Om - Chapter 2

Front 1

What are some reasons to globalize?

Back 1

From tangible to intangilble reasons:
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

Front 2

How to reduce costs?

Back 2

Foreign locations with lower wage rates can lower direct and indirect costs

Front 3

How to improve the supply chain?

Back 3

Locating facilities closer to unique resources

Front 4

How to provide better goods and services?

Back 4

Objective and subjective characteristics of goods and services
On-time deliveries
Cultural variables
Improved customer service

Front 5

How to understand markets?

Back 5

Interacting with foreign customers and suppliers can lead to new opportunities

Front 6

How to improve operations?

Back 6

Remain open to the free flow of ideas

Front 7

How to attract and retain global talent?

Back 7

Offer better employment opportunities
Better growth opportunities and insulation against unemployment
Relocate unneeded personnel to more prosperous locations
Incentives for people who like to travel

Front 8

What are some cultural and ethical issues?

Back 8

Punctuality
Lunch breaks
Environment
Intellectual
property
Thievery
Bribery
Child labor

Front 9

What is an organizational mission and strategy?

Back 9

Mission statements tell an organization where it is going
The Strategy tells the organization how to get there

Front 10

What is an organizational mission?

Back 10

Organization’s purpose for being

Front 11

What do organization provide to society with its mission?

Back 11

Provides boundaries and focus

Front 12

What factor affect mission?

Back 12

-phylosophy and value
-benefit to society
-customers
-environment
-public image
-profitability and growth

Front 13

Sample of a company mission

Back 13

To manufacture and service an innovative, growing, and profitable worldwide microwave communications business that exceeds our customers’ expectations.

Front 14

Sample of Operations Management Mission

Back 14

To produce products consistent with the company’s mission as the worldwide low-cost manufacturer.

Front 15

Sample of product design mission

Back 15

To design and produce products and services with outstanding quality and inherent customer value.

Front 16

sample of quality management

Back 16

To attain the exceptional value that is consistent with our company mission and marketing objectives by close attention to design, procurement, production, and field service operations

Front 17

sample of process design

Back 17

To determine and design or produce the production process and equipment that will be compatible with low-cost product, high quality, and good quality of work life at economical cost.

Front 18

sample of location mission

Back 18

To locate, design, and build efficient and economical facilities that will yield high value to the company, its employees, and the community.

Front 19

sample of layout design

Back 19

To achieve, through skill, imagination, and resourcefulness in layout and work methods, production effectiveness and efficiency while supporting a high quality of work life.

Front 20

Sample of Human Resources mission

Back 20

To provide a good quality of work life, with well-designed, safe, rewarding jobs, stable employment, and equitable pay, in exchange for outstanding individual contribution from employees at all levels.

Front 21

sample of supply chain management mission

Back 21

To collaborate with suppliers to develop innovative products from stable, effective, and efficient sources of supply.

Front 22

sample of inventory mission

Back 22

To achieve low investment in inventory consistent with high customer service levels and high facility utilization.

Front 23

sample of scheduling mission

Back 23

To achieve high levels of throughput and timely customer delivery through effective scheduling.

Front 24

sample of maintanance mission

Back 24

To achieve high utilization of facilities and equipment by effective preventive maintenance and prompt repair of facilities and equipment.

Front 25

what is the strategic process?

Back 25

organizations mission - functional area mission- markting/Operations/ finance-accounting

Front 26

What are strategies?

Back 26

Action plan to achieve mission
Functional areas have strategies
Strategies exploit opportunities and strengths, neutralize threats, and avoid weaknesses

Front 27

What are some strategies for competitive advantage?

Back 27

Differentiation – better, or at least different
Cost leadership – cheaper
Response – rapid response

Front 28

How to compete in diferenciation?

Back 28

Uniqueness can go beyond both the physical characteristics and service attributes to encompass everything that impacts customer’s perception of value

Front 29

How to compete on costs?

Back 29

Provide the maximum value as perceived by customer. Does not imply low quality.

Front 30

How to compete on responses?

Back 30

Flexibility is matching market changes in design innovation and volumes
Reliability is meeting schedules
Timeliness is quickness in design, production, and delivery

Front 31

What are the 10 strategic OM decisions?

Back 31

Goods and service design
Quality
Process and capacity design
Location selection
Layout design
Human resources and job design
Supply chain management
Inventory
Scheduling
Maintenance

Front 32

What are the issues on OM?

Back 32

Research about effective operations management strategies
Preconditions for developing effective OM strategies
The dynamics of OM strategy development

Front 33

What are some of the dynamic change on strategy?

Back 33

Changes within the organization
Personnel
Finance
Technology
Product life
Changes in the environment

Front 34

What is an strategy development process?

Back 34

Env. analysis
determine corporate mission
form a strategy

Front 35

What is the environment analysis?

Back 35

Environmental Analysis
Identify the strengths, weaknesses, opportunities, and threats. Understand the environment, customers, industry, and competitors.

Front 36

How to determine the corporate mission?

Back 36

State the reason for the firm’s existence and identify the value it wishes to create.

Front 37

how to form a strategy?

Back 37

Build a competitive advantage, such as low price, design, or volume flexibility, quality, quick delivery, dependability, after-sale service, broad product lines.

Front 38

how to develop and implement strategy?

Back 38

Identify critical success factors
Build and staff the organization
Integrate OM with other activities