Operations Strategy Flashcards
1
Q
What tell the mission of a company ?
A
It tells an organization where it is going • Organization’s purpose for being • Answers ‘What do we provide to society?’ • Provides boundaries and focus
2
Q
What tells the strategy of an organization?
A
It tells the organization how to achieve their mission • Action plan to achieve mission • Functional areas have strategies • Strategies exploit opportunities and strengths, neutralize threats, and avoid weaknesses
3
Q
what factors affect the mission of an Organization?
A
- Philosophy
- Environment
- Customers
- Benefit to society
- Public Image
- Profitability and growth
4
Q
What are the 3 types of competitive advantage an organization can have?
A
- Differentiation: Uniqueness in products or services that set them apart from competitors in the market.
- Cost leadership: Provide maximum value as perceived by the costumer( does not imply quality)
- Quick response: Matching market changes in design innovation and volumes, reliability meeting schedules
5
Q
What are the important elements of OM strategy?
A
• Strengths and weaknesses of competitors and possible new entrants into the market • Current and prospective environmental, technological, legal, and economic issues • The product life cycle • Resources available within the firm and within the OM function • Integration of OM strategy with company’s strategy and with other functional areas
6
Q
What are the phases in a Pdoruct life´s cycle?
A
- Introduction (increase market share, R&D engineering is critical)
- Growth (Practical to change price or quality image)
- Maturity (poor time to change image, price or quality, defend market share)
- Decline (cost control is critical)
7
Q
What are possible reasons for a company to globalize?
A
- Reduce costs (labor, taxes, tariffs, etc.)
- Improve supply chain
- Provide better goods and services
- Understand markets
- Learn to improve operations
- Attract and retain global talent
