Operations strategy Flashcards
What is strategy
Setting broad objectives that direct an enterprise towards its overall goal.
Strategic decisions
Strategic decisions are those
decisions which are widespread in their effect on the organization to which the strategy refers. Defines the position of the organisation relative to it’s environment.
Corporate strategy
The direction and scope of an
organisation over the long term
which achieves an advantage in a
changing environment.
Why do strategy
To gain competitive advantage
Operations strategy
Pattern of decisions and actions that shape the
long term vision, objectives, and capabilities of the operation and its contribution to the
overall strategy of the business
Market based strategy
Traditional approach
Focused on successfully following the dictates of the market
Research based strategy
Based on the idea of core competency
Threshold competencies
Resources, activities and processes needed to meet the customers minimum requirements
Core competencies
Activities that are difficult for competitors to imitate and therefore underpin competitive advantage.
Porters generic competitive strategy
The real goal of an operations strategy is to provide a set of distinctive capabilities that are valued by the customer, and that thus contribute strongly to the competitive advantage of the business.
Types of resources
VRIN
-Valuable
-Rare
-Imperfectly imitable
-Non-substitutable
Ways to assess the environment
PESTLE
SWOT
Key attributes of operations strategy
Implementing
Supporting
Driving
