Lecture 01: Introduction COPY

Question 1

Name three examples for trade-offs in competitive priorities/capabilities!

Answer 1

• Low price vs quality
• Quick delivery vs quality
• Low price vs variety

Question 2

Back-office versus Front-office processes! (2)

Answer 2

Front office work
Work requires customer presence

Back office work
Work does not require customer presence

Question 3

Operations Strategy

Answer 3

The activity of managing the resources of the organization, that …

• transforms input to output,
• delivers goods and services.

Question 4

Porter’s Value Chain concept (2) ⚓️

Answer 4

Primary activities | ↑ |

• logistics (inbound, outbound)
• operations,
• marketing and sales,
• service.

Support activities | → |

• procurement,
• technology development,
• human resource management,
• firm infrastructure.

Question 5

The SIPOC Model

Answer 5

S upplier
I nputs
P rocess
O utputs
C ustomer

Question 6

The 4Ms describe the resources that are needed to perform the process to transform the inputs into an output: .. (2)

Answer 6

no process is possible without …

Man,
Material,
Machine,
Method

Question 7

The concept of the 4Ms can be extended to the 10Ms (6)

Answer 7

4M’s plus, …

• milieu,
• management,
• mother nature,
• motion (energy),
• money,
• market

Question 8

Four-Stage Model of Operation and Competitiveness
(Hayes and Wheelwright’s, 1979)
⚖️🌐🎯

Answer 8

Question 9

Competitive priorities and capabilities (4)

Answer 9

Question 10

Main steps for creating an Operations Strategy! (3)

Answer 10

1. Define competitive priorities.
   Based on market need.
2. Design decision areas.
   Aligned with the chosen competitive priorities: Structural and infrastructural decision area. (product-service offering)
3. Build competitive capabilities.
   Aligned with the chosen competitive priorities.

Question 11

What are structural and infrastructural decisions in operations? (2x3)

Answer 11

Structural operations decisions tackle the more tangible aspects of an organization and design activities.

Whereas infrastructural decisions focus on the people operating processes, planning, and control organizational structure

Question 12

Explain competitive priorities & capabilities! (2)

Answer 12

Priorities

• describe how a company wants to compete to win customer orders

Capabilities

• describe how a company is able to compete

Question 13

Explain order qualifiers and order winners! (3)

Answer 13

• Order qualifier,
  is a required capability (e.g. food security) for you to be considered by the customer in the first place.
• Order winner,
  is a capability that can win you orders.

Excellent companies have a good fit between eg. price is usually a qualifier! But can also be a winner (e.g. customer wants only the cheapest product)

Question 14

What are the 4 major differences between goods and services?

Answer 14

H eterogeneity:
Very difficult to make each service experience identical

I ntangibility:
Service cannot be touched

P erishability:

• Services last a specific time
• Services cannot be stored for later use

I nseparability:

• Simultaneous production and consumption
• Customer presence in conversion process

Question 15

What are the B2C, B2B, C2C, G2C & NPO Business types of Services? Explanation with Examples (6)

Answer 15

Business-to-Consumer (B2C),
e.g. hairdresser

Business-to-Business (B2B),
e.g. consultancy

Consumer-to-Consumer (C2C),
e.g. services between friends and family

Government to Citizen (G2C),
e.g. police

Not-for-Profit Organization (NPO),
e.g. charities

Internal services
Services within organizations, e.g. HR

Question 16

Name 3 inputs and outputs for Supplier-Input-Process-Output-Customer model (SIPOC)?

Answer 16

Inputs: Materials, equipment, staff
Outputs: Products, benefits, emotions

Question 17

What diagram is shown in the following figure?

Answer 17

Service blueprint

Question 18

What is the United Nations global contract? (4)

Answer 18

A call to companies to align strategies and operations on …

• human rights,
• labor,
• environment,
• anti-corruption,

and take actions that advance societal goals.

Question 19

Define Corporate Social Responsibility (CSR)!

Answer 19

Means having an operations strategy that will meet the requirements of current needs, …

• without compromising the ability of future generations to meet their own needs
• Not only profit, but also people and planet

Question 20

What are the benefits of product life extension model?

What is the relationship between CSR and SDG? (4)

• Corporate Social Responsibility (CSR)
• Sustainable Development Goals (SDGs)

Answer 20

It is (morally) right thing to do. Other competitive reasons:

Easier to attract …

• customers
• “ethical” investors
• quality employees

Improved

• employee motivation
• business reputation

Question 21

What is triple bottom line in strategy? What are the 3 P’s triple bottom line?

Answer 21

Triple bottom line theory expands conventional business success metrics to include an organization’s contributions to social well-being, environmental health, and a just economy. These bottom line categories are often referred to as the three “P’s”: people, planet, and prosperity.

• considers social,
• natural environment
• economic impact

Question 22

What do the 5R in the 5R framework stand for?

Answer 22

1. Remanufacture products
2. Reduce packaging
3. Repair
4. Reuse
5. Recover raw materials