software, so they can build awesome cars
that people want to buy.
So, Technology Management is all about using tech in smart ways to help a
company be the best at what it does

International Operations: Off shoring & Outsourcing

International Operations involve doing business across different countries. Two

common ways businesses do this are Offshoring and Outsourcing

Offshoring:

1. Moving Work: It’s like a company moving its factory to another country
where it’s cheaper to make things.
2. Still Their Own: The company still owns the factory and controls how
things are made.

Example: A toy company from the USA sets up a factory in Vietnam to make
toys more cheaply.

Outsourcing:

1. Hiring Helpers: It’s like when you ask someone else to do a task for you
because they can do it better or cheaper.
2. Not Their Own: The company hires another company to do the work,
but doesn’t own that company.

Example: The same toy company hires a call centre in India to handle customer
service calls.

So, Offshoring is about moving your own business to another country, while
Outsourcing is about hiring another business to do some work for you
Lean Concept fundamentals, Application in Indian Industries and its
Challenges

Lean Concept is like a smart way of running a business where you only use
what you need and make sure nothing is wasted.

Fundamentals of Lean Concept:

1. Value: Know what the customer really wants.

2. Value Stream: Look at all the steps to make a product and cut out
anything that doesn’t add value.
3. Flow: Make sure the work flows smoothly without delays.
4. Pull: Only make what customers will buy right away.
5. Perfection: Always look for ways to do things better.

Application in Indian Industries:

 Many Indian companies, like car manufacturers and software

developers, use Lean to make better products and save money.
 Example: A car company in India might use Lean to build cars faster and
with less metal and plastic waste.

Challenges:

 Sometimes it’s hard to change old ways of doing things.

 Finding parts and materials that are just right for Lean can be tough.
 Training everyone to think Lean takes time and effort.

So, Lean Concept helps Indian businesses make things efficiently and cost-
effectively, but it can be tricky to get everyone on board and make it work just
right

Production Environment, Safety, Training & Productivity, Green

Operations and Environmental Management.
1. Production Environment: This is where things are made, like a factory. It
should be a safe and good place to work. Example: Tata Motors has
factories where they make cars.

2. Safety: This means keeping everyone who works in the production

environment safe from accidents. Example: Tata Motors makes sure all
workers wear helmets and safety gear.

3. Training: Teaching workers how to do their jobs well and safely.

Example: New employees at Tata Motors get training on how to use
machinery without getting hurt.

4. Productivity: How much work gets done in a certain amount of time.

Example: If Tata Motors makes more cars in a day than before, they’re
more productive.

5. Green Operations: Doing things in a way that’s good for the

environment, like using less water and electricity. Example: Tata Motors
uses solar panels to power some of their factory work.

6. Environmental Management: Making plans and taking action to keep

nature safe while doing business. Example: Tata Motors has a plan to
reduce waste and recycle more in their factories.